Contemporary Issues in HRM: A Case Study of Coca-Cola's Strategy

This report analyzes contemporary issues in Human Resource Management (HRM), using Coca-Cola as a case study. It begins by highlighting the importance of HR professionals in the modern business world and explores how Coca-Cola utilizes Strategic Human Resource Management (SHRM) to align organizational performance and culture. The report discusses how effective HRM practices at Coca-Cola add value, improve employee satisfaction, and reduce turnover. It further examines how HRM initiatives influence organizational culture, emphasizing employee engagement and reduced disputes. The conclusion underscores the critical role of HRM in enhancing both organizational culture and performance, emphasizing the application of SHRM and other practices within Coca-Cola to create a positive and productive work environment.

Running head: CONTEMPORARY ISSUES IN HRM
Contemporary Issues in HRM
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1CONTEMPORARY ISSUES IN HRM
Executive Summary
The report highlights the importance of the job roles performed by the HR professionals in
the contemporary business world. For the purpose of this analysis the report takes the help of
the case study of the company Coca-Cola. The report begins by discussing the manner in
which the Strategic Human Resource Management (SHRM) theory is being used by the
concerned organization to link the aspects of organizational performance and culture. The
report next discusses about the manner in which the effective HRM practices used by the
organization adds value to the organization. Finally, the report concludes with a discussion of
the manner in which the HRM practices affect the culture of the organization.

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Table of Contents
Introduction................................................................................................................................3
Link HRM, organizational performance and culture.................................................................3
HRM and its value.....................................................................................................................4
HRM and the organizational culture..........................................................................................5
Conclusion..................................................................................................................................5
References..................................................................................................................................7

3CONTEMPORARY ISSUES IN HRM
Introduction
The notion of the Human Resource Management (HRM), since the formulation of the
first HRM theory, namely, Harvard Analytic Framework (1980) by the Harvard School to the
present times has undergone a substantial amount of change (Collings, Wood and Szamosi
2018). Bratton and Gold (2017) are of the viewpoint that the current theories and practices of
HRM had not only leads to the effective management of the human capital of the
organizations but at the same time had improved the performance of these individuals and
also organizations. As opined by Marchington et al. (2016), because of the plethora of the job
roles as well as the activities that the contemporary HRM teams and HR professionals
perform within the spectrum of the modern organizations they have become an indispensible
part of the business world. This report will highlight the link between the HRM practices,
organizational culture and performance in the particular context of the company Coca-Cola.
Link HRM, organizational performance and culture
Albrecht et al. (2015) are of the viewpoint that the organizations in which the various
HRM practices are interlinked with the objectives or the goals of the organizations as well as
the personal goals of the employees have a far greater chance of attaining success than the
ones in which there is no correlation. In this regard, the company Coca-Cola is an important
one since it is seen that the organization actively takes the help of the Strategic Human
Resource Management (SHRM) theory for the effective management of the human capital.
As opined by Jackson, Schuler and Jiang (2014), the effective utilization of the theory of
SHRM not only enables the HRM teams to strategically align the employees and the
organization but at the same time contributes in a substantial manner towards the
enhancement of the performance of the employees and thereby the organization.
Furthermore, it is seen that the effective utilization of this theory at the same time enables the

4CONTEMPORARY ISSUES IN HRM
organizations to reduce the disputes between the employees and the organization and thereby
create the kind of work culture within the organization wherein the employees would be able
to perform in an effective manner (Johnson and Szamosi 2018). The HR professionals of the
organization Coca-Cola taking the help of this theory try to create the kind of work culture
wherein the goals of the employees would be strategically aligned with that of the
organization. This has not only helped the HR professionals to create the kind of work culture
wherein the employees would be able to perform as per their maximum potential but at the
same time would contribute towards the growth of the concerned organization (Jackson,
Schuler and Jiang 2014). Thus, it can be said that through the effective usage of the theory of
SHRM the organization has been able to create an effective work culture and also enhance
the organizational performance as well.
HRM and its value
The HRM team of the company Coca-Cola through the effective usage of the various
HRM practices as well as theories has been able to add significant amount of value to the
organization. For example, it is seen that the HRM team of the concerned organization
through the effective usage of the concept of SHRM has been able to not only improve the
work culture but at the same time overall productivity of the organization as well (Bratton
and Gold 2017). This in turn has reduced the annual employee turnover of the organization
and has at the same time increased job satisfaction of the employees as well (Collings, Wood
and Szamosi 2018). Albrecht et al. (2015) are of the viewpoint that the entity of job
satisfaction is important from the perspective of the organization since it is seen that this not
only improves the individual productivity of the employees but at the same time reduces the
turnover rate of the concerned organization as well. This is perhaps one of the major reasons

5CONTEMPORARY ISSUES IN HRM
for the unprecedented success that the company Coca-Cola has been able to achieve over the
years.
HRM and the organizational culture
Marchington et al. (2016) argue that one of the major job roles of the HR
professionals within the cannon of the modern organizations is to create the kind of
organizations wherein the employees would not only be satisfied but at the same time would
be able to perform as per their maximum potential. In the particular context of the company
Coca-Cola it is seen that the HR professionals take active initiatives to enhance the
engagement level among the different employees, conduct regular recreational activities and
others to create the kind of work culture wherein the employees do not feel over-pressurized
and stress (Jackson, Schuler and Jiang 2014). In addition to this, the effective utilization of
the notion of SHRM has at the same time enabled the organization to reduce the number of
disputes between the management team and the employees (Johnson and Szamosi 2018). It is
the cumulative effect of all these factors that the company Coca-Cola boasts of one of the
positive work cultures within the contemporary business world.
Conclusion
To conclude, the HRM teams are increasingly playing an active role within the
framework of the contemporary business world. Furthermore, they are not only imbued with
the responsibility of the recruitment and selection but at the same time the improvement of
the organizational culture and performance is also considered to be their essential job roles.
Thus, the HR professionals often resort to the use of different kinds of theories as well as
practices like SHRM and others which can help them in the performance of their job roles.
The effective HRM practices as well as the theories used by the company Coca-Cola
becomes an important one to note in this regard. The HR professionals of the company Coca-

6CONTEMPORARY ISSUES IN HRM
Cola through the effective use of HRM practices have not only been able to create an
effective as well as congenial work culture but at the same time have contributed in a positive
towards the improvement in the organizational performance.

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References
Albrecht, S.L., Bakker, A.B., Gruman, J.A., Macey, W.H. and Saks, A.M., 2015. Employee
engagement, human resource management practices and competitive advantage: An
integrated approach. Journal of Organizational Effectiveness: People and Performance, 2(1),
pp.7-35.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Collings, D.G., Wood, G.T. and Szamosi, L.T., 2018. Human resource management: A
critical approach. In Human Resource Management (pp. 1-23). Routledge.
Jackson, S.E., Schuler, R.S. and Jiang, K., 2014. An aspirational framework for strategic
human resource management. The Academy of Management Annals, 8(1), pp.1-56.
Johnson, P. and Szamosi, L.T., 2018. HRM in changing organizational contexts. In Human
resource management (pp. 27-48). Routledge.
Marchington, M., Wilkinson, A., Donnelly, R. and Kynighou, A., 2016. Human resource
management at work. Kogan Page Publishers.
Storey, J., 2014. New Perspectives on Human Resource Management (Routledge Revivals).
Routledge.