Research Project: Zara's HR Practices in a Globalized World

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This research project investigates the impact of globalization on the Human Resource (HR) department of Zara, a prominent retail company. The study begins with an introduction to globalization and its different types, emphasizing its crucial role in business expansion. It outlines the background, rationale, and scope of the research, focusing on understanding how globalization affects HR practices within the fashion retail industry. The research aims to evaluate the effects of globalization on the HR department of Zara, with specific objectives to identify HR practices in global retail, determine the positive and negative impacts of globalization, find strategies for success in the global market, and develop strategies to overcome challenges. The project includes a literature review covering HR practices, positive and negative factors of globalization, and its effects on HR strategy development. The methodology section details the research philosophy and frameworks used. The research also includes a time framework using Work Breakdown Structure (WBS) and Gantt charts. Data analysis and interpretation sections are included, along with research outcomes, reflection, and recommendations. The conclusion summarizes the findings and implications of the research, supported by a comprehensive list of references.
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Research Project
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Contents
INTRODUCTION...........................................................................................................................................3
Introduction to Study..............................................................................................................................3
Background to Study...............................................................................................................................3
Rationale of Study...................................................................................................................................3
Scope of Research...................................................................................................................................4
Research Aim...........................................................................................................................................4
Research Objectives................................................................................................................................4
Research Questions.................................................................................................................................4
Time Frameworks....................................................................................................................................5
LITERATURE REVIEW....................................................................................................................................7
RESEARCH METHODOLOGY.........................................................................................................................9
DATA ANALYSIS AND INTERPRETATIONS...................................................................................................12
RESEARCH OUTCOMES..............................................................................................................................21
REFLECTION AND RECOMMENDATION.....................................................................................................22
CONCLUSION.............................................................................................................................................23
REFERENCES..............................................................................................................................................24
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INTRODUCTION
Introduction to Study
Globalization is considered as a procedure through which interactions as well as
integration among the people, organizations and government are done at the worldwide level.
Globalization is divided into three types i.e. political globalization, social globalization and
economical globalization (Amin and et. al., 2014). In a growth of a business unit, globalization
plays a crucial role because through it they able to attain number of advantages such as business
expansion, customer base growth and many more. For conducting this research Zara company is
taken which is operating its business at retail industry. It is founded by Amancio Ortega and
Rosalia Mera in year 1975. Its head office is located at Spain and they operate at worldwide level
by offering quality clothing range. The aim of conducting this research is to identify impact of
globalization on operations and functions of HR department of a retail company. For this
research gather effective data as well as information through different methods like qualitative,
quantitative, primary and secondary.
Background to Study
The background of conducting this research or study is to understand globalisation and
how it impact on the human resource department of fashion retail industry. This is so because
through it researcher able to develop more effective strategies and plan that they advice to retail
industry for conducting their business operations and functions in effective manner at the global
level (Boella and Goss, 2012). Along with this, it will also help in enhancing knowledge as well
as understanding of researcher on the topics of globalisation and its impact on HR department of
fashion retail industry. It will also help researcher for developing report on respective topic that
will help others in future.
Rationale of Study
Rationale of conducting this research is developing understanding of globalisation and its
effect on human resource department of fashion retail industry. It is essential to understand this
because through this researcher can advice to company’s human resource manager that how they
can develop more effective strategic plan in order to avoid issues when they expand business at
international level (Bondarouk, Parry and Furtmueller, 2017). For fashion industry it is essential
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to expand their business at global level because through it they can adopt more innovation as
well as creativity which help them in attracting more and more customers that directly leads to
generation of high profitability and market shares.
Scope of Research
The scope of conducting this research is to identify impact of globalisation on the HR
department of Retail Company so that they can develop effective decision. In respect of
researcher, their purpose of conducting respective research is to gather proper as well as effective
information on the impact of globalisation on the HR department (Boxall, 2012). By that they
can help fashion retail companies in developing appropriate decision or strategic through which
management can conduct procedures accordingly for gaining high profitability in successful as
well as impressive manner. It will also help other researcher, teachers and students in future for
collecting information related to the globalisations and its impact on HR department of fashion
retail companies like Zara.
Research Aim
To evaluate effect of globalization on functioning of HR department in context of retail
fashion sector firms: A study on Zara
Research Objectives
To identify the HR practices that are performed in global retail fashion sector
organizations.
To determine the positive and the negative impact of globalization on the HR department
within retail fashion sector company.
To find out what alternative approach and recommendation can help Zara to be
successful in global market.
To develop appropriate strategies for overcoming the challenges faced by HR department
due to globalization.
Research Questions
What are the major practices that are been performed by the Human resource managers
within an organization?
What are the main positives and the negative factors associated with globalization?
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How a globalization affects the HR department in developing the strategies?
Time Frameworks
Work Breakdown Structure-
Word breakdown structure is define as a method which is adopted by a researcher or
project manager in which they divide whole work into small portion so that they can accomplish
them effectively that lead to successfully attainment of goal in proper manner (Chung, Sparrow
and Bozkurt, 2014). This is so because small works are conducted in effective manner as well as
it will also help in ensuring quality work of project. Moreover, according to The Project
Management Body of Knowledge, work breakdown structure is defined as deliverable oriented
hierarchical structure of activities that are executed by project or research team. This will also
help in development of quick and effective schedule which help employees in conducting
activities in effective ways. WBS also aid in resolving issues effectively because at every level
evaluation of work are done which help in identifying problem at right time.
Gantt Chart-
Gantt chart is developed by Henry L. Gantt in year 1917. It is a bar chart which is
adopted by ad project manager of a research in order to project schedule of work so that each and
every activities will accomplish in time (Clegg, Kornberger and Pitsis, 2015). Along with this,
modern Gantt chart also shows dependency relationship among the activities as well as current
schedule status of project. There are numbers of benefits get by a project manager by develop
Gantt chart of their research such as maintain clarity related to work, motivate employees to
complete work, conduct effective time management and many more.
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LITERATURE REVIEW
What are the major practices that are been performed by the Human resource
managers within an organization?
As per the perspective of Ruth Mayhew, 2019, there are number of practices which are
performed by human resource manager of a company so that can attain their desire goal as well
as target in effective manner in a year (Functions & Practices of Human Resource Management,
2019). In respect of Zara, their human resource manager also plays conduct various practices,
from which some major, are given below:-
Conduct recruitment and selection practices: In a company recruitment and
selection process is based on their goal as well as culture. In respect of this HR
manager conduct recruitment and selection practices so that they can hire right person
at the right job.
Achieving work life balance: It is also one of the major practices of Human resource
manager according to which they conduct different activities so that they can create
as well as maintain proper work life balance in their employee’s life.
Training and development practices: According to this practice HR manager of a
company conduct proper training and development practices according to staff’s
requirement so that they can conduct their work in effective manner.
Compensation and benefits practices: In respect of this practice human resource
manager will conduct compensation as well as benefits activities so that employees
feel motivated and encourage to do work for attaining desire goal (Cook, MacKenzie
and Forde, 2016).
360 degree feedback practices: It is also one of the main practices which are
conducted by HR manager of a company. According to this, manager will provide
proper feedbacks to their staffs so that they can enhance their work accordingly by
overcoming issues.
What are the main positives and the negative factors associated with globalization?
According to the perspective of Hitesh Bharin, 2017, globalization is defined as an economic
concept which helps a government, country or person to easily move goods and services from
one place to another across borders (What is globalization? What are the positives and negatives
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of Globalization?, 2019). Along with this there are various positive and negative factors which
are associated with globalization, from which some are given below:-
Positive factors of globalization:
o Global market: By adopting globalisation a company can enhance their business at
global market through which they can earn more and more profit and market shares.
o Understanding of new culture: If a company adopt expand business at global market
through globalization they able to enhance understanding of new culture which help
them developing creative decision.
o Enhance in customer’s base: According to this when a firm adopt globalisation they
able to expand their customer’s base which directly lead to increase in profit.
Negative factors of globalization:
o Develop fear of job insecurity: This is so because when a company adopt
globalisation they able to get more option of manpower, which leads to job insecurity
among the employees.
o Enhance competition: It is one of the main negative aspects of globalization because
when a company expand its business at international level it will directly lead to
enhancement in competition (Cooke, 2014).
How a globalization affects the HR department in developing the strategies?
As per the view point of Eisabeth Natter, 2018, when an organization at international level,
then globalization will impact on the human resource department when they develop strategies
because they need to consider number of aspects or factors. These practices are related with the
hiring, training and development, workplace, interaction and many more (Effects of
Globalization on Human Resources Management, 2019). Below some of the main factors are
given which shows how globalization impact on human resource department which the
development of strategies:-
Need to do globalisation of human capital: According to this when an organization
expands their business through globalization they need to develop decision related to
hiring of human capital of respective place. This is so because that will help in
developing more effective decision according to reliable need and demand.
Various employment and tax legislation: Every country have their own employment and
tax legislations so it is necessary for a firm HR manager to develop strategies by
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considering all nation legislations in effective manner. This is so because that will help
them in conducting work in more impressive way.
Long distance communication issues: This is one of the main factor which impact on the
decision making of a company HR manager because every there will be language
difference as well as long distance communication is also a major issue which impact on
decision.
These are some of the main factors which impact on the human resource department decision
making procedure when they adopt globalisation in order to expand their business at global level.
RESEARCH METHODOLOGY
Research methodology is referred as concept of systematic investigation in order to conduct
or perform research for positive results. There are various types of sociologists who focus on
defining number of methods such as quantative and qualitative, observations, experiments,
survey research, secondary source for collecting data and information (Croucher and et. al.,
2012). Here, research methodology is regarded as essential section of overall research part that
assist in gathering of relevant data and information by using different tactics, tools and
techniques. Moreover, objectives of research are importance for analysing questions and
reaching at conclusion in an effective and efficient manner. The justification includes
instruments, research strategy, instruments, design, data collection techniques, validity with
recommendation which assist researcher for selecting most appropriate techniques to perform
research work. The conducting of research work helps organisation to identify business
opportunities in effective way through relying on tactics and strategies used by them. This
process starts from allocation of resources in order to find best methods for enlarging
opportunities of business. Frameworks that are used by business for conducting research are
described below:
Research Philosophy- This is referred as gathering of beliefs that mainly focus on reality
that is investigated or evaluated in best possible way (Hunter and Katz, 2012). The research
philosophy is measured in two positions such as interpretive as well as positivism. In this
research work, researcher has used positivism philosophy in order to gather relevant content
and information. This helps in selecting best method for entering into market for grabbing
opportunities and achieves set goal and objectives in an effective and efficient manner.
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Research Approach- This is defined as way to conduct research in order to collect data
information in deductive as well as inductive method. Here, researcher has used deductive
research that initial at small level and expand at particular hypothesis based on data and
information. This approach is related with quantitative research which is helpful in gathering
relevant content for research work.
Research Strategy- It is defined as process of research onion where researcher identifies
work to be carried out in order to collect data that are used by large number of people while
doing research work (Perry, 2012). Here, researcher has used both quantitative as well as
qualitative strategy for gaining of potential results
Research Choices- This is the part of research onion that helps in identifying different types
of methods for conducting research work such as mixed, mono and multi method. In given
research work, researcher has used mixed method for gathering of data as well as
information.
Time Horizons- It is defined as time period or limit in order to finish project work. This is
very important for researcher to complete given project work on time basis so that positive
outcomes are achieved in an appropriate manner. In order to complete given research work,
researcher has used longitudinal time horizon where data and information are collected on
repeated basis over extended time period
Research Design- This is referred as structure or plan that helps in identifying list of
different activities and actions used in order to coordinate work in appropriate way (Perry,
Wood and Fernie, 2015). The different types of research design include exploratory,
descriptive and experimental which are essential for researcher to gather data and
information in most appropriate manner. The respective research work is based on
descriptive design as it helps to do in depth study to evaluate figures, facts and statistics in
appropriate manner.
Sources of Data- The sources of data are collected in two ways such as primary as well as
secondary. Here, primary research means data and information are collected for first time by
researcher which are expensive and time consuming (Slavich, Cappetta and Giangreco,
2014). This is collected through different techniques such as questionnaire, interviews,
online and others. On the other hand, secondary research means data and information are
collected from already existing source which is less expensive and takes less time. The
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techniques of collecting data are journals, government records, financial reports, articles,
newspaper and many more. In presented source of data, researcher has used both types of
methods such as primary as well as secondary in order to collect data and information to
maintain validity of record for longer time period.
Data Collection Techniques- In order to collect data and information, various types of tools
as well as techniques are available at marketplace such as interview, survey, questionnaire,
observation and many more for positive outcomes. In order to choose data collection
techniques, researcher should possess proper knowledge and information for gathering
information. Here, out of many techniques, researcher uses questionnaire for respective
research, where they ask appropriate questions to respondent and collect data and
information about given research work.
Research Sampling- Sample is defined as conducting research in group of individuals with
help of probability as well as non probability sampling method. Under these, sub type
includes systematic, judgemental and stratified sampling (Sparrow, 2012). Here, researcher
has used stratified as well as judgemental sampling in order to get right number of samples.
The stratified indicates equal presentation of particular segments and judgemental sampling
represents fully utilisation of resources as well as time for collection of important data and
information. In order to gather data and information, sample size taken for respective
research is 20.
Data Presentation Techniques- This is essential to gather data as well as information in
accurate manner by using different data presentation techniques such as bar charts, tables,
line graphs for achievement of objectives in best manner.
Data analysis Techniques- This is important to use data analysis techniques such as
inductive, regression and deductive. The respective research has used inductive analysis in
order to analyses data and information in potential way.
Research Ethics- This means to conduct research study in ethical as well as appropriate
manner through ensuring outcomes in relevant manner as per terms and conducts. Principles
followed during research ethics are authenticity, confidentiality, anonymity and many more
(Sparrow, Brewster and Chung, 2016). It is very important for researcher to conduct their
research work in ethical manner so that set aim and objectives are achieved. Here,
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anonymity means collecting information through all participants which is not connected
with primary researcher for remaining competitive at marketplace.
Limitation of Research- While conducting research work by researcher, different kinds of
limitations has to faced by them in terms of formulating aim and objectives, building sample
size, implementing data, statistics, choosing techniques, methods and many more
(Srinivasan and Chandwani, 2014).
Research reliability and validity- The validity as well as reliability of research results are
very important while conducting carrying out research work. This depends on questionnaire
prepared by them and answer given by respondents. It helps business to gather data,
knowledge, and information about given subject for positive results.
DATA ANALYSIS AND INTERPRETATIONS
Questionnaire
Name:
Age:
Phone no.:
E-mail ID:
Q1. Are you aware about the concept of globalization?
Yes
No
Q2. What are the major advantages of globalization for an organization?
Maximization of customer base
Enhance market share of firm
Help in business expansion
All of the above
Q3. What can be the major disadvantages of globalization?
Enhance political influence
Create issue of manpower
All of the above
Q4. What are the major HR practices that are performed in global retail fashion sector
organizations?
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Recruitment/Hiring
Organizing/Directing
Monitoring/Controlling
All of the above
Q5. What are the impacts of globalization on the HR Department of Zara?
Positive impact
Negative impact
Q6. What are the appropriate strategies for overcoming the challenges faced by HR department
due to globalization?
Create coordinating activities in different locations
Effective adoption of continual change
Development of multicultural HR team
Q7. Is there any requirement of conducting training session for employees at the time of
globalization?
Yes
No
Q8. What are the other departments which are affected by globalization at Zara?
Finance department
Production department
Marketing department
All of the above
Q9. What are the positive aspects which are gain by Zara’s HR department through globalization?
Get more skilled employees
Adopting diverse culture at workplace
All of the above
Q10. Any recommendation for further improvement in HR practices ..................................
………………………………........................................................................................................ .
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Theme 1: Concept of globalization
Q1. Are you aware about the concept of
globalization?
Frequency
Yes 12
No 8
12
8
· Yes
· No
Interpretation: By conducting analysis of above data it can be determine that there from 20
respondents most of the peoples are know about the globalization but some are not know about
it. This is so because from 20 peoples, according to 12 they understand the concept of
globalization whereas 8 do not understand concept.
Theme 2: The major advantages of globalization for an organization
Q2. What are the major advantages of
globalization for an organization?
Frequency
Maximization of customer base 4
Enhance market share of firm 6
Help in business expansion 3
All of the above 7
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4
6
3
7
· Maximization of
customer base
· Enhance market
share of firm
· Help in business
expansion
· All of the above
Interpretation: By above data it can be evaluate that there are various advantages of
globalization, as according to 4 it will help in maximizing customer, 6 says it enhance market
shares of firm. Other 3 are in favor of globalization because it helps in business expansion and
according to left over 7 these all benefits are gain by company through globalization.
Theme 3: The major disadvantages of globalization
Q3. What can be the major disadvantages of
globalization?
Frequency
Enhance political influence 10
Create issue of manpower 4
All of the above 6
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10
4
6
· Enhance political
influence
· Create issue of
manpower
· All of the above
Interpretation: According to 20 respondents there are several disadvantage of globalization
such as according to 10 respondents it leads to enhancement in political influence. On the other
hand in respect of 4 it develop issues of manpower but according to left 6 respondents both
issues are arise through globalization.
Theme 4: The major HR practices that are performed in global retail fashion sector
organizations
Q4. What are the major HR practices that
are performed in global retail fashion sector
organizations?
Frequency
Recruitment/Hiring 4
Organizing/Directing 6
Monitoring/Controlling 4
All of the above 6
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4
6
4
6
· Recruitment/Hiring
· Organizing/Directing
·
Monitoring/
Controlling· All of the above
Interpretation: According to different respondents there are different HR practices are
conducted in fashion retail sectors such as recruitment/ hiring and monitoring/ control gets equal
votes of 4 peoples each. Along with this organizing/ directing get 6 votes and according to left
over 6 respondents all these practices are performed by HR at global level.
Theme 5: The impacts of globalization on the HR Department of Zara
Q5. What are the impacts of globalization
on the HR Department of Zara?
Frequency
Positive impact 15
Negative impact 5
15
5
· Positive impact
· Negative impact
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Interpretation: In respect of data collated by respective research project manager globalization
impact on HR department of Zara in different ways. In respect of this according to 15
respondents it impact positively whereas according 5 it will affect negatively.
Theme 6: The appropriate strategies for overcoming the challenges faced by HR
department due to globalization
Q6. What are the appropriate strategies for
overcoming the challenges faced by HR
department due to globalization?
Frequency
Create coordinating activities in
different locations
9
Effective adoption of continual change 5
Development of multicultural HR team 6
9
5
6
· Create coordinating
activities in different
locations
· Effective adoption of
continual change
· Development of
multicultural HR team
Interpretation: According to different respondents there are different strategies which can be
adopted by HR department in order to overcome issues which they face while globalizing
business. In respect of 9 respondents they can develop coordinating activities in different
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location whereas 5 think that effective adoption of continual changes will help HR. moreover in
respect of 6 they may develop multicultural HR team in order to avoid global issues.
Theme 7: The requirement of conducting training session for employees at the time of
globalization
Q7. Is there any requirement of conducting
training session for employees at the time of
globalization?
Frequency
Yes 15
No 5
15
5
· Yes
· No
Interpretation: According to data gather by respective research project manager, it is essential
for companies to provide training and development sessions to their employees when they adopt
globalization. It is so because 15 respondents are in favor of providing training session but left
over 5 are not.
Theme 8: The other departments which are affected by globalization at Zara
Q8. What are the other departments which
are affected by globalization at Zara?
Frequency
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Finance department 5
Production department 4
Marketing department 6
All of the above 5
5
4
6
5
Finance department
Production department
Marketing department
· All of the above
Interpretation: In Zara there are also different departments which are impacted by globalization
such as according to 5 peoples finance get affected. In respect of 4 production department will
get impacted through globalization and 6 thinks that marketing department is affected through it.
Moreover in respect of leftover 5 respondents it all department are get impacted through
globalization.
Theme 9: The positive aspects which are gain by Zara’s HR department through
globalization
Q9. What are the positive aspects which are
gain by Zara’s HR department through
globalization?
Frequency
Get more skilled employees 10
Adopting diverse culture at workplace 4
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All of the above 6
10
4
6
Get more skilled
employees
Adopting diverse culture at
workplace
All of the above
Interpretation: According to 10 respondents when Zara adopt globalization their HR
department able to get high skilled employees whereas in respect of 4 they able to adopt diverse
culture at their workplace. Moreover, in context of leftover 6 respondents it will leads to both the
positive aspects.
RESEARCH OUTCOMES
By conducting evaluation of above data it can be determine that there from 20 people some
are aware about the globalization but some are not. So it is responsibility of companies to
conduct practices in order to generate awareness about the globalization at the multinational
fashion company. Along with this, there are some peoples thing globalisation is effective
similarly several are not in favour of it, in order to this it is essential for companies to conduct
proper evaluation before adopt globalization at their workplace. Furthermore, globalization also
impact on the human resource department of a fashion retail company in both positive as well as
negative manner. So, it is essential for them to develop proper decision so that they can acquire
positive aspects by avoiding negative one at the workplace.
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REFLECTION AND RECOMMENDATION
Reflection
I am very happy that I get chance to do my initial research project on such a huge topic
that is impact of globalisation on HR department of fashion retail industry because through it I
am able to enhance my number of skills, knowledge and capabilities. Along with this I also able
to know my major weaknesses which are essential to be overcome because that may impact on
my future. For example when I was working in a team, I release that I am not much comfortable
while working with them so it is essential for me to enhance my team working skill because in
future I have to work in team or group. In addition to this, skills that are my strength are decision
making, creativity, self motivated, communication skills and many more. These skills are my
strengths; I get to know when I was working in team on respective project.
Recommendation
By conducting all the analysis on the topic i.e. impact of globalisation on human resource
department of fashion industry, there are some recommendations which are given to Zara by
project manager. From which some main recommendations are given below:-
It is essential for respective company human resource department to conduct proper
analysis of market because that will help them in understanding about the labour market
then accordingly they can plan for expansion.
Respective company HR department must also train their employees so that they
effectively conduct their work in international market which leads to attainment of high
profitability and market shares.
Globalisation impact on respective company HR department in both positive and
negative manner so it is essential for HR manager to conduct proper analysis so that they
can grab opportunities by avoiding negative impact.
These are the main recommendations which are given by project manager of respective
research to Human Resource department of Zara so that they can adopt globalisation in
successful manner.
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CONCLUSION
By conducting evaluation of all above discussed topics it can be summarise that now a day it
is essential for each and every company to adopt globalisation so that they can grow their
business in effective manner as well as it will also help in gaining high profitability. Along with
this, globalisation also impact on different departments of a company such as finance, marketing,
human resource and so on. From all these it will majorly impact on the human resource
department because they have to hire manpower accordingly as well as their decision making is
also based on it. So it is essential for them to conduct proper analysis before expanding business
operations and function on international location as that will help in development of effective
decision. Through which they can earn high profitability as well as market shares at the target
marketplace.
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REFERENCES
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