Exploring HR Practices to Mitigate High Staff Turnover at Harrods

Harrods is currently facing challenges with high staff turnover, primarily due to its existing organizational structure and leadership styles. This issue has been identified as a critical barrier to achieving optimal productivity and profitability. By examining various human resource practices, this paper aims to offer strategic solutions that can enhance the effectiveness of HR management at Harrods. These strategies include reevaluating organizational structures, adopting flexible leadership approaches, and implementing robust employee engagement programs. The goal is to create a more supportive work environment that encourages long-term commitment from employees.

Harrods

Table of Contents
INTRODUCTION ..........................................................................................................................3
1. Recruitment and selection process followed by the Harrods..................................................3
2. Identify and demonstrate motivation theories relevant to Harrods and their application. .....6
3. Identify factors which influence an individual’s behaviour.................................................11
CONCLSUION ............................................................................................................................15
REFERENCES .............................................................................................................................16

INTRODUCTION
The organisation is the group of people who work together in order to attain the common
goals and objectives. Managing people in the organisation is the first and fore most duty of the
leader, managers and human resource management department of the organisation. The role and
responsibilities of human resource department is very crucial for the effective working of the
organisation, they monitor and control the working of the organisation in order to ensure its
growth and development. The functions of human resource management,is the foundation of the
organisation, it is the most crucial and major aspect of organisation. Harrods is a high end store
of London, the store in owned by the state of Qatar, the organisation is conducting there business
since last 160 years. The main aim of this report is to analyse the recruitment and selection
process followed by the Harrods and motivation theories that are relevant with the Harrods.
1. Recruitment and selection process followed by the Harrods.
Recruitment is the policy of human resource management to attract the candidates toward
there organisation, In Harrods, it is the measure to attract the applicants that are suitable for the
job in order to appoint right person for the right job.
There are various sources that Harrods use to implement recruitment process for there
organisation like campus recruitment, pool campus, face to face interviews and by taking help of
legal recruitment agencies. The recruitment managers of the Harrods typically evaluate there job
in order to conduct the proper recruitment process (Nuttin, 2014).
They prepare and analyse the job sheets and job specifications on the basis of which they
can invite the applications. After conducting this all the necessary steps are taken regarding the
selection process that includes various types of tests and interviews are conducted for selecting
the best suitable employees. But recently organisation( Harrods) is facing serious issue of high
employee turnover, due to this situation organisational managers are forced to conduct the
recruitment process for the firm, in order to appoint the new employees in Harrods.
Harrod is very high end, big and famous organisation, they require high skilled and well
aware employees in there organisation so that they can work as per the standard of the
organisation. Human Resource Management is the essential feature of the organisation whose
functions are revolves around manpower planning , future planning regarding the function of the
business and the tasks and activities that are related to the personal management of the

organisation. For human resource management, employees are the integral part of the
organisation who assess the working of all the other members of the organisation in order to
ensure the growth and development of the organisation. As per the given case Harrods is facing
the problem of high staff turnover (Deci, 2014).
Harrods recruitment and selection process is very critical, as they require highly skilled
employees, because of the high standards of there organisation. Employees and staff members
are the foundation of the organisation, the growth and development of the organisation depends
upon the performance of the employees. So it is very critical for the leaders and managers to hire
the applicants that are best suitable for the job and for the organisation.
The recruitment and selection process in Harrods lay emphasis upon the Job analysis, job
description and person specification (Fan, 2015).
Job Analysis, it is significant aspect of the employment process. Job Analysis is the brief
description about the areas that are the main reason behind the existence of the job, location or
setting of the job, the qualifications-skills-capabilities which are required for the job. Once the
job analysis is conducted, the individual can develop there job description, which create
emphasis upon the requirement and responsibilities that come with the job. In Harrods, job
analysis used as the basis of conducting the employment process, as it helps in identifying the
requirements and responsibilities that comes with the job. And the skills and qualifications that
are important to apply for the position (Lucas, 2015). Managers and Leaders of Harrods
consider job analysis as the basis of the recruitment process because it play very significance and
important role in it.
Job Description, is the key aspect that plays very important role in the employment process. It
is the keen tool that helps in reviewing performance of employee, selecting candidates,
developing advertisements that are related to recruitment and lastly analysing that compensations
provided by the company is well sufficient in order to gain the attention of the applicants. Be
sure in developing your analysis and description that you have adhered to all federal equal
employment opportunity laws and applicable state discrimination laws. Harrod, has marked
some significant benefits of developing job analysis and job description:
It provides relevant information regarding the job and the provides various reason that are useful
in analysing whether to hire the new staff or not.

It provides opportunities that helps in defining the responsibilities that re related to the job and
various functions of employees and management(Brewster, 2017).
Lay emphasis upon the functions of the job, responsibilities that are related to it, and skills that
are needed to meet the goals and objectives of the business.
 It plays very important role in reviewing the performance of the employee.
 Helps in evaluating the level of compensation which is based upon the requirement of the
job.
 Helps in selecting the process and establishing standards
 Indicate the function of the job that requires extra training
 Indicate the health and safety risks that are associated with the job.
Person Specification includes the necessary skills, experiences, qualifications and all the other
attributes that are important for carrying out the job, in recruitment and selection process person
specification helps in selecting the best suitable and highly skilled applicant for the job. This is
the aspect which helps in ensuring that best candidate is selected by the organisation and all the
legal obligations and norms are being followed in the process of recruitment and selection. In
Harrods, person specification is considered as very important tool, before placing vacancy with a
consultancy of recruitment, Human Resource team of Harrods spend some significant time in
evaluating what they exactly accept from the candidates regarding there qualification, skills,
knowledge and all the other aspects. Job description and person specification are not legal aspect
of the organisation,it helps in saving the time in future (Armstrong, 2014). As per the guidelines
uses by Harrods in there working person specification should include,
 Skills and abilities that re concerned with technological, organisational,communication
and innovations, company can expect from there candidates.
 Details regarding requirement of any particular kind of qualification and education
 The details regarding the experience of the individual
 The character traits of the individual that can help them to conduct there jobs effectively
and efficiently.
Human Resource Management is a process of valuing and developing people at work, all the
aspects that comes under the development of the employees is the duty and responsibility of
human resource managers. Recruitment is the policy of human resource management to attract
the candidates toward there organisation, In Harrods, it is the measure to attract the applicants

that are suitable for the job in order to appoint right person for the right job. The major function
of human resource manager of any organisation is recruiting and selecting employees, evaluating
performance and orientation and development of employees. As per the given details, Harrods is
facing the high employee turnover, which is affecting the performance level of organisation , it
includes cost of recruitment, loss of expertise, and the increased needs for training new
employees. The head managers of the organisation indicate that due to the hierarchical structure
of the organisation, employees are becoming demotivated towards there job. The introduction of
new structure will help in engaging the involvement of the employees and this will turn out to be
beneficial for the organisation.
Harrod is very high end, big and famous organisation, they require high skilled and well
aware employees in there organisation so that they can work as per the standard of the
organisation. Human Resource Management is the essential feature of the organisation whose
functions are revolves around manpower planning , future planning regarding the function of the
business and the tasks and activities that are related to the personal management of the
organisation (DeVerteuil ,2017).
For human resource management, employees are the integral part of the organisation
who assess the working of all the other members of the organisation in order to ensure the
growth and development of the organisation.
As per the given case Harrods is facing the problem of high staff turnover. Harrods
should also lay focus upon the leadership practices followed by them in order to create the
environment that is best suitable for the employees. One of the major reason behind the staff
turnover in any organisation is lack of effective communication, as t creates the gap between the
actual message and conveyed message. There are various kinds of measure that could be
assessed by the human resource managers of Harrods in order to reduce the staff turnover in to
there organisation.
2. Identify and demonstrate motivation theories relevant to Harrods and their application.
Motivation is the most important aspect for the successful working of the organisation,
motivated employees work as per the requirements of the organisation acquire there full
potential in the growth and success of the organisation. Motivated employees give there full
potential in the working of the firm and towards there duties and responsibilities. Motivation
theories of employee motivation provide guidelines regarding the working of the understanding

and performance of the work (Marchington, 2016). Harrod is facing problems of employee
turnover in there organisation this problem, can be overcome by applying various motivation
theories that are relevant with the problem. It is important because effective motivation theories
can increase the productivity and loyalty of the employees, if organisation does not follow these
theories than it will lead to increase the employee turnover in the organisation. For human
resource management, employees are the integral part of the organisation who assess the
working of all the other members of the organisation in order to ensure the growth and
development of the organisation.
Theory of Management by Objectives: This theory states that employees are motivated if they
are the part of the decision making process, this create a sense of dignity within them which in
turn helps in achieving the goals and objectives of the organisation. Motivated employees work
with full potential in order to accomplish the goals and objectives of the organisation. If
employees of the Harrods will have some powers than this will create sense of responsibility
among them towards the organisation, the measures of MBO helps in engaging employees in the
day to day activities that are conducted by the organisation that directly lay emphasis upon the
routines of the employees. This approach will help the organisation in developing the
involvement of the bright and motivated employees within the organisation. This theory can be
implemented in the working of Harrods, as senior manager of the organisation suggested that
structural changes will help in increasing the productivity of the organisation (Deci,2014).
Advantages of Management by Objectives :
 It is the result oriented process and its main focus s upon the setting and controlling
goals, it also lay emphasis upon the managers so that they conduct detailed planning
regarding the different aspect of the organisation.
 It clears all the confusion that can be occurred in the organisation. Roles and duties of
each and every individual is well defined.
 It allows employees to establish measurable targets for the organisation.
 Provide detailed information regarding the goals and objectives of the organisation.
 It creates feeling of recognition and proud among the employees as they considered
themselves as the part of decision making process.
Disadvantage of Management by Objectives :

 This approach can prove to be successful only if it is supported by the top level
managers. The senior manager of the Harrods suggested that change in the structure of
the organisation can bring positive changes in the organisation.
 Implementing this approach in the working of the organisation, is very long and time
consuming process as it requires lots of paper work and documentation.
 The significance of this approach is more upon the short term goals of the organisation.
Theory of Hierarchy of Needs : This is the theory which is created by Abraham Maslow, he
constructed a theory which is based upon the five progressive categories, this categories lay
emphasis upon the basic needs of the individual which are important to keep them motivated
towards there lives. It is the theory in psychology that is introduced by Abraham Maslow in
1943. the organisational members of Harrods can use this theory in order to assess the feelings,
needs and emotions of there employees. As per the theory of Abraham Maslow, working of
human brain is very complex, and there are numbers of thoughts that run at the same time in the
mind of the individual, thus different level of the Maslow theory provides various types of
significance of motivation upon the mind of the individual. As per the given case of the Harrods,
the organisation is facing the problem of huge staff turnover, the one major reason behind this
can be lack of employee motivation and satisfaction. But it can be assessed by using applications
of Maslow's theories.
Physiological needs: These are the physical requirements that are essential for the survival of
the human. Fulfilling these requirements are important for the basic functions of the human
body, physiological needs are considered as the most important aspect to keep the individual
motivated, this is the first and foremost need on the hierarchy of needs. Shelter, air, water, food
sleep, clothing comes under the Physiological needs of the individual (Deci, 2014).
Safety needs: Once the physiological needs of the individual are meet, then next comes the
safety and security needs of the individual, these needs dominate the behaviour of the individual.
Safety and security are tow very important measures of lives, according to the theory if
individual does not feel secure than in that case it is very difficult to lead a motivated life. These
secure feelings can be relate to job, family or any other aspect of the individuals lives. Harrods
employees feel less satisfied and hence they start leaving there jobs due to the insecurities
building within them. Each and every individual of the society have various needs to feel safe
and secure and this includes :

 Personal Security
 Health and well being Financial Security
Social Belonging : After the fulfilment of physiological and safety needs of the individual than
next comes the social needs, social needs are the basis that each and every individual wants to
get recognise in the society, they work really hard to establish there social status within the
society. These needs are associated with the feelings and emotions of the individual, social
belonging needs of the individual includes, friends, family and society.
Esteem: These are the ego and pride needs of the individual in order to gain the recognition in
the market. This aspect states that every individual of the society wants to get recognition in the
society, esteem represents the typical behaviour of the human regarding there self respect and
self esteem These activities give the person a sense of contribution or value. Low self-esteem or
an inferiority complex may result from imbalances during this level in the hierarchy. People with
low self-esteem often need respect from others; they may feel the need to seek fame or glory.
However, fame or glory will not help the person to build their self-esteem until they accept who
they are internally. Psychological imbalances such as depression can hinder the person from
obtaining a higher level of self-esteem or self-respect. Lack of self esteem can also be the major
problem of staff turnover in Harrods (Pastalan, 2016) .
Self-actualization : What a person want to be he must encompass that its profession, this level
of needs focus upon the full potential of the individual and the realization of that potential. The
desires and needs of each and every individual is different from one another. This level of the
theory states that for leading a happy life it is very important to perceive the aspect of self
actualisation.

Advantages of Maslow’s Hierarchy of Needs Theory
 Maslow’s theory has a natural appeal, in which it can be adopted and implemented in
a mos significant manner.
 This theory provides a useful summary of human needs, which can be used in product
design, product positioning, pricing (e.g. need for power & status), and retail outlets’
designs.
 It also helps marketers to focus their advertising appeals on specific needs shared by
a large segment of their target market.
 This theory is also considered as the viable approach to think about the motivation
and satisfaction level of the employees of the organization, in order to make them as
per the needs and desires of the organization.
 The applications of theory are best suitable for the modern day approaches of the
organization
 The theory states that human needs can also use as the aspect of planning and
monitoring the organization (Bratton, 2017).
Disadvantages of Maslow’s Hierarchy Needs:
 The major problem with Maslow's hierarchy-of-needs theory is that it cannot be tested
empirically – there is no way to measure precisely how satisfied one level of need must
be before the next higher need becomes operative.
 The model is too simplistic:
 The same product or service can satisfy several needs at once.
 The model lacks empirical support for the rank-ordering of the needs.
 The model is too culture-bound: it lacks validity across different cultures and the
assumptions of the hierarchy may be restricted to Western cultures
Harrods is facing the problem of high staff turnover in their organization this can e due to the
lack of the motivation of the employees towards their work. The organizational structure f the
organization is very rigid as it demotivates the employees regarding their roles and
responsibilities towards the organization, it is very essential for them to follow the strategies and

policies of the hierarchical theory in order to provide the motivation and satisfaction to there
employees.
3. Identify factors which influence an individual’s behaviour
Harrods is a brand that is recognised all over the world. Its Knights bridge store has 1 million
square feet of selling space with over 330 different departments. Its global reputation and
prestige is instilled through its brand values. Brand values represent what an organisation stands
for. Harrods values are – British; Luxury; Service; Innovation and Sensation. Harrods has been
in business for over 160 years. It employs 4000 employees with an additional 3,500 agency and
concession employees. In 2010 Qatar Holdings purchased Harrods from Mohamed Al-Fayed.
The new owners are strongly committed to all of Harrods’ employees. They recognise that
engaged employees are essential to the continuing success of the business. Such employees are
likely to be happy and consistently high performers who want to progress their careers with
Harrods. Managing employee relationships is the role of the Human Resources department.
Senior managers felt that the organization was too hierarchical, had too many layers. The new
structure is flatter with employees taking on more responsibilities (Nuttin, 2014). This enables
job enrichment, providing opportunities for an employee to take on further responsibilities to
enhance their job satisfaction. Creating an environment where employees are encouraged to
make more decisions themselves. Senior managers create the business vision but ground level
employees are delegated more leadership responsibilities, for example, in dealing with
customers. The model employed is one of transformational leadership where the vision is built at
the top but everyone engages with the vision through personal leadership. Better
communications inform all employees about the strategies of the company. These outline the
aims and direction of the business. They also inform employees about operational (day-to-day)
plans which directly affect their work. A radical improvement was to encourage employees to
inform management of their views (Rompalo, 2017).
An individual behaves differently in different environment. Also, his behaviour depends upon
what changes are been done in organization and how he reacts to that. Individual behaviour is
highly affected by various factors that evolves around him (Kavanagh, and Johnson, 2017) It is
related to certain environment that forces an individual to change his behaviour. Moreover, a
change in their behaviour impact the overall working of organization. It is because the task or
duties given to him are not performed effectively. Behaviour is influenced by many reasons.

These reasons can be related to personal, environmental, psychological, etc. besides this, it also
influences others in behaving the same way. Due to change in behaviour organizational activities
are affected. It affects employee performance and forces him to take wrong decisions. Moreover,
it depends upon person traits and qualities on how he or she behaves in a particular situation
(Cascio, 2018).
There are three factors that influence individual behaviour. These are personal,
environmental and organisational. It is described as below :-
Personal – It consists of factors such as learned and biographical. Learned further consists
characteristics such as personality, perception, attitude and values. Whereas biographic consists
of caste, religion, gender, etc. It s generally relate to an individual personality traits and qualities.
A person usually inherits these traits from its parents, relatives or friends.
Age - The age of person is most important factors that is considered in this. It affects his
behaviour in negative way (Bratton, and Gold, 2017)
Attitude – It plays a vital role in determining the behaviour of an individual. The attitude of
person reflects his behaviour. It is a learnt reaction that of a person entire cognitive life span.
Environmental- It consists of economic, socio cultural, political factors. It is related to external
environment and individual has no control over it. It has a considerable impact of individual
behaviour. Economic includes employment level, wages, etc.
Organisational- This is the most important factor that affects an individual behaviour. It is
because an individual spends most of his time at work place (Ng, and Parry, 2016). This
enables him to think about his work frequently. The factors including in it are physical,
leadership, reward system, etc. It shows that how an individual reacts to all these in organisation.
Along with these, there are personal and psychological factors that influence behaviour of person
within an organization. Personal refers to age, potential, education, etc. whereas psychological
refers to personality, attitude, values, etc. furthermore, the change in behaviour can have a
positive or negative impact on organization. Also, it affects individual mental and physical
health. In Harrods, employee behaviour was influenced due to organisational factor. Their
behaviour was influenced due to several reasons such as change in structure, change in
leadership style and improved communication (Heyden, Reimer, and Van Doorn, 2017) This
was done to bring flexibility in communication so that Harrods vision can be shared with
employees. Also, it was done to increase employee participation. This enabled Harrods to