Evaluating HR Strategies and Their Impact on Aldi's Success

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This report examines the role of Human Resources (HR) in contributing to the organizational success of Aldi, a prominent retailer in the UK. It begins by analyzing the value of organizational design theory, particularly Aldi's flat organizational structure, in relation to business strategy and employee empowerment. The report then explores various techniques and approaches for attracting, retaining, developing, and rewarding employees, emphasizing the importance of a positive work culture, appealing benefits, modern technology, and open communication. Emerging HR developments, such as the hybrid work model, employee wellness programs, and the rise of a global workforce, are also discussed, along with their potential impact on the HR role in the future. The analysis provides recommendations for HR practices to enhance employee satisfaction, promote sustainable performance, and adapt to evolving workplace dynamics. Desklib offers this assignment as a solved example for students.
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HR and contribution to
organizational success
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Value of organisational design theory in regard with organisational structure................3
M1. Application of relevant theories and concepts to critically examine the value of
organisational design..............................................................................................................4
TASK 2............................................................................................................................................5
P2. Techniques and approaches to retain, attract, develop and reward employees................5
M2. Certain examples to critically review different techniques and approaches...................6
D1. Recommendations supported by justification based on a synthesis of information and
knowledge...............................................................................................................................6
TASK 3............................................................................................................................................6
P3. Emerging HR developments............................................................................................6
M3. Examine how emerging developments of HR will affect the HR role in the future.......7
D2. Judgments and conclusions supported by a synthesis of research and information........7
TASK 4............................................................................................................................................8
Covered in PPT.......................................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
Books and Journals:................................................................................................................9
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INTRODUCTION
Human resource management possesses a very prominent role in the development and
growth of organisation. The organisational success is significantly determined by the role of HR
as they involved in the process of hiring, selecting, training and development, compensating,
motivating, rewarding, monitoring and much more (Ahmad and et.al., 2021). HR are the ones
who directly makes a contact with the employees and workforce and place them into the roles
that fits their capabilities and skills. Aldi is taken into consideration in order complete this
project. It is one of the common brands in retailing industry which is exploited by many
consumers in UK. In 1962, the company is introduced by Karl and Theo Albrecht. It is
headquartered in Atherstone, England. The organisation is known to provide the quality and
value to its customers. It will analyse the value of organisation design theory in the regard of
organisational structure and attaining the business strategy. The project will also comprise with
different techniques and approaches to retain, attract, develop and reward employees in the
company. HR developments will also be outlined as a part of this report.
TASK 1
P1. Value of organisational design theory in regard with organisational structure.
Organisational design relates with the implementation of structure and the style of
management of an organisation. It is the way a company is to be operated and structured by its
employees. In addition to Aldi, it is found that flat organisational structure is being used by the
organisation in which most levels of middle management are abstracted in order to give more
emphasis on the staff level employees (Al-Romeedy, 2019). This is also known as horizontal
organisational structure. Through this structure, more authorities and power, together with
obligations have been granted to staff level employees. Most of the decisions taken by staff level
employees so that they work without supervision and hierarchical pressures and can often be
more efficient in a way. This structure is followed by the organisation in order to develop
relationships between upper level management and staff level management. Also, it helps in
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increasing creativity and innovation as employees can bring many new ideas into the business.
The importance of flat organisational structure has been discussed below:
Using flat organisational structure can support employees to make decisions for the
business. They grant responsibilities and power so that they feel valued, motivated and
more invested in the organisation they work for, all of which comes with its own set of
advantages such as increased willingness, higher job satisfaction in order to perform their
work as a team (Barbu, Logofătu and Olari, 2019).
It helps in lowering the operational costs as there is no middle management employees to
give salaries. The organisation that follows horizontal structure may also realise reduce
costs of operations. In addition to Aldi , those costs can be allocated into things such as
improving training for employees, developing new product lines, expanding the business,
offering bonuses and many more.
The flat organisational structure helps in increasing business productivity as it delivers
coordination, empowerment and autonomy among the employees. It allows employees to
begin their work as early as possible and thereafter, to complete their assigned tasks as
early as possible (Cooke and et.al., 2021). It supports the organizational success and
workers feel motivated which leads to willingness to manage new responsibilities, higher
job satisfaction and loyalty to the company.
M1. Application of relevant theories and concepts to critically examine the value of
organisational design.
It has been analysed that organisational design theory aims to create or set a structure
through which an organisation can run their operations efficiently and productively. It helps in
understanding how the work is done, flow of communication, who holds the authorities, power
and obligations, who holds decision-making authority and many more. It is found that there are
many types of organisational structure such as hierarchical, matrix, functional, flat, divisional
and so on (Cooke, Xiao and Chen, 2021). In addition to Aldi, it is identified that flat or
horizontal structure is being exploited by the organisation so that there will be less involvement
of upper level management and staff level members will feel motivated in the organisation as
they holds power, authority and responsibilities to make vital business decisions.
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TASK 2
P2. Techniques and approaches to retain, attract, develop and reward employees.
Every HR employer desires to enlist talented workers and employees, particularly for
positions that are integral to performance and development. Before employing these employees,
the organisation priorly needs to attract them towards their business. In addition to Aldi, the
following list involves various approaches and techniques that organisation can attract, retain,
develop and maintain their best employees to their company.
Demonstrate a pleasant work culture: Having a positive work culture can be one of the
reasons potential candidates are drawn to work at an organisation. In a study, it has been
found that workplace culture is the second thing after salary that drawn employees
toward the business (Lengnick-Hall, Neely and Stone, 2018). In order to attract more
potential employees, an organisational culture should be covered in the job description.
Hence, Aldi must develop a work culture that is positive and unique to attract and retain
employees in the organisation.
Offer appealing benefits and perks: This is another approach or technique that helps in
retaining and attracting employees. Organisations that offers greater benefits and perks
will gain the high level of attraction from new employees and satisfaction from the
current employees. In addition to Aldi, the benefits and perks may involve health
insurance, gym membership, dental, PTO, maternity leave and four-day work weeks and
many more. Noticeable benefits and perks can boost chances that prospective employees
will compliment an organisation's work ethic.
Use modern technology: Most of the employees believe that their work is harder than it
should be due to outdated technology and processes. There are often tailored resources
and solutions accessible to simplify business needs and common processes, no matter
how niche the marketplace or industry (Mayrhofer, Brewster and Farndale, 2018).
Candidates can see how their regular work will be assisted by software and other modern
tools and technology.
Communicate openly and frequently: Keeping the communication channel open
signifies that communicating information about the business goals, progress and plans. It
also signify giving workers with reviews and letting them to provide input on decisions.
When feel that their managers or superiors guide them with the clear business goals can
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help in understanding what work they need to do in the organisation. Hence, it helps in
retaining them for a good period of time in the organisation.
Address burnout: Burnout is the most common problem in the organization and it can
lead to worker's quitting. The number of employees feeling burnt out has rising day by
day. So, in order to prevent, HR must ensure that their employees are given with
assistance and resources. This could comprise mental health days, flexible working hours
and access to counselling. Hence, when employees acknowledge that can take care of
themselves, they are more possibly stick with the business.
M2. Certain examples to critically review different techniques and approaches.
It has been critically examined that the HR of the organisation should understand and
exploit different techniques and approaches to retain and attract employees in the business. In the
above section, there are various techniques have been discussed such as positive work culture,
modern technology, clear communication and many more (Ozbilgin, 2020). For example, in
Aldi, employees found that the work culture is unique and due to the use of flat business
structure their employees are involved in the decision-making process and innovation is takes
places in the business. Thus, it helps in retaining them for the longer time period as they feel
valued and worthy in the company.
D1. Recommendations supported by justification based on a synthesis of information and
knowledge.
It has been recommended that as HR is the main connection between company and
employees, they should be focused on the growth and development of each and every employee.
When employees are satisfied with the organisation and its culture then it tend to retain them for
a longer period of time. In the organisation, the perks and benefits must be indulged to the
employees who work hard and contribute their best for the overall growth of the business. It
helps in increasing sustainable performance within the business.
TASK 3
P3. Emerging HR developments.
In context to Aldi, the following are the trends and developments of HR that could take
place in the business:
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The hybrid work model is the future: The global pandemic has forces the business
entity to adopt a hybrid work model where staff members can keep their jobs on remote
basis, along with from the office premises. Many HR employers would preferably like let
their members to switch their time between working from an office and working remotely
post pandemic. Hence, in addition to Aldi, HR employers will motivate employees to
adopt and go for hybrid work model so that they it will not impact their work and jobs.
Also, it will be a big transformation in the forthcoming years (Song, Yu and Xu, 2020).
Employees wellness will be more important than even: The world-wide pandemic has
had a negative influence on the health and wellness of employees. It leads factors such as
fear of losing job, anxiety and high workload have crumpled employee morale and
resulting in high level of burnout. Hence, employees have been pressurised which has
caused many mental, along with physical health issues. In addition to Aldi, HR will more
productive than ever to create employee's wellness a topmost priority. Therefore, it helps
in limiting the insurance and healthcare claims.
Global workforce: With the rise of remote based working, there is an emerging
development that is a growth of a world-wide distributed workforce. While, before
employing an employee from foreign was a bit complicated and scary as organisations
become utilised to remote working, recruiting some individual from a diverse zone will
become more normal.
M3. Examine how emerging developments of HR will affect the HR role in the future.
It has been critically examined that HR possesses a very important role in order to deal
with changes in the working environment. HR should keep themselves updated with the working
process and communicate effectively about the modifications that will be happened in the
business. As the remote working is one of the major trends and developments of HR, there is a
need to offer training and guidance to work on remote basis (Wood and Bischoff, 2020). Also,
employees might feel fear and anxiety in the working, but with the right technique it can be
overcome.
D2. Judgments and conclusions supported by a synthesis of research and information.
It has been justified that there are many developments takes place in the workplace
culture and in the role of HR. The global pandemic has delivered major transformation in the
working of organisation so HR must be kept themselves updated with the right technology, tools
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and other resources. The remote working and hybrid work model is one of the great development
in HR process where they need to ensure both remote working and office working.
TASK 4
Covered in PPT
CONCLUSION
It has been concluded that HRM involves the process of hiring employees, training and
developing them, offering benefits and perks to retain them and many more. HR is the person
who aims to attract, maintain, develop, retain new and existing employees in the business.
Organisational design defines how an organisation works and operate their business while
deciding who holds power and authorities and who need to obey orders. Flat structure is the part
of this project and which is followed by Aldi Company. This structure minimises the role of
upper level management while giving more importance to the staff level employees. There are
various techniques and approaches to attract and retain employees in the organisation have been
identified. Moreover, HR employers should keep themselves updated with the developments and
trends in the HR so better work can be attained in the organisation.
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REFERENCES
Books and Journals:
Ahmad, S., and et.al., 2021. Promoting green behavior through ethical leadership: a model of
green human resource management and environmental knowledge. Leadership &
Organization Development Journal.
Al-Romeedy, B.S., 2019. Green human resource management in Egyptian travel agencies:
constraints of implementation and requirements for success. Journal of Human
Resources in Hospitality & Tourism, 18(4), pp.529-548.
Barbu, C.M., Logofătu, M. and Olari, C., 2019. ISO 26000: A Vital Vector in Interconnecting
the Human Resource Management Standards. In ISO 26000-A Standardized View on
Corporate Social Responsibility (pp. 29-45). Springer, Cham.
Cooke, F.L., and et.al., 2021. Riding the tides of mergers and acquisitions by building a resilient
workforce: A framework for studying the role of human resource management. Human
Resource Management Review, 31(3), p.100747.
Cooke, F.L., Xiao, M. and Chen, Y., 2021. Still in search of strategic human resource
management? A review and suggestions for future research with China as an
example. Human Resource Management, 60(1), pp.89-118.
Lengnick-Hall, M.L., Neely, A.R. and Stone, C.B., 2018. Human resource management in the
digital age: Big data, HR analytics and artificial intelligence. In Management and
technological challenges in the digital age (pp. 1-30). CRC Press.
Mayrhofer, W., Brewster, C. and Farndale, E., 2018. Future avenues for comparative human
resource management. In Handbook of Research on Comparative Human Resource
Management. Edward Elgar Publishing.
Ozbilgin, M., 2020. International human resource management: Theory and practice.
Bloomsbury Publishing.
Song, W., Yu, H. and Xu, H., 2020. Effects of green human resource management and
managerial environmental concern on green innovation. European journal of innovation
management.
Wood, G. and Bischoff, C., 2020. Human resource management in Africa: current research and
future directions–evidence from South Africa and across the continent. The
International Journal of Human Resource Management, pp.1-28.
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