Human Resource Management Analysis for John Lewis (Unit 3 Report)

This report provides a comprehensive analysis of Human Resource Management (HRM) practices at John Lewis. It begins by explaining the purpose and scope of HRM, focusing on workforce planning and resourcing, and details the strengths and weaknesses of John Lewis's recruitment and selecti...Read More

UNIT 3. HUMAN RESOURCE MANAGEMENT
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Table of Contents:
Introduction: .........................................................................................................................................3
Task 1.....................................................................................................................................................4
LO1 Explanation of the purpose and scope of HRM in terms of resourcing Aldi with talent and skills
appropriate to fulfil business objectives:...............................................................................................4
P1 .Explaining the purpose and the functions of HRM, applicable to workforce planning and
resourcing of the John Lewis ................................................................................................................4
P2 .Explain the strengths and weakness of different approaches to recruitment and selection for
John Lewis .............................................................................................................................................5
Task2 .....................................................................................................................................................7
LO2 Evaluate the effectiveness of the key elements of HRM for John Lewis ........................................7
P3 .Explain the benefits of different HRM practices within John Lewis.................................................7
P4 .Evaluate the effectiveness of different HRM practices in terms of raising John Lewis’s profit and
productivity ...........................................................................................................................................8
LO3 Analysing internal and external factors that affect HRM decision-marketing at John Lewis,
including employment legislation:.......................................................................................................10
P5 Analysing the importance of employee relations in respect to influencing HRM decision making
for John Lewis .....................................................................................................................................10
P6 identifying the key elements of the employment legislation and the impact it has upon HRM
decision making for John Lewis...........................................................................................................11
LO4 Applying HRM practices in a work- related context for John Lewis..............................................12
P7 Illustrating the application of HRM practices in a work-related context, using specific examples for
John Lewis............................................................................................................................................12
Conclusion...........................................................................................................................................13
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Introduction:
Today the strategic practice of human resource management is a major issue. The
industrial revolution and the trend of globalisation bring fresh challenges in the field of
human resources. Technological advancement leads to high level of recession in the working
society. It is very important for a company to tackle these challenges. John Lewis, being a
branded retailer has grown exceptionally. For a growing retailing company like John Lewis,
it is an important task to incorporate the practices of human resource effectively.
The assignment deals with the human resource management of John Lewis,
explaining the purpose, scope, strengths and weakness of the organisation. The assignment
also deals with the benefits of different human resource management practices in John Lewis.
The assignment is focuses on the effectiveness of different human resource practices of the
organisation as well. The analysis of internal and external factors is also elaborated in this
assignment.
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Task 1
LO1 Explanation of the purpose and scope of HRM in terms of resourcing Aldi with
talent and skills appropriate to fulfil business objectives:
P1 .Explaining the purpose and the functions of HRM, applicable to workforce
planning and resourcing of the John Lewis
Since 1980’s strategic management of human resource has turned out to be a major
concern in management, as observed by Aguinis and Pierce (2008, p.141). Planning,
designing, compensating and assisting the employees in an organised way are the main
purposes of human management. Application of management and principles, integration of
decision relating to employees, influencing the effectiveness of an organisation are the main
constituent of the human resource management, remarks Albrecht (2014, p.412).
Human Resource planning is the main objective of the human resource manager of
the organisation, as opined by Aguinis et al. (2012, p.106). Planning consists of achieving the
task of placing the correct person per their skill. The designing of the organisation is also one
of the major roles of the Human Resource manager.
The explanation the purpose of HR management with respect to John Lewis:
Social Objective:
The Company has a long chain of partners, stakeholders and suppliers. The Golden
Jubilee Scheme announced by the company has involved the wide range of partners and
customer to launch a charity. The partners of the organisation volunteer for fundraising and
donation to this charity. The scheme was launched with an aim to serve the social
responsibilities of the company.
Organisational objective:
To improve the efficiency and betterment of services John Lewis has launched the
Partnership Scheme. The scheme has a co-ownership model. The entrepreneurial role of the
partners and the company's owners has made a great contribution to the organisational
structure of the company, as opined by Alves et al. (2013, p.341).
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Functional objective:
The appraisal, placement and assessment are the major contributory factors to assess
the functional objectives of an organisation. Every partner of John Lewis has a clear view
about the appraisal of the company (John Lewis Partnership, 2017). The organisation has
aimed at the 4 P factors (i.e. Performance, Productivity, Pay and Progression) to achieve the
functional goal of the company. The annual pay report of the organisation has clearly
indicated that the partners have encouraged discussing their contribution to the company. The
most advantageous factor is the annual bonus provided to the partners by the organisation.
Personal objective
The company has developed a learning environment for the partners. The
commitment to lifelong learning and developing partners is enshrined in Rule 56 of the
organisation. The company expenses 56% excess as compared the other companies in the
development process. The promotions of qualified partners, the modern apprenticeship
scheme for the youth who have passed their A-levels are some of the training and
development of the organisation.
Overall, the company is projecting themselves as a great workplace to the employees.
To choose Partnership of the organisation as a career option is a wise decision for the youths
of the society.
P2 .Explain the strengths and weakness of different approaches to recruitment and
selection for John Lewis
The main objectives of the John Lewis are to provide employment to the professional
skilled persons. The application process is completely online. There are five stages to the
online application process. Value based questionnaire, numerical test, verbal test,
management judgement indicator tests and interview are the steps that an individual must
raise to be employed in the organisation. The selection procedure is clear and transparent to
the job seekers.
Strengths:
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To assess the personality of the employee it is necessary for an organisation to
conduct a test, as opined by Berg et al. (2010, p.180). These types of tests help the
organisation to judge the employee through a structured manner. The betterment in the
quality of performance is the main objective of the company. Recruiting skilled professional
through a pre-employment test, help the organisation to achieve higher productivity, as
observed by Coyle and Shore (2007, p.170).
The pre-employment test also helps the organisation to recruit skill professional who
can retain the job, as opined by Guest (2011, p.10). The basic aptitude required to retain the
job along with the proper treatment is the main objective of the pre-employment test. The
processes involved in the recruitment procedure of John Lewis have helped the company to
achieve the objectives of having the skilled labour force.
The questionnaire part and the numerical ability part of the test help to assess the
employee from the intellectual point of view. The management test and the interview help to
assess the employee's interest in the company's work culture, as observed by Jiang et al.
(2012, p.1270).
Weakness:
To conduct such assessment for selecting the employee in the organisation is quite
expensive. A separate team is required to handle the assessment process. The effort to arrange
and allocate the test centres is burdensome to the organisation. For a large retailing
organisation as John Lewis, it is quite difficult to devote time to organise such assessments.
The multilayer structure of the test makes it difficult for the jobseeker to have a clear view of
the job role assigned to him at later stages.
The chances of lack of diversity are also a big disadvantage to the pre-employment
test, as observed by Rothstein and Goffin (2006, p.160). Employees recruited through the
same assessment procedure could bring the singularity to the organisation. The multitasking
ability of a person cannot be judged through a common personality test arranged by the
organisation. A company like John Lewis should have a multitasking workforce to manage
the operation on the behalf of the organisation.
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Task2
LO2 Evaluate the effectiveness of the key elements of HRM for John Lewis
P3 .Explain the benefits of different HRM practices within John Lewis
The employability, good appraisal schemes and partnership schemes are the few
human resource management of the company, as observed by Buchner (2007, p.60). For
elaboration and better understanding, the below-mentioned points have discussed in detail.
The ability to review the annual pay review with the manager and annual appraisal
make the company to the employer of choice. The incentivised structure for the partners to
increase the wages through performance is the main feature of the wage structure of an
organisation, as opined by Sparrow (2013, p.105). The annual bonus structure of the
organisation and the pension plan has contributed to making the company a lucrative
workplace.
The company is providing equal opportunity to its partners. Irrespective of the gender,
Ethnicity, age the company is providing equal opportunity to the partners of the organisation.
The position offered to the employees in the John Lewis is of partners. This leads to
increase the level of productivity, low absenteeism, higher level of commitment and high job
retention among the partners.
To evaluate the performance of the management the company is following the
appraisal ratings as well as adhere to the zero-tolerance approach to the appraisals. Every
partner should be able to improve his or her performance.
Disciplinary and grievance measures are clearly inducted to the partners. The
stringent working duration and other factors are governed by a constitution of the
organisation. With 90000 partners, the projection of the growth of the company is
established.
The management procedures of the companies are clearly enshrined in the
constitution of the company. Principle 1 of the constitution of the company has described the
commitment of the company to the partners. Responsibility, relationship and influence are the
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three commitments that the company has promised to its partners. Partnership spirit is the
main motivation of the company.
The pension scheme, the apprenticeship scheme and partnership scheme are planned
to enhance the employee relation with the company. In every organisation, the legal contract
between a labour and the company is abiding by the common law of employment in U.K., as
observed by Sun et al. (2007, p.562). The equal pay act, employment relation act are some
basic facts that should be abided by the organisation.
The company is supporting its partners through various schemes related to the
physical and mental health of the partner. The partners of the company should sign a pledge
under Time to Change campaign to care about the mental health of the partners.
P4 .Evaluate the effectiveness of different HRM practices in terms of raising John
Lewis’s profit and productivity
The annual growth report of the company projecting a growth rate of 9.2% in its gross
sales to £4.43 and operating profit of 10.8% to £250.5 m, as published in the annual report of
2015-2016 of the organisation. The statistics are projecting a growth in business of the
organisation.
The annual report is projecting a statistic which projects 41% of the permanent
partners have more than 5 years of work experience. The 93,800 partners have received the
partnership bonus of 11%. The job satisfaction report shows 72% satisfaction among the
partners of the organisation. The lucrative incentive and bonus appraisal help to lower the
risk of absenteeism and increases the job retention among the employees.
Sharp increase in the enrolment of mass as partners has lowered the customer
complaints. The increment in the online business growth of John Lewis is 17%. The Overall
market share of the company has increased to 4%. The increment in the revenue of the
company has been raised to 5.6%. The partnership operating profit has achieved a growth of
6.1%. Though there is a sharp decrement in the partnership contribution, the pension
operating cost has seen a growth of 16.00%. The company is still relying on its workforce to
support the business strategies.
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The pension scheme, the promotion schemes and the progress of the organisation
have enhanced the career journey of the organisation. The morale strength of the organisation
has vested upon the operation as a team in the organisation.
The partnership spirit of the company has maintained constantly throughout the year.
Each branch of the company has the partner voice. The partners are operated in an organised
manner. The promotion of the partnership factor is aimed to achieve higher profit for the
organisation. The community of the partnership has formed to achieve new growth, better
jobs and give the company a financial stability.
The constitution of the company has guided the selection process and functioning of
the partnership structure. The election procedures of partners as directors and other
management techniques are guided by this constitution transparently. The healthy working
environment provided by the organisation provides its partners with a growth opportunity.
The teamwork and the democracy of the company have contributed the profit and
productivity of the organisation. Hence it can be said that John Lewis Partnership may
follow long term view, staff consultation, Modest ambitions, staff engagement and rewards
and Tracey Killen Cv . All types of such strategy are require to evaluate the task in an
organisation and it will make an effectiveness such human resource management policies that
help to manage the human and individuals in an organisation. As per the above strategy it
will also describe the weakness that help the employer to take an effective action to control
the human resource or to manage the human ion an organisation, so that organisation can
achieve there goals.
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LO3 Analysing internal and external factors that affect HRM decision-marketing at
John Lewis, including employment legislation:
P5 Analysing the importance of employee relations in respect to influencing HRM
decision making for John Lewis
Per Armstrong and Taylor (2014, p.25), employee relations indicate the shared
connection between the organisation and its employees. The employees must be complacent
with each to keep the workplace serene and the influence the productivity of the employees
and the organisation as well. The company John Lewis always is concerned about the
celebrated relation within the employee and with the organisation which is influenced by the
various conditions such as recruitment process undertaken by the employers, career
opportunity in the company, job satisfaction and the structure of the organisation (Sheehan et
al. 2016, p.163).
The company always encourages their employees to give the utmost efforts of them
for the advancement of the company which can help the organisation to meet the final goals.
The company treats their staffs equally and honours their efforts and capabilities by giving
them rewards. This healthy relationship drives the employees to share their views and ideas
regarding the progress of the company without any hesitation as they also feel responsibilities
in this subject and it guides John Lewis to take any decision.
To influence the employees the human resource management makes the job
challenging and interesting which can attract the employees more as these jobs demand more
effort and involvements, as stated by Valizade et al. (2016, p.353). The continuous
communication with the employees gives them the knowledge about the changing policies
and the strategies of the company.
This view sharing process points out the status of the employees and their
requirement. The proper training and development builds the relationship strong and the
Human Resource manager get the indication about the efficient employees who eligible for
promotions and this retention of employee achieve more success in respect of the company,
observes Bal and de Jong (2017, p.56). John Lewis maintains their liabilities in every aspect
of their business which gains faith in employees for the company and increases the job
satisfactions of the staffs. Hence it can be said that there are several issues on which an
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individual cannot take a right decision, work became more easy by sharing them to other
person, an organisation also known as happy place in which all the employees working
together, in this way healthy employees relationship is influence the HRM. It is also
considered that healthy employee relations also discourage conflicts and fight between the
individuals. so that health relationship between employees make an influence in HRM.
To preserves this relation the human resource management department is always
working on it but they must be aware about the over-friendly relationship with employees
which can affect the productivity and profit of the organisation, opines Mowbray et al. (2015,
p.385).
P6 identifying the key elements of the employment legislation and the impact it has
upon HRM decision making for John Lewis
The organisation must maintain several regulations that directly impacts the HRM
policies of an organisation. Griffith and Macartney (2014, p.145) opined that the wellbeing of
the employees has a direct impact on the motivation level of the employees in the
organisation. The more the employees are motivated higher will be their initiative in fulfilling
the organisational goals.
The organisation must follow the Equal Pay Act 2010 that will restrict the
organisation from making any discrimination in the payments of the employees. Furthermore,
the organisation will also have to ensure that the there is a fair work structure and fairness in
the promotion and the reward policy. The HRM policies of the organisation further requires
that there will not be any discrimination based on race, cast or religion.
The Employment Law UK 2016 provides an assurance to the employees regarding
work place discrimination. The employment rights act 1996 ensures that the organisation
cannot unlawfully fire the employees (Gov.uk, 2017). The workplace security must be
maintained by the organisation per the employment legislation.
The job place securities, interrelationship between the employees must be monitored
by the human resource management department of the company John Lewis thoroughly. On
the other hand, any type of discrimination based on age, gender, marital status, races and
nationality is against the employment legislations. In this way employment right act, Sex
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discrimination Act, Equal pay act , the race relation act and disability discrimination act is a
key element of the employment legislation.
LO4 Applying HRM practices in a work- related context for John Lewis
P7 Illustrating the application of HRM practices in a work-related context, using
specific examples for John Lewis
The practices of human resource management involve not only the recruitment
procedure of the employees but maintain the relationship between the employees and the
organisation, training and development process and celebrate the employee’s efforts by
rewarding them financially or by appreciating (Alfes, 2014, p.840). As a departmental store
the john Lewis has several departments that require to be managed by efficient managers and
the employees.
Thus, the HRM pollicises to be designed to take account of the diversity in the needs
of the customers. the higher demands of the customers require that the products are
customised to meet the changing demands of the customers, this need to be done by
employing additional research and analysis of the choices of the customers. Moreover, the
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management must take into account their diversities of the cast number of employees that are
appointed (Atkinson and Storey, 2016, p.58).
The managers must be reachable and able to communicate with the employees. The
training and the skills of the managers is very important in this regard. It must be mentioned
here that the satisfaction of the employees is the most important requirement in a well-
defined organisation. Thus, there must be a proper evaluation channel that will allow the
managers to realise the actual demands of the employees.
Moreover, the feedback channel of the customer also provides knowledge to the
organisation that is effective in designing the most proffered product line. The rewards policy
of the organisation per Tzabbar et al. (2017, p.140) also needs to be a well define one that
will make the policy acceptable. The manager of the organisation must take initiative to
realise the actual worth of the employees and reward them accordingly.
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Conclusion
This assignment explains the purposes of human resource management within an
organisation which is responsible for the workforce planning and resourcing. The strengths
and weaknesses of the various approaches of recruitment and the importance of the practices
of human resource management are explained in the assignment.
The HRM department is responsible for the healthy relationship between the
employees and the organisation. This analyses the internal and external factors which their
impacts on the decision have undertaken by the HRM department regarding the employment
legislations.
By applying the practices of HRM the assignment illustrates the application of those
practices in a work-related context at the company John Lewis. The importance of employee
relations which influences the HRM decision is analysed and the key elements of the
employment legislations are identified here in respect of the company John Lewis.
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