HRM Report: An Analysis of Tesco's HRM Practices and Their Impact

Verified

Added on  2021/02/19

|12
|3562
|22
Report
AI Summary
This report offers a comprehensive analysis of Human Resource Management (HRM) practices within Tesco, a British multinational retail company. The report begins by defining the purpose and functions of HRM, emphasizing its role in workforce planning and resourcing, including the application of hard and soft HRM models. It then delves into the strengths and weaknesses of different recruitment and selection approaches, such as competency and contingency approaches, used by Tesco. Furthermore, the report explores the benefits of various HRM practices for both employees and the employer, highlighting their impact on productivity, profitability, and employee learning and development. The importance of employee relations in influencing HRM decision-making is also discussed, along with key elements of employment legislation and its impact on HRM strategies. The report underscores the significance of effective HRM in enhancing organizational performance and achieving strategic objectives, providing insights into Tesco's approach to managing its workforce and fostering a positive work environment.
Document Page
Human resource
management
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Document Page
INTRODUCTION
HRM is consider as an important activity of hiring, recruiting and managing employees
within the company. Mainly, it help workers in making them valuable by improving their
performance. As it deals with human relation in company that starts from recruitment to
employee relation. This will directly enhance the overall productivity of employees (Cascio,
2015). In this, manager of business organization play a crucial role in managing workers
activities by providing them better guidance and motivation to do something for attaining set
goals and objectives. Current report is based on Tesco, is a British multinational retail company
operate their business in UK for attaining success. Company has around 450000 workers who
perform for organization and its activities to accomplished set targets. Report is going to describe
purpose and function of HRM that used in managing employees activities. Various recruitment
along with its strength and weakness is also mentioned in this project. Along with this,
importance of employees relation in discussed that influence entire HRM decision making within
the company.
TASK 1
P1 Purpose and the function of HRM application to workforce planning and resourcing
HRM is refers to the strategic approach that used by company to managing their people
so that they help them in attaining agonistic advantage. Mainly, it is design to exploit the
performance of workers in order to accomplish set strategic objectives in stipulate time frame. In
this context, the main focus of HRM is to recruit right person for right job. This will positively
impact on enhancing the performance company and its employees. In this regards there are some
appropriate approaches of HRM implement by Tesco to attain their strategic objectives:
Hard and soft model of HRM:
Soft HRM is one of the effective approach of HRM as it is people focused and high
commitment. In this, the main focus of company to identify need of employees, their training,
development, motivation, strategic integration and many more (Chukwuka, 2015). All these are
may help in improving workers abilities to do something well for achieving set goals. Whereas,
hard model is relates to strategic fit and place that is based in performance management. It is task
focused and low commitment through which manager of business organization can easily attain
strategic goals and objectives.
1
Document Page
Workforce planning:
In an business organization, workforce planning is consider as a continual procedure that
applied to effectively align all the need and priorities of company to ensure that entire workforce
meet organizational objectives (Cooke, Saini and Wang, 2014). Along with this, it includes
various process such as analysing, forecasting and planning workforce supply and demand in
most effective way. It assist in recruiting right person for appropriate place to maximizing
productivity of workers. This will directly contribute in enhancing overall performance of the
company. In addition of this, effective workforce planning is also includes various activities like
strategic direction, supply analysis, demand analysis, gap analysis, solution implementation,
monitoring progress. All these are may support in making effective planning for keeping
workforce more strong and capable. This will impart in enhancing performance of workers and
company as well.
In this regards, there are some effective purpose of HRM in Tesco:
Right people: It is one of the crucial aim of HRM in which manager of Tesco is focus on
recruiting right candidate for their job role. In this, company is responsible for analysing
the actual requirement of current job place.
Right time:Under this, manager of Tesco is liable for recruiting right person at accurate
time as it help in accelerative the possibilities of attaining all the set objectives.
Recruiting right workers for right time is more effective for improving the performance.
Right competencies: For improving performance of workers, it is crucial for manager of
Tesco to hire or recruit candidates with specified qualities to meet goals and objectives
within the company. For this, company also measure overall performance of employees
towards the set targets.
Right place: It is significant purpose of HRM is to hire talented employee for right group
for right place so that every task will be manage effectiveley (Hornstein, 2015). This will
help in increasing effectiveness of employees and workers as well. This is the reason that
needs to focus on workers activities within the business activities.
Function of HRM:
Recruitment and Selection: It is one of the leading function in which manager of Tesco
select candidates who are eligible for the set places an per their skills and knowledge they
are recruited (Klingebiel and Rammer, 2014). This can be beneficial for company to
2
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
develop a strong workforce that support them in attaining entire task activities in stipulate
time frame.
Training and development: This type of function assist workers to acquire skills in
order to effectively perform the job activities. It is beneficial for new and existing
workers. By effective training and development, employees are prepared for high level of
responsibilities that support them in attaining their set goals.
P2 Strength and weakness of different approaches to recruitment and selection
It is crucial for business organization to recruit skilled an talented workers for performing
all the task activities in effectual way. For this Tesco use various sources of recruitment that help
them in hiring best candidates by using different sources such as:
Personal specifications
Post: HR
Department: HR department
Attributes Essential Desirable
Qualification &
Experience
High School Diploma
Efficiency in managing
workers
Certificate of HRM
practices
HR experience in
company.
Able in managing
workers activities and
performance.
Skills or knowledge Good Communication
Skills
Ability to work alone
and under own
supervision.
Ability to handle
employees issues an
appropriate manner.
Knowledge of basic
Knowledge of all the
employment
legislation and
practices.
Strong Multitasking
skills
Time management
skill.
3
Document Page
MS office.
In this regards, there are some approaches of recruitment and the selection process along
with strength and weakness within the Tesco:
The competency approach: It is an effective methods of HRM as it focus on skills that
required by personnel to perform specified task and activities to a certain standard. Mainly, it is
also effective for employee and employer as it established transparent blueprint towards the
recruitment, performance evaluation and advancement paths (Kramar, 2014). With the help of
this, Tesco can maximizing as well as creating positive working environment that support in
developing strong relation among employee and employer within the company. One of the major
benefit of this type of approaches is to attain higher level of competence in effective way that
directly contribute in reducing employee turnover and also retain them for longer period of time.
The Contingency approach: It is also an effective management theory that is used in
context of specified situation arise at workplace. In this regards, manager of Tesco is also pay
attention towards the situation and particular style that used to manage the same. Along with this,
it is beneficial for for company to improve learning or workers so that they can easily handle
entire situation in most effective manner. One of the main advantage of this approaches is to
motivate workers to perform their best. It also improve decision making skill of manager and
workers through which employees can share their views and opinion with each other. As it
support in improving relation a workplace.
TASK 2
P3 Benefits of different HRM practices within the company for employee and employer
HRM practices show a crucial role in business organization as it help in creating positive
relationship between employees and its manager as well. The main aim of effective HRM
practices is to build positive working environment within the Tesco that may put positive impact
on performance of employees and its organizational image (Longoni, Luzzini and Guerci, 2018).
Along with this, it also motivate workers to do something best at workplace to attain all the set
goals. There are some benefits of different HRM practices for employer and employer:
Productivity: One of the major advantage of implementing HRM practice is that it
improve workers productivity as it motivate and influence workers to put their best
4
Document Page
efforts. This can be effective for accomplishing all the objectives in stipulated time
frame. Motivates and encouraged employees always put their best efforts for achieving
their targets in well organized manner.
Profitability: The main focus of HRM practices is to improving employees efficiency
towards the organizational activities (Moutinho and Vargas-Sanchez 2018). As it reduce
turnover of employees that positively impact on increasing profitability level of Tesco at
market place. HRM practices is to build positive relation among employee and employer
that may aid in attaining all the strategic goals and objectives.
Learning: HRM practices is also effective in improving learning of workers. It may aid in
increasing employees satisfaction level within the organization. In this regards, HR
professionals also analysis workers activities and provide them motivation. By this they
provide their creative and innovative ways to resolve the issues arise at workplace.
Development and training: In this, HR department of Tesco undertake need assessment
for their workers with the aim of evaluating training and development programs for
workers as per their performance. It may reduce employee turnover and at the same time
also may increase their retention at workplace.
P4 Effectiveness of different HRM practices in increasing organizational profit
HRM practices play a crucial role in motivating and encouraging employees to perform
their best at workplace to accomplishing their set targets. Mainly, it is also consider as a system
that develop, attract, motivate and retain employees within the business organisation. This will
increase profitability level of the company (Mone and London, 2018). In regards of Tesco, there
are some effective HRM practices that help in increasing profitability:
Training: It is one of the effective and best HRM practice in which manager of Tesco
give training and development activities to their workers as per their performance
(Nyberg and et. al., 2014). This can be effective for enhancing employees productivity
level. With the assistance of this, Tesco can increase their profitability level and also
reduce employee turnover as well.
Reward system: For motivating workers, rewards the best option that encourage
employees to put their best efforts towards the company and its activities. If employees
are motivated then they easily increase organisational profitability level. Thus, it is
5
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
crucial for Tesco to provide appropriate rewards as per their performance to attain their
set target and also increase its profitability as well.
TASK 3
P5 Importance of employee relation in respect to influencing HRM decision making
Employee relation is one of the important activity within the company that focus on
managing positive or healthy relationship among employee and employer. Good employee
relations provide fair treatment to employees so they will be motivated and committed towards
the company and its activities as well. Thus, it is important for Tesco HR manage to building as
well as improving employee relations. For this, company use various strategies such as:
Encourage individuals: Motivating employee is also a important strategy that help in
encouraging workers to perform their task activities in well structured manner. Along
with this, manager of Tesco is also influence employees to perform their task in a team
that aid in increasing better coordination among them. This will improve healthy relation
at workplace.
Effective communication: For developing positive relation and engagement, good
communication is includes as an essential strategy that assist employee to express their
views and opinion with their senior manager. It also may support in cut down the
possibilities of rise any kind of issues at workplace (Schalk, Timmerman and Van den
Heuvel, 2013).
P6 Key elements of employment legislation and its impact upon HRM decision making
Employment legislation is plat a significant role in business organization to protect
workers rights at workplace and at the same time also develop better relationship with employees
and employer as well. Thus, it is important for Tesco to follow all the legislation related to the
employment that support in increasing employees productivity level at workplace. In this
context, there are some important legislation follow by Tesco within their business activities are
as follows:
Data Protection Act, 1998: Under this type of act, UK government set some guidelines
towards how the data and information is applied or used within the company. Along with
this, it is also important for Tesco to handle as well as manage all the personal data of
workers and customers in legal manner (Waddock and Bodwell, 2017). This will assist in
6
Document Page
reducing the chances of arising any kind of issues at workplace and at the same time also
may increase employees performance at workplace.
National Minimum Wage Act, 1998: It is crucial act that set out the basic legal structure
as well as framework for wages in UK. It is refers to the minimum hourly rate that offer
by the company to its employees. Mainly, it is based in the gross pay before tax. Thus, it
is important for Tesco to pa minimum wage to workers so that they can easily perform
their task and activities in effective way.
Equal Pay act, 1963: It is also consider as an effective employment legislation in which
organisation is responsible for paying equal pay to workers who perform task in same
position. Along with this, they can not be discriminate on the basis of gender, position
and so on. In context of Tesco, they follow this type of legislation within their business
and at workplace to so that they every employees can be effectively perform their task.
This will improve the performance level of workers that directly contribute in enhancing
productivity of company.
TASK 4
P7 Application of HRM practices
It is crucial for organisation to effectively apply the HRM practices to improve the
performance level of workers. In this regards there are some appropriate application of HRM
practices used by Tesco in attaining set targets in effective way. In this regards, Recruitment and
selection practices is appropriate that help in attaining all the longer term goals and objectives in
stipulated time frame (Wilton, 2016). In this, recruiter of the company includes clear qualities
and qualification of the desired candidates as it save time and energy of the company for longer
period of time. It includes various aspects such as:
Advertising
Use software
Search web
Use marketing strategies
Select suitable assessment method
Interview
Senior management feedback
7
Document Page
All these are the crucial aspects or practices that support in recruiting right candidates for
right job activities. These are the best HRM practices that may support company in attaining al
the set goals and objectives in stipulated time frame. In this regards, use of rewards system is
also an effective application through which company motivate as well as encourage their
workers to attain their set goals and objectives. As it is also consider as an important part of
company that may assist in retaining workers for longer period of time by providing them
appropriate rewards as per their performance at workplace. Usually workers are motivated by the
reward system as it provide motivation to do something well at workplace. This may positively
impact on the overall performance of the company. Furthermore, it also a good way to retain
workers within the company for longer period of time. In organisation, if good performance of
workers is rewarded then it will most likely happen again and again. It may increase productivity
level of the workers at workplace. It includes two example of two different work context such as:
Blue- collar labour: These type of workers the class person who performs manual labour.
As it includes skilled and unskilled employees which includes in manufacturing, mining,
commercial fishing, landscaping, maintenance, shipping and many more type of physical work.
For motivating them towards the working activities, company needs to involve them in decision
making process, providing them appropriate tools for the job activities, Offer special projects,
compensate and many more. All these are positively impact on their overall performance level at
workplace.
White collar labour: These type of employees performs their work in an business
environment and also involve sitting at a desk. As they work perform professional, managerial
and administrative work. By providing some monetary or other financial rewards to these type of
employees help in motivating them that directly contribute in accomplishing their target in
stipulated time frame. In this regards, promotion, achievement, responsibilities, recognition are
the major ways to rewards employees so that they perform their best to attain success.
CONCLUSION
As per discussed report it can be concluded that human resource management play a
significant role in business organization as it help in managing employees activities at
workplace. In this context, HR department also focus on recruiting right person for right job
through which employees can easily perform their task and attain success. Along with this,
8
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
employment legislation is also support business organization in protecting workers rights and
interest at workplace to retain them for longer period of time. HRM practices like effective
training and development, flexible working hours, balances working life and many more are also
put positive impact on working environment where in employees can attain their task and attain
higher profitability and profitability level.
9
Document Page
REFERENCES
Books and journals
Cascio, W. F., 2015. Costing human resources. Wiley Encyclopedia of Management, pp.1-1.
Chukwuka, E., 2015. Communication as a Veritable Tool for Effective Human Resource
Management in Organization. Review of Public Administration and
Management. 400(3617). pp.1-13.
Cooke, F. L., Saini, D. S. and Wang, J., 2014. Talent management in China and India: A
comparison of management perceptions and human resource practices. Journal of World
Business. 49(2). pp.225-235.
Hornstein, H. A., 2015. The integration of project management and organizational change
management is now a necessity. International Journal of Project Management. 33(2).
pp.291-298.
Klingebiel, R. and Rammer, C., 2014. Resource allocation strategy for innovation portfolio
management. Strategic Management Journal. 35(2). pp.246-268.
Kramar, R., 2014. Beyond strategic human resource management: is sustainable human resource
management the next approach?. The International Journal of Human Resource
Management. 25(8). pp.1069-1089.
Longoni, A., Luzzini, D. and Guerci, M., 2018. Deploying environmental management across
functions: the relationship between green human resource management and green
supply chain management. Journal of Business Ethics. 151(4). pp.1081-1095.
Mone, E.M. and London, M., 2018. Employee engagement through effective performance
management: A practical guide for managers. Routledge.
Moutinho, L. and Vargas-Sanchez, A. eds., 2018. Strategic Management in Tourism, CABI
Tourism Texts. Cabi.
Nyberg, A. J. and et. al., 2014. Resource-based perspectives on unit-level human capital: A
review and integration. Journal of Management. 40(1). pp.316-346.
Schalk, R., Timmerman, V. and Van den Heuvel, S., 2013. How strategic considerations
influence decision making on e-HRM applications. Human Resource Management
Review. 23(1). pp.84-92.
Waddock, S. and Bodwell, C., 2017. Total responsibility management: The manual. Routledge.
Wilton, N., 2016. An introduction to human resource management. Sage.
10
chevron_up_icon
1 out of 12
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]