Analysis of HRM and Employment Relations at Sports Direct (BE 433)

This report analyzes the employee relationship management system at Sports Direct, based on the article "Sports Direct’s staff are treated no better than Georgian-era factory workers." It examines various HRM issues, including employee treatment, lack of democratic rights, and legal compliance. The report explores the application of different models and practices, such as the democratic leadership model, training and development programs, performance management, and reward systems, to improve employee relations. It highlights the importance of fair treatment, adherence to employment laws, and the implementation of practices that promote employee well-being and organizational success. The report concludes by emphasizing the significance of effective employment relations for enhancing productivity, employee retention, and overall business performance, and provides a detailed analysis of the HRM and employment relations model emerging from the case study, analyzing its impact on individuals, organizations, and society.

HUMAN RESOURCE
MANAGMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................5
REFERENCES ...............................................................................................................................6

INTRODUCTION
Employee relationship management system is an information system that supports the
relationship between a company and its employees. This report is based on the article “Sports
Direct’s staff are treated no better than Georgian-era factory workers”. This report highlights the
different issue which is faced by the Sports Direct in their operation and on the basis of the same
different Model and the practices which can be used by the organization to improve the level of
the employment relationship in the organization. Also the report highlight the different way
through which the different model and theory can be applied in the organization.
MAIN BODY
Employee relationship refers to the different efforts which is done by the employer In the
organization so that the employee of the organization find it easy to jell up with the other
operation of the organization. An organization with a good employee relations program provides
fair and consistent treatment to all employees so they will be committed to their jobs and loyal to
the company Beardwell and Claydon (2007). In context of Sports Direct, organization is facing
difficult situation as they do not treat their employees better than Georgian-era factory staff
which directly affect productivity as well as profitability. In order to build strong workforce in
company, different types of models and practices will apply that helps to develop good employee
relationship and manage existing workforce effectively.
The article “ Sports Direct’s staff are treated no better than Georgian-era factory
workers” used to explain the different employment issue which is faced by the organization.
Sports Direct can use the variety of the model to promote the healthy relationship with the
employee of the organization. Democratic leadership model is one of the such model which can
be used by the organization. Democratic leadership model is the model which used to explain
that all the employee in the organization should have the right to have a say and there opinion in
the functioning and the decision making of the organization. As the article explain that all the
employee in the organization are not permit to enjoy all the right in the Sports Direct's the
organization has to make sure that they bring the democratic leadership model in the
organization. This model can be implemented in the organization by the way of different HRM
practices such as: SD has to make sure that they used to organize the different meeting in the
organization so that all the employee used to jell up with the other employee in the organization.
Also in the meeting the organization has to make sure that they used to take the opinion of all the
1

employee related to the need and the wants they are desiring from the organization and also used
to take the opinion about the different change which can be brought in the organization.
Organization also has to make sure that they used to consider the following suggestion at the
time of the decision making and also at the time of policy making in the organization. This issue
is better understand with the line that “had no democratic rights or access to law” In both the
organization that is Sports direct and Georgian England Boxall and Purcell (2007).
Another practices which organization has to make sure that they have to compile with all
the rules and regulation related to the employment law in the UK. This will help the company in
building the good relationship with the employee as this help the company in building a good
brand value in front of the employee who is working in the organization and also help the
company in building the good name in the eye of the employee who is looking for the job. This
eventually get the employee who is having the good image of the company in their eyes. This
can be implemented in the organization by looking and going through the different rules and
regulation related to the employment in the organization and taking all the decision by compiling
with the same Bratton and Gold (eds.). This will eventually help the company in building the
good eye of the company in the eye of many different stakeholder in the market. The stakeholder
are the government, employee and the management of the organization. As compiling with all
the law will provide the better facility and the benefit for the employee it will eventually help the
company in building the good environment in the organization and will also develop the good
relationship with all the employee. This issue can be better understand with the lines of the
article that “Sports Direct appears to not just have broken employment law, but also violated the
human right of the citizen not to be bullied, shamed, endangered or sexually harassed”.
Direct sports also has to make sure that they have to implement the training and the
development model in the organization. So that the employee of the organization feel that the
organization used to take care about them and used to provide them with the different type of
training so that they can develop their personal skills. Organization has to make sure that they
implement the training model by implementing the five stage model. This model can be
implemented in the organization with the help of the five phase program in the organization. The
first phase is need analysis, in which the organization has to make sure that organization used to
uncertain the different need and the wants of the skill for the employee and industry. Second
stage is the Design phrase, this phrase is the phrase where the organization used to make the
2

different plan in the organization. Development phase, is the phase in the organization in which
the organization choose the best plan which can be implemented Bolton and Houlihan (2007).
Implementation phase is the phase where training is provided to the employee and the last phase
is the phase in which the organization used to evaluate the different result of the training to the
employee. This model will help the employee development which will eventually bring the
clarity of the mind in the organization and help in employment relationship management.
Performance management and appraisal is one of the best practices that company can
use to retain workers as well as make them able to work with business for longer period. It refers
to the procedure of review employees performance and whole contribution to firm. It is also
known as performance evaluation that is quite beneficial for people as give them opportunity to
grow professional career rather than before. It is general, periodic and effective practices that
assess employee job role and productivity in relation to re-establish criteria and objective of
company. In context of organizations, performance appraisal practice enhance the productivity
and ability of workers effectively. Related to case study, employees do not have rights to speak
and access to share ideas or perspective. It affects working abilities and efficiency that results as
decreasing productivity and profit margin of business. Performance appraisal and management
permit company to provide positive feedback to its workers, it helps to improve areas identify in
workplace Legge (2005). Employer in business motivate their staff by implementing good merit
based compensation system. The Best performers at workplace get the good benefits and pay
packages, it motivates people who do not work effectively. Performance management cater
structure procedure for people to approach management for identify issues, discuss plan for
future and clarify expectations.
Sports direct do not pay good wages to its workers for time it takes to carry out
compulsory investigation at last of staff shifts. They are paying employees illegally an hourly
rate which is less than minimum salary. Inappropriate wages provided by company low self-
esteem of staff members and have tendency to engage in ineffective behaviour. Good pay and
minimum wages increase performance of workers as it lead to complacency with people
knowing they get good salary. By following the act placed by government of nation, organization
can retain its talented applicants and reduce the negative impact over their performances
perfectly. Minimum wage help to achieve greater equity and increase working ability that
support company to deliver products on time. When people are paid good, they can enjoy better
3

physical and metal health. When workers are healthy, their performance will improves, they are
motivated to develop as well as improve current skills. By having the motivated and happy
people on team, employer gain benefits as increases profitability. Furthermore, minimum wages
also give social stability with society, employees who are ensured of getting minimum income
are more likely to remain in its existing job role. It reduces the risk of high employee turn over at
company thus, as result supports stabilize neighbourhoods Martin (2010).
Reward management is one of the model that help organization to enhance staff
performance and retain for long . It is concerned with implementation and formulation of
policies and strategies that aim to reward employees consistently, equally and fairly in
accordance with value to firm. By having the good reward procedure company keep skilled
applicants in workplace, it helps to make people happy, gain their loyalty and eager to move up
higher. In order to solve current issues as discussed in case study, adopting different strategies is
quite essential. Compensation and reward management is strategic model, in which management
give reward to their new as well as existing staff members when they achieve goal at desirable
time. Reward management is also considered as motivational practice that organization use to
reward people for their greater success and achievement at workplace. Management established
rules and sets goals for their workers to follow to gain those goals. It makes assure that people
clearly aware of these rules, rewards they will acquire for high performance (Bévort, Darmer and
Muhr, 2018). This practice help to retain staff who are able to cater better services, attract new
applicants towards business, build honesty & Loyalty, create healthy work culture or
environment and encourage positive behaviour. Use of verbal violence is considered as one of
the issue given case study that impact on workers motivational level negatively. With the help of
using good communication method verbal or non-verbal management will be able to build strong
employee relation.
Workers have right to work at discrimination free workplace where they feel free to
express thoughts and feeling. Regarding case, people are not getting democratic rights that affect
its morale. Company create environment that is totally discrimination free, because it is essential
to make people comfortable at workplace. It brings chance for business organization to decreased
turnover, increased workers satisfaction and ability for delivering goods. Discrimination free
environment at work area contributes to create atmosphere of trust.
4

CONCLUSION
From above, it has been concluded that employment relations is very essential at
workplace that managed by business effectively in order to perform better than competitors.
With the help of applying different model and implement evidence based practices management
of company can increase productivity as they can build good employee relationship. From above
analysis it has been summarized that practice related to employee relations increase higher
retention rates which is beneficial for firm as to sustain in marketplace for longer time.
Management can motivate their staff by applying various model of employment relation,
increase their morale better than before. Training and development is one of the best model or
concept that give benefits to company for enhancing productivity and performance of applicants
in effective manner. Good leadership style lead a team or group of people at workplace
accurately, it helps to improve productivity of existing workforce, seriousness in business
operations and increase awareness of diversity in employees.
5

REFERENCES
Book and Journals
Beardwell J and Claydon T (2007) Human Resource Management: A Contemporary
Approach, Harlow: FT Prentice-Hall.
Boxall, P. and Purcell, J. (2007) Strategy and Human Resource Management,
Palgrave Macmillan.
Bratton. J and Gold, J (eds.) Human Resource Management: Theory and Practice,
London: Palgrave MacMillan.
Bolton, S. and Houlihan, M. (2007) Searching for the Human in Human Resource
Management. Basingstoke: Palgrave.
Legge K (2005) Human Resource Management: Rhetorics and Realities,
Houndsmills, Basingstoke: Palgrave Macmillan (Anniversary Edition)
Martin, John (2010) Key Concepts in Human Resource Management, London: Sage.
Milmore, M. et al (2007) Strategic Human Resource Management: Contemporary
Issues, Harlow: FT/Prentice Hall.
Noon, M. and Blyton, P. (2007) The Realities of Work, Basingstoke: Palgrave.
Porter, C., Bingham, C. and Simmonds, D. (2008) Exploring Human Resource
Management, Berkshire: McGraw-Hill.
Redman, T and Wilkinson, A. (2013) Contemporary Human Resource Management:
Text and Cases (4th ed.), Harlow: FT/Prentice Hall.
Storey, J. (2007) Human Resource Management: A Critical Text, London: Thompson
6