Human Resource Management Report: Tesco PLC HRM Analysis and Practices

This report delves into the core functions and purposes of Human Resource Management (HRM), focusing on workforce planning and its significance in achieving organizational objectives. It examines various recruitment and selection approaches, analyzing their strengths and weaknesses within the context of Tesco PLC. The report further explores different HRM practices, such as employee relations, training and development, and compensation, highlighting their benefits for both management and employees. The effectiveness of these practices in enhancing profitability and productivity is also assessed. Moreover, the importance of employee relations in influencing HRM decision-making is discussed, alongside an overview of relevant employment legislation and its impact. Through a contextual application, the report provides a comprehensive analysis of HRM practices within the Tesco PLC setting, offering valuable insights into effective human resource management strategies.

Human resource management

Table of Contents
INTODUCTION..............................................................................................................................1
TASK 1............................................................................................................................................1
P1. Various functions and purposes of HRM for workforce planning...................................1
P2. Different approaches to recruitment and selection with their strengths and weaknesses 2
TASK 2............................................................................................................................................4
P3. Different practices of HRM and their benefits to management and employees..............4
P4 Effectiveness of various practices for increasing profitability and productivity..............4
P5. Importance of employee relation which influence HRM decision making.....................5
P6. Elements of employment legislation and its impact upon HRM decision- making........7
P7 HRM practices application in contextual Format.............................................................8
CONCLUSION................................................................................................................................9

INTODUCTION
Human resource management means the process of hiring employees so that they become
more valuable to the organisation. Human resource management also includes the process of
conducting job analyses, planning personnel needs, appointing the right people for the job,
training, evaluation of wages and salaries etc. Tesco plc, is trading as Tesco in British
multinational grocery and general merchandise. It deals in the areas of retailing of books,
clothing, electronics, furniture, toys and software (Alfes and et al., 2013). In this project report
going to define about the purpose and functions of HRM, Strength and weaknesses of selection
process, Management practices which are going to benefit the employer and employee and its
effectiveness and the importance employee relation in affecting the HRM decisions.
TASK 1
P1. Various functions and purposes of HRM for workforce planning
In all the organisations, it is required that proper planning shall be carried out with
respect to human resources as then only, it is possible to attain the targets and objectives. It is
necessary that human resources shall be managed in a proper manner as then only, performance
of employees will be improved. Under this, training is to be provided to employees and for that,
several techniques are there that shall be utilised. All the operations in business are carried out by
labourers and so, they are the main resources of any organisation and shall be managed in the
most appropriate manner. Some of the main functions which are to be performed in this process
are as follows:
 Safety: By the help of human resource management, security is provided to employees
and by the same, they feel safe and carry out their operations effectually as no stress or
insecurity will be there in their job (Armstrong and Taylor, 2014).
 Recruitment: This is the most important function in which skilled and experienced
employees are hired for HR department so that all vacancies can be filled. For this
selection will be done in which testing of their skills shall be performed so that the best
can be chosen from available candidates. This helps in assigning the correct persons for
all jobs so that they can work with high efficiency.
 Benefits and compensation: It is required that proper incentives and other additional
benefits shall be provided to all employees as by this, they will be motivated to work in a
1

proper manner. This is because; they have personal interest now so will work with full
potential.
 Employee relation: For the maximisation of profits, it is needed that performance shall
be improved and this can be done only when relation among all employees in company
are maintained. By this, they can easily coordinate and issues that arise due to
miscommunication can be avoided.
 Training and development: In order to enhance the knowledge of workers, it is highly
required that there shall be proper programmes which are to be conducted for training
purpose. This helps in the overall development that will again provide benefit to
company.
P2. Different approaches to recruitment and selection with their strengths and weaknesses
In Tesco Limited, there is the need to follow proper recruitment and selection programme
as then only the best candidates will be chosen for all available posts. There are mainly two
sources from which recruitment can be made and this includes external and internal by which
appointment can be done. Some of the approaches that are followed under this are provided as
below:1. Internal approach: In this, the existing employees of entity will be providing references
for candidates and then company will select the most appropriate one from them.
Strengths:
 As in this no lengthy process is required to select candidates, so a lot of time and cost can
be saved by the help of this. All the existing employees will have chance to get promotion and by the same, they are
motivated to work in a better manner so that professional goals can be attained.
Weaknesses:
 New and skilled workers will not be available and by this, there will be lack of
introduction of innovation in business (Barney, Ketchen Jr and Wright, 2011).
 There will be limited scope for organisation as less number of candidates are there from
which selection is to be made.2. External approach: In this, all the applications are taken by considering the candidates
from outside world and here existing employees are not given any chance to provide
there referrals.
2

Strengths:
 As there will be new talent which is selected, so different and innovative ideas are used in
business. Those who are selected will have proper experience that will prove to be of great help to
them.
Weaknesses:
 The process involved in this is very lengthy as all the suitable people will have to be
searched.
 Various advertisements are provided and then interviews are performed which makes this
process an expensive one.3. Third part approach: Here, the help of third party is taken such as some recruitment
agency who will be providing information regarding potential persons who are there and
can be selected.
Strengths:
 By this, the most qualified and experienced persons will be selected and appointed. New employees are recruited and fresh relations will be developed with them.
Weaknesses:
 As third party is responsible in this case, so there will be no direct access with company
in respect of all candidates.
 This is a costly process in which huge amount of money is needed.
So, above mentioned are some of the approaches which are taken into consideration and
also, their positive and negative aspects are discussed for proper understanding. By effectual use
of this, it is possible to select the best among all of them.
TASK 2
P3. Different practices of HRM and their benefits to management and employees
All the employees in business require that they shall be provided with some additional
benefits and incentives as only the cash salary is not enough for raising their living standard.
This is the condition of both; supervisor as well as workers and it is ensured that they have
fulfilled all the goals and performed all activities in best manner so appropriate incentives shall
3

be given to them (Boxall and Purcell, 2011). Some of them which are provided in this respect to
employees are given here under:
 Employee relations: This helps in development of friendly and healthy relation among
all co-workers as they can exchange their opinions with each another.
 Conflict resolution: Disputes which arise among employees are reduced with the help of
this as good relations are there and also, some programmes are introduced for this
purpose.
 Information resource: All the important and required data is provided to them so that
they have all knowledge regarding market conditions. By this they can carry out the
operations accordingly.
 Training and development: They are able to complete their work with full efficiency as
proper training is given to them which enhances their knowledge and skills.
Benefits for employer:
 Special treatment: All the functions are performed in effective manner and for that they
are provided with best facilities. All this leads to achievement of organisations objective
which is the main aim.
 Surplus welfare: There is chance for them to gain additional advantage by using the
available talent in appropriate manner so that profits can also be maximised together with
productivity.
P4 Effectiveness of various practices for increasing profitability and productivity.
It is the main aim of business that profits shall be maximised and by that overall position
of company is enhanced. By the help of HRM all the products will be manufactured in more
attractive manner by which sales will increase and this all leads to development and growth. In
this it is required that all the available resources shall be utilised in such manner by which overall
improvement and increase is attained (Brewster and Hegewisch, 2017.). This will help in
attracting more customers by which revenue is enhanced. The main objective of it is to use such
tools and techniques by which productivity and profitability id enhanced and this is considered as
their main role and responsibility. There is broad concept that is involved under it and will be
affecting the production process.
For all this labourers shall be given all opportunities with the use of which their
effectiveness can be enhanced. Also they shall be provided with adequate knowledge so that
4

personality can be developed and they are to be given such incentives by which they can be
retained for longer duration of time. Some of major roles are explained below:
Staffing: In this process such persons are included in business who possess required skills and
talent and this is important as then only all objectives can be achieved by proper functioning. So
it shall be ensured that proper process shall be followed for this reason (Buller and McEvoy,
2012). There are many steps which are involved in this and it includes Human resource planning,
job analysis, recruitment and selection. They are to carried out effectively by Tesco.
Flexibility: By the help of HRM flexibility is ensured as such environment is created in which
changes are adopted as per the needs and requirements.
Work pressure is reduced: In this process work is delegated among all employees and by this
the work load on top managers is reduced. So they have ample time in which such actions can be
taken which ensures smooth functioning.
Employees efficiency is increased: As various advantages are provided to them so this gives
them needed satisfactions and they are motivated to perform operations in most effective manner
and this is beneficial for company as well.
P5. Importance of employee relation which influence HRM decision making
Maintain good relations between the employee is very important for completion of the
work on time within minimum time period by satisfying all the needs and wants of customers.
Employee relation is also very much essential for increasing the productivity and resolving the
issues arises in the organisation which affects the whole activities of the organisation. So, mainly
employee relation forces labour to provide their full support and commitment in their work
(Chelladurai and Kerwin, 2017).
In other words, TESCO has great effects on their decision making because of these factors and
the top management has to consider all these factors while making decision for the organisation.
It means that all the decisions made by the HRM are get affected by the employees relation in
different manner. For Ex.
 Management: Decisions related to the management highly depends upon the employees
relation. If the company has good employee relation the decision making relation to the
management is easier and more effective. Similarly, If the organisation does not have the
good employee relation is is difficult to make decision making approach regarding the
management of the organisation.
5

 Allocation of resources: The resources should be allocate in such way that it fulfil the all
demands of the customer. If the employee relation is good in the organisation then such
resources are used effectively by the employees which helps in increase of the profit.
 Motivational programmes: It is very important that the employer find out the
requirement of motivational programmes so they can improve the performance of their
workers in appropriate manner (Hendry, 2012). It will also helps in achieving the
personal as well as professional targets within time frame.
 Develop plan: Plans are helpful in policy making as well as strategies to attain their
objectives. It is always easy to make plans and strategies in the organisation where the
employees relation are better and also adds up in the profit maximisation of the
organisation.
 Recruit an expert: It is the process of appointment of Knowledgable and skilled persons
in the organisation. Where the company has good employee relation than the recruitment
of the expert in that organisation is always adds up value in the organisation. But in the
company where the employees are not working with helping nature then the experts too
no add any value.
 Time scale: It involves the attainment of organizational goals and objectives in minimum
time period. A company where the employee relation is good it is always easy to
complete the project in minimum time period but the company where there are lots
conflicts between the employees there is always difficult to complete the project on time
and this results in increase of the cost of the project also.
 Conflicts management: It is always important to mange the conflicts between the
employee’s in the organisation for the purpose of making the project successful. Conflicts
between the employees affects the overall working of the organisation and also affects
completion period of the project. It creates the negative surrounding ion the organisation
which affects the whole decision making power of the human resource management
team.
P6. Elements of employment legislation and its impact upon HRM decision- making.
Employment legislation are the rules and regulations which bound an organisation from
working unethically and inappropriately subject to its employees. Organisations have to follow
the rules and regulation regarding labours, employees benefit. For making healthy and effective
6

operation of functions of an organisation it is require to maintain fair relations with its employer
and employees. Tesco's management system also has to follow the rules and regulation of UK
which are made for customer benefits. Below employment legislation are defined in respect of
Tesco retail industry that how it deals with these legislations for the benefit of it employees. and
employers.
Recruitment policy :- Recruitment policy of an organisation remains same at a particular
level. The only thing which may be differ is their recruitment criteria. Organisation follow the
planned format of recruitment to ensure the person that he would get an actual employment in
the specified organisation. Tesco's recruitment procedure depends upon the eligibility criteria on
the basis of skills.
Safety measurements :- Safety of its employees while at work is one of the major
responsibility of any organisation. There are rules and regulations made for manufacturing
industries where they need to complete and get certified in safety measurements. Employee's
safety should be prime responsibility for an organisation and it is must to provide a secure and
risk free environment of work. Tesco provide safety tools for their employees on site and off site
too.
Payment policy :- Employees want a satisfied and convinced consideration in exchange
of their work and deliverables. Organisation wages and salary structure are categorised as per the
skills and professions. Organisation's payment policy planned as per the surviving conditions of
particular city, country. Tesco is one of the retail organisation which pays impressive amount to
its employees. Employees get extra benefits in exchange of their extra efforts. Tesco has its
efficient man power which is very loyal to its organisation, but even being so well caring
organisation management have to took some hard decisions due to changes in taxation policies,
cost increasing factors. In that situation organisation's HRM department plans an short term
consistency policy in which employees get their incentives after a particular duration after
managing the changing situation of the organisation.
Retirement benefits :- Organisation provides retirement benefit plans as provident
fund, gratuity,pension policy. An employee contributes its valuable contribution to the
organisation during his/her service period and organisation reserve a specified amount which is
deducted by the organisation in the form of retirement benefits. Tesco's retirement policy ensure
its employees that their life after leaving the organisation would remain smooth and easy for
7

them, employees of Tesco who were the part of the organisation are satisfied and living their life
with the best retirement plans of the organisation.
P7 HRM practices application in contextual Format
there are two types of HRM application, such as job specification and job description.
1. Job specification :- Job description part contains the work criteria and the scope of the
organisation.
Organisation :- ITC
Job title :- Human resource Manager
Qualification :- Post Graduation in HR
Key Criteria :-
 Proficient communication skills, writing skills.
 Knowledge of employment legislation.
 Leadership skills.
Required Criteria :-
 at least 2 years of work experience in HRM in any registered organisa.
 Managerial skills to lead the general meeting and annual skills.
 Basic computer and reporting skills for daily report outs.
2. Job description :- Job description is the complete detail of the job. It contains the details
regarding the designation, address and qualification. Job description format is used by the
specific candidates have professional or specified skills for the job.
Organisation : Giotech outsourced
Location : London
Department : IT department
Role : Managing IT operations.
Responsibilities : Responsible to report senior executive.
Work Criteria :
 Operate IT issues and resolve them by technical skills.
8

 Daily reporting work.
 Issue sampling and data retention.
Designation : IT operator .
Eligibility criteria :
 Graduated in BCA or B. tech.
Job Qualification :
 Having at least one year job Experience in any IT company in IT department.
 Good knowledge of windows 10, Java, C++.
 Good Communication skills.
CONCLUSION
This report is about the effective role of HR department in managing the all resources and
decision making about various factors which affects the organisation. This report gives the
information about the actual working conditions in TESCO.
It also includes the various techniques and methods of appointment of the deserving candidates
on the basis of their skills and their knowledge. It has been noticed that appointment of the right
candidate is one of the main role of TESCO to run their business smoothly and to achieve
business objectives effectively.
9

REFERENCES
Books and journals
Alfes, K., and et al., 2013. The link between perceived human resource management practices,
engagement and employee behaviour: a moderated mediation model. The international
journal of human resource management. 24(2). pp.330-351.
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Barney, J. B., Ketchen Jr, D. J. and Wright, M., 2011. The future of resource-based theory:
revitalization or decline?. Journal of management. 37(5). pp.1299-1315.
Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Brewster, C. and Hegewisch, A. eds., 2017. Policy and Practice in European Human Resource
Management: The Price Waterhouse Cranfield Survey. Taylor & Francis.
Buller, P. F. and McEvoy, G. M., 2012. Strategy, human resource management and performance:
Sharpening line of sight. Human resource management review. 22(1). pp.43-56.
Chelladurai, P. and Kerwin, S., 2017. Human resource management in sport and recreation.
Human Kinetics.
Hendry, C., 2012. Human resource management. Routledge.
Jiang, K., and et al., 2012. How does human resource management influence organizational
outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
management Journal. 55(6). pp.1264-1294.
Kehoe, R. R. and Wright, P. M., 2013. The impact of high-performance human resource
practices on employees’ attitudes and behaviors. Journal of management. 39(2). pp.366-
391.
Renwick, D. W., Redman, T. and Maguire, S., 2013. Green human resource management: A
review and research agenda. International Journal of Management Reviews. 15(1).
pp.1-14.
Rousseau, D. M. and Barends, E. G., 2011. Becoming an evidence‐based HR practitioner.
Human Resource Management Journal. 21(3). pp.221-235.
Thompson, P., 2011. The trouble with HRM. Human Resource Management Journal. 21(4).
pp.355-367.
Wright, P. M. and McMahan, G. C., 2011. Exploring human capital: putting ‘human’ back into
strategic human resource management. Human Resource Management Journal. 21(2).
pp.93-104.
10

11