HRM Strategies: Aldi's Approach to Workforce Planning - Regent College

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within Aldi, focusing on workforce planning, resourcing, and employee relations. It explores the objectives and scope of HRM, including recruitment and selection methods, highlighting their strengths and weaknesses. The report details the benefits of HRM practices, such as employee health benefits and training, and evaluates their effectiveness in enhancing organizational productivity and profitability. Furthermore, it emphasizes the importance of positive employee relations in HRM decision-making and identifies the impact of employee legislation on these decisions. Specific examples illustrate the application of HRM practices in a work-related context at Aldi, demonstrating how effective HRM contributes to the company's brand image and overall success. The report concludes by underscoring the critical role of HRM in fostering a positive work environment and achieving organizational goals.

HUMAN
RESOURCE'S
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
LO 1................................................................................................................................................1
P1 Description on objective and scope of human resource management..............................1
P2 Explanation on approaches to strength and weakness on recruitment and selection........3
LO 2.................................................................................................................................................5
P3 Description on the benefits of the human resource management practices in the
organisation............................................................................................................................5
P4 Evaluation on the effectiveness of human resource management.....................................6
LO 3.................................................................................................................................................7
P5 Importance on employee relation in the term of HRM decision making..........................7
P6 identification on employees legislation and its impact on the HRM decision making.....9
LO 4...............................................................................................................................................10
P7 Discuss the application of HRM practices in a work-related context, using specific
examples...............................................................................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Human resource management work as a tonic to bring life back to your organisation.
They plan, direct or organise the function of business enterprise and give them a new way of
working. To sustain in the market for the longer period each organisation need well experienced
human resource manager. It is helpful in gaining the strong brand image of the firm. With the
help of human resource manager corporation can work in effective and efficient way. In this
report it has been addressed to determine the working framework and various approaches of
human resource manager which helps in gaining the productive and profitability in the business
enterprise (Barrett and et.al., 2017). In addition to this there is description on human resource
activities of Aldi's. It works as retail stores which is offering groceries services to the people of
UK. Moreover, this report will determine the way of improving the human resource and their
employee’s coordination.
LO 1
P1 Description on objective and scope of human resource management.
Human resource management plays crucial role in order to bring development in the
activities of an organisation and wellbeing of their employees. They take various initiatives to
develop the effective role of their employee working there under. They are involved in numerous
function in the organisation like planning, directing, controlling, recruiting and selecting the
employees in the organisation. Every business enterprise need well qualified human resource
personnel without him them no business can survive for the long period. They take various
efforts in increasing the firm’s productivity and profitability at times (Brewster and Hegewisch
2017). They take various steps in order to improve the performance of employees by providing
effective training. Along with this, skills development activities can also be referred for
continuous improvement. ALDI's human resources are working efficiently by having prediction
of staffing needs. The main objective of the human resource managers of Aldi's is to promote the
organisational activities in such a manner which can bring the accomplishment of goal and
objectives. Management should focus on creating good environment so that human resource
manager and their employee can have efficient work style. They should work in coordination so
it can bring maximum contribution to the firm. Human resource management mainly deals with
the training and improvement of their employees. The main objective of the human resource

manager is to select the right person on the right position in the business enterprise. There are
some objective and scope to human resource managers such as-
The primary objectives are-
 Human resource managers help the employee to achieve the organisation’s goal
effectively by motivating them to perform their best.
 They take initiative to provide proper job satisfaction and self- -complacency to the
employees (Butler, Lee and Senior, 2017).
 They work for developing the cordial relation between employees and management.
Scope to human resource management-
 The personnel aspect- This cover the following features which mainly deals with the
planning, recruitment, selection, transfer and incentives, lay-off to their employees
working under the organisation.
 Welfare feature- This function of Aldi's mainly deals with providing the good
working condition to their employees so that they can work in effective and manner
in the business enterprise. These are cover following facilities such as canteen,
crèches, rest room facility, and safety and education facilities to the children of the
employees.
 Industrial relation- The human resource personnel of the Aldi's take step to bring
improvement in the union management relation in the firm. It covers the following
other function such as joint consultation, collective bargaining etc.
H R M S C O P E
The personnel
aspect
Welfare feature
Industrial relation

P2 Explanation on approaches to strength and weakness on recruitment and selection.
Recruitment and selection process is required to be done in every organisation for
effective operational development. There are two methods that company mostly used such as
internal and external method. The need of this function is realized when company requires to fill
vacant job role. The term internal recruitment is the process when management decides to fill
vacant job wirth an help of existing employees (Li, Bagger and Cropanzano 2017). External
recruitment is employed by management when organisation is looking for some fresh talent so
that firm can adopt new methods of working in the achievement of particular goal.
The strength and weaknesses of internal recruitment are as-
 It helps reducing the cost of expenses in respect to the functions like advertising etc.
 Employees already have the knowledge about the terms and condition of the
organisation.
 It helps in increasing the employees' motivation to perform more effectively so that
promotion opportunity can be accomplished
 It helps to raise the employees' morale so they can work in more efficient way. With the help of this process employee skills can also be developed in the business unit.
Weaknesses according to the internal recruitment-
 No new or fresh talent can introduce in the organisation.
 It leads to have no additional skill in the business enterprise. Employees follow the old method of working style in the organisation which cannot help
in increasing the firm productivity and profitability (Liu and et.al., 2017).
Strength and weakness of external recruitment are as-
 Company can have new and fresh talent in the organisation which can bring maximum
contribution to the firm.
 With the help of this business enterprise can learn the Morden techniques of working.
 Corporation can have more number of person so they can select one suitable for the unit. It helps in gaining strong brand image of the company.
Weakness to external recruitment-
 It leads to spend more cost on the process of selection of the employees.
 It brings the feeling of demotivation in the existing staff of the business enterprise.

 It is lengthy process therefore it takes more time and expenditure on selecting candidate
in the firm.
 Company tends to looking for outside opportunities.
LO 2
P3 Description on the benefits of the human resource management practices in the organisation.
The employee in the organisation can have various benefits with the terms of health, life
and its insurance facilities etc. it provides development and various training facility to the
employees working under there in the business enterprise (Lloyd and et.al., 2017). It helps in
motivating the employees in the organisation to perform their best. It helps as providing timely
training facility to them which leads to improve the efficiency of worker and it brings
development in the business enterprise. It works as providing the various facilities like health
benefit, retirement benefit and which help them to secure their future. The business enterprise
name Aldi's tries to boost the morale of the employees by provide them to incentive for their
work so they feel encourage contributing maximum to the organisation. The Aldi's is taking
various measure in order to promote the activities of each personnel in the corporation. With the
help of these approach they can provide employees the effective environment and can encourage
them by giving suitable award related to their work. They provide performance appreciable to
the particular employees who done this work in effectively manner this kind of activity can
increase the morale of other employees as well.
More motivated and encouraged employees try to done their work in proper and in efficient way
which can promote then firm profitability and productivity. With this kind of facilities to the
workers Aldi's capable of maintaining strong brand image of its own organisation. Employees
always feel motivated through the benefit to them from the firm by watching their work. It leads
them done all the organisation related work in more excellent way. Company should take care
while selecting the employees because effective employees bring maximum profitability in the
leads the success to the organisation. This will help in improving the flow of communication in
the organisation which is better for the organisational growth. The human resource manager tries
to bring the positive environment in the working area. The understanding between the employer
and employees should be in good manner. This all the function will helps in promoting success
of the Aldi's.

P4 Evaluation on the effectiveness of human resource management.
The success of the organisation can measure with the functioning of the business
enterprise. With this term effectiveness and efficiency of the firm can also be known. The firm
can maximum amount of productive by keeping their eyes on the activities relates to the
production, planning and effective guidance to their employees. The Aldi's profitability and
productivity can be improve with the best practice of human resource management. Such are
based on the following- Recruitment and selection- the recruitment and selection of the person should be based
on its high efficiency. The effective employee's done its activities in more proper way.
The skill and active employees always increase the firm profitability which help them to
create the positive working environment. Planning- planning defines the gap between where to stand today and where have to
reach. The proper planning is based on the decision taken in the organisation. The person
of excellent mind can develop the effective plan in the business enterprise. The planning
should be done in the manner which works as less wastage of resource's with completion
of task on time. Training and development- With proper training and development employees always
perform their best in the organisation. It makes employees more efficient while they are
performing particulate task (Mendelson and et.al., 2017). Performance appraisal and reward- It is the key solution for the human resources
mangers in boosting the moral of the employees. The reward can be in the term of
incentive. It always encourages the employees to complete their task in proper manner. Performance management- The Aldi's is taking on consideration the performance
management. It helps them to assign the authorities and responsibility to the employees
by seeing their work performance. It helps them to maintain the strong brand image of the
business enterprise. Good communication- Barriers to effective communication in the organisation always
bring failure to the organisational growth. There should be proper flow of communication
between the top level managers to lower level of subordinate. Proper understanding
between the employees and employer add value to the firm.

 Morden technology- The modern technology brings the effective way of working style in
the organisation. It is necessary to the business enterprise to bring timely innovation in
the firm which can helps as enhancing the firm productivity.
LO 3
P5 Importance on employee relation in the term of HRM decision making.
With the perception of the organisation the relation between employees and employer
should be effective. It works as key role at the time making decision in the business enterprise.
The conflict between the employer and employees affect the performance of the working of
Aldi's. It leads to bring the inappropriate environment in the firm which result in poor making of
decision. Without any conflicts between the employees and employers an organisation can run its
activity in more sufficient and in smooth way. There are certain benefits in the terms having
healthy relation between the employer and employees in the organisation are as follows-
 Healthy relation among the organisation improvise the performance of work of each
individual. It helps to increase the motivation level of the employees. Such feeling of
encouragement leads them to get higher level of involvement in the organisation.
 The flow of work become more flexible if it done in the coordination process. The proper
share between the activities of the business enterprise helps them to have effective work.
It helps in having better output.
 The proper communication n in the organisation leads to have proper sharing of idea
between employees and employers on the basis of which effective decision van be taken.
 Good working environment always helps in creating healthy relation between the
employers and employees in the firm (Nelson and Tyler, 2017).
 The firm profitability and productivity can be increased on the term of healthy relation in
the organisation.
 The Aldi's is taking various measure to bring effective relation between the employees
and human resource managers because it helps them to add goodwill of the firm.
 The improvised relation helps the company to retain the employees for longer period in
the organisation.
 The Aldi's helps the organisation to bring efficiency in the working of employee by
promoting various measures to creating the good and healthy relation between the
employees and employers.

 Proper involvement of the employees and employers helps them to have development in
the company.
 A healthy worker relation helps the organisation in avoiding the problem of absenteeism
hence productivity can be improvised.
 It helps in bringing the quality of work in the performance of each individual.
 It employees work in family manner with each other than it can bring happy environment
at the working area which leads to success of the organisation.
P6 identification on employee’s legislation and its impact on the HRM decision making.
The government frame various laws and legislation for the betterment of the functioning
of the business enterprise activities (Ones, Viswesvaran and Schmidt 2017). There are various
laws which can large amount of impact on the decision making process of HRM. Such element
covered the following aspects.-
No discrimination- the partial environment between the employees and employers leads to bring
inefficiency ion the working of the business enterprise. To cope up with this conflict in the firm
government has passed the Equity act which helps the corporation to get overcome from this
issue. There should be no discrimination on the basis of caste, religion, sex, age, gender etc. the
main objective of this act to provide equitable flow of working in the business enterprise which
helps them to gain more profitability and productivity in the firm. The Aldi's is taking various
measures to promote equity in the business enterprise.
Hour and wages- The distribution of wages and hour should be in the proper way. The
organisation should maintain the fair way distribution among the employees and employers.
Also, the payment on the basis of hour based is bringing complexity process in the organisation.
Medical facility – there are various laws which taking measure in order to behave properly with
the disabled employees (Parker, Morgeson and Johns, 2017). There is act which take various
measure to improve the behaviour towards disabled employees. Such act is health insurance
portability and accountability to protect the confidential medical data.
Provision on leave- with the help of this provision an employee can take maximum 12 unpaid
leaves in the year. This is the biggest disadvantage to the organisation. It creates an environment
of absenteeism in the business enterprise which is responsible for having low productivity in the
organisation.

LO 4
P7 Discuss the application of HRM practices in a work-related context, using specific examples.
Basically HR of Aldi focuses on few practices as it does not consist of many departments
like marketing, information systems, and public relations. Four major HR work practices of Aldi
are as follows:
Recruitment and selection: It is hiring the correct person as per the requirement of job.
The HR of Aldi focuses on individual’s basic qualities like honestly, education, dedication, team
player, and diligence. The company travel across Australian university to find potential
candidates according to requirement. Aldi spends lot of time in finding the potential individuals
who are graduated with university degree and to whom Aldi finds perfect as per the job. The
company invest lot of time and money in training programmes and offers the best financial
packages to people working with them. For example, throughout the global financial crisis Aldi
offered job to 150 graduates and offered them 50 percent higher salary comparatively to past
years.
Learning and Development: It is a continuous process comes after recruitment and
selection. In this stage, company announces learning session for new employees which help them
to know more about the company like its ultimate goals, working condition, efficiency etc. For
instance, like the company's relationships are built on principles of trust, honesty, individual
empowerment, mutual support, accountability and cooperation. Aldi organises training session
for its staff to develop their work efficiency, training session of the company includes process of
management like, product training, store operations, logistic and property management and
financial stability.
Performance Management: The major objective behind performance management is to
motivate employees. Aldi's uses 360 degree feedback method to measure its staff member’s
performance (Van Wingerden, Derks and Bakker, 2017). The feedback is made with the
information collected through supervisors and subordinates of particular employee.
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Remuneration and benefits: According to the performance measurement employees are
rewarded by Aldi. The company appreciates the handwork and skills as the employees are the
valuable asset of the organisation. For example, Aldi gives paid maternity leaves to its
employees, also it provides above average salary and healthy working conditions to every
worker. Further, Aldi offers saving plans, compensation and retirement plans to the staff
members. The firm allows its employees holidays and flexible hours. Besides, it also offers
personal commitment around their work schedules.
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Illustration 1: 360 degree diagram
(source: Parker, Morgeson and Johns, 2017)

CONCLUSION
From the entire report it has been concluded that the human resource personnel act as
backbone to the organisation. They take various incentives to create effective flow of working in
the organisation. The management of Aldi's is very efficient regarding to have positive
environment of working. The overall success of the organisation is depends on the employers
and employees relation hence, it can be said an organisation should have healthy relation among
them. The productivity and profitability of the firm depends on the activities of the Human
resource managers. The all the fact and figures in this report are based on the relevant
information.
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Human Resource Management: Meaning, Objectives, Scope and Functions 2016,(Online).
(Available through). :<http://www.yourarticlelibrary.com/hrm/human-resource-management-
meaning-objectives-scope-and-functions/35229/>.[Accessed on 18th July].
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