HRM Report: Evaluating Human Resource Management at Aviva PLC

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This report provides a comprehensive analysis of Human Resource Management (HRM) practices at Aviva PLC, a multinational insurance company. The introduction defines HRM and its importance in aligning employee performance with organizational goals. Task 1 explores HRM functions in human resource planning, detailing recruitment and selection approaches, and the benefits of various HRM practices for both employers and employees. It evaluates the effectiveness of these practices in raising profit and productivity. Task 2 delves into the significance of employee relations in influencing HRM decision-making, identifies key elements of employment legislation, and illustrates the application of HRM practices. The report emphasizes the importance of employee relations, a healthy working environment, and the role of training and development in enhancing performance and productivity. The analysis covers internal and external recruitment, advantages and disadvantages of each, and the importance of employee motivation and well-being. The report concludes by highlighting the crucial role of HRM in achieving organizational objectives and maintaining a competitive edge.
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HUMAN RESOURCE
MANAGEMENT
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Explain the purpose and functions of HRM applied during human resource planning . .3
P2. Explain the strengths and Weaknesses of different approaches to recruitment and selection
................................................................................................................................................4
P3. Explain the benefits of different HRM practices for both employer and employee .......5
P4. Evaluate the effectiveness of different HRM practices in respect of raising profit and
productivity ............................................................................................................................6
TASK 2............................................................................................................................................7
P5. Analyse the importance of employee relations in respect to influence HRM decision
making....................................................................................................................................7
P6. Identify the key elements of employment legislations and its impact on HRM decision
making....................................................................................................................................8
P7. Illustrate the application of HRM practices ..................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................11
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INTRODUCTION
Human resource management refers to the process of controlling employees of the
company so that they can perform in accordance to their policies and rules. This department is
responsible for creation of such team of workers that they can able to follow organisation's final
aims and objectives so that they can able to achieve final mission and vision that has to be
attained in particular time period. The institution which is included in this report is AVIVA plc,
which is a multinational insurance company located in London United Kingdom. It has approx
30000 employees working there which focus on supplying life and general insurance services to
their clients which is located in all over nation. Human resource department is created to
supervise their workers in effective and efficient way. This report also highlights importance of
training and development process which is imparted into the system so that they can improve
their performance at significant level. It also underlines the various sources of recruitment and
selection that are adopted by management level in order to acquire best of workers into the
system.
TASK 1
P1. Explain the purpose and functions of HRM applied during human resource planning
Human Resource planning refers to finding out the requirement of employees in
organisation and than fulfilling it at right time. Work force are considered most important asset
that helps in attaining final mission and vision of the organisation system. Aviva Plc contains
substantial amount of workers in their system hence, it become essential to regulate policies
related to human resource system. HR manager is totally responsible for managing these aspects
in proper and correct manner. Hence, it become crucial to develop strong human resource system
as it only directs the process in accurate and right path (Alarcon, 2011). It become indispensable
to create such strong system that continuously aids in increasing the performance and
productivity level of staff members that are working together in single organisational system. HR
manager possess different responsibilities or duties that are played in every business firm, some
are discussed below: Selecting most prospective employees: It is the primary duty of the HR manager to find
out most advantageous workers that will form best part of the system through their
efforts. AVIVA works for their final vision and mission therefore, they motivate their
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hired employees to accomplish them in positive mode. This function involve performing
the recruitment process that means attracting the large number of people and than
selecting the most effective ones (Armstrong, and Taylor, 2014). Building most healthy relations among employees: Every employees wants to work in
the system where there is healthy and conducive working environment. Hence, it is
necessary to set up such system so that employees can work according to company's
policy and guidelines.
Underlying proper training and development process: Training is provided to improve
the current performance of each individual so that they can able to execute set targets.
There are number of changes that take place in the business environment therefore, it is
require to implement these modifications into the system by rendering proper training to
their workers. Aviva Plc have decorous system of training that are controlled by HR
manager.
Purpose:
The major purpose of human resource management is to improve the working style of
each individual by improving their capacity and abilities. They can be continuously put into
work by motivating them up to maximum level. Managers have to take up so many challenges
that come across and hence have to accept all these in positive and proper mode. Other purposes
also include finding out best suited employee for the business firm so that their objectives can be
aligned with organisation's vision and work together in conducive way (Bhamra, Dani, and
Burnard, 2011).
P2. Explain the strengths and Weaknesses of different approaches to recruitment and selection
Recruitment is conducted to attract huge number of people from outside environment so
that they can be examined through selection process. Thus, it is a crucial step that is performed
by HR manager by studying all the needs that are present in the system. On the other hand,
selection process is the concept of selecting the prospective and best ones out of the applicants
that have come applied. HR manager of Aviva plc have to scrutinize several sources of
recruitment that is available in the form of internal and external. After this, they have to choose
best of the options and than implement it into the system.
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Internal sources of recruitment involve selecting the employees within the system and
posting them to higher position. It include transfers, promotions that is conducted in the
organisation. Whereas external recruitment sources refers to attracting the prospective work
force from outside environment. Some examples are trade associations, consultancy institution
etc. These several sources have to examined properly and accurately. Hence, there are number of
approaches for these process (Brewster, and Hegewisch, 2017). There are some benefits and
drawbacks that are associated with this which are explained below:
Internal process of recruitment External process of Recruitment
Advantages Advantages
This type of recruitment process is carried out
in the system only. The main benefit of this
procedure is that it aids in building the
motivation factor among employees as they
feel as an indispensable part of the
organisational system.
External source of recruitment is done while
hiring the prospective workers from outside
sources like colleges, consultancy firms etc.
Main advantage associated with this is that
new and innovative blood is infused into the
system which is beneficial to run business
entity successfully.
Drawbacks Drawbacks
The chief consequence of this process is that
current workers got the feeling of insecurity in
themselves as their own peer members gets
moved to higher position or rank.
The main drawback of this source is that it
leads to addition of extra company cost as it is
costly and time consuming action which is
performed by HR manager. On the other side
they have to approach outside sources and
hence require lots of time to be completed.
P3. Explain the benefits of different HRM practices for both employer and employee
HRM practices is performed by HR manager in the business establishment. These are
carried out in every system whether it is small or large sized. It continuously put their focus on
enhancing the performance level of every individual. Aviva plc is a well established
telecommunication institution employing large number of workers in to their system. Hence,
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HRM practices are drafted in accordance to make them achieve final set targets in particular time
phase. Manager plays supreme part in this respect as they have to act for whole organisation
system and there are several roles that are played by them is illustrated in below points: Regularly checking the performance of every individual: It is required to monitor the
performance and actions of every worker to find out any deviations. It is helpful to
determine flaws that can be improved while applying suitable process. There are
standard that are formed through which actual performance of every worker can be
measured so that control actions can be taken (Bratton, and Gold, 2017). Drawing proper salary and compensation system: Every employee works to earn their
livelihood by receiving salary from company system. Higher management level sets
accurate payroll system in conducive mode. Aviva Plc have different departments
working together to gain final aim of the system in achievable manner. Supplying training and development process: The basic purpose of the training is to
increase the working capacity of each individual at significant level. There are certain
needs and wants that has to be infused into the system and for this employees are
properly trained. After following the training steps workers will start working in
reaching the final mark. Human Resource information System (HRIS): This system always make efforts to
improve staff worker process. It pertain that proper database is maintained of each and
every employee that contains several details related to them and hence this system is
very much important to be regulated in correct and proper manner. Providing proper Guidance: There are several conditions in which employee require
guidance that assist them to work on the correct path or route. Thus, this have to
performed by HR manager accurately and impelling. If employees are not given proper
instructions regarding work process than, number of problems arises that has to be bear
by the system.
P4. Evaluate the effectiveness of different HRM practices in respect of raising profit and
productivity
Every business entity work for attaining huge financial outcomes and competitive
growth in the business world. Hence, to acquire such goals and objectives HRM practices are
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formulated in conducive way. All these actions have to be carried out in different styles and
processes (Chelladurai, and Kerwin, 2017). Aviva Plc should concentrate to coordinate all their
functions and objectives in one direction and goal. It is essential to monitor the effectiveness of
training and development so that key areas that need proper attention as well as those that require
more improvements are highlighted: Aids in grabbing workers for longer period of time: It should be evaluated that once any
individual enters into the organisational system than, it become very important to hold
them for maximum period of time. Aviva Plc have many rules and policies that
concentrates on keeping these workers work for longer period of time. Creation of healthy relationship among employees: It is the duty of business institution
to create such working environment that promotes growth among every one who is
working there. HR manager of Aviva Plc have to update themselves regularly so that they
can maintain good relationship among superior and subordinates.
Developing motivation factor in the employees: Every organisational system have to
look after their employees that they are properly motivated for work. There are number of
methods that include monetary and non- monetary aspects that perform different
functions for every individual. For instance non- monetary element include recognition,
rewards and many more.
From the above discussed points it can be concluded that HRM practices have to be accurately
enforced in to the organisational system. The major aim of these functions contribute together in
increasing the profits as well as productivity at substantial level.
TASK 2
P5. Analyse the importance of employee relations in respect to influence HRM decision making
Employee relations is an essential concept of regulating employees of the company in
efficacious and constructive manner. It is the duty of HR manager of company to maintain
healthy and responsible criteria between superior and subordinates in the system. Employee
relations have direct impact on the HRM decision making process. Aviva Plc have structured
employee relation plan that only have to be focused on maintaining strong bond between them so
that they can carry out the work process correctly. There are some advantages and disadvantages
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which is associated with this process hence, these have to be consider while making any policy.
Importance of Employee relations can be discussed below: Perfect environment of working: Aviva Plc keeps on updating their working culture so
that employees can put best of their efforts in to the working process. Every organisation
has certain rules that guide each and every individual to work according to it and assist in
accomplishment of long term as well as short term goals (Ellison, and Boyd, 2013).
Inculcating feeling of confidence and faith: It is necessary to evolve faith and trust
among employees so that they can work together without any hindrances or obstacles. It
also enable them to perform actions according to company's set path or route. It should be
infused so that final objectives can be earned (Watson, 2011).
Healthy employee relationship affect the decision making process of human resource is as
follows: Developing innovative and advanced thoughts and ideas: In the dynamic business
environment it is obligatory to promote new and innovative working style in to the
organisational system. Aviva Plc supply proper training methods to their employees so
that they get encouraged to work in order to face new challenges and current style. Maintaining company cost at significant level: Controlling the cost and cutting extra
cost is also included in their final objectives or aims. Expenses are incurred in day to day
life hence, these have to be managed decently. For this proper cost effective techniques
are applied into the system.
Supplying the increment or incentives: There is a proper salary system that has to be
allocated to each and every employee according to their particular job position and status.
Therefore, incentive system should be prepared for specific position and role. These aids
them to acquire fair remuneration from the business organisation.
P6. Identify the key elements of employment legislations and its impact on HRM decision
making
Every single business entity have to follow employment legislations that are framed by
many government institutions. These have to be recognized by them in proper condition so that
working process can be carry out in effective and efficient way. There are number of
employment legislations are formulated and has direct impact on HR practices that have number
of property (Fulton, Smith, and van Putten, 2011).
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Equal pay Act, 1970: In accordance to this act which is formed organisation system have
to equally distribute salary structure to their respective employees. It also include that no
one can be discriminated on the basis of gender, creed, caste or customers. All male and
female are also paid without any discrimination so that they remain happy with the
policies and rules. Health and safety act, 1974: This act concentrates on health and safety issues of each
employees so that they remain secure while working in the company institution. Aviva
Plc always make efforts to make their employees or workers perform action properly and
correctly. These are very strict rules that has to be adhere by the company institution and
non adherence to these will pose huge problem to them. Therefore, these need to be
included in HR practices of the system. Disability Act: This act is formed for disable personalities that are present in the society
and can be the part of the company. Hence, there are special rules or regulations that are
implemented in this area. Hence, it help them to give equal opportunity to disable persons
to be the part of company.
RIDDOR, 2013: This act is formed to control the unfavourable and complex conditions
that may arise in future time during carrying out the process. Thus, there should be proper
system that has to be executed in Aviva Plc.
Impact on HRM decisions:
The employment legislations are to be consider in framing any human resource practices
or rules (Hendry, 2012).
Human resource manager should continuously make efforts for hiking the performance
in constructive way.
Equal Pay Act, only focuses on maintaining the equal balance between employees so
that there is no discrimination created between them and than they produce such rules in
their HR department.
It can be concluded from above illustrated points that government body always make certain
rules or legislations in favour of organisational system and has to be properly conducted in to the
system (Hobfoll, 2011).
P7. Illustrate the application of HRM practices
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Role of Job Advertisement
JOB VACANCY
There is a vacancy of ASSISTANT HUMAN RESOURCE MANAGER in Aviva plc which is
an well established telecommunication company providing services to all over nation. It is the
largest general insurer company institution that provide quality services to their clients. They
are open now for providing chance to number of people who are interested.
Some requirements of this post:
Age must be in between 26 to 28 years.
Must possess experience of not less than 5 years.
Must have complete knowledge about current HRM practices that are applicable.
Must have superior communication skills.
Should have leadership qualities.
Must have attractive and descent personality.
Decided Salary: 18000 to 25000 pounds per month in accordance to experience.
Prospects who are interested and contain accurate qualifications are allow to send their CV on
company's email id: avivaplc@telecommunication.com.
People can apply till March 30, 2018.
There are many sources through which any company can advertise their requirements but has to
be selected decorously. There are number of media through which messages can be transported.
This is the responsibility of manager to evaluate various alternatives and select the best of all
these options (Ployhart, and Moliterno, 2011).
Job Specification
Job specification of Human Resource manager
Education Qualification Must be from commerce field
Contain degree of MBA (Full time course)
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Experience (In years ) Between 5 to 7 years
Specialised quality Excellent communication and leadership skills
Other specific Attributes Must have patience factor to bear all
challenges and garb opportunities that are
present.
Must have innovative mind so that new
changes can be introduced.
CONCLUSION
From the above drafted report it can be concluded that human resource management is a
very important concept that is carried out in the organisation system. HR manager have to carry
out such processes that are included in this department. The report highlight the importance of
work force planning in the selected company that is Aviva Plc. There are various criteria that are
included in this that are advantages and disadvantages of various training and development
methods. It also being highlighted that there are certain employment legislations that are consider
while performing any particular actions.
REFERENCES
Books and Journals
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Alarcon, G. M., 2011. A meta-analysis of burnout with job demands, resources, and attitudes.
Journal of Vocational Behavior. 79(2). pp.549-562.
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Bhamra, R., Dani, S. and Burnard, K., 2011. Resilience: the concept, a literature review and
future directions. International Journal of Production Research. 49(18). pp.5375-5393.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Brewster, C. and Hegewisch, A. eds., 2017. Policy and practice in European human resource
management: The Price Waterhouse Cranfield survey. Taylor & Francis.
Chelladurai, P. and Kerwin, S., 2017. Human resource management in sport and recreation.
Human Kinetics.
Ellison, N. B. and Boyd, D. M., 2013. Sociality through social network sites. In The Oxford
handbook of internet studies.
Fulton, E. A., Smith, A. D., Smith, D. C. and van Putten, I. E., 2011. Human behaviour: the key
source of uncertainty in fisheries management. Fish and fisheries. 12(1). pp.2-17.
Hendry, C., 2012. Human resource management. Routledge.
Hobfoll, S. E., 2011. Conservation of resource caravans and engaged settings. Journal of
occupational and organizational psychology. 84(1). pp.116-122.
Ployhart, R. E. and Moliterno, T. P., 2011. Emergence of the human capital resource: A
multilevel model. Academy of management review. 36(1). pp.127-150.
Watson, T. J., 2011. Ethnography, reality, and truth: the vital need for studies of ‘how things
work’in organizations and management. Journal of Management studies. 48(1). pp.202-
217.
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