Human Resource Management Report: HSBC Holding plc Analysis

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within HSBC Holding plc, a British international bank. The report begins with an introduction to HRM, emphasizing its crucial role in organizational success. Task 1 delves into the core functions of HRM, including recruitment, selection, and employee development, highlighting the importance of both hard and soft HRM approaches. It examines the strengths and weaknesses of internal and external recruitment methods. Task 2 explores the benefits of various HRM practices for both employees and employers, covering topics such as conflict resolution, training, and flexible work environments. The report also assesses the effectiveness of these practices in terms of raising productivity and profit. Task 3 emphasizes the significance of employee relations in decision-making and outlines key elements of employment legislation and their impact on HRM. Task 4 focuses on the practical application of HRM practices within the enterprise. The report concludes with a summary of the findings and provides references to support the analysis. Overall, the report offers valuable insights into how HSBC utilizes HRM to achieve its organizational goals.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Purpose and functions of HRM..............................................................................................1
P2. Strength and weaknesses of different recruitment and selection approaches.......................2
TASK 2............................................................................................................................................4
P3 Benefits of different HRM Practices for both employee and employer ...............................4
P4 Effectiveness of different HRM practices in terms of raising productivity and profit..........6
TASK 3............................................................................................................................................7
P5 Importance of employee relation in respect of decision-making...........................................7
P6 Key elements of employment legislation and its impact of HRM decision-making.............8
TASK 4..........................................................................................................................................10
P7 Application of various HRM practices in an enterprise.......................................................10
CONCLUSION .............................................................................................................................12
.......................................................................................................................................................13
REFERENCES .............................................................................................................................14
.......................................................................................................................................................15

INTRODUCTION
Human resource management is an effective process of recruiting and developing
workers so that they are valuable to the enterprise (Human resource management, 2016). It is an
essential practices of hiring, creating, hiring and managing an enterprise's employees in an
effective and efficient manner. It is an activity of selecting and recruiting workers, giving
orientation, training, development, induction and many other programs to the workers
(Armstrong and Taylor, 2014). So in the each and every organisation HRM is one of the main
part of the business success and development. Chosen organisation is HSBC holding plc, it is a
British international bank in the United kingdom. They provide financial services or facility to
the various clients in a detail manner. This report is based on main purpose and functions of
human resource management. In order to recruit and select talented candidates company apply
internal and external methods which is also shown in this project. HRM practices is very
essential for employee and employer which is determined in this project. Employee relation is
important for the company to maximise their profitability and productivity level which is
described in this assignment. Key components of employment legislation and application of
different HRM practices also identified in this project.
TASK 1
P1 Purpose and functions of HRM
Human resource management is one of the main and essential part of the company which
play vital role in the success and development of organisation. With the help of HRM, business
entity accomplish their predetermined goals and objectives in limited time duration. Human
resource management is an effective process of recruiting and selecting talented employee from
the pool of peoples (Bamberger, Biron and Meshoulam, 2014). Main purpose of human resource
management is to make a better process of hiring knowledgeable person which assist enterprise
to get talented employees.
There are mainly two types of HRM practices which is a used by the bank in order to
maintain long lasting relationship with workers. These are determined as below:
Hard HRM: It is one of the essential and significant part of the practices which is used by the
company to increase basic knowledge of employees regarding particular matter. In this all
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workers are treated as an organisation equipments in order to finished business activities and
functions in allotted time period.
Soft HRM: It is also beneficial part of the HRM practices which is used by the Bank to train
their workforce regrading business operation and activities. Further knowledgeable person are
capable to maximise productivity and profitability of company in given time.
Main function of Human resource management which is perform by HSBC are:
Employee's benefits and compensation: It is one of the main function of human resource
management which is beneficial for the business entity to provide fair compensation to the
workers (Bratton and Gold, 2017). So it help all workforce to do their all work with full efforts
and achieve long term goals.
Development of employees: It is another function of HRM which is essential for the
organisation. In this role of business manager is to provide accurate training and development to
the employees. So that they can do all activities and task of enterprise systematically. It turn in
the advantage of predetermined goals of company.
Selection, recruitment and planning of manpower: It is another function of HRM which
is significant for the manager. In this main role of human resource manager is to conduct training
and development programs to their employee's. Further, company use two types on recruitment
methods such as external and internal. Both approaches are beneficial for the organisation to
search knowledgeable and skilled workers form the different number of applicants.
P2. Strength and weaknesses of different recruitment and selection approaches
Recruitment is an effective process of attracting, appointing, selecting, short-listing the
right persons for complete a vacancy at workstation. These are identify as an essential and core
functions of human resource management (Brewster and Hegewisch, 2017). It assist business to
acquire knowledgable employees by providing training and development programs. HSBC bank
apply two approaches of recruitment which are determined as below:
Internal methods: It is a significant approach of attracting and determining job prospects within
a business entity. This method assist the manager to recruit and select candidate's in the
organisation systematically. This aspects has some strong and weak point which are described as
below:
Advantages Disadvantages
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 This methods save both cost and time
of the organisation.
 This approach develop positive and
friendly working environment which
increase employees moral and
performance.
 This approach is not good to bringing
innovation in the company.
 Employees are fail to acquire
promotion, it can demotivate workers
and hamper on business productivity.
External approach: With the use of this methods, HSBC bank invite large number of the
persons from outside of the organisation in order to fill vacant position (Decker and et. al., 2012).
It is important as compare internal methods. Following are pros and cons of this methods:
Strengths Weaknesses
 Large number of the candidate's are
present from which to analysis best
person.
 Outside people take in innovative ideas.
 It is longer process for the business
organisation.
 It is more expansive activity through
promotion and interviews needed.
Selection: It is essential process for the business entity to select right candidate's for accurate
job. In this, administrator of the HSBC create an effective judgement and select knowledgable
prospects for execute particular job in the bank. There are mainly two methods of selections
which are determined as below:
Systematic: It is a best process for the company to select talented candidate's in a
systematic way. In this recruiter follow this process step by step and take final judgement of
selections (Dowling, 2015). Further, manager analysis abilities and skills of candidate's to chose
best one from pool of applicants. It is more effective and beneficial method as compare to
another aspects of selection.
Unsystematic: It is identify as an effective and valuable process in this role of manager is
to collect candidates curriculum vitae on random basis. After this process, they sort out
Employees CV as per its skills and experience. Who workers pass this process, they are selected
for the vacant post of company.
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TASK 2
P3 Benefits of different HRM Practices for both employee and employer
Human resource management practices is very important and essential part of the
employer and employees. With the use of this practices both are increase their performance and
productivity level in limited time period (Dyer, 2016). There are some HRM practices and its
benefits to employer and employees which are determined as below:
Human resource
management practices
Advantages to employers Benefits to employee's
Conflict Resolutions HRM practices is very
essential and valuable for the
employer to solve all issues
and problems in the
organisation. In order to
resolve conflict, manager of
the bank tries to provide
coordination amount the
workforce.
Human resource management
practices important for the
employees to solve
misunderstanding. Further all
conflict are solved, employees
easily do their all activities and
functions in a proper manner.
Training and development Training and development is
the part of HRM practices
assist employer to provide
accurate training in limited
time period (Freeman, 2012).
With the help of proper
training secession, manger of
the company easily introduced
all information regarding
business post, environment,
changes and many other.
Training and development is
also beneficial for the
workforce to learn new which
help them to increase their
basic skills and knowledges on
specific matter. It help
business entity to maximise
their performance and
profitability level in an
effective or efficient manner.
Promoting positive behaviour HRM practices also assist in
promoting positive behaviour
Positive behaviour of
employees is beneficial for the
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effectively. Positive behaviour
asset the business entity to
increase their sales and
revenues in few duration. It is
also support in dealing with
customers easily so that it can
increase turnover of the
company.
enterprise to attract large
number of the customers as
well as maintain long-lasting
relationship with them. It is
also important to accomplish
their predetermined goals and
objectives in limited time
duration.
Building a flexible work
environment
In order to build flexible work
environment, company applied
HRM practices. It is more
essential for the employers to
work with full efforts and
achieve long term goals and
objectives of organisation in
limited time period. With the
help of flexible work
atmosphere manager easily do
entire functions and activities
of enterprise in limited time
period.
Flexible work environment
also assist the workers to
achieve their basic needs and
requirement in an effective and
efficient manner (Fulton and
et. al, 2011). It is important for
the employees to coordinate all
activities and operations of
company effectively and
systematically. Human
resource management also
support the workforce to
maximise their performance
and productivity level in given
time duration.
Improving performance level In order to enhance
performance level, HRM
practices is highly essential
and beneficial for the
employer. In this they attend
various training and
development programmes
One of the main and important
part of human resource
management practices is to
improve performance level. It
is beneficial for the employees
because with the help of this
they effectively complete all
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where they maximise their
basic skills and knowledge on
specific matter.
task and activities in allotted
time period.
P4 Effectiveness of different HRM practices in terms of raising productivity and profit
Human resource management practices is very important and beneficial for the
organisational and individual to maximise their performance effectively (Geringer and et. al.,
2012). These are valuable for the bank to maintain long-lasting relationship with customers by
providing effective services, loans and many other facilities to the clients in an effective and
systematic manner (Human Resource Management Good Practices, 2018). There are some HRM
practices which are used by the HSBC bank are as follows:
Training, development and learning practices: It is one of the important and main
practice of human resource management. It is essential for the employer and employees which
can effects on business profitability and productivity. In this role of HR manager is to conduct
effective programs where entire workforce share their opinions and problems with each other. So
in this HSBC bank easily identified needs and desire of staff members. After identified all data,
business entity should tries to give training, learning and development secession at workplace.
Further all are highly trained, they easily deals with customers which output is maximum
profitability and productivity.
Flexible working option: It is also essential part of the HRM practices which is used by
the bank manager to provide flexible working hour to their all employees. It help them to do their
all work and activities happily. This practices also support the employees to accomplish long
term and desired goals of organisation in limited time period. There are different options such as
Flexitime, Staggered hours, time off in lieu, compressed working hours, shift working, self
rostering, annual hours systems, part time work, team time working, job sharing, working from
home, temping or casual work etc. All these are essential choice which is provided by managers
to their employees. So it can rise productivity and profitability level of business entity (Hayton,
2013).
Employee performance management and monitoring: It is another important practice of
HRM which support the employees to increase their performance level. In this role and
responsibility of human resource manager is to manage and monitor all activities and work of
staff members. So all functions are managed, business entity easily rise their productivity and
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profitability level in a systematic manner. In order to manage worker performance, HSBC bank
tries to provide motivation theories them. So it turn in the success and growth of organisation in
limited time period. Performance management is identify as an effective process by which
administrator and staff members work with each others to plan, review and monitor an worker's
work subjective and entire contribution to the enterprise. It is important of assessing progress,
setting objectives and giving feedback and on-going coaching to see that staff members are
meeting their career goals and objectives.
Reward and Payment management: These are essential and necessary part of the HRM
practices which is concerned with the implementation and creation of business policies and
strategies that motive to reward workers fairly, consistently and equitable in relation with their
belief to the enterprise. It is consists of determining and monitoring workers compensation,
remuneration and other advantages for the workers. Fair remuneration support entire workforce
to do their all works and activities happily (Hedlund, 2015). Output of this human resource
management practices is higher profitability and productivity.
Service quality enhancement: It is another and important practice of human-resource
management which is apply by Bank in order to attract large number of the customers towards
business services and products. It is essential for the organisation to raise their performance and
profitability level in few time period. With the help of HRM practice firm smoothly maximise
productivity level of employees. Further an organisation tries to improve their services quality in
an effective and efficient manner.
TASK 3
P5 Importance of employee relation in respect of decision-making
Employee relation: It is an effective and main part of the business development and
growth. In order to maintain long-lasting and better relation with workers, HSBC bank provide
different kind of motivation theories, benefits, performance appraisal and many other. All these
are highly assist the bank manager to increase their productivity and profitability level. There are
some importance of employee relation in the context of making effective decision (Kochan,
Smith and Rebitzer, 2016). These are determined as below:
Equal distribution of entire task to accomplish work: Employee relation is very
important in the process of decision-making. In this business entity divide their all work and task
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to the entire workforce in order to accomplishing long term goals and objectives. Equal
distribution is important for the enterprise to complete all work in given time period.
Decrease conflict and misunderstanding among all workers: Good employee relation is
essential for the HSBC bank to reduce conflict which arise among the all employees. In order to
solve all issues and problems effectively, company tries to maintain coordination between
employees and employers which cause to take an effective decision regarding achievement of
long term success and growth.
Providing Loyalty to staff members: Better loyalty is essential and significant for
maintain good relation with employees. It will assist the enterprise to provide quality products
and services to the employees (Kopp, 2014). So it can beneficial and important for the bank to
increase their sales and revenues in allotted time period.
Build impressive communication among workers: Employee relation also beneficial and
necessary for the organisation to take an effective decision with aim of building impressive
communication. It is important for the enterprise to solve all issues in a easy manner as well as
attain long term goals and objectives. It turn in the accomplishment of higher success and
growth. Human resource management practices important for the bank to create effective level of
communication, so with the help of proper communication manager easily reduce
misunderstanding and conflict in an effective way.
Improving productivity and profitability level of organisation: Employee relation also
significant for the company to maximise their productivity and profitability level in a given time
period. In this manager of the Bank take effective decision with aim of maximising sales and
performance. Further they provide quality products and services to the customers so that they are
happily and trust level of the clients is more. Output of these is maximum profit and productivity
which can assist in accomplishment of long term targets and goals in an easy manner.
P6 Key elements of employment legislation and its impact of HRM decision-making
Business organisation have to follow certain employment legislations and regulations in
order to run effectively and efficiently. Rules have to be properly constituted by organisational
system so that final mission and vision can be accomplished in proper time period (Kossek,
2017). Government have formulated several rules that is described below: Health and Safety Act, 1974: According to this, company have to make proper
arrangement so that every individual remain safe and secure in working environment.
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Business firm have to follow all rules that are mentioned in this act and hence, have to
inculcate into their system permanently. Manager have to make sure that every employee
receive instructions regarding work procedure that has to be conducted properly and they
remain safe while conducting their tasks. Equal Pay act, 1970: This act aids in developing salary structure where there is no
partiality between staff members in single company institution (Moutinho, 2011).
Company have to make compensation system without making any discrimination on the
basis of caste, creed, colour, gender etc. In accordance to this act, such policies are
framed so that employees remain happy with the decision and able to work to best of
their efforts. HSBC holdings plc have proper structure of salary system and therefore
their workers are satisfied. Disability Act, 2014: According to this act, there is policy of employing disable person
from society and thus, they are also given equal opportunity to work like other members.
Hence, HSBC holdings Plc have correct structure which enable them to select disable
individuals in to their company system. Data Protection Act, 1999: According to this act, every institution ensure that the data
which is recorded in system remain secure for longer period of time. So that
establishment, do not have to face obstacles related to it. Diversity Act 2010: Single business firm have diverse employees which have different
background, attitude thus, it is the responsibility of organisation system to coordinate
their efforts in one direction or goal. Non adherence to it will result into posing of
problem in system and hence, this act will help them to establish successful business
structure. RIDDOR, 2013: This act focus on handling various unfavourable events and conditions
that may arise in future time period. HSBC Holdings Plc have proper system to be
executed in effective and efficient manner (Ployhart and et. al., 2010).
Impact on HRM decisions:
 The above discussed employment legislations have direct impact on HR decisions that
are taken in every business system.
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 HR manager play major role in this regard by framing such policies and procedures that
will foster the performance in correct direction. They have to study these factors and
draw conclusion according to it.
 HR manager of HSBC Holdings Plc continue make efforts to examine different aspects in
decorous mode. All these procedures have to be aligned with final mission and vision so
that it can be accomplished in prospective manner (Ployhart and et. al., 2010).
 It is very important to adopt all these employment legislations by every organisation.
TASK 4
P7 Application of various HRM practices in an enterprise
Hotel receptionist training
Training title/ Workshop- Date- 23 march 2018 Time- As per the
training time
Destination United Kingdom Trainer
Expected Player EMPLOYEES
Activity or action Expected time period Process Equipments
Induction or
Introduction
2 Days Training and
development
Seminars and
conference
Motive of Training
a) Increase knowledge
b) Motivate employees
3 Days Providing effective
training program
Case study,
conference, seminars
and many other
equipments
Warm up 1 Days Enhancing employees
regarding business
activities
Induction and
development
Important Content
Necessary points
2Days Relevant journals Case study and many
other essential
equipments
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