Human Resource Management Report: HSBC Case Study Analysis

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within HSBC, a global financial institution. The report begins with an introduction to HRM and its significance, followed by an examination of workforce planning, including its purpose, functions, and importance in ensuring the availability of skilled employees. It then delves into recruitment and selection approaches, comparing internal and external methods, and evaluating their respective strengths and weaknesses. The report further explores the benefits of various HRM practices, such as skill monitoring and development, and pay and compensation management, for both employers and employees. It evaluates the effectiveness of these practices on organizational profit and productivity. The report also addresses the importance of employee relations in HRM decision-making and the impact of employment legislation. Finally, it discusses the application of HRM practices in work-related scenarios, offering a holistic view of HRM's role in achieving organizational objectives.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Purpose and Function of Workforce Planning and Resource Organisation: ........................1
P2. Strength and Weakness of different approaches of Recruitment and Selection:...................2
Task 2...............................................................................................................................................3
P3. Benefits of different HRM practices for employer and employee:.......................................3
P4. Evaluation of effectiveness of different practices in HRM in Organisation Profit and
Productivity: ................................................................................................................................4
TASK 3............................................................................................................................................4
P5. Importance of Employee Relation in HRM Decision Making..............................................4
P6. Impact of employment legislation on HRM decision making...............................................5
TASK 4............................................................................................................................................6
P7. Application of HRM practices at work related practices.......................................................6
CONCLUSION................................................................................................................................8
REFRENCES.................................................................................................................................10

INTRODUCTION
Human resource management is a approach that lead to effective management of people
in the organisation in order to achieve business objective (Anderson, 2015). It helps in improving
employees performance to contribute towards the growth of the organisation. HSBC is one of the
largest organisation providing banking and financial services to all over the world. The entity is
serving more than 40 million people globally through business. This report include purpose and
function of workforce planning and resource organisation. It also include different approaches of
selection and recruitment, benefit of HRM practices, impact of employment legislation.
TASK 1
P1. Purpose and Function of Workforce Planning and Resource Organisation:
HSBC is a multinational bank established in the year 1865 and has 3900 offices in
different countries. It is providing different service like commercial banking, investment
banking, retail banking and many more.
HRM ensure proper management of employees at work place so they can contribute
towards attainment of business goals (Armstrong and Taylor, 2020). HRM is important concept
for HSBC bank as it helps to manage performance of employees at work place. The duty of this
department is to ensure availability of employee, training and development, performance and
reward management.
Purpose of Workforce Planning and Resource Management:
Workforce planning ensure that organisation have right people in right place at right time.
It include analysing and planning workforce supply and demand to ensure availability to right
skilled people in the enterprise (Schaufeli, Maslach and Marek, 2017). The purpose of
Workforce planning at HSBC bank is to ensure that there is always availability of skilled
employees in bank.
Workforce planning ensure correct balance of human resource by forecast demand and
supply of employees and utilising them in a effective manner. It helps in effective conflict
management at work place as there are many employees working for a common purpose so there
are higher possibility of conflict.
Functions of Workforce Planning and Resource Management:
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Planning: Planning refers to deciding in advance about goals, strategy of business and it
helps an organisation to face difficulty (Sharma, Sharma and Agarwal, 2016). It is the first and
important function HRM as it aware them about the need of human resource at work place. It
helps the manager of HSBC bank to ensure about what kind of people organisation needs to for
the available jobs.
Recruitment and Selection: Recruitment is the process of attracting qualified employees
towards organisation whereas selection helps in selecting best among them to achieve
organisation goals of business. Human resource management include the recruitment and
selection of employees at work place. It is the duty of HR of HSBC bank to attract the skilled
employees towards them by offering perks and benefits.
Performance Management: Performance management is the process of managing and
monitoring performance of employee to improve their efficiency. The function of HR is to
ensure proper performance management. It is duty of HR of HSBC bank to ensure that
employees are stay busy and productive for the enterprises.
P2. Strength and Weakness of different approaches of Recruitment and Selection:
Recruitment: Recruitment is the process that include identifying, interviewing,reviewing
suitable people for the enterprise (Torraco, 2016). There are two approaches with which HR of
HSBC bank can hire employees which are as follows:
Internal Approach: This approach include hiring of employee within organisation as it
is cheaper source of recruitment. This method include transfer, promotion, employee referrals
etc. The strength of this approach for HSBC bank is that it saves the time of the organisation to
find suitable candidate for the respective job. It also save cost and efforts of the HR as the
employee is already aware of the terms and policy of the organisation. Weakness of this
approach for HSBC bank is that there is limited choice of employee for the job. It also stops the
fresh blood and thought within enterprises.
Strength of Internal approach  It saves cost of business to provide training and
development to employees as they are already aware
of policies as well as strategies of business.
 It saves time of managers for recruitment of new
candidate as they need to advertise job vacancy to
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invite application of job requirement.
Weaknesses of Internal
approach
 It prevent fresh blood in organisation as fresher
came in enterprise with creative thoughts and view
points.
 It sometimes create internal conflict within
organisation as every employees are interested in
promoting themselves. In this case promotion of one
employee decrease morale of others.
External Approach: This approach include hiring of employees from outside the
organisation. Hiring from outside bring new ideas in the organisation and also increase the
competition for existing employees. This method include advertising, job fair, placement
recruitment, online recruitment etc. Placement recruitment include hiring of employees from
colleges and institution. It is suitable method as organisation can employees at cheaper rate. Job
board is another method in which detailed description about job is written on it and company
place it on different websites where job seekers can access it. The strength of this method for
manager of HSBC bank is that organisation will have wide choice and can get new thoughts. The
weakness of this method for manager of HSBC bank is that it will take proper time to hire
employees and provide them training.
Strength of External approach  This approach provide fresh talent in enterprise
which came with new ideas and thoughts in business.
 It increase competition in company which helps to
improve performance of other employees.
Weaknesses of External
approach
 It is costlier affair for business as hiring new
employees require cost of advertising, training and
development.
 It is time consuming process for human resource
managers as to hire new employees manager need to
spend time.
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Selection: It is the process of taken up individual with suitable qualification for the
enterprise (Hasibuan and Syahrial, 2019). It is a negative process as it reject the unqualified
employees from the pool of applicants. Strength of this process for manager of HSBC is that they
get qualified employee for the enterprise. Weaknesses of this process for the manager is that it
consume time and efforts of employees.
Strength of Selection  Selection process helps to get qualified employees in
organisation.
 This process helps to prevent biasses in selection of
qualified employee for working of business.
Weakness of Selection  This process is not compatible to assess quality and
capability of individual person.
 Some individual are afraid from this process and this hide
their exposure of skills.
Task 2
P3. Benefits of different HRM practices for employer and employee:
Human resource practices help the organisation to increase the efficiency of the
employees. It also make sure that there is no wastage of human efforts at work place and
decrease the cost. It also make balance between management and employees and reduce the
conflict at work place.
Skill Monitoring and Development: Skill monitoring is the process through which
manager monitor the performance employee and take appropriate action to take corrective
actions. It is the duty of HR manager of HSBC bank to provide proper training to the employees
as it help employees to enhance their skills and knowledge (Bowen, 2016). Manager provide
training to new employees to make them aware with the work of organisation. They also provide
training to existing employees in order to increase their skills with new technology.
Benefit to Employer: Skill monitoring helps the manager of HSBC bank in order to
enhance the skills of their employees. It reduce the possibility of mistake and increase the
efficiency of the employee which helps the organisation to achieve its predetermined goals.
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Benefit to Employee: This practice helps the employees of HSBC bank to increase their
efficiency so they can complete their work effectively and can get the reward from the
organisation.
Pay and Compensation Management: The most important work of HR at HSBC bank is
to provide employees within budget of employee to the organisation. They select the salary level
for different position in the enterprise. It is important process as it motivate or demotivate the
employees. To keep the employee motivated HR of HSBC bank offer rewards to employee as
motivated employee contributed his best efforts for the success of the enterprise.
Benefits to Employer: It is beneficial for the HR of HSBC bank as the employees
contributed their best in the growth and success of the organisation. It will also decrease the
conflict between management and employees.
Benefits to Employee: It provide benefit to employee of HSBC bank as they will get
reward for their hard work and can satisfy their needs. They will also get their salary on time and
can accomplish their personal goals.
P4. Evaluation of effectiveness of different practices in HRM in Organisation Profit and
Productivity:
HRM practices helps the organisation to motivate the employees and provide them
training and development so they can learn additional skills and contribute towards
organisational goals. It helps the manager of HSBC bank to increase the profit and productivity
of the enterprises. Evaluation of these practices are as follows:
Skill Monitoring and Development: Skill monitoring is a practice that helps the HR
manager of HSBC bank in reviewing the performance of their employees. It also helps the
employee to enhance their skills and productivity. Skilled employee can save the cost and efforts
of organisation as they will take less time to learn and perform the work or task. Monitoring and
training increase the efficiency of employee and also their productivity as it reduce the wastage
of resources. Increased productivity will ultimately result in increased profit which lead the
organisation towards the growth and success.
Strength of skill monitoring and development: This skills helps to save cost of HSBC
bank and also increase efficiency of employees as well as organisation. It also stops wastage of
organisational resources and save cost of company. Decrease cost of operation create positive
impact on profit as well as productivity of HSBC bank.
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Weaknesses of skill monitoring and development: This practice helps organisation in
saving their cost but at the same time, it waste time and energy of organisation. Managers are
busy in various works and focusing on this practise will waste their valuable time which may
impact on productivity of business.
Pay and Compensation Management: Pay and Compensation management helps the HR
manager of HSBC bank ensure control over budget. The pay system attract skilled employees
towards the organisation(Chadwick, Super and Kwon, 2015). It motivate the employees to work
in the direction of growth and success. Motivated employees work with efficiency and
contributed towards organisational goal. Their productivity is relatively higher than other
employees. This system include reward system which is based on their performance and it create
competition at work place. It provide benefit to both employee as well as employer. Employer
will get efficient employees and employees get reward to satisfy their needs and wants.
Strength of Compensation management: Strength of this practise is that it helps to
control over budget and motivate employees to work in that direction. This practise helps to
increase productivity level of employees as well as organisation and increase profit as well as
productivity of business of HSBC bank.
Weakness of compensation management: This practise increase cost of business as
organisation is increasing payment of employees to motivate them. It also make them greedy as
they only work when they get extra remuneration which can create negative impact of profit and
productivity of business.
TASK 3
P5. Importance of Employee Relation in HRM Decision Making
Employee relation refer to the relationship between employer and employees at
workplace (Thornton, 2015). It is important term in today's environment as employer know the
worth of right employees. Employee relation is an important in order to get employee
satisfaction, higher productivity, organisation success. It focus on avoiding and improving issues
and conflict related to employees. This term helps the HR manager of HSBC bank in following
ways:
Employee Productivity: Good relation with employee make them satisfied and increase
the productivity of the organisation. Employees relation helps them to increase the productivity,
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profit of enterprise. It ensure that employee will focus on their work and its improvement to
achieve their personal goals. Employees relation help the HR manager of HSBC bank to increase
productivity by satisfying them.
Employee Retention: Enterprise face many problem related to employees like high
employee turnover as an employee leave from the organisation it will create cost (Van
Wingerden, Derks, and Bakker, 2017). As when the employee leave organisation the needs of
new employee arises and that create cost of recruitment, selection training and development.
This problem can be solved by increasing employee retention. There are many reason for which
employee leave the enterprise like lack of management support, no increment, work pressure etc.
Manager of HSBC bank can solve this problem by making good relation with employees.
Conflict Management: Employee relation helps to reduce the conflict between
employees and top management as they do not have issues with management of the organisation.
Conflict management helps to save the time and cost of enterprise as employees is more focused
on their work rather than problems. It helps the manager of HSBC bank to resolve conflict with
employees and increase their work productivity.
Increase Morale of Employees: Employee relation helps the organisation to increase the
morale of employee as they are more focused towards their work. It will also contribute towards
the efficiency of employees and increase their satisfaction. It helps the manager of HSBC bank to
increase the morale of their employees to contribute towards organisational success.
P6. Impact of employment legislation on HRM decision making
There are various legislation that can impact decision making of human resource management.
These legislation as as follows:
Health and safety at work Act 1974: Health and safety at work include that employer
and employee should keep environment and surrounding of organisation clean and safe (Deyo,
2019). Manager and employee of HSBC bank is following this act as it helps to make
environment clean and safe which is good for health of employee, employer and customers. This
act create positive impact in HSBC bank as it allow HR managers to formulate strategies which
helps to maintain cleanliness at work place and increase safety measure to protect life of human
resource.
Equality Act 2010: This act include every person at work place should be treated
equally, discrimination should not be done on basis of gender, social status, income, colour or
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any other basis. Manager of HSBC bank is following this act as it improve image of bank in
employees as well as its customers. This act impact on operation of HSBC bank asit allow HR
manager to make changes in HR policies of HSBC bank as it helps to maintain equality at work
place which increase morale of employees.
National Minimum Wages Act 1998: This act include every employees at work place
should be paid hourly work rate (Lin, and Sanders, 2017). Manager of HSBC bank is following
this act and provide fair payment to their employees as it helps to motivate employees to work
effectively. This act create impact in HSBC bank as it assist manager to redesign wages policies
of company as it should include minimum ages as per rules build by government.
TASK 4
P7. Application of HRM practices at work related practices
Job advertisement: Job advertisement refers to provide information so as to inform
people that organisation has job (Narayanan, Rajithakumar and Menon, 2019). This
advertisement is given in newspapers, social sites, job websites etc. Here is sample job
advertisement of HSBC bank for marketing manager:
Job advertisement for Marketing Manager
Organisation name: HSBC Bank
Hiring candidate for marketing manager include responsibility of planning marketing strategy
along with making good relation with customers to promote bank and its activity including
product development, sales, advertisement.
Candidate should have knowledge in any banking or financial industry. 5 year experience in
marketing is required for this profile and able to attract customer towards bank.
HSBC Bank, UK based bank providing different banking and financial services in different
country having excellent customer base.
Email: [e-mail]
Address: Trafford Park, Manchester M17 1QG, United Kingdom
Job description: Job description is a written document containing information related to
job role and responsibility of particular job (Newman, Donohue and Eva, 2017). Here is sample
job description of HSBC bank for job profile in marketing manager.
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Job Description
Organisation: HSBC bank
Job Position: Marketing manager
Position Overview:
Job position of marketing manager responsible for planning marketing strategy and design
marketing campaign for institution. Major job duty and responsibility include include creation
of marketing strategy in respective to budget and planning.
Key Roles and Responsibility:
 Conduct campaign of managing marketing to sell products in market.
 Promote product and activity of bank.
 Analysation of customer and competition.
 Planning and development of marketing strategy.
 Understanding of marketing trends.
 Maintain relation with advertising agency in order to manage effective advertisement.
Person specification: Person specification is detailed description of skills, knowledge
and qualification to perform a particular job. Here is sample person specification of HSBC bank
for job profile in marketing manager.
Person Specification
Organisation: HSBC bank
Job Position: Marketing manager
Essential Desired
Qualification Graduate in field related to
commerce with knowledge of
marketing or any other
marketing course.
Graduate in marketing or any
other certified marketing
course. Or MBA in marketing
is more preferable.
Experience Minimum 2 year experience
marketing in any recognised
organisation
Minimum 2 year experience in
any banking or financial
organisation.
Skills and knowledge Candidate should have Candidate should have
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knowledge of banking
institution and marketing
management. Candidate
should know how to made
good relation with clients
along with analysation of
marketing trends.
knowledge of banking
institution and marketing
management. Candidate should
know how to made good
relation with clients along
with analysation of marketing
trends.
Sample interview questionnaire: Interview questionnaire include questions which are
asked by employer from employee to collect information about his skills and knowledge. Sample
question for profile marketing manager in HSBC bank are as follows:
Questionnaire
Tell me something about yourself?
Why you want to join HSBC bank?
What do you understand by marketing and marketing campaign?
How do you maintain relation with clients and customer?
What strategy do you think will helps organisation to improve its marketing campaign?
Appointment letters:Appointment letter is a written document to inform employee that
organisation has selected him to perform particular job (Kim and Hyun, 2017). Sample
appointment letter of HSBC bank are as follows:
Appointment Letter
Dear John
We are happy to inform you that you are qualified for the job position of marketing manager in
marketing department. You are requested to join on date 1 march 2021. Other important
information are mention below:
Salary: 40000 £
Working hours: Working hour for employees are Monday to Friday from 9 to 5
Joining Date: 1 march 2021
With regards
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