Human Resource Management in Practice: A Nestle Company Report

This report provides a comprehensive analysis of Human Resource Management (HRM) practices at Nestle. It begins with an introduction to HRM and its core functions, including talent acquisition, employee development, rewards systems, learning and training programs, and administrative support. The report then delves into the strengths and weaknesses of different recruitment and selection approaches, followed by an examination of the benefits of various HRM practices, such as recruitment, training, performance management, and job design, for both the employer and the employee. Furthermore, the report evaluates the effectiveness of these HRM practices in terms of organizational profit and productivity, highlighting examples such as human resource partnerships, Nestle's continuous excellence initiatives, leadership development programs, and goal alignment strategies. The report concludes by summarizing key findings and providing a list of references.

Human Resource
Management

Table of Contents
1) INTRODUCTION.......................................................................................................................5
2) Purpose and Functions of HRM..................................................................................................5
a. Talent Acquisition:.............................................................................................................5
b. People development:..........................................................................................................6
c.Rewards:..............................................................................................................................6
d. Learning, training and engagement:...................................................................................6
e. Administrative support:......................................................................................................7
3) The strengths and weaknesses of different approaches of recruitment and selection................8
a. Recruitment -......................................................................................................................8
b. Selection -...........................................................................................................................9
4) The benefits of different HRM practices within a company for both the employer and
employee—......................................................................................................................................9
a. Recruitment:.....................................................................................................................10
b. Training-...........................................................................................................................10
c. Performance Management-...............................................................................................10
d. Job Design-.......................................................................................................................11
Benefits of HRM practices for employee and employer both..............................................12
5) Effectiveness of HRM practices in terms of organisational profit and productivity.................14
a. Human resource partnership:............................................................................................14
b. Nestle continuous excellence:..........................................................................................15
c. Leadership development:..................................................................................................15
d. Goal alignment:................................................................................................................16
CONCLUSION..............................................................................................................................17
REFERNCES.................................................................................................................................18

1) INTRODUCTION
Human resource management is a basic function of every organisation that is helping in
achievement of various laid down objectives (HUO. and WANG, 2016). Present report is based
on Nestle that is an organization giving major focus on human resource and its functioning. They
have hired employees from different cultural backgrounds and are helping in achievement of
overall objectives in a more effective manner.
2) Purpose and Functions of HRM
Human resource management is a basic function that is helping in success of the
organisation.
Purpose of HRM: The human resource department in Nestle has the responsibility of sustainable
growth and success of company. It is a most important function. The more is the retention period
there is more employee commitment level (Johnson, ., Lukaszewski. and Stone, 2016). It further
helps in more success. There is a core cultural values that are helping n development of a
professional attitude of employees it is a criteria that is used for recruitment of potential
employees and training them, catering to their problems so that all their needs are taken acre by
human resource managers.
It is basically an art that is providing employees a better culture of work, safe working
environment and also job security as it leads to a edge over other competitors. In Bangladesh,
nestle has to build up a professional relationship so that they make sure that there daily
functioning is not getting impacted (Joo, ., Kong, . and Atwater, 2018). The employees do not
face any type of discrimination. Human resource department also help in solving all the issue
that are faced by employee’s so that there is full justice that is done to them. There is also aim to
build up a decentralised model that has less range of business control and helps in retention of
employees for a longer duration of time making it a better place to work.
a. Talent Acquisition:
For the recruitment team of Nestle that is their human resource department they are
working under the name “Talent Acquisition team”. Major role is to take care of the recruitment
process of the organisation, providing them various internship opportunities are some of the
basic functions. While the company is willing to fill up the vacant positions they ask managers

about their requirements and then look for various social contacts, online job agencies and finally
a sourcing method is selected. It helps in selection of best talent in their organisation.
b. People development:
In every organisation there is a requirement to have a developed working environment so
that employees are given opportunities for more skill learning (Lu, 2018). There is a need for a
development of a department so that people can work up to their full potential. It is the
department that basically aims to provide employee’s with opportunities for their overall skill
development and enhancement. Employees are provided with timely feedback and also
suggestions from their superiors that they can work on those areas where they need to and helps
in overall grooming of an individual (Marler, and Parry, 2016).. Overall atmosphere of the
company is helping an employee to share their ideas. All such efforts lade to low employee
turnover and also making plans regarding development of policies of incentives and appraisal to
their workforce.
c. Rewards:
In a company there is requirement of a well designed structure of compensation. There must
be full transparency as organisation is willing to have internal fairness and evaluation that is
unbiased nature for their workers. There are different types of surveys have been taken up by a
company so that there is fair payroll policies and also result of surveys are compared with all
records of other organizations. It will help in changing and correction of policies where the
organisation might be lacking that can help in enhancement of satisfaction level of their
employees.
d. Learning, training and engagement:
It is related with three elements that is helping management of an organisation. It is
concerned with designing of training programs for more understanding of what are some if the
nourishing skills of employees (Mertensand Wilson, 2018). In case of a new recruitment is made
in Nestle in Bangladesh it is in concern with manager has to keep and maintain all records of
their newly hired candidates and report it on periodic time to the talent hunt management team of
this organisation.

e. Administrative support:
In Nestle, there is administration of managers that consist of various teams that is looking
for various functions of employees and helping them in achievement if various objectives in a
given period of time. The administrative managers & teams are concern with the HR department
and they have to perfume various functions such as regulations, documentation and performance
of employees according to the labour code of Bangladesh. There are other departments such as
floor administration (Nolan,. and Garavan, 2016). Vehicle administration, cafeteria, supervision
CARE audit and kitchen administration etc. All these are specialised administrative department
who have to perform certain specially assigned responsibilities by the human resource
management departments.
Above discussed are some of the important functions of human resource department of
Nestle that is helping them in achievement laid objectives in given course of time period.

3) The strengths and weaknesses of different approaches of recruitment and
selection.
a. Recruitment -
Recruiting is the discovering of potential applicant for actual or anticipate organisational
vacancies. Recruiting make it possible to acquire the number and types of people necessary to
the continued operation of the organization. In simple terms recruitment applies to the process of
attracting potential employees to the company or organisation. It is a systematic means of the
finding and inducing available candidates to apply to enterprise for employment. Recruitment is
said to be a positive process because its approach as it seeks to attract as many candidates as
possible. The employee recruitment process is one of the critical aspects of running a successful
business. Because every organisation’s performance is largely depend on the quality of its works,
those that do an effective job of managing various functions are clearly better for it. So, training
and incentive supervision can transform some undesirable employees, recruiting individuals who
are already capable and enthusiastic is clearly preferable. The Nestle Company recruit those
candidates who consider and respect the values of the company. Company recruitment process
builds and maintain the image of the company in the market also increase the growth and
productivity.
Strengths
 This process can save a large amount of time, energy, and aggravating by placing the
right person in the right position.
 This is the important process for every organisation as it determines the present and
future requirements of the organization in conjunction with the personal planning and job
analysis activities.
 One of the strengths of recruitment is increases organizational and individual
effectiveness in the short as well as long term. It evaluates the effectiveness of various
recruiting techniques and sources for all types of job applicants.
Weaknesses
 Internal source of recruitment offers limited choices to the managers of the candidates as
compare to the external source.

 External source of recruitment is the more costly and time-consuming process also affects
the moral of current employees.
 This process not efficient in attracting capable and right candidates for the position.
b. Selection -
Selection is the process of examining the applicants with regards to their
suitability for the given jobs and choosing the best from the suitable candidates and
rejecting the others. Thus, selection is the negative process in its application as it seeks to
eliminate as many unqualified applicants as possible in identify the right candidates. The
Nestle selection process includes situational test, numerical test, aptitude test, along with
telephonic and video interview round. After candidate qualified the test round then they
called for the assessment day at the centres.
 The assessment includes testing the strength of the candidate through interview.
 Testing candidate writing skills by giving them a situational condition and also judge the
decision making skills.
 The assessment test helps the manager in deciding the role of employees according to
their ability, capability and potential.
The assessment test is conducted to get the idea about how a candidate will perform in
different-different business situation and conditions. After executing the assessment process
candidate are shortlisted and offered a position in the company.
4) The benefits of different HRM practices within a company for both the
employer and employee—
To maintain and manage the employees, skills, and knowledge Nestle develop a
systematic human resource practices in the organization the human resource technique
followed by the Nestle help to get a right person at a right place. The human resource
development manages the task and the activity of workforce also encourages them to retain
with the company for long run.

a. Recruitment:
Recruitment process of Nestle is as following
The Nestle Company focus on loyalty, honesty and reliability, integrity, practicality. Nestle
match the working culture of company with the candidate's values. The recruitment process is
done at the head office and remain other process is done at branch level. Many features are
examined at the higher official are encouraged according to their performance so there is no
sideways recruitment (Sehrawat,. and Pillai,2019). Company also organised recruitment camps
in colleges.
Nestle human resource policy. To maintain better human resource management in the Nestle
Group these policies are maintained.
Nestle people development review- this policy consist, Nestle culture, values, ethics, various
training program and employees’ life after work (Stewart, and Brown, 2019). Company analyse
and evaluate each candidate separately opposed to job profile and the details company collected
from the job briefing. The evaluation and analysis process of candidate should start just after the
interview or the assessment completes.
b. Training-
Training is the ongoing process of the Nestle. Every employee has to undergo with the
training process, this process utilising a systematic and organised procedure by which non-
managerial personal acquire technical knowledge and skills for the definite purpose.
Nestle provide following training functions-
-Local training program, this program include technical problems faced by the employees,
changes in the environment of the business (Stovall, and Neill, 2017. ).
-Company also teach their employees that how to handle new technology and changing
perspective of the customers, this include in company’s Literacy training program.
c. Performance Management-
At Nestle, the performances of the candidates are analysed to know the abilities and the
Potential of their employees.

 The human resource manager as well as the line manager of the company evaluates
the performance of the employees at all level.
 Senior managers maintain good relations with their subordinates and also give them
chance to ask the questions.
 Some important key performance indicators listed by the HR department.
d. Job Design-
Job design refers to the tasks, activities, responsibilities, roles, methods required to
perform a job. This process includes various tests written tests, interview and group discussion.
Thus it is very benefiting for the company in the long run (Watson, and Abzug2016).
Pay structure:
 Provide various benefits to employees like Pension and Retirement schemes.
 Employees get fair remuneration which is more than market standards.
 Provide good standard of living after the retirement.
 Nestle idea award- this is special category award by the company which give to the
employees who shows good performance and give innovative ideas to the company.
Benefits-
To meet the needs of the employees ‘company, provide benefits, Nestle provide following
benefits to their workforce.
 Children Education Assistance Scheme
 Provident fund
 Retirement Gratuity Scheme
 Group Insurance & Accidental Insurance Scheme
 Conveyance Reimbursements
 Residential Accommodation
Employee Relation –
Nestle maintain good relation with their employees. Company organized annual events in the
company in which all relatives of employees are invited by the company (World Health
Organization, 2016). They also taught work life balancing techniques to the employees.
Safety and Health

Company also take care of the safety and security of the employees. Company provide
safe and healthy working environment to the employees ( Guest, ., 2017).
Benefits of HRM practices for employee and employer both
Human Resource Management is a basic function that is part of every organisation. It
consists of various functions such as planning, recruitment and selection. It also includes training
of employees so that overall goals can be achieved. Human resource department is also concern
with management of human resource for overall achievement of organisational goals
Basis Benefits of HRM practices to
Nestle
Benefits of HRM practices to
the employees
Recruitment Recruitment practise of Nestle is
so strict that there is always hiring
of best candidate according to
their present level of
qualifications and skills (Delery.
and Gupta, 2016.). It helps the
organisation in having bets
workforce which can contribute
up to the maximum for
achievement of their overall
objectives.
When new recruitment re
made it is for employees
having very high potential so
employees get work according
to their skills that leads to best
utilisation of their competence.
For existing employees also it
results into reduction of high
work pressure as it gets shared
with the new employees.
Training and
Development
Training is a continuous program
that is very helpful in increasing
the efficiency of employees. It
helps organisation in making
employees proved the
opportunities to learn those skills
where they are lacking. There are
different types of training
For employees if their
employers are providing them
more opportunities of growth
and development of their
overall skill it leads to higher
growth opportunities from
future prospective. It also
results into career growth of