Human Resource Management Report: HRM Practices and Profits

This report provides a comprehensive overview of human resource management (HRM) practices, focusing on their functions, recruitment and selection methods, employee relations, and impact on organizational profitability. The report uses Aldi as a case study to illustrate the application of HRM principles, examining the strengths and weaknesses of different recruitment approaches, the benefits of various HRM practices for both employees and employers, and the effectiveness of these practices in raising profits. It covers topics such as recruitment, employee relations, training and development, and the role of HRM in fostering a positive work environment. The report also considers the significance of employee relations in decision-making and the influence of employment legislation on HRM strategies. Overall, the report analyzes how effective HRM strategies can contribute to improved employee performance, organizational success, and the achievement of business objectives. The report concludes by emphasizing the importance of HRM in creating a productive and supportive workplace.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Functions and purpose of human resource management..................................................1
P2 Strengths and weaknesses of various approaches of selection and recruitment...............2
P3 Benefits of various human resource practices for employee and employer......................3
P4 Effectiveness of various HRM practices in terms of raising profits of organisation........4
TASK 2............................................................................................................................................5
P5 Significance of employee relations in influencing decision making related with human
resource management.............................................................................................................5
P6 Main factors of employment legislation and its impact on HRM decision making..........7
P7 Application of human resource practices in a work related context.................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Human resource management is the most essential factor of any company because it
manage different types of activities perform in the organisation (Madlener and Sunak, 2011).
Human resource manager plays a significant role in order to hire new employees conduct
training sessions for employee to enhance their skills and knowledge of employee. It also
monitor performance of employee working in the company. The major role of HR manager is to
formulate effective strategies in order to accomplish different types of task in proper manner. It
also aids to allocate different types of resources which to produce different types of task in
effective manner. It aids to motivate employee in order to accomplish different types of task in
proper manner. AlDI is the company which deals to provide different types of groceries items to
its loyal customer. It is one of the leading organisation in order to provide different types of
groceries items in the marketplace. In present era it provide service to more than 20 nations.
TASK 1
P1 Functions and purpose of human resource management
For every organisation human resource management plays a significant role in order to
regulate employee in effective manner. It also help to accomplish different types of task in
effective manner. HR manager implement different types of strategies in order to hire new
employee as per requirement made by organisation. The main purpose and function of HR
manager of Aldi is to select right person for the right post. This concept helps HR manager of
Aldi to recruit best alternative to perform their work in organisation (Helmreich and Merritt,
2017).
Functions of HRM Recruitment: It is one of the most relevant function of HRM to recruit the skilled
employee to perform different types of functions in the organisation. The HR manager
publish advertisement by different medium of electronic media. It help to attract large
number of applicant to fill vacant post in organisation. For example: the HR manager
of the Aldi determine the skills of employee as per requirement in organisation. After
fulfil all criteria manager take decision to select the particular individual. Relation with employee: In present condition of business employees are the most
important assets of any organisation. So HR manager is to establish effective relationship
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with their employee. This aids to accomplish different types of task in stipulated time
period. The major of HR manager of Aldi put its effort to make healthy relationship with
their employee in order to attain goals and objectives of organisation. It helps to boost
moral of employees working in organisation (Van De Voorde, Paauwe and Van
Veldhoven, 2012). Conduct training and development: HR manager of Aldi conduct different types of
training methods in order to enhance skills and knowledge of employee. It also helps to
determine the gaps between pre and post standard of skills on regular time interval. This
training programme aids to maintain standard of performing work in effective manner. Compliance: HR manager of organisation formulate different types of policies which
aids to support and guide employee in order to accomplish different types of task. It
helps manager to consider various issues of organisation and take appropriate action
accordingly. Staffing: It is concerns about the appointment of various employee in order to
accomplish different types of activities of organisation. Aldi regulates its staff within
organisation according to their capabilities to perform work in proper manner. Health and safety: There are various employee performing different activities in the
organisation so there is chance of any incidence takes place with employee. So HR
manager of organisation needs to took proper care about the health and safty of employe
working in the organisation. Reward: The management needs to implement reward system in organisation which
boost the morale of the employee working in the organisation. Aldi implement different
types of reward system which are given on the basis of the outstanding performance of
employee working in the organisation.
 Improvement in work performance: HR manager of Aldi implement different types of
new and innovative technology in order to accomplish different types of work activities
of organisation.
These are main functions of Human resource management. It is very important for manager to
consider these function in effective manner.
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P2 Strengths and weaknesses of various approaches of selection and recruitment
Recruitment is the process to hire large number of applicant in order to fill different types
vacant post in an organisation. It is termed as most important factor of organisation which aids to
perform various types of function in effective manner . These employee are the strength of any
organisation. They put their effort in order to perform different types of task in stipulated time
period. HR Manager of Aldi take help of various approaches of recruitment in order to hire
number of applicant as per the requirement of company.
 Internal approach of recruitment: The meaning of this approach is to select employee
within the organisation. It reveals that give chance to existing employee working in the
organisation. HR manager of Aldi determine the performance of employee and promote
them to tackle new responsibility within organisation. Some employees are transferred to
other branch in other branch of organisation. This approach possesses some strength and
weaknesses which are mentioned below:
Strength
This approaches is very cost effective and quick processes, it helps to save cost of
advertisement and time consumption in hiring processes (Ghai and Vivian, 2014.). It aids to
boost morale of employee working in the organisation. This approach helps to create effective
environment which aids to increase the productivity of organisation.
Weaknesses
Main weaknesses of this approach is that it stops new employee to recruit in
organisation. This approach stops to implement new and innovative methods of recruitment. If
employee fails to attain promotion then it negatively impact the morale of employee working in
organisation (Bogner, 2018).
 External approach of recruitment : This approach is one of the most effective method
of recruitment because it aids to attract new comers to join the organisation in order to
perform their work in effective manner. This helps to hire skilled worker for company in
order to perform various types of functions. Management need not to provide any
training to such employee as they are skilled in order to perform different types of work.
This approach also have some strength and weaknesses which are describe below:
Strength
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Manager have lots of option to choose fresh talent for organisation. It helps to attain
goals and objectives of organisation. The manager choose the candidates by different resources
like pool campus, campus placement from different schools and colleges, publish advertisement
in newspaper.
Weaknesses
It is very time consuming processes and also very costly. Company needs to invest lots of
capital to recruit new employee. It demotivate the existing employee.
Selection: selection is the process by which manager choose number of applicant in order to fill
vacant post. There are main approaches of selection: Systematic approach: Manager of organisation implement different strategies in order to
hire different applicant for the organisation (Moore, Durstine, Painter and American
College of Sports Medicine, 2016).
 Unsystematic approaches: This approach concerned on to select the CV of those
applicant who fulfil the criteria made by organisation.
P3 Benefits of various human resource practices for employee and employer
There are different types of function of HRM which give benefit to employee working in
organisation. It aids to create positive environment at workplace. These are mentioned below:
Benefits to employer Creative positive Work environment: In order to make create effective environment
HR manager of Aldi implement different types of policies which helps to boost morale
of employee in order to perform different types of task in effective manner. Help to manager in taking future decision: HR manager of Aldi determine the different
activities of employees working in the organisation. This aids to take effective decision
in order to attain gaols and objective organisation.
 Provide support to evaluate the policies of company: Various types of HRM practice
aids manager of company to attain the target in stipulated time period. It aids to build
appropriate team in order to accomplish different types of task in effective manner . It
helps to fulfil desire of customer (Fitz-Enz and Davidson, 2012).
Benefits of employees:
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 Improve employee performance: HRM practices plays an important role in order to
create an effective work environment for employee to perform their task in effective
environment. It helps to enhance the performance of employee working in organisation. Understanding various needs of employees: HRM plays an important role to determine
the needs of employee while performing different types of activity at workplace. It helps
to monitor performance of employee and also conduct various training session whenever
needed. It helpful to enhance skills and knowledge of employee in proper manner.
 Create healthy working environment: Different types of HRM practices aids to
inculcate with various types of risks and give effective environment to employee in order
to perform their work at workplace in effective manner. HR manager of Aldi provide
compensation and reward to employee which helps to improve performance of
organisation. HR manager put its effort in order to implement new and innovative
methods of training which helps to increase the effectiveness of different work at
workplace within the organisation (Forman, 2014).
these are the two most widely adopted models of HRM are the hard approaches and Soft
approach. Management of organisation implement these two approaches in order to improve the
performance of employee. The key feature of of hard theory is describe below:
 Short term changes in the number of employee working in the organisation
 effective appraisal system can be implemented by the management of Aldi.
 Suits the structure of the organisation
The key feature of Soft HRM are mentioned below.
 Strategy implemented for long term workforce planning in organisation.
 Implement strong and effective communications with the employee.
P4 Effectiveness of various HRM practices in terms of raising profits of organisation
The most essential function of Human resource department to manage different types of
functions of organisation. This department aids to controls various types of activities such as
hiring of candidates, organise training programme for the employee, provide proper guidance in
order to accomplish different types of task in effective manners. It also plays an important role to
motivate employees in order to accomplish different types of task in effective manner. It helps to
establish coordination and cooperation about different types of activities in effective manner.
These HRM practices aids to create healthy and effective environment in order to perform
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various types of work in effective manner. It helps to encourage employee to perform their
work in effective manner. It leads to bring effectiveness in skills and knowledge of employee
working in organisation. These practices aids to utilise different types of resource which helps to
increase the profitability of organisation. The HRM practices aids to attain goals and objectives
of organisation in effective manner (Tyler and Blader, 2013).
This is very essential for organisation to determine needs and want of employee working
in organisation. HR manger put its efforts in order to satisfy these desire and wants in proper
manner. HR manager of Aldi needs to monitor different activities of employee working in
organisation and take proper initiatives order to conduct various types of training and
development programmes to increase their skills and knowledge of employee in effective
manner. Manager needs to collect different types of information of employee working in
organisation. It helps to attain goals and objective of organisation in effective manner. These
efforts aids in performing different types of activities in stipulated time period. Manager put its
efforts in order to implement new and innovative methods of training in order to enhance skills
and knowledge of employee in effective manner. These practices aids to attain profits of
organisation in effective manner. It also aids to accomplish different types of task in stipulated
time period. It also provide competitive advantage to company.
Overall different HRM practices benefit both managers and employees in order to
perform well by give direction to perform various types of function in effective manner. This
aids to accomplish different types of operations of organisation in effective manner (Vaccaro,
and et. al., 2012).
TASK 2
P5 Significance of employee relations in influencing decision making related with human
resource management.
Aldi fix different target for different target and for accomplish these different target in
stipulated time period. Employee needs to hire skilled and capable worker in order to accomplish
these target which is made by organisation. For accomplishment of these target organisation
needs to conduct various types training methods in order to enhance skills and knowledge of
employee in stipulated time period. It is important for HR manager to establish better
relationships to employee in order to perform various types of task of organisation. HR manager
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of organisation offers healthy and effective working condition within organisation. There are
various things which can be implemented by manager of ALDI which aids in creating effective
relationships with employee which can be determine by the manager of organisation are describe
below:
 Manager of organisation put its efforts to enhance participation of employee in various
decision making processes. It helps manager and employee of organisation in order to
attain goals and objectives of organisation (Post and Preston, 2012).
 The manager of organisation should behave with their employee in proper manner. It
needs to guide their employee in effective manner.
 Manager needs to gain feed from those employee who are working at lower level in
order to get aware about different types of problems and issues in effective manner.
Manager of organisation needs to consider the feedback given employee in order to
accomplish different type of task in appropriate manner.
 In order to motivate their employee organisation needs to monitor the performance of
employee and give different types of appraisals and reward to their employee as per
their performance made by the employee in proper manner. It aids to boost morale of
employee working in the organisation. Manager of organisation needs to implement
different types of strategies in order to resolve the various issues which are arises during
performing various types activities at workplace.
 Management needs to provide equal opportunities to different employee working in the
organisation in order to perform their task in effective manner. Management needs to
give chance to various employee working in order to perform their work in effective
manner show that they management can identify the quality of employee in effective
manner.
These activities can be accomplish by manager of employee by maintaining good
relationship with the employee. It help to attain support of employee in order to perform various
types of task in relevant manner. Establishment of god relation helps to explore business of Aldi
in different area of marketplace. It also aids to encourage employee in order to perform various
types of task in effective manner. It also helps to perform their duty in with full enthusiasm. On
other hand when manager of organisation not able to establish better relationship with their
employee working in the organisation. It leads to affect the relationships between employee and
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management of organisations (Yip and et. al., 2012). Employee could not put their effort in
order to complete their task in effective manner. It leads to reduce to reduce performance of
organisation and the level of profit is also decrease. There are two approaches which are used to
build effective relationship with employee the two approaches are Unitarist and pluralistic
Unitarist approach: This approach deals with resolution of unnatural and abnormal conflicts
which are arise during performing various types of activities in the organisation.
Pluralism approaches : as there are multiple party involve in the process of decision making
emphasizing the different interest of the members who takes part in decision making this leads
to raise of conflicts this called pluralist. The focus of the pluralistic is collective bargaining in
order to resolve the conflicts and accomplish process of decision making.
P6 Main factors of employment legislation and its impact on HRM decision making
There are various types of rules and regulation which is made by the government in order
to protect rights of employee who are working in organisation. Employment law is part which
have different rules and regulation which describe the various rights and duties of employee.
Employment legislation impact on the different decision taken by the manager of organisation.
Which are concerned with various employee working in organisation. The various types of
legislation are describe below. Employment right act: This act defines different types of rights and duties which are
being assigned by the management and government while performing their work in
stipulated working hour. This act explain that organisation are bound to pay minimum
wages to employee as per the rules of government and also provide healthy environment
in order to perform different type of working activities in effective manner (Myers,
2013). Equal pay act: According to this act, the management of Aldi is bound to pay same
salary to employee who are perform same quality of work in effective manner. It aids to
bring positiveness in environment of organisation and also boost the morale of employee
working in the organisation. It should be determine by the manager Of Aldi in order to
encourage employee to perform their work. Employee discrimination act: As per this act, it is duty of manager to behave with their
employee in proper manner. Management needs not to discriminate with their employee
on basis of cast, colour, age, culture, religion, and gender. This leads to reduce the
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performance of organisation in effective manner. It also demotivate employee working
in the organisation. Minimum wage act: Every nation have different minimum rate of wages according to
condition of market. This is fixed by the government that organisation are bound to pay a
minimum wages according the values of rate of wages which is fixed by government. It
also include to fulfil basic needs of life like cloth, shelter, food and many others. Working time directive act: According to this act employee working in the organisation
in order have complete its minimum duty hours according to this act an employee have
to complete 48 hours one week (Sigala, Christou and Gretzel, 2012). Employee relation act: Employee are important assets of any organisation. This act
defines that management of the organisation needs to establish good relationship with
employee. It helps to perform different types of work in effective manner.
 Employee disability discrimination As per this act management of organisation do not
discriminate with those employee who are suffering from disability. It aids to perform
their work in effective manner.
These are important factors of employment law, manager of Aldi consider these laws and make
different types of policies which are concerned with employees.
P7 Application of human resource practices in a work related context
As this company is the leading brand to provide different types of groceries products in
United Kingdom. In present scenario organisation needs to open new branch in order to
increase level of profit. As business organisation inculcate with lack of skilled employee, lots of
complain increase by various customer. In order to resolve these issues organisation can
implement various HRM practices: Manpower planning: It is most important for manager of organisation need to evaluate
the appropriate number of employee which are needed to accomplish different types of
functions in effective manner. Aldi can recruit require number of employee working in
the organisation. Training and development: In order to enhance skills and knowledge of employee
manager should conduct various training session to enhance performance of employee.
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