Human Resource Management Analysis: Reassured and British Airways

This report provides a comprehensive analysis of Human Resource Management (HRM), comparing it to personnel management, and examining various HRM functions and their benefits to organizations. It delves into the roles and responsibilities of line HR managers, emphasizing legal and regulatory aspects for effective workplaces. The report contrasts recruitment and selection processes between British Airways and Reassured, a small UK organization, and links motivational theories to reward systems. It highlights the importance of job evaluation, discusses reward systems, and performance appraisal methods. Furthermore, it addresses reasons for employee exits and provides recommendations to reduce turnover, including a comparison of exit interviews at British Airways and Reassured. The report also covers regulatory and legal frameworks affecting employee redundancies and dismissals, concluding with key findings and recommendations for HRM practices.

Human Resource Management
1

Table of Contents
INTRODUCTION ...............................................................................................................................4
TASK 1.................................................................................................................................................4
1.1 Difference between personnel management and human resource management.......................4
1.2 Human resource management functions with their benefits to the organization ......................5
1.3 Roles and responsibilities of the line HR managers..................................................................5
2.1 Legal and regulatory aspects for effective setting of Human resources-driven workplace ......6
2.2 Need for human
resources planning .........................................................................................................................6
2.3 Comparison of recruitment and selection process between British Airways and Reassured . . .7
2.4 Link between motivational theory and reward systems with recommendations.......................7
3.1 Importance of job evaluation.....................................................................................................8
3.2 Various reward systems .............................................................................................................9
3.3 Performance appraisal methods ................................................................................................9
4.1 Reasons for employee exits and recommendations to reduce employee turnover..................10
4.2 Difference between employee exit of British Airways and Reassured with the help of exit
interview.........................................................................................................................................10
4.3 Regulatory and legal framework and their impact on employee redundancies and
dismissals......................................................................................................................................11
CONCLUSION...................................................................................................................................11
References..........................................................................................................................................13
Bibliography.......................................................................................................................................15
2

Illustration Index
Illustration 1: Maslow's Need for Hierarchy........................................................................................8
3

INTRODUCTION
Human resource management is a process of hiring and developing the employees for the
growth and success of company. It is a kind of function which is designed for increasing the
performance of employees in order to achieve the objectives of firm in more effective and efficient
manner. It covers various areas such as recruitment and selection, job analysis, training and
development, performance management, legal issues as well as many more (Lunenburg, 2012).
The current study is based on the given case scenario and for this Reassured, a small scale
organisation of UK is taken into the consideration and British Airways is selected in the form of
large organisation. It consists of difference between personnel management and human resource
management, recruitment and selection process of employees, connection between reward and
motivation, mechanism for the cessation of employment etc. In the end, conclusion will be
explained with key findings and meaningful measures.
TASK 1
1.1 Difference between personnel management and human resource management
Difference between personnel and human resource management is as follows.
Elements Personnel Management Human Resource Management
Definition Its main concern is on the work force
and maintaining relationship among
them.
It focuses on the effective use of
employees for achieving the
organisational goals
Type of approach It is traditional approach. It is modern approach.
Decision making It is slow. It is fast.
Employees Manpower is considered as machines
or tools.
Manpower is considered as important
assets (Surbhi, 2015).
Basis of Pay Pay is evaluated by the job
evaluation.
In this, pay is evaluated with the help
of performance evaluation.
As per the given case study, Reassured needs to improve its HR functions due to increase in
workload. From the above differentiation, human resource management is beneficial for the firm as
it focuses on the development of employees for the growth and success of organisation. Reassured
can solve its issues by applying human resource management at workplace. With the help of it,
company can able to evaluate the performance of employees and can directly communicate with
4

them. It will lead to cooperation, coordination and better relation management which will
automatically manage the workload (Bernardin and Wiatrowski, 2013).
1.2 Human resource management functions with their benefits to the organization
Human resource management includes various functions which are as follows. Training and development: It is one of the important functions of the HRM which helps
organisation to achieve their goals in an effective manner. By applying this function to the
working environment of Reassured, it can able to enhance the skills, abilities and knowledge
of employees. This in turn will result to effective time management, work management,
relationship management and team management (Rehman, 2012). Performance Management: This function helps in evaluating the performance of workers
which leads to take the appropriate actions as per the result. Reassured needs to apply this
function at the workplace for evaluating the work performance of their staff members and to
improve it if, needed. By using this function, company can enhance its working performance
on time which will lead it to new growth and success (Chiboiwa, Chipunza and Samuel,
2011).
 Recruitment and Selection: By using appropriate and effective recruitment and selection
process, Reassured can hire talented, skilled and intelligent candidates to its firm. Skilled
employees will able to manage the workload in an appropriate manner and will also help in
improving the working environment of firm (Recruitment & Selection Hiring Process.
2015).
1.3 Roles and responsibilities of the line HR managers
Roles and responsibilities of the line HR managers are as follows. Employee Engagement: It is one of the most critical factors for the line managers of
Reassured as they supervise their employees. They can focus on the strengths of employees
and encourage them by communicating with them effectively. This direct communication
will result to improve the relationship between line managers and their employees (Maloney,
2012). Performance Appraisal: Processes regarding the performance appraisal are implemented by
the line managers of Reassured which results to evaluate the performance of employees or
team members. Feedbacks can be taken by the line managers as per the performance of
workers through one to one meeting (Branham, 2012). Disciplining Employees: It is the responsibility of line manager of the small scale firm to
maintain discipline among the employees with respect to their work. It can only possible
5

when line manager of the firm sets out his expectations with the team. These expectations
should be supported by the policies and procedures of firm.
 Performance Related Pay: Line manager plays a significant role in the process of
performance related pay. Rating as per the performance of workers will result to enhance
their salary. This will motivate staff members to improve their work performance (Hendry,
2012).
2.1 Legal and regulatory aspects for effective setting of Human resources-driven workplace
For effective setting of human resources-driven workplace in the Reassured, it is important
to perform work according to the legal and regulatory aspects. These regulatory aspects are as
follows. Sex Discrimination Act 1975: This act protects men and women from discrimination on the
basis of sex or marital status. By applying this act to the workplace, Reassured can able to
work fairly with their employees. This will provide equal opportunities to all the men and
women employees which will result to effective job satisfaction (Sex Discrimination Act,
1975). Equal Pay Act 1970: This act prohibits any unfavourable treatment with men and women on
the basis of pay and employment condition. This act will help Reassured in offering right
salary to the candidates regardless of their gender, age, etc. Firm needs to apply this act to
their working environment for preventing any discrimination between the employees
regarding the pay (Guest, 2011).
 Data Protection Act 1998: As per this act, personal detail regarding the employees or
organisation should be kept safe and secure. For protecting confidential information and
personal details of the workers, Reassured needs to bring change in their working style by
applying this act (Bernardin and Wiatrowski, 2013).
2.2 Need for human
resources planning
The client's office require proper human resource planning for improving their working
environment and achieving the objectives in effective manner. The workload is increasing in the
firm but it has not appropriate number of employees and HR functions for managing it due to this
company needs proper human resource planning. The management of this workload will require
strategic decisions, appropriate work processes, time management, team management, etc which
will be only possible by appropriate planning (Chiboiwa, Chipunza and Samuel, 2011). Reassured
needs to apply following steps for proper human resource planning.
6

 Assessing Human Resource: This step will help in analysing present condition of the firm
and existing HR inventory level. Demand Forecasting: It will help in determining the future requirements for HR with
respect to the quantity and quality. Supply Forecast: In this, estimation of supply of employees with respect to the present
available resources and future resources will be determined. Matching demand and supply: In this step, firm will try to reach at the equilibrium for
brining balance between the demand and supply with respect to the HR functions (Top 5
steps involved in human resource planning process. 2015).
 Action Plan: In this, all the planned strategies and processes are implemented for bringing
improvement in the organisation.
2.3 Comparison of recruitment and selection process between British Airways and Reassured
Comparison between the British Airways and Reassured regarding the recruitment and
selection process is as follows.
Elements British Airways Reassured
Recruitment Planning This takes place at large level for
proper hiring such as job analysis,
type of interview, method of
advertising job, etc. Team is formed
by the firm for planning recruitment
process (British Airways, 2016)
Planning takes place at small level
which includes important factors
such as job analysis, person
specification and job description.
HR manager handle complete
process (Reassured, 2016).
Recrutiment Strategy It uses attractive, innovative and
fresh ideas for developing
recruitment strategies. These
strategies varies with the type of job.
It uses two or three traditional
strategies for recruiting candidates.
These strategies remain same for all
kind of job vacanies.
Searching Internal recruitment and external
recruitment. Various methods are
used for external requirement such as
word of mouth, job portals,
newspapers, etc.
Generally external recruitment is
takes place for increasing the
structure of the organisation (Chand,
2015).
Selection Panel interview, face to face
interview, campus interview, online
interview, HR consultancy, etc.
face to face interview or video
interview.
By applying proper recruitment and selection process to the both organisation, HR
department can effectively hire skilled and talented candidates. This help firms to hire right
candidates in right pale at right time for doing right task. It leads to cost, time and resource effective
process for the system (Kutlu, Ekmekçioğlu and Kahraman, 2013).
7

2.4 Link between motivational theory and reward systems with recommendations
Motivation is a process of initiating, guiding and maintaining the goal oriented behaviour of
the employees. There are various kinds of motivational theories which Reassured needs for
motivating its staff to perform well and achieve its objectives. One of the theory is Maslow's Need
for hierarchy which is used by the firm for motivating workers to achieve self actualisation step by
step. This theory make staff members to work for getting basic needs then safety, love, esteem and
at last self actualisation (Rothwell and Kazanas, 2011).
Along with this, firm uses two factor theory of Herzberg which emphasis on the job
satisfaction. By providing job security, good salary, good work conditions, vacations, insurance, etc
companies try to bring satisfaction in the workers for their job. In addition to it, they also provide
them various opportunities to develop themselves and to grow their career. All these theories help in
managing the reward system for the Reassured. These theories motivate staff to perform well which
result to recognition, positive feedback, promotion, incentives, bonuses, salary rise etc. Effective
motivational theories results to effective reward system as both are interconnected to each other.
Reward system again motivates employees to perform well for getting both extrinsic and intrinsic
reward (Guest, 2011).
3.1 Importance of job evaluation.
Organisation has various positions with respect to the management, administrative, sales,
customer services, etc. Job evaluation plays essential role in managing all these positions. There are
various benefits of it which can help Reassured to effectively manage their positions and other tasks
8
Illustration 1: Maslow's Need for Hierarchy
Source (Printable Maslow's Pyramid diagram/
Maslow's Hierarchy of need chart. 2016)

related to it. This process includes various number of steps such as job analysis, compensable
factors, job structure, wage structure, etc. These all steps helps in effective and appropriate job
evaluation which results to develop fair and proper pay structure (Hendry, 2012). By developing a
plan by keeping all the factors in mind, organisation can improve the value of its job among the
candidates. Along with it, it is important to follow all the laws and regulations with respect to it so
that every worker can get equal rights and right amount of salary. It also leads to create harmony
and good relationship among the labours by removing inequalities within the company. Proper job
evaluation will help in reducing the cost, time and resources of the recruitment and selection
process. It also helps in selection of skilled and intelligent candidate who can help in achieving the
goal of the Reassured (Importance and features of job evaluation, 2016).
3.2 Various reward systems
As a human resource person, I think pay is not only appropriate reward for performance of
the employees. Along with pay, they also need proper recognition, feedback, trust, etc of their
higher authorities. It helps them in rising their confidence and motivation level which results to
improvement in performance.
There are two types of reward system used by the organisations in different context. These
reward systems are as follows. Extrinsic Reward System: This reward system consists of bonuses, incentives, increase in
salary, gifts, promotion, overtime pay, holidays, flexible working hours, etc. These reward
motivate employees to perform well and achieve organisational objectives effectively.
Increase in performance results to increase in productivity which leads to enhance the
profitability pf the company (Bernardin and Wiatrowski, 2013).
 Intrinsic Reward System: This consists of feedback, recognition, trust and empowerment.
These reward system also leads to rise the confidence and motivation of the workers. It
helps in bringing positive attitude in the employees towards their work and also results to
create good relationship with the supervisors (Maloney, 2012).
Both type of reward schemes boost the motivation level of the employees and employers.
Type of reward i.e. monetary or career related depends upon the need of the employees and
capability of the firm (Chiboiwa, Chipunza and Samuel, 2011).
3.3 Performance appraisal methods
As per the case study, Reassured is using simple rating method for performance evaluation
of the workers. There are various types of methods which company can use and these are as
follows.
9

 Ranking Method: Firm can adopt this method for performance appraisal of its workers. In
this method, one employee rate the overall performance of the another employee. Through
this, relative position of the workers are tested on the basis of numerical rank. Enterprise can
prevent its time and cost by using this method (Kutlu, Ekmekçioğlu and Kahraman, 2013). 360 Degree Feedback: It is one of the popular method used by the companies for evaluating
the performance of their workers. In this, firm needs to take feedback from its each and
every staff member. This will give most effective results to the firm regarding the
performance of the workers. It also helps in knowing the strengths and weaknesses of the
workers (Rehman, 2012).
 Critical Incident Techniques: Small scale company can uses this method by preparing the
list of statements regarding the effective and ineffective behaviour of the staff members.
Manager will need to manage the logs of each and every worker along with the records
regarding critical incidents of their behaviour (Performance Appraisal Tools and
Techniques, 2016).
4.1 Reasons for employee exits and recommendations to reduce employee turnover
There are two types of the termination takes place in the organisation which are as follows. Voluntary Termination: In this type of cessation, employee resigns from the job due to
various reasons such as new job, retirement, spouse's acceptance of a new job at a different
location, returning to school, etc. Employers tries to prevent skilled and talented employees
by applying various efforts such as salary rise, facilities, etc (Heathfield, 2016).
 Involuntary Termination: In this, employer fires worker or remove worker from the job. It
causes due to employee dissatisfaction regarding the job. Other reasons are poor
performance, attendance problem, violent behaviour, etc. Mergers, acquisitions, firm
relocation and job redundancy also causes this termination (Pitts, Marvel and Fernandez,
2011).
Recommendations:
 Firm needs to hire right candidate for their vacant position.
 Proper recognition and rewards to the workers (Jacobsen, 2016).
 Development of opportunities for career growth of the employees.
 Provide flexibility to the staff so that they can manage their professional and personal life.
 Offer various benefits and compensation to the employees for their work.
 Fair and clear performance review of the workers (Branham, 2012).
10

4.2 Difference between employee exit of British Airways and Reassured with the help of exit
interview.
On the basis of exit interviews there are various reasons which make employees to leave
their companies. Employee exits differ from one organisation to the another in various forms. In
case of Reassureds, employees exit due to lack of proper development and career opportunities.
They tries to join British Airways for getting brand name, fame, good salary and different
employment rights. The working culture of small scale enterprises are different from the large
enterprises and due to this workers like to work in large enterprises. Along with this, they gets
various facilities such as cabs, house, canteen, games, tours etc in large firms such as British
Airways which helps them in living a good and comfortable life. On the other hand, employees
leave British Airways due to rude behaviour, imbalance between work and life, dissatisfaction from
job, employee misalignment, lack of feedbacks, lack of decision making skills, etc (Smith, 2009).
Both the organisation can able to find reason behind employee exit with the help of exit
interviews. This helps in understanding the expectations of the workers regarding work satisfaction,
working condition, training and development programs, salary, etc. By knowing these expectations,
both the enterprise can increase their employee retention by improving the loopholes (Employee
Exit interviews, 2016).
4.3 Regulatory and legal framework and their impact on employee redundancies and
dismissals
Termination of employee is directly impacted by the legal and regulatory frameworks. As
per the law every employee has job security. No firm can remove or fire its employee without any
proper and fair reason. And if enterprise fire its worker due to inappropriate reason then worker
have rights to take legal action against the employer or firm. On the other hand, any kind of
discrimination on the basis of gender, race, nationality, etc is prohibited by the law within the
company. There is no right to organisation to dismiss their employee due to gender, race, colour, etc
(Townley, 2014). Employers need to include a disclaimer stating that the reasons are behind the
employee termination are not all inclusive and employer has right to terminate employees who
misconduct or performed poor in the organisation. Before terminating any employee, employer
needs to evaluate the whole process properly. Employer can reduce the probability of challenges by
following post termination procedures such as respect worker's emotions, privacy, maintain
appropriate and relevant documents, help workers in finding other job, etc (Rothwell and Kazanas,
2011).
11

CONCLUSION
As per the above study it is concluded that human resource management plays essential role
in achieving the objectives and goals of the organisation. By adding various HRM functions such as
training and development, reward management, etc small scale enterprises can improve their
working environment. They can also increase employee retention by providing growth opportunities
to the employees. There are various laws and policies given by the government which needs to
follow for better work management and maintenance. These policies also help employees in taking
legal actions for inappropriate termination from the company.
12

REFERENCES
Books and Journals
Bernardin, H.J. and Wiatrowski, M., 2013. Performance appraisal. Psychology and Policing.
Branham, L., 2012. The 7 hidden reasons employees leave: How to recognize the subtle signs and
act before it's too late. AMACOM Div American Mgmt Assn.
Chiboiwa, M.W., Chipunza, C. and Samuel, M.O., 2011. Evaluation of job satisfaction and
organisational citizenship behaviour: case study of selected organisations in
Zimbabwe. African Journal of Business Management. 5(7). p.2910.
Guest, D.E., 2011. Human resource management and performance: still searching for some
answers. Human Resource Management Journal. 21(1). pp.3-13.
Hendry, C., 2012. Human resource management. Routledge.
Kutlu, A.C., Ekmekçioğlu, M. and Kahraman, C., 2013. A fuzzy multi-criteria approach to point-
factor method for job evaluation. Journal of Intelligent & Fuzzy Systems. 25(3). pp.659-671.
Lunenburg, F.C., 2012. Performance appraisal: methods and rating errors. International journal of
scholarly academic intellectual diversity. 14(1). pp.1-9.
Maloney, D.M., 2012. Protection of human research subjects: A practical guide to federal laws and
regulations. Springer Science & Business Media.
Pitts, D., Marvel, J. and Fernandez, S., 2011. So hard to say goodbye? Turnover intention among
US federal employees. Public Administration Review. 71(5). pp.751-760.
Rehman, M.S., 2012. Employee Turnover and Retention Strategies: An Empirical Study of Public
Sector Organizations of Pakistan. Global Journal of management and business research.
12(1). pp.82-89.
Rothwell, W.J. and Kazanas, H.C., 2011. Mastering the instructional design process: A systematic
approach. John Wiley & Sons.
Townley, B., 2014. Selection and appraisal: reconstituting. New Perspectives on Human Resource
Management (Routledge Revivals).
Online
British Airways. 2016. [Online]. Available Through: <http://www.British Airways.com/>. [Accessed
on 16th February 2016]
Chand, S., 2015. Recruitment process: 5 steps involved in recruitment process. [Online]. Available
Through: <http://www.yourarticlelibrary.com/recruitment/recruitment-process-5-steps-
involved-in-recruitment-process-with-diagram/35261/>. [Accessed on 16th February 2016]
Employee Exit interviews. 2016. [Online]. Available Through:
<http://www.qualtrics.com/university/researchsuite/research-resources/survey-types/
employee-surveys/employee-exit-interviews/>. [Accessed on 16th February 2016]
Heathfield, M. S., 2016. What causes employment termination. [Online]. Available Through:
<http://humanresources.about.com/od/glossaryt/g/termination.htm>. [Accessed on 16th
13

February 2016]
Importance and features of job evaluation. 2016. [Online]. Available Through:
<http://accountlearning.blogspot.in/2013/01/importance-and-features-of-job.html>.
[Accessed on 16th February 2016]
Jacobsen, D., 2016. 12 Surefire tips to reduce employee turnover. [Online]. Available Through:
<http://www.globoforce.com/gfblog/2013/12-surefire-tips-to-reduce-employee-turnover/>.
[Accessed on 16th February 2016]
Performance Appraisal Tools and Techniques. 2016. [Online]. Available Through:
<http://www.managementstudyguide.com/performance-appraisal-tools.htm>. [Accessed on
16th February 2016]
Printable Maslow's Pyramid diagram/ Maslow's Hierarchy of need chart. 2016. [Online].
Available Through: <https://www.edrawsoft.com/maslows-pyramid.php>. [Accessed on 16th
February 2016]
Reassured. 2016. [Online]. Available Through: <https://www.reassured.co.uk/>. [Accessed on 16th
February 2016]
Recruitment & Selection Hiring Process. 2015. [Online]. Available Through:
<http://hr.ucr.edu/recruitment/guidelines/process.html>. [Accessed on 16th February 2016]
Sex Discrimination Act 1975. 2016. [Online]. Available Through:
<http://www.legislation.gov.uk/ukpga/1975/65>. [Accessed on 16th February 2016]
Smith, L. J., 2009. 12 Reasons employees leave organisations. [Online]. Available Through:
<http://www.peoriamagazines.com/ibi/2009/dec/12-reasons-employees-leave-
organizations>. [Accessed on 16th February 2016]
Surbhi, 2015. Difference between personnel management and human resource management.
[Online]. Available Through: <http://keydifferences.com/difference-between-personnel-
management-and-human-resource-management.html>. [Accessed on 16th February 2016]
Top 5 steps involved in human resource planning process. 2015. [Online]. Available Through:
<http://www.yourarticlelibrary.com/human-resource-planning/top-5-steps-involved-in-
human-resource-planning-process/60204/>. [Accessed on 16th February 2016]
14

BIBLIOGRAPHY
 http://www.yourarticlelibrary.com/recruitment/recruitment-process-5-steps-involved-in-
recruitment-process-with-diagram/35261/
 http://www.qualtrics.com/university/researchsuite/research-resources/survey-types/
employee-surveys/employee-exit-interviews/
 http://humanresources.about.com/od/glossaryt/g/termination.htmhttp://
accountlearning.blogspot.in/2013/01/importance-and-features-of-job.html
 http://www.globoforce.com/gfblog/2013/12-surefire-tips-to-reduce-employee-turnover/
 http://www.managementstudyguide.com/performance-appraisal-tools.htm
 https://www.edrawsoft.com/maslows-pyramid.php
 http://hr.ucr.edu/recruitment/guidelines/process.html
 http://www.legislation.gov.uk/ukpga/1975/65
 http://www.peoriamagazines.com/ibi/2009/dec/12-reasons-employees-leave-organizations
 http://keydifferences.com/difference-between-personnel-management-and-human-resource-
management.html
 http://www.yourarticlelibrary.com/human-resource-planning/top-5-steps-involved-in-
human-resource-planning-process/60204/
 https://www.reassured.co.uk/
 http://www.British Airways.com/
15