HRM Report: HRM Issues, Challenges and Solutions for Tesco

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within Tesco. It begins by outlining the role of the HR matrix in the company, emphasizing its operational measures for efficiency and effectiveness. The report then identifies key issues and challenges faced by Tesco's HR department, such as attracting and retaining top talent, managing diversity, providing effective employee training, and addressing compensation concerns. It proposes solutions to these challenges, including the application of HRM theory and practices, such as Strategic Contingency theory. This theory is highlighted for its ability to enhance decision-making and leadership skills, helping Tesco adapt to a changing environment. The report concludes with recommendations for change, emphasizing the importance of Strategic Contingency theory and the HR matrix in improving productivity and addressing HRM challenges. It also includes a list of references.

Running Head: HRM
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TESCO
19-20SEM2AASHR007-1
HRM
3/13/2020

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Contents
Introduction......................................................................................................................................2
The role of HR matrix......................................................................................................................2
Issues and challenges which the HR faces......................................................................................2
How to resolve those HR issues and challenges..............................................................................3
HRM theory and practices...............................................................................................................3
Conclusion and recommendation for change..................................................................................4
References........................................................................................................................................5

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Introduction
HRM is the practice that helps in managing the employees of the company Tesco and also
maximizing the return on investment. The role of HR in the company Tesco is to recruit the
employees and provide then effective training. The major function of the HR in the company is
to plan what the number of the employees are needed in the company and how to organize and
direct them so that they work effectively in the company (Prieto and Pérez-Santana, 2016). The
functional role of HR in the company is also to performance appraisal and provides
compensation to the employees. The report will recognize the role of the GR matrix and focusing
on resolving the issues and challenges which HR faced in the company Tesco.
The role of HR matrix
HR matrix is the operational measures that are used in the company Tesco so that efficiency and
effectiveness in the company can be addressed. There are several roles which the HR Metrics has
to play while recruiting such as time to hire is the metric that fills the starting date of the
candidate until the endpoint. The efficiency of the recruitment process is determined through the
cost per hire metrics which is evaluated by dividing the total cost of hiring per the number of the
new hires (Junni, et al., 2015). Early turnover is the metric that is expensive and it helps in
evaluating the mismatch between the company Tesco and the position of the person. This metrics
is evaluated through the percentage leaving the candidates in the first year.
The high potential leave can be evaluated by HR through the metrics of the time since last
promotion which is evaluated through the average time in the months till the last internal
promotion of the candidate (Brewster and Hegewisch, 2017). The role of the HR metrics is also
related to the revenues which help in indicating the quality of the hired employees and it is
evaluated through the revenues per the total number of the employees. Another metrics is the
cost efficiency which is expressed in dollars by evaluating the cost of the HR per employee
Issues and challenges which the HR faces
There were many issues and challenges which the HR faces in the company Tesco such as to
attract the top talent in the company so that the best talent can be retained in the company and

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give their best productivity. The changes are quite common in the company so the major issue
which the HR faces is that they have to convince the other employees also to embrace those
changes. There are different types of cultures and diversity is there so they face the major issue
in managing diversity with the different employees (Fenech, et al., 2019). To retain the
employees in the company is the major issue as the demand for expert employees is increasing.
Another major issue which the HR faces is to provide effective training to the employees as
training is expensive and it requires the time to train the employees. The HR must compensate
their employees so the HR of Tesco company also faces the issues related to benefits and
compensation.
How to resolve those HR issues and challenges
There are many issues and challenges which are stated above which the HR of the Tesco
Company is facing. But these issues can be resolved by using the appropriate theory and
practices of the HRM. The senior authority can be appointed for providing the training to the
employees so that cost can be saved by the HR and even effective training can be provided by
the senior authorities as they are experienced (Haddock-Millar, et al., 2016). The retention issues
can be solved by the HR by providing the flexibility and ethical working environment so that
employees retain in the company Tesco and work with full enthusiasm.
The challenges of attracting the top talent can be solved by advertising the need of the employees
and vacancy that the experienced employees are required. Marketing strategies and social
platforms can also be used for attracting experienced employees. The change can be embraced in
the company by convincing the employees to adopt such changes as they effective for the
company Tesco (Shamim, et al., 2016).
HRM theory and practices
Several contemporary HRM theories help in evaluating the HRM policies and help in improving
the team building. HRM theory helps in keeping the organization legal and helps in monitoring
the progress (Tooranloo, et al., 2017). Strategic Contingency theory emphasis the personality of
the employees and this theory helps in aligning the task-oriented things. The major focus of this
theory is on the problems of the HRM which helps HR in changing the situations according to

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the changing environment. With the help of this theory, HR enhances the decision-making skills
and leadership skills which help in improving the growth of the Tesco Company.
Strategic Contingency theory of HRM helps the HR of the Tesco Company to change the
policies according to the situation and respond to them inadequate time. The unwanted conflicts
in the company are managed with the contingency theory as it provides an effective way to solve
it (Jackson, et al., 2014). This theory also helps in addressing the relationship between the
company and the individuals by making the optimal course of action as per the situation that
occurred in the company.
Conclusion and recommendation for change
From the above report, it is evaluated that there were many changes which the company Tesco is
experienced so the theories and practices of the HRM help HR in responding to those changing
situations. It is recommended that the company Tesco should use the Strategic Contingency
theory of the HRM as it helps in enhances the decision-making skills and leadership skills which
helps in improving the growth of the Tesco Company. The role of the HR matrix is also
described above which helps in determining the operational measures to increase productivity. In
this report, the HRM practices and theory are also stated which helps in responding to the issues
and challenges of HRM.

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References
Brewster, C. and Hegewisch, A. 2017. Policy and practice in european human resource
management: The Price Waterhouse Cranfield survey. Taylor & Francis.
Fenech, R., Baguant, P. and Ivanov, D., 2019. The Changing Role of Human Resource
Management in an Era of Digital Transformation. Journal of Management Information and
Decision Sciences.
Haddock-Millar, J., Sanyal, C. and Müller-Camen, M., 2016. Green human resource
management: a comparative qualitative case study of a United States multinational
corporation. The International Journal of Human Resource Management, 27(2), pp.192-211.
Jackson, S.E., Schuler, R.S. and Jiang, K., 2014. An aspirational framework for strategic human
resource management. The academy of management annals, 8(1), pp.1-56.
Junni, P., Sarala, R.M., Tarba, S.Y., Liu, Y. and Cooper, C.L., 2015. Guest editors’ introduction:
The role of human resources and organizational factors in ambidexterity. Human Resource
Management, 54(S1), pp.s1-s28.
Prieto, I.M. and Pérez-Santana, M.P., 2014. Managing innovative work behavior: the role of
human resource practices. Personnel Review.
Shamim, S., Cang, S., Yu, H. and Li, Y., 2016, July. Management approaches for Industry 4.0: A
human resource management perspective. In 2016 IEEE Congress on Evolutionary Computation
(CEC) (pp. 5309-5316). IEEE.
Tooranloo, H.S., Azadi, M.H. and Sayyahpoor, A., 2017. Analyzing factors affecting
implementation success of sustainable human resource management (SHRM) using a hybrid
approach of FAHP and Type-2 fuzzy DEMATEL. Journal of cleaner production, 162, pp.1252-
1265.