Human Resource Management Report: Ritz Carlton Hotel Analysis

This report examines human resource management (HRM) practices at the Ritz Carlton hotel chain. It begins by differentiating between personal management and HRM, highlighting the strategic importance of HRM in aligning employee needs with organizational goals. The report then details key HRM functions such as recruitment, training and development, performance management, compensation, termination, and legal compliance. It evaluates the responsibilities and role of line managers in HRM, emphasizing their coordination, monitoring, and employee engagement duties. Furthermore, the report assesses the impact of various legal and regulatory measures on HR practices, including the Sex Discrimination Act, Equal Pay Act, Data Protection Act, and Employment Act. The report also explores human resource planning, recruitment and selection processes, motivational theories, reward systems, performance monitoring, and employee cessation procedures. The analysis provides a comprehensive overview of HRM strategies, challenges, and legal considerations within a large, international hospitality organization.

HUMAN RESOURCE
DEVELOPMENT

TABLE OF CONTENTS
INTRODUCTION ..........................................................................................................................4
LO1 .................................................................................................................................................4
1.1 Distinguishing between personal and human resource management ..............................4
1.2 Assessing different functions of human resource management ......................................6
1.3 Evaluating responsibilities and role of line manager in HRM ........................................7
1.4 Assessing the impact of different legal and regulatory measures on HR practices .........8
LO2..................................................................................................................................................9
2.1 Identifying the reasons for human resource planing within firm ....................................9
2.2 Outlining the procedures which is involved in human resource planning ....................10
2.3 Comparing recruitment and selection process of two different firms ...........................11
2.4 Evaluating the effectiveness of recruitment and selection techniques ..........................12
LO3 ..............................................................................................................................................13
3.1 Assessing the link between motivational theory and reward ........................................13
3.2 Evaluating job evaluation process and other factors which determine pay ...................14
3.3 Assessing effectiveness of reward system .....................................................................14
3.4 Examining methods which are used to monitor performance of workers......................15
LO4................................................................................................................................................16
4.1 Identifying the reasons of employee cessation...............................................................16
4.2 Describing the employment exist procedure of two different organisation ..................17
4.3 Considering the impact of legal and regulatory framework on employment cessation
arrangement .........................................................................................................................18
CONCLUSION .............................................................................................................................19
REFERENCES .............................................................................................................................20

ILLUSTRATION INDEX
Illustration 1: HRM functions..........................................................................................................6
Illustration 2: HR planning process...............................................................................................10

INTRODUCTION
Human resource management is the practice of managing HR which operates within firm.
In any industry, HR is being consider as backbone of firm (Werner, 2014). This is because, it is
given department only which makes measures in terms of fulfilling skilled employees related
needs and demands of corporation in an effective manner.
In order to carry out present report, Ritz Carlton hotel is selected. It is a parent company
of luxury hotel chain which function its operation in number of nations. Furthermore, firm was
founded in 1983 and presently it works with team of around 35000 employees. Present report
depict the ways which is being used by firm with an aim to recruit, motivate as well as retain
large number of employees in corporation in an effectual way. Study also showcase difference
which exist between (HRM) humans resource management and personal management (PM).
LO1
1.1 Distinguishing between personal and human resource management
There is a significant difference exist between personal and human resource management.
Detailed explanation about the same is being depicted in below given table:
Basis of difference Personal management Human resource management
Meaning It is a traditional approach of
managing people which
perform number of activities
which are related with
workforce and these activities
includes staffing, contractual
obligations and payroll etc
(Thompson, 2011).
It is being regarded as one of
the most advanced version of
HR. This function deals with
the activities such as
maintaining, recruiting and
developing employees at work.
It is a sort of strategic
approach which ensures to
give its best so that the tactical
goals and objectives of
enterprise will be met by firm
like Ritz Carlton. Furthermore,
it also makes efforts in terms
of maintaining skilled and

talented employees within
enterprise for longer period of
time.
Communication flow The firm which follows
personal management function
has to comply with indirect
communication related
approach. This means that here
employees cannot confront its
problem directly to top level
officials (Riley, 2014). Hence,
here individuals will have to
follow hierarchy of
responsibility.
Here, manager follows direct
flow of communication.
Hence, this provides open
environment to workers
wherein they can make efforts
in terms of communicating
their grievances directly to top
level officials of company in
an effective way.
Views about workers This approach considers
human as an input which main
work is to give favourable and
profitable output to
corporation.
Here, workers are treated as
asset whose value will decline
if significant efforts will not
being taken by Ritz Carlton
manager for a development of
their skills and efficiencies.
Job design This approach follows division
of labour type of methods.
This means that here work is
carried out by dividing roles
and responsibilities of each
workers working in company
(Difference between personal
and human resource
management, 2016).
Unlike personal management,
HR believes teamwork. This
indicate they like to perform
all work in a team.
Consideration This give consideration to It main motive is to raise

employee satisfaction as well
as firm production
enhancement related approach.
satisfaction as well as
motivational level of workers.
This will ultimately contribute
to organizational growth
(Mello, 2014).
1.2 Assessing different functions of human resource management
Human resource department of Ritz Carlton has to perform number of functions.
However, with the help of given functions only manager of cited firm will be able to carry out its
efforts in terms of meeting the purpose as well as objective of company in an effectual manner.
Herein, main purpose of Ritz Carlton is to deliver best services to its client and enhance sales and
profits of company (Mitlacher, 2012). In accordance with given context, following are the
functions which is being played by HR department of hotel:
 Recruitment: It is being consider as one of the most important function of HR. Here, HR
manager of cited hotel make efforts in terms of recruiting right employees at right place.
It has been seen that success of any company totally depends upon its employees. For
example, if employees perform well at that time they will be able to give their best
services to customers of hotel. Thus, it is through this way only assessed purpose of Ritz
Carlton hotel will be met.
Illustration 1: HRM functions
(Source: )

 Training and development: This function also contributes to hotel purpose. This is due to
the fact that with an aim to deliver high quality services to buyers, employees will require
significant type of skill (Dale and et.al., 2013). Employees do have number of skills but
there are some skills in which they do not seem much efficient. Hence, in a task to
improve such skill in which workers find themselves ineffective, training and
development type of HR function plays significant role. Performance management and evaluation: Workers always seek to get review regarding
the performance which is being performed by them during a period of time. In this
regard, performance management function plays very important role. It gives information
about area where employees is performing well or not performing well. Thus, on the
basis of given information only measures will be taken by hotel manager in terms of
performing improvement in a skill of workers. Compensation: It a way through which manager enhances motivational level of
employees. Herein, it has been assessed that high quality services will be given by hotel
employees if they feel highly motivated as well as satisfied within firm (Hoque, 2013).
This can be enhanced by employing different reward management tactics. Given thing
will also help in meeting the purpose of corporation in an effectual way. Termination: HR manager sometime also have to take strict decision like termination in
a circumstance when employees does not perform well even after making all type of
efforts. This will also done for the benefit of company.
 Legal issues and personal policies: It is a responsibility of HR manager that it should
comply with all legal rules and regulations which are prevailing within country. If not
done then sales and profit of company will be affected in a negative way (Barney,
Ketchen and Wright, 2011).
1.3 Evaluating responsibilities and role of line manager in HRM
Line managers are the managers which directly give report to top level officials of
company regarding the performance which is being given by workers during a period of time.
Thus, being a line manager of firm an individual is found as accountable or responsible for doing
number of activities and tasks (Chen, Chang and Tseng, 2012). Thus, in this respect different
roles and responsibilities of line manager of cited hotel in HR is assessed. Detailed explanation
about the same is depicted in below:

 A line manager of Ritz Carlton hotel will have to play the role of coordinator wherein
they will have to coordinate all day to day people related activities which are being
carried out within enterprise (The role of line managers in HR, 2016).
 It also performs the role of monitoring in which it monitors the performance of workers
and give them feedback regarding the same. This role of line manager is effective. It is
due to the fact that, respective role gives workers an opportunity to get thorough
information about performance given by them. Thus, accordingly they can take measures
for performing improvement in the same.
 Besides this, line manager of Ritz Carlton hotel is responsible for number of things. It has
a responsibility to engage employees within firm (Hendry, 2012). In other words it has a
task to enhance motivation of workers and maintain them within firm for longer tenure.
In order to fulfil this responsibility, HR manager of hotel make use of different
motivational techniques.
 It also ensures that discipline should also be maintained within firm. Thus, with an aim to
abide with given responsibility it passes on different rules and regulations which needs to
be abide by each workers who are working in Ritz Carlton hotel.
1.4 Assessing the impact of different legal and regulatory measures on HR practices
Different legal and regulatory measures tend to cause necessary impact upon company's
HR functions. In accordance with given context, different legal and regulatory measures are
examined which have impact on hotel HR operation. It consists of Sex Discrimination act 1975,
Equal pay act 1970, Data protection act 1998 and Employment act etc. For instance, Sex
Discrimination act 1975 entails that manager should not perform discrimination between its
employees on a ground of age, caste and religion etc (Chiva, 2014). This thing need to be
followed by Ritz Carlton hotel manager while performing different type of activities such as
making recruitment of workers and arranging training and development programs for them etc.
For example, manager of Ritz Carlton has taken decision to promote male employee at top level
position without giving consideration to skill related factor. Then, this thing will not be abide by
cited firm manager due to an implication of Sex discrimination act.
In addition to this, Data protection act 1998 guides recruitment and selection related
practices of company. Herein, firm will have to take measures in terms of not revealing the
important information about candidate to any other person. Besides this, Equal pay act 1970

ensures that workers who are working in Ritz Carlton hotel should not be exploited by the
manager (Kotey and Sheridan, 2004). Furthermore, it also makes sure that employee receive
appropriate wages as per their skill and efficiency. In addition to this, Employment act create
compliance on hotel that it should give right and effective environment of working to employees.
This act also ensure health and safety of hotel workers who are working within firm. Overall, it
can be said that these all given acts puts pressure on HR department of hotel and thus influence
them with regard to provide effective environment to all employees (Paillé and et.al., 2014).
LO2
2.1 Identifying the reasons for human resource planing within firm
HRP (Human resource planning) is being consider as a process which firm's manager
uses with an aim to assess current as well as future need related with employees. This plan is
prepared in order to accomplish overall goals and objectives of corporation. In accordance with
given context, different reasons identified because of which manager of Ritz Carlton hotel will
have to prepare HRP: Environmental changes: There are many changes have been occurring in a business
environment of company. These changes are causing significant impact on Ritz Carlton
operation. It is due to the presence of given aspect manager of corporation will have to
prepare human resource plan (Vallaster, 2005). For example, there is a necessary
development is being seen in information and communication technology. Due to this
different modern means of communication have emerged in market which are as placing
ads on social networking sites and preparing content about firm in given sites etc.
Because of this manager of Ritz Carlton hotel has to assess skill of its marketing team
wherein they will have to analyse that whether they will be able to use given mean for
promotion or not. Thus, in order to get information about skill which is needed among
such workers HRP have critical importance (Crawshaw, Budhwar and Davis, 2014).
 To get thorough knowledge about UK labour market: Human resource plan also give
information regarding conditions which are prevailing in United Kingdom labour market.
This will help hotel manager to make decision that whether in future it will be able to
fulfil its need related to skilled and talented workers in future or not. Overall, it can be
depicted that these two are being regarded as major reasons for HRP.

2.2 Outlining the procedures which is involved in human resource planning
Following are the steps which Ritz Carlton hotel manager can use with an aim to plan HR
requirement for its firm:
 Organizational objectives and strategies: The process begin with definition of firm
objectives and strategies. Here, on the basis of assessed aim only firm can make different
type of decision which are related with its employees. For example, manager of Ritz
Carlton has an aim to diversify its business in completely new sector such as retail. Scanning external environment: Here, before moving on to further manager of hotel will
have to scan the external environment. Herein, manager will have to analyse that whether
it has an opportunity to expand in respective market or not (McGregor and Simon, 2012).
Illustration 2: HR planning process
(Source: )

 Analysing in internal capability: In this phase, manager of firm will examine its own HR
capability. This is done with an aim to assess that whether its possess such team of
employers and employees or not which can work in a completely new sector of
corporation. Assessing organizational need of people: With an aim to assists, above mentioned
objectives manager of hotel will require such employees who should have good selling
skill. This is because, success of retail business thoroughly depends upon its sales
workers only. Hence, in case if sales personnel do not have good selling skill then in this
condition it becomes very difficult for hotel with regard to achieve success in market in
an effectual way. Survey of people available: In this step, manager of Ritz Carlton will examine that
whether demand of such people can be meet within the organization or not. If not then it
will have to go through labour market (Mitchell, 2013).
 HR plan and tactics: Finally, at the end corporation will have to organise different
recruitment programs with an aim to meet the demand of workers. Thus, by complying
with given type of activity only objectives of firm will be met.
2.3 Comparing recruitment and selection process of two different firms
Recruitment is being regarded as a systematic process with the help of which manager of
corporation will be able to carry out their efforts in terms of placing right employee at right
position. Each firm follows different process of making selection of employees within enterprise.
Thus, in this respect recruitment process of Ritz Carlton is compared with the small size hotel
which is named as Qbic hotel (Armstrong and Taylor, 2014). Herein, the recruitment process at
Ritz Carlton hotel starts with receiving of an application form. In this context, here at first HR
manager of hotel gather application from different candidates who have applied for the job. After
getting an application, manager of cited hotel call these candidates within firm and then it will
conduct number of tests upon them. The tests may be of psychological and technical etc. For
example, if hotel is hiring candidate for some technical post such as IT executive etc. Then in the
given situation it will take technical test of respective candidate. Here, if candidate has passed
the conducted test then it will be called for next round wherein interview will be taken by HR
manager of hotel. If manager find candidate suitable for job, then it will immediately offer

joining letter to it. However, at the end of given process negotiation will be carried out salary and
other related things (Bratton and Gold, 2012).
Besides this, recruitment and selection process which is being followed by Qbic hotel is
different from Ritz Carlton. The HR manager of Qbic hotel does not take any kind of test. But its
process also start with receiving of an application form. Here, instead of taking two to three type
of tests, manager of hotel take two or three round of face to face interview with employees. Here,
first round interview is taken general manager. Likewise, second round interview is taken by
senior officials of hotel (Reeve, 2014). It is an effective but very time consuming process. This is
because, here candidate have to make conversation with many employees who are working
within corporation at top most position.
2.4 Evaluating the effectiveness of recruitment and selection techniques
Effectiveness of varied recruitment and selection techniques is being examined. Here,
these are those techniques which gives an opportunity to corporation with regard to place right
employee at right position. From the conducted analysis it is assessed that manager of Ritz
Carlton hotel uses external methods for recruiting employees within firm. This includes trade
publication, employment agency and campus recruitment etc (Pinder, 2014). These means are
effective because with the help of these managers of Ritz Carlton hotel can fulfil its need and
demand related to large employees. It is due to the fact that by organising recruitment programs
in any college campus, corporation can gather large pool candidate. Thus, this method provide
employee related options to firm. In addition to this, it is with the help of given technique only
manager of Ritz Carlton hotel can make recruitment of skilled employees from any country. For
example, hotel need employee for some technical job then by contacting employment agency
manager of cited firm can fulfil its respective need in an effectual manner (Peters, 2015).
However, it has been critically evaluated that on using external mean manager of firm
will have to invest lots of money. Hence, this mean will be proved as ineffective when manager
is making efforts for saving the cost of enterprise. Besides this, manager of Qbic hotel uses
internal techniques of recruitment which involves promoting existing employee and recruitment
of ex workers etc. This method is also effective because it helps in saving lots of cost of
enterprise which is generally invested by it in a task to arrange training and development
programs for new workers. Thus, the money which firm has saved can be used by it for some
other purpose (Lichtenberg, 2013). However, it has been evaluated that the method which