Human Resource Management Report: Aldi's New Branch in Wembley Central

This report examines the Human Resource Management (HRM) practices of Aldi, focusing on the establishment of a new branch in Wembley Central, London. The report begins with an introduction to HRM, outlining its core functions such as staffing, employee motivation, and planning. It then delves into the strengths and weaknesses of various recruitment and selection approaches, including third-party agencies and online recruitment methods. The report further explores the benefits of different HRM practices, such as recruiting a qualified workforce, reducing attrition rates, and fostering positive worker relationships. It also discusses how HRM practices can improve profit and productivity within the organization. The report also highlights the importance of employee relations and the impact of employment legislation on HRM decision-making. In conclusion, the report summarizes the application of HRM practices within Aldi, providing a comprehensive overview of its human resource strategies.

HUMAN RESOURCE MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P.1 Purpose and the functions of HRM..................................................................................1
P.2 Strengths and weakness of different approaches to recruitment and selection................3
TASK 2 ...........................................................................................................................................5
P.3 Benefit of HRM practices................................................................................................5
P.4 HRM practices improve profit and productivity..............................................................6
TASK 3............................................................................................................................................6
P.5 Importance of employees relation....................................................................................6
P.6 Employment legislation....................................................................................................7
TASK 4............................................................................................................................................8
P.7 Application of HRM practice into work related context..................................................8
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Human Resource Department manage all activities related to the employees such as
recruitment, providing training & development program, defining work responsibilities, giving
them variety of allowances & perquisites and many more. It conducts all profitable work for their
potential staff members and also for new interns. This report is based on Aldi which is situated at
Essen, Germany and its management team wants to establish a new branch at Wembley Central
(West Coast Main Line, London). Here, it will describe the purpose of HR functions and their
key responsibilities and roles, along with its strengths & weaknesses for several techniques to
select or recruit. Further, it will include benefits of several HRM practices for both employee &
employer and its effectiveness. Furthermore, it will discuss importance of employees’ relations
with key elements of employment legislations and its impact on decision making process of
HRM. Lastly, it will conclude the application of HRM practices.
TASK 1
P1. Purpose and functions of HRM
The management of human resource department will play the most important part in
internal working environment. It provides significant support and guidance to the line manager
of an organisation. They focus on HR department for the employees as well as future
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Illustration 1: Function of HRM
(Source: HRM function, 2017)

performance must improve profit and productivity of company. Core functions of the HR
department commonly includes employee recruitment, staffing, payroll, benefit of organisation,
employees relation, employee training, compliance and safety. The work force is important part
of each and every organisation (Armstrong and Taylor, 2014).
HRM assumes an essential part of organisation and it is a key approach that helps firm in
enlisting talented representatives who have incredible capability of improvement. They assist in
obtaining potential worker, which is provided help to firm. They will focus on strategies to
improve policies.
There are some important functions of human resource management which are as
follows:
Staffing
The process of hiring suitable candidates according to their knowledge and skills in an
organisation is termed as staffing. In current time, staffing function is carried out by manager and
different type of business activity are carried out. Moreover, the HR administrator will be
effectively ready to meet these goals. HR department can be effectively manage activity as per
the vacant post for which individuals are required to be hired. Hiring might be thought more
specific the best job candidate and making a formal job offer to candidate(Bailey and et.al.,
2018). This will likewise help them in increasing firm and talented workforce in organisation. By
enlisting gifted instructors, the organisation will have the capacity to hired skilled workers.
Employee's motivation
This is another essential part that is played by HR department. HR manager is responsible
for developing harmonious relationship within the organisation. In order to enhance harmonious
relationship, HR manager at Aldi focuses on the needs and expectations of employees and
attempts to fulfil it so that their motivation and satisfaction can be raised. Well-planned
employee relations will promote a flourishing and balanced relation between the workers and the
employer. ALDI can attempt to ensure the necessities and expectations of the staff are satisfied
which is beneficial. This will likewise decrease the workers’ turnover and improve the
performance of employees.
Planning
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Planning is most important and crucial function in human resource management
(Banfield, Kay and Royles, 2018). Human resource manager is responsible for planning and
allocation of manpower within organisation. At Aldi, HR manager is responsible to conduct gap
analysis in order to identify the gap between existing and required manpower. Accordingly, they
have to plan strategy in order to fill the gap which identified within the firm. Not only manpower
planning but HR manager at Aldi is also responsible for planning of different activities that
occurred within organisation.
Purpose of Human Resource Management
 To improve productivity
 To better quality of work
 Reduce the personal level cost
P2. Strengths and weaknesses of different approaches to recruitment and selection
Effective recruiting and selecting of job candidates very important and essential part of
HR management. Companies can approach recruiting with a reactive or proactive attitude,
responding quickly to new job vacancies as they arise or taking the time to build a pool of
qualified candidates.
There are different approaches of recruitment and selection that are as follows:
Third Party agency
This is one of the most important approaches for recruitment and selection of new
employees at work place. In this, organisations seeks third party agency for recruitment. These
agencies search candidates on the basis of requirement of company and make communication
with them. This type of agency plays the most important role for hiring number of employees as
per the needs of organisation (Bratton and Gold, 2017).
On the other hand, strengths and weaknesses of such kind of private agency play a most
important role are as follows:
Strengths
 It reduces the efforts and time of organiastion.
 They ensured that only those candidates are selected, who are capable for particular
positions.
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 Recruitment agency have strong management and use updated technology to solve
different recruitment problems.
 It will be focus on save and add on new employees for managing work.
 These agencies will focus on cost factor at the time of hiring new employees and deal
with other organisation.
 They have strong manpower to select the number of candidates for different jobs for
different organisations.
Weaknesses
 For many HR or hiring managers it is difficult to give up the control over the hiring
process.
 Without being part of the staffing experience from the very beginning it is difficult to
assess the individual employee before they arrive at organisation.
External Source of Recruitment:
Online recruitment
Online recruitment is process of hiring the new candidate as per the ability and skills of a
recruiter. Nowadays, many online job applications are available for hire new candidate.
(Brewster and Hegewisch, 2017). Nowadays, companies make use of the internet to reach many
job seekers and hire the best talent for the company at a less cost, as compared to the physical
recruitment process. Application play roles to improve future as well as any other information
about work, time, organisation pros and cons both are provided by online recruitment.
Strengths Ability to match right people to right job: It is beneficial for employee and employer or
other job seekers. There are many organisations can find right candidate for the right job
through CV attached in online site. Vast information source: In this context, positive point of online recruitment provides
vast number of information about any job for a particular sector. For example: Marketing
filed, finance etc. The overall recruitment process is more efficient and easy to handle all
the record details for applicant.
Weaknesses
 There is some logistic way at the time to select the right candidate for the job.
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 There is no innovation in past many years, technology issue must be change for hire
number of employees.
TASK 2
P3. Benefits of HRM practices
There are different practices such as performance appraisal, training and development,
career management, recruitment, etc. has been practiced by the HR manager which eventually
benefits the organisation. They are assuming liability to decide the necessity of individuals that
would be taken care by them. They will give equivalent rights to each worker to be supportive.
The benefits of different HRM practices to Aldi is described below:
Recruiting qualified workforce
Human Resource Management deals with hiring new employees and managing the
resource efficiently. On the other hand, training, organisation development, benefits, wellness,
safety, employees’ motivation, performance management and others (Brewster, Chung and
Sparrow, 2016). It is extremely advantageous for the development of organization. Recruiting
qualified workforce within Aldi enhances the quality of work within the organisation. It reduces
frequent errors and improves the overall quality and productivity of the company.
Reduced attrition and dissatisfaction rates
HR manager provides training and development to employees in order to raise their skills
and competencies. Often less experienced and skilled employees becomes demotivated with new
things and learnings. Employees thereafter decide to leave the company which increases the
attrition rates within the firm. HR manager at Aldi provides time to time training to employees
which helps in enhancing their skills, competencies and also increases their motivation. This
benefits the organisation by improving the overall performance, work environment and
management able to attain desire goals and objectives.
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Worker relationship
HR managers is responsible for establishing peace and harmony within the company.
They are responsible for solving conflicts among workers and negotiate with them in order ot
reduce discrepancies. HR manager at Aldi focuses on the needs and expectations of employees
by obtaining their feedbacks, through counselling in order to enhance their motivation. Team
activities have been conducted in order to develop effective relationship within the organisation.
Worker relationship is beneficial for both employer and employees inside work place, which will
provide positive benefit and increase performance level and healthy working environment.
Human resource department are aware about positive relationship with every employee helps to
provide a productive working environment.
P4. HRM practices improve profit and productivity
Human Resource department main aim is to improve profit level, with the help of HRM
practice at work place. There are some different kinds of factors must be changed for improving
environment as well as future development must be changed for it. On the other hand, aim of HR
manager provide the best training for every employee, so that improving level of productivity
and profit in future time.
 Human resource department play as an important role in on-bonding process and hire
new employees and provide training and motivate to do right thing, which is beneficial
for organisational performance.
 HRM practices like training and development helps in raising the skills of employees and
nurture their competencies. More skilled employees able to produce more to the
organisation which helps in raising the productivity and profitability of the firm.
Employment security: It is about the level of protection of employees against to earn income and
provide more security to employment security relation to legalisation. It is protection of workers
about changes in job loss as well as earned income. Employment protection legalisation is set
law by the government by short term contract of employees from both individual and
collectively.
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TASK 3
P5. Importance of employees’ relation
Employees relation play the most important role for improving performance. It needs
human beings work together and perform to achieve objectives and goals of a company.
Maintaining peace and harmony within the firm is significant as it affects the goodwill and brand
image of the organisation. Every employee at work place share a certain relationship with co-
workers (Jackson, Schuler and Jiang, 2014). They need people to talk and discuss with related to
professional life. It is the most important factor to understand thoughts and connect each other.
For the employees, the organization must come first and all their personal interests should take a
back seat.
Benefits of employee relations are as follows: Increased productivity: In this context, employees have a positive relationship with
other staff members. They are more likely to put efforts, if all the employees are work
together. So employees' relation is the most important to solve any kind of problem in
the work place.
 High retention ratio: If employee relation inside work place is good, work will be done
in easy way and managing work to improve productivity or to increase profit. Team work
is required for planning and organisation for long term success.
In order to sustain in the competitive environment it is essential and important for the
management of Aldi to devise precise strategies and follow the best practices in order to enhance
the employee relations at the workplace.
P6. Employment legislation
Employment legislation plays the most important role for each and every employee. To
avoid legal consequences it is essential for the organisation to comply with employment
legislation. This enhances the durability and reliability of the firm which helps them in thriving
in the marketplace.
There are different legal factors that are as follows:
 Minimum wages
 Holiday pay
 Overtime
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 Hours of work
 Leave from job
All such legal factors are beneficial for each and every employee inside work place. They may
focus on the impact of legislation policies towards the internal working environment. It is the
duty and responsibility of HR manager at Aldi to circulate information regarding important laws
and provisions to fellow employees and colleagues in order to maintain peace and discipline
within the organisation (Marchington and et.al., 2016). Laws such as minimum national wages,
employees health and safety, employment laws, etc are formulated in order to safeguard the
rights of both employers and employees.
ALDI is focus on those factors, which will give positive impact on overall working
environment and improve legislation policy to protect employees. They also have some multiple
function and labour law to provide employment opportunity, safety and legalisation
opportunities. On the other hand, employment legalisation like court ruling, collective bargaining
etc. some different kinds of acts must be provided by government department for employees in
work place. Data Protection Act, 1998: Data protection act 1998 mandates the organisation to
preseve and protect the personal information of employees in safe and encrypted location.
Failing to comply with this law affects the reputation of the firm and they can be
penalised for the same. The act mandates only limited personnel within the firm have
rights to access the data and information and it should not be disclosed to third party
without the consent of employees.
 Equality Act, 2010: As per law, it provides equal treatment to all employees and access
to employment in both public and private services. This act mandates the firm to avoid
any type of discrimination within the organisation. Employers or managers has to treat
employees equally and provide them equal opportunity within the organisation.
TASK 4
P7. Application of HRM practice into work related context
Human resource managers followed different practices in order to enhance the
effectiveness within the organisation. Human resource practices are human resource
management, policy, planning, recruitment, hiring of new employees, training, compensation etc.
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HR practices are link with management of human resource and activity is important for staffing
of organisation and human resource management (Purce, 2014). HR mmanagement at Aldi
follows numerous practices which helps in creating healthy environment within the organisation
and leads the organisation towards growth and development. These activities and practices are
described below: Performance appraisal: HR manager at Aldi is responsible for appraising the
performance of employees periodically in order to gain information about their progress.
Performance appraisal is a great tool for measuring the level of performance of an
employee with the given standard which is predetermined and it is used in the all over the
world. For appraising performance, HR manager at Aldi uses Bell curve method of
performance appraisal. This method is considered as effective and efficient for assessing
the level of performance of employee. Conducting performance appraisal is significant
for the firm as it provides adequate information about employee and his or her current
skills and competencies.
 Training and Development: Training and development is practices by HR manager at
Aldi in order to enhance the current skills and competencies of employees working in the
organisation. Training and development is significant for the firm as it helps in enhancing
the productivity and profitability of the firm. For training management prefer to use both
on the job and off the job methods. HR manager needs to first conduct preliminary
analysis to assess the training needs and on the basis of it training must be provided to the
employees. Through this management able to improve the motivational level of
employees and enhances their retention effectively and efficiently.
CONCLUSION
Form the above report, it is concluded that human resource management play most
important role to manage and control overall internal environment of organisation. In the above
report it was identified that HR management at Aldi have numerous functions and purpose to be
played. The strengths and weakness of recruitment and selection process has been identified in
the study. It is concluded that managing human social relation in employees very essential, in
order to keep great and healthy face-to-face and occupational group relationships among
someone. As per the above report, HRM practice will help to manage different kind of resources
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and legal factor, that will help to improve profit and productivity. Motivation can help to
increase the moral of employees and manage resource according them. It is concluded that HRM
practices can make a compelling association with the worker. Many employees are working full-
time and spend more of their worker’s hours allow employees and build relationship.
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