Human Resource Management Practices and Strategies at ALDI

This report provides a comprehensive analysis of Human Resource Management (HRM) practices at ALDI, a German discount supermarket chain. It begins with an introduction to HRM, defining its purpose and functions within an organization, particularly in workforce planning and resourcing. The report then delves into the strengths and weaknesses of different recruitment and selection approaches, considering both internal and external methods, as well as various selection techniques. Furthermore, it examines the benefits of different HRM practices for both employers and employees, detailing aspects like safety, security, and flexible working options. The report also assesses the effectiveness of HRM practices in raising organizational profit and productivity. The report explores the importance of employee relations in HRM decision-making, the key elements of employment legislation, and their impact. It concludes with an application of HRM practices in a work-related context, drawing upon the case study of ALDI, emphasizing its global operations, and its focus on employee motivation and efficient workforce management.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Purpose and functions of HRM, applicable to workforce planning and resourcing.............1
P2. Strengths and weaknesses of different approaches to requirement and selection.................2
TASK 2............................................................................................................................................4
P3. Benefits of different HRM practices for both employer and employees..............................4
P4. Effectiveness of different HRM practices in terms of raising organisational profit and
productivity.................................................................................................................................5
TASK 3............................................................................................................................................6
P5. Importance of employee relations in context of influencing HRM decision making...........6
P6. Key elements of employment legislation and impact upon HRM decision making.............7
TASK 4............................................................................................................................................7
P7. Application of HRM practices in work related context........................................................7
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................11

INTRODUCTION
Human resource management refers to a strategic approach which is used by the
management of the firm for the effective and proper running of the company. In context of an
organisation, it can be a process of an organisation to choose, select, recruit, manage, deploy the
company's workers. It is beneficial for the organisations because it helps in proper management
of a company, staffing, employee compensation and benefits and describing and designing work
(Al-Emadi, Schwabenland and Wei, 2015). This assignment is related to ALDI which is a
German discount supermarket chains. This firm was founded in 1946 by Karl and Theo Albrecht
and headquartered in Essen Germany. This firm operating its business internationally with the
help of 10,000 stores in 20 nations. This assignment will discussed about the purpose and scope
of HRM and effectiveness of the key elements of HRM in a company. Further will be defined
about the internal and external factors that affect HRM decision making including employment
legislation and application of HRM in a work related context.
TASK 1
P1. Purpose and functions of HRM, applicable to workforce planning and resourcing
Human resource, is the managerial approach used for taking management decision
procedures in balancing between the workforce planning and effective function in the
organization for attaining successful short term and long term goals . In context with ALDI,
there are various purpose and function which are followed by the manager of the company.
Purpose of HRM in workforce planning and resourcing in an organization:
The purpose of HRM, is to gain maximum profit with optimal utilization of resources in
any company, firm or organization. In regards with ALDI, the HR manager have to collaborate
with other manager to work smoothly with other department while focusing on estimating
workforce requirement, allocation of funds, employment satisfaction and many more. The main
purposes which are emphasized by the company are mentioned below:
 Motivation: In reference, with ALDI the HR manager, majorly focuses on satisfying
employees through various monetary and non monetary benefits which will help in
retaining quality staff in the company (Albrecht and et. al. 2015). This will result in
successful growth of business national and international boundaries.
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 Forecasting of current and future manpower planning: In context with ALDI, the
HR manager, have to communicate with other managers, while managing the on roll staff
and hiring new right workforce matching with the detailed job specification at right time
for vacant position in the company (Baum, 2015).
Function of Human Resource Management:
In regards with ALDI company, the manager broadly emphasizes on two functions. They
are briefly described below:
Managerial Function: The managerial function includes planning, organizing, staffing,
direction and controlling which are required in decision-making process from the management of
the company. In reference with ALDI, the HR managers works on the step-by-step process,
starting from the initial stage that is planning the human resource requirement while estimating
workforce and optimally utilizing the other resources for attaining the quality staff. The next
step is organizing, which allow the manager to hire new staff, if required for any vacant job
profile also create an healthy and safe environment for current employees in the company for
effective production.
Operative Function: The operative functions includes procurement, development,
compensation, maintenance and many more. In regards with ALDI, the HR manager while
actually operating the functioning process needs to focus on the development of workforce at
individual and at team level through performance assessment, this can be achieved by regular
training sessions and overall feedback's to boost the morale of the employee in the company, the
other operations on which the manager are giving emphasis is compensations, this include the
monetary and non monetary benefits which an employee's receives while producing efforts in the
work. The HR management, should motivate their employee's for instance giving salary
increment, medical insurance, life insurance, retirement benefits and many more. This step,
result in increasing the satisfaction level of an individual and to work more effectively and
enhance the growth of the business.
P2. Strengths and weaknesses of different approaches to requirement and selection
Recruitment refers to the process of finding out the firm's needs to hire someone up to the
point at which application forms for the post have arrived at the firm. Selection refer to the
process of choosing a candidate to fill the vacant position of the company (Bratton and Gold,
2015). In ALDI, recruitment and selection indicates to the process of choosing, selecting and
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hiring a suitable applicant as per the vacant position within the organisation. There are following
approaches of recruitment and selection which can be accepted by ALDI:
Methods of Recruitment
Internal recruitment- In ALDI, this method of recruitment is followed by the
management when they recruit new employees inside the firm or business environment (Bratton
and Gold, 2017)). For this the management of the company promote and transfer employees
towards the next level and others.
Strengths Weaknesses
If the management of the company hire
employees internally then it provides growth
opportunity to the employees and save the time
and cost. It also helps in increasing the morale
of the employees and they work with more
effectiveness.
Internal recruitment restricts to enter the new
talent within the firm. Sometimes it do not
provide development opportunities to the
employees which unfavourably affect the
employees.
External recruitment- In ALDI, it refers to an activity of hiring a new employee from
outside of the company by using different ways of recruitment. The management follow
interview process, aptitude test, ability test and others.
Strengths Weaknesses
It is beneficial for the company because it
provides an option of numerous candidates
through which they can hire an employee
according to the requirement. It helps in enter
outside talent within the firm.
It is long and complex process because during
this process, the firm pass through various
stages. It is a time and cost consuming process.
Methods of Selection
There are different methods like testing, interview and others which are used by the
management of ALDI to select and candidate when they are conduct hiring process.
Testing- It is an activity of analysing and determining the effectiveness, efficiency, abilities and
competencies of a candidate. In ALDI, the management of the firm use aptitude test, ability test
and others to select an applicant (Brewster, Mayrhofer and Morley, 2016).
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Strengths Weaknesses
It is a time saving process and help in
providing correct output to the firm.
Sometimes, this method is not beneficial for
the company because it is not able to provide
accurate result cause of machinery issues.
Interview- It refers to a process in which candidate and interviewer both make face to face
interaction. In ALDI, during this process, the representative ask question to the applicants related
to the job role, education and others.
Strengths Weaknesses
It is beneficial for the firm because with the
help of it the manager can get correct, reliable
and required information about the candidates.
Sometimes, it is not effective when the
management use different way like telephonic
and SKYP interview then due to network
issues it generate problems.
TASK 2
P3. Benefits of different HRM practices for both employer and employees
In each and every organisation, there are various kind of benefits which are provided to
the employees and employers (Cascio, 2015). So that they can retain and show their loyalty
towards the firm. In ALDI, the management of the company provide different benefits to its
employees and employers which are mentioned as below:
Benefits to employees
Benefits Employees Employees
Safety and security In ALDI, the management of the
firm ensure to the employees that
they are working in a safe and secure
working environment. For this the
firm properly follow all the rules and
legislations and provide employees
rights to them according to the laws.
The management also provide
If the management of ALDI provide
safety and security to its employer
then the employer is responsible for
allocating the work to the workers
and effective allocation of the
required resources. It is beneficial
for the employer to allocate task as
per the competencies and abilities of
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various kind of benefits like health
insurance and others so that
employees feel safe (DeCenzo,
Robbins and Verhulst, 2016). It is
beneficial for the employees because
when the employees feel secure then
they do their work with more
effectiveness which is beneficial for
their growth.
the workers and they are able to
achieve the aims and objectives in
efficient way. It is effective for the
company as well because with the
help of this, the firm also can attain
its success and growth.
Flexible working
option
Each and every firm is needed to
make flexibility in their working
activities and operations so that it
will help in accepting the changes
which are generating in the business
environment of the firm. In ALDI,
the management of the company
provide flexibility in working
condition to the employees. When
they are not able to come to office
then the manager of the company
allowed them to complete their work
through flexible option such as work
from home, part time work and
others (Fayyaz and et. al. 2015). It is
beneficial for the employees because
it help in reducing the burden of the
work to employees.
Flexible working option is also
effective for employers because with
the help of thus they can make
contribution in the completion of the
work. With the help of it, they can
design relevant time management
strategies and providing more
preference to the most effective task
and less to those work which are not
too important. In ALDI, it will be
beneficial for employer to dedicate
much time to more important work
and create productive results.
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P4. Effectiveness of different HRM practices in terms of raising organisational profit and
productivity
Every firm survive for the motive of fulfilling business objectives and aims in appropriate
and efficient manner (Guest, 2017). So that it can be beneficial to generate profit and
productivity of the company because without gaining profit margins no organisation can survive
in the market place or sustain its business till long term. There are various HRM practices which
are beneficial for ALDI to maximize earning and productivity of the firm, some of them are
mentioned below:
Recruitment and selection- It is a process of getting attention of the applicants towards
the vacant positions of a company. This create positive affect on the profit margin and
production of the goods and services (Jabbour and de Sousa Jabbour, 2016). Because when a
qualified applicant is selected by the management then the individual help or make contribution
in the growth and development of firm in term of maximizing its profit and productivity. This
HRM practice is effective because with the help of it, the management of ALDI can hire
qualified employees who make contribution in attaining the aims and objectives or increasing the
profit and productivity of the company.
Training and development- It is an another HRM practice which is beneficial for the
company for raising its profit and productivity. In ALDI, with the help of this HRM practice,
make improvement in the skills and knowledge of the employee's competencies the management
of the company provide training. So that when the company use technologies in its business
operations then they have information about them and help in the effective running of its
business operations. They do their work with more effectiveness and efforts which is beneficial
for making increment in the profit and productivity of the organisation. This HRM practice is
effective for organisation because it help in making improvement in the skills and knowledge of
the employees and employer so that they can gain information about new technologies and others
and making improvement in the production process of the firm and achieve its set objectives. It
help in increasing profit and productivity of the company.
Motivation and reward system- It is an important and effective practice of HRM which
help in raising the profit and productivity of the company. In ALDI, the management of the
company conduct appraisal process to monitor the performance of the employees so that
rewarded them according their work performance. In it reward system, it consist gifts, outside
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training, compensation, food voucher, extra vacations and others. It help in motivating
employees and they do their work by using their all effort and it help in making improvement in
the profit margins of the firm. It is effective because with the help of it employees feel motivated
and work more effective by using their all efforts so that they can make increment in the profit
and productivity of the company.
TASK 3
P5. Importance of employee relations in context of influencing HRM decision making
Employees relations are preoccupied with the proper maintenance of structure activities
to manage and maintain the relationship of the employees and employer with in an organisation.
In ALDI, the relationship between workers and seniors in maintain cause of respect, trust,
understanding etc. it is good to maintain an effective relationship with the employer because it
help in offering an favourable, positive and healthy working environment (Jamali, El Dirani and
Harwood, 2015). For example, if the employees have good and effective relation with its
employers then they behave effectively with them and help in solving issues of them when they
are working in a team or struggling to achieve a common goal. Then, seniors design and create
strategies and policies for their work so that they can achieve their objective on time. Effective
relation help in maintaining the balance among the power and expectations of the employees and
employer by managing psychological contracts.
It create a deep impact on the decision making cause of there are several problems within
the firm where a single employee can not able to take decision. If the employees and employer
relation are effective then the decisions are made by the employers and employees are also
getting a chance of making participation in the decision making process (Kasemsap, 2016). So
that they can share their ideas and views, if they are effective then they can consider by the
seniors. It feel employees important and help in making strong relationship with the employees.
Strong relation between employees and employer help in reducing and decreasing the conflicts
which are generating within the firm. For example, in ALDI, if there are issues related to
leadership will be arisen then the employer can lead or guide the team towards a particular task
so that the employees can attain their goals and completed their work on time in effective
manner. Effective or open communication system is also beneficial to build good or strong
relation between employees and employer because if they make interaction and share
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information on daily basis. Then they can resolves issues and problems at that time when they
are generating problems and minimize the impact of them on the decision making in
unfavourable manner.
P6. Key elements of employment legislation and impact upon HRM decision making
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Employment legislation
Employment legislation is defined as the law which regulate the employees at workplace,
it affects the employers as well as employee unions. This law ensures the interest of employees
such as how they are treated in the companies and under what conditions they are working (Mao
and et. al. 2016). The employment legislation is becoming controversial day by day due to its
impact on business environment.
Key elements of employment legislation
 Equal pay Act, 1963: This act focuses on equal pay by avoiding gender discrimination.
Before this act was introduced the women's were not equally paid for the same job this
was the major discrimination. In ALDI the female and male are equally paid for same job
designation, it is considered as the sign of progressive nature. This act influenced the
human resource department to recruit skilled labour in the organization for every
department and to avoid this discrimination the companies can pay the salaries on the
basis of qualifications. Such as highly qualified employees salary will differ from the
basic qualified members.
 Health and safety Act, 2015: This act ensures health and safety of employees at
workplace. The employees of ALDI should get proper working conditions with safety
measures so they can give their full efforts in the activities and task. such as they should
be provided the gloves and helmets at the time machine operations. This act influenced
human resource department in introducing advanced technical machines which are
radiations free and the companies started providing insurance policies to its employees.
 Human rights Act, 1993: This act ensures that no individuals should face torture and
inhuman treatment in the organizations. It also focuses on the forced labour where the
company force labours to work much without providing them flexible working hours.
The companies should also respect the privacy and family life of employees (Mura and
Horvath, 2015). This act impacted the human resource management of ALDI companies
decision making by introducing fair trials in the company and right to liberty and freedom
for its employees.

 Minimum wages Act, 2008: This act introduced that every skilled and unskilled
employees of the organization at least get minimum wages so that they can complete their
basic desires including good food, health, comfort and education (Noe and et. al. 2017).
The minimum wages act defined the level of income for employees which can ensure the
standard of living. This act influenced the human resource management of the companies
to pay basic wages to the employees so that they can maintain their standard of living and
the companies also started providing occasional bonuses to its employees which in turn
motivate the employees for effective working.
TASK 4
P7. Application of HRM practices in work related context
In human resource management of ALDI, the manager of the company can use various
document to select a qualified employees for the organisation. Some of them are as following:
Job Specification- It refer to a written document which consist the information of education,
skills, experience and others about an individual (Shen and Benson, 2016). This document used
by the organisation to get information about the person which they will hire fro the vacant
position within the company.
Job Specification for Customer service assistant
Job Role: Customer Services Assistant
Organisation: ALDI
Experience:
 2 years experience as a customer services assistant in a reputed organisation.
 Customer assistant experience A plus.
Education:
 High school and equivalent education required.
Required skills:
 Good and strong communication skill in both verbal and written.
 Have knowledge about the CRM system.
 Expert in make interaction and communication with different types of people like
employees and customers etc.
 Having good time management skill and ability to do multitasking.
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Interview questions for Customer service Assistant
1. What qualifications do you have which make you able for this position?
2. What are the required qualities which are necessary to have as a customer service assistant?
3. What have you done to be a better customer service assistant?
4. What are your strengths and weaknesses during the time of making interaction with
customers?
5. What would you do when the customer is wrong?
Curriculum vitae- It is a short written description of an individuals knowledge, education,
experience and skills etc. which can be send by the person to an organisation when they are
searching and trying a job (Stone and Deadrick, 2015). CV for customer service assistant is as
following:
CV1 for Customer Service Assistant
Henry Lawrence
C-90. 26th street, Clewiston
Cell: [phone]
Email: [e-mail]
Career profile: Skilled and great customer service assistant with relevant knowledge of
offering advice on products and services. Searching a challenging position as Customer service
assistant to utilize my experiences in the defined field.
Qualifications:
 Bachelor's degree in English from a well recognised university.
 Master's in English language from a recognised university.
Experience:
 Having good experiences in handling responsibilities and resolving the quarries of the
customers and provide satisfaction to them regarding products and services of the firm.
 2 Years experience as a customer services assistant.
Skills:
 Good interpersonal communication skill in both written and verbal.
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 Strong time management and problem solving skills.
Areas of interest:
 To utilize my skills of customer service in maximizing the sales of the firm.
 To deliver effective customer service for attaining consumer satisfaction and aims of the
organisation.
Personal details:
Name:Henry Lawrence
Date of Birth: 20 March, 1992
Employment status: Full time
Relationship status: Single
CV 2 for Customer Service Assistant
Mary Johns
Cell: [phone]
Email:[e-mail]
Career profile: A good and intelligent highly concentrated person who is want to secure a
career in retail sector as a customer service assistant. The individual is dedicated for the
effective completion of the work and attain the organisational objective on time by utilizing
own skills.
Qualifications:
 Bachelor's degree in management from a recognised university.
 Master's degree in English form a reputed university.
Experience:
 2 year experience as customer service assistant form a retail shop.
 1 year experience as a customer services assistant from a well recognised fashion retail
store.
Skills:
 Product demonstration and customer interaction skill.
 Having relevant information about information technology.
 To have negotiation skill and good presentation skill.
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Personal details:
Name: Mary Johns
Date of Birth: 23 May, 1990
Employment type: Full Type
Relationship: Single
The management of ALDI can select the CV2 candidate by analysing the skills and
qualification of the individual because the person as education of management and English so the
individual is able to perform the roles and responsibilities of a customer services assistant (Stone,
and et. al. 2015).
Job Offer latter
Mr. Sampson Abort
F-34, Oxford, England, UK
Dear Mr. Hancy Donalds
We are happy to providing information that you have been selected to work with ALDI, as a
Customer Service Assistant.
Job Duties and responsibilities:
 Providing information to the customers about the products and services of the
organisation.
 Collecting information from target audience of the firm and entering it on a database.
 Help in sales of the firm and taking ideas from the customers.
Reporting: Sales department
Basic salary: $ 30,000 per month
Work hours: 09:00 AM to 06:00 PM.
Vacations: 2 days vacation in a week including Sunday.
Compensation and benefits: Health insurance, life and disability insurance, sick leaves and
others.
We are pleased to send you this offer latter to be approved from you in order to start job from
15 July 2019.
Sincerely
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Sampson Abort
CONCLUSION
As per the above mentioned information, it can be analysed that Human resource
management is beneficial for the effective running of the firm. HRM help in designing and
developing strategies and policies for the proper operation of the company. HR functions also
play effective role and perform responsibilities in attaining or fulfilling the business objective of
the organisation. Effective employees relation are also good for improving the brand image of
the firm. Legislations affect HRM decision making in effective manner by providing
employment rights to the workers so that they can perform their work efficiently.
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Online
Recruitment and selection. 2019. [Online]. Available Through:
<https://www.businessstudynotes.com/hrm/human-resource-management/recruitment-
and-selection-process-in-hrm/>.
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