Higher National Diploma: Human Resource Management Report on Burberry

This report provides a comprehensive analysis of human resource management (HRM) practices at Burberry, a global fashion retailer. It begins with an introduction to HRM and its functions within the company, focusing on workforce planning, training and development, performance appraisals, and compensation management. The report then critically analyzes various recruitment approaches, including internal and external methods, along with selection processes like testing and interviews. It highlights the benefits of effective HRM for both employees and employers, emphasizing employee empowerment, career development, and a positive work environment. The report also examines the effectiveness of management practices in relation to productivity and profit, and the importance of employee relations and legislation in decision-making. Finally, it provides a detailed application of HRM practices within Burberry, drawing conclusions on the overall impact and effectiveness of its HR strategies.

UNIT 3- HUMAN
RESOURCE
MANAGEMENT

TABLE OF CONTENTS
Introduction......................................................................................................................................3
Part 1................................................................................................................................................3
The functions and purpose of human resource management in Burberry...................................3
Critical analysis of the various approaches of recruitment .........................................................4
Benefits of management practices for both workers and employers...........................................7
Effectiveness of management practices in Burberry in context of productivity and profit.........8
Part 2................................................................................................................................................9
Importance of employee relations and the effect on decision-making of employees..................9
Employee legislation and effects on decision-making .............................................................10
Application of human resource management practices in Burberry .........................................12
Conclusion.....................................................................................................................................16
References......................................................................................................................................17

Introduction
Human resource or personnel management is the practice of managing the people in ways
that the company is optimised in its overall productivity and business processes. The primary
aim HRM is the maximisation of the efficiency of the employees at the workplace through
effectiveness in the process of staffing, recruitment and selection, onboarding, compensation
management, training, development, performance appraisal etc. The organisation selected for
this report is Burberry which is a global company for retailing fashion clothing items and is
established in London, England (Michael, 2019). It specialises in certain landmark products and
is highly associated with them such as the trench coats and leather goods along with fashion
accessories. The report will consist of understanding the purpose and scope of personnel
management for resourcing purposes, comprehensive details regarding benefits of HRM will be
illustrated for workers and employers at Burberry. The important of the worker relations as well
as employee legislations will be highlighted. The application of human resource management in
context of recruitment and selection will be highted through development of cv, job description,
job offer etc.
Part 1
The functions and purpose of human resource management in Burberry
The human resource department is the formal structure in Burberry which manages the
recruitment of the employees, general management and administration in regards to employee
processes. The foundational purpose of an hr manager is taking the productively of the company
high through maximum performance by the employees. The mission is talent acquisition,
management and retention and making the company successful (Akpey-Mensah, 2018). The
strategic approaches in HRM that are used are motivation, management and development and
aligning them to perform for attaining the objectives of Burberry.
The various functions that are performed at Burberry are:
 Workforce planning: in order to understand the demand and supply of the workforce, the
human resource department undergoes processes like workforce estimation, workforce
analysis of shortage, planning employee assessment gaps etc. after the planning happens,
the recruitment process begins for estimated number of vacancies needed in the company.
Workforce estimation is another key area associated with the planning. This involves
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estimating the total work force requirements and need of business entity along with the
resource related need and requirements of company. Workforce estimation include all
suitable aspects and factors that can favour the business entity to achieve the best level of
growth capability for entity. If the company is capable enough to cater all the need and
demand of employees than only they get to perform according to best of their abilities.
 Training and development: when employees are onboarded in Burberry, the next step
follows by conducting training programs for new joinees, such as on-the-job training,
workshops on a periodical basis and fashion-based creativity events. For existing
employees, development programs occur regularly and the company is highly flexible
and focuses on creativity and innovation. These may involve how to design as per the
demands or standards of the industry, how to effectively drive sales or do customer
service.
 Performance based appraisals: in order to monitor and control the performance of the
employees from various departments like retail, customer service, production, marketing
etc, a performance appraisal program is implemented called 360-degree feedback where
all the managers, supervisor, colleagues and team members rate the performance of an
individual employee. Along with this a quarterly meeting happens for performance
management and feedback purposes (BaniMelhem, Elanain and Hussain, 2019).
 Compensation management: all the administrative works in regards to payroll
management, biometric attendance, sending out offer letters, collecting information for
documentations, giving way the rewards and all the employee related processes are
conducted by hr department.
 The HRM also creates a positive workplace environment in Burberry by organising
various employee engagement and team building activities, motivation practices,
counselling practices, resolving disputes among workers and managers, monitoring the
behaviour of employees, creating guidelines and code of conduct etc (Benny and
Abraham, 2020).
Critical analysis of the various approaches of recruitment
The recruitment and selection process plays a necessary role in Burberry for acquiring the
best talent in the organisation which gives it a competitive advantage. It starts with attracting the
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most skilled and best talent available in the job market. The effectiveness of recruitment and
selection process has a direct result on how the candidate would fit in the organisation and if a
result driven team can be formed (Bhalla, Sidhu and Kaur, 2017). The various approaches for
recruiting and selecting are:
Internal recruitment
In this approach, Burberry recruits’ candidates for its vacancies internally for cutting the
cost of the recruitment and training and to also give its existing employees flexibility for
pursuing their career paths. This is generally implemented in Burberry through promotions and
transfers. But this can also be done by the company through allowing employees to switch part
time job to full time (Gutierrez-Gutierrez, Barrales-Molina and Kaynak, 2018).
Strengths: the major strengths of this method to recruitment is that is highly cost effective and
tends to enhance the morale of the existing employees. The present employees are highly
trustworthy, competent and well versed with the corporate culture of the company, which
removes many hindrances. Internal recruitment practice favour business entity to motivate
human resources part of organisation. This practice involve promoting employees that are
deserving and productive at higher designated roles in the organisation. By motivating
employees to promote at higher designated role in organisation this practice favour the overall
growth and development of business entity.
Weaknesses: this approach creates a limit about the number of potential employees that could
have been hired from the outside. This misses out the fresh idea and creativity brought by the
new candidates. Many times this practice suffer from the internal political situation of business
entity. Management only favour the promotion and growth of known people rather than
appointing to more deserving one that is not well-known to senior management under this
practice. Due to this there is a sense of negative energy float around the business entity.
External recruitment
In this approach to recruitment, the opportunities are given to the candidates that don’t
work with the company. Burberry uses various tools for analysing the workforce requirements
and also to analyse and screen the employees. Then the needs are sorted on various job portals,
newspapers, web site etc (Kadiresan and et.al., 2018).
Strengths: there is an influx of new talent, fresh ideas from new perspectives, highly competent
candidate that is well versed with the current trends as per the job position. New work force
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always serve the organisation with new ideas and modified ways to cater the same operations.
This technique is effective as it allow thee organisation to diversify its work efficiency.
Company also get to expand its stakeholders through this practice.
Weaknesses: this approach can become highly expensive as well as time consuming. Many a ties
the software tends to disqualify the candidates even when they are qualified but just because
their resume is not well formatted. This practice also require diversification in organisation
structure of business entity. In case the structure or hierarchy of company is not diversified again
this practice will not be effective.
Approaches to selection
Post recruitment, the screened-out candidates have to go through the procedure as
follows:
Testing is a method of selection that is done online or in the workplace. This is done by a written
test used to evaluate the skills of the candidates and who are then selected in the organisation
after meeting the criteria. This practice involve ensuring the capability of the candidate based on
the need and requirements of specific designated position. This stage clearly define the
knowledge and exposure of the candidate and allow the company to assess the capability of the
candidate. Interviews: this is done in person or online in the organisation. The major strengths
of this process are that the entire personality of the candidate is analysed through etiquettes,
communication etc. the weakness is that a wrong interpretation can lead to selection of wrong
person in the company (Kodithuwakku, Jusoh and Chinna, 2018). This stage immensely depend
on the interview result. Candidate get selection based on this process only. Interview is taken by
senior depart jhead or any experienced employee in the respective department.
Strength: This practice support the business entity to analysis the potential ability of candidate.
Business entity get to ensure the eligibility of candidate required for any specific designated
position role.
Weakness: This practice require trust worthy process as many times interviewer appoint the
known person over any of the designated position role in organisation. This practice is also very
time-consuming that could restrict the growth possibility of the business entity.
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Benefits of management practices for both workers and employers
For employees: The human resources practices empower the employees of Burberry in
many ways. The human resources management tends to ensure the rights of the employees which
are highly protected as well as the fact that employees work within the scope of the employee
laws. Burberry employs various training and development events and practices for the workers
for keeping them updated about the skill sets in the fashion world (Koster and Gutauskaite,
2018). Burberry is an innovative organisation and helps employees to be productive and improve
organisational culture. This is done by conduction of team building exercises and other employee
engagement practices. Also. For increasing the employee participation, Burberry gives out stock
options to its employees along with various rewards and compensation. The human resource
management is highly committed to motivate the workforce. As Burberry is a iconic fashion
company, the employee rewards are generally of high stature and may include international trips,
employee discounts, special parking spots as a part of the rewards and recognition system for the
employees that perform extraordinarily (Otoo, 2019). The HRM benefits employees as it is a
mediator between the managers and the workers that helps in resolving conflicts and dispute
resolution. Human resources assist the employees from onboarding to any issues they face in
their tenure in the organisation such as payroll issues or other administrative problems. The hr
also helps the employees in career management and progression as well as succession planning
(Sani and Ibrahim, 2020).
For employers: human resource management assist the management and the corporate as
they are the medium of communication between the employees and them. All the important
guidelines, change implementation, regulations, strategic plans are communicated to the
employees through the human resources. The hr department of Burberry continuously aims at
highest level of talent management by employing practice like workforce planning, talent
acquisition and talent retention so that the best employees work in the company. The
organisational culture of Burberry is influenced by the hr as they periodically communicate with
employees (Santhanam and et.al., 2017). They also help in resolving employee disputes which
could then otherwise lead to legal threats for the company. The HRM employs certain practices
like employee engagement, rewards and recognition, performance appraisal etc that retain the
best employees.
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Effectiveness of management practices in Burberry in context of productivity and profit
The HRM department is highly significant for Burberry to increase its revenue and the
overall performance and productivity of the employees. The human resource management deal
with various problems that tend to affect the profit of the company such as provision of the
allowances for jobs, the compensation structure of the company, the ability of the hr to resolve
the dispute. The undertake the talent management process and aim at getting the highest possible
talent employees for the organisational so that the company has the highest level of productivity
and performance in the organisation and it aims to align the business objectives wit the employee
individual objectives (Saravanan and Vasumathi, 2017).
The various human resources practices like employee engagement which has been
adopted by Burberry Company tends to improve the long-term motivation of the employees in
the workplace with support of high revenue, robust display of the company culture as well as an
ever-increasing shareholder value. The operating profits and the value of increase of shareholder
returns has also increased as employee get to deliver more productive task. The stimulation of
innovation and creativity as well the methods of leadership styles that organisation implements
tends to affect the brand value as more and more employees start applying for the company
(Steyn and De Bruin, 2018). The various training and developed programs that is adopted by the
company increases the productivity if employees and thus help the company in making higher
revenue as employees become more skilled in performing their jobs. The performance
management strategies help the company in monitoring the progress of their employees and
stimulate the feeling of performing better and also the significance and relevance of their work.
This instils the feeling sin employees to start performing better even if it is to gain good reviews
from their team leaders. The rewards and recognition practices in the organisation also increases
the capacity of the employees as remain highly motivated through various rewards like bonuses
or recognition like employee of the month (Ciobanu, Androniceanu and Lazaroiu, 2019). The
employee turnover is also reduced by the approaches that the human resources employees use for
resolving employee issues and make them more agreeable with the company.
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Part 2
Importance of employee relations and the effect on decision-making of employees
Employee relations refers to the methods and practices that are employed by the
management of the company to make efforts in improving and maintaining their relationship
with the employees of the organisation and the employers. In context of Burberry, the employee
relations program is quite good and also gives a constant and fair treatment to employees
working at all levels of job (Sulaimiah, 2017). The employee relations programs assist in
preventing a range of problems which can arise from various circumstances and helps in bringing
out a resolution that is mutually agreed upon and helps out both the conflicting parties. All the
employee relations practices are designed in ways that the corporate objectives, vision and
mission of Burberry is fulfilled effectively.
The human resource polices and practices are planned in ways that they help the
company in maintaining a competitive advantage in the cutthroat world of fashion industry. the
majority of the practices on the employee relation programs focus on considering the workers of
the company as a major stakeholder in the business of fashion retail. Stakeholders can be referred
o those parties that are directly affected by the business operations and the decision-making of
the company. This seems to be given a high emphasis in Burberry as the company feels that their
employees represent their company and that they should be a part of their decision-making
process and that they are much more than just paid labourers (Sipilä and et.al., 2020). This is
why Burberry tends to motivate their employees in taking up leadership position and also
increase their representation through various committees that give their idea in the board
meetings. The employee relations also focus on employee relations programs like employee
related areas of employee and pay benefits, bonusses and other things. The employee relation
program that has been implemented by Burberry aims at ensuring that the employee participation
and motivation remains high, and employee feel like a part of the company. All the major
decisions should be aimed by the human resource management to coincide with company goals
as well as to further improve the employee relations (Mankins and Garton, 2017).
Employee relation is very crucial for any business entity. Behind the growth and success
of any business entity relationship of human resources and management play a role of bridge
where employees get to deliver the best level of work efficiencies. If the company maintain a
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healthy relationship with employees of company than it allow the business entity to maximises
its revenue against operations. The relationship employee share with its management and human
resource team directly affect the decision-making of the department. As human resource
professionals get to understand about need and requirements of employees which further
motivate them in taking best level of decisions.
The major recommendations for the HR is that they have to conduct such functions that
allow employees in working efficiently along with the managers and the respective teams. They
have the ability to improve the relations between employees and the co workers through
development of cross functional teams that consists if team members from various areas of
strengths and departments. In the human resource practices employee from all departments tend
to work amongst each other in a collaborative manner and earn the strengths and skills from one
another in order to improve their self efficiency. Human resource department is the department
in Burberry that has the responsibility to improve the social interactions that take place in the
company and creating a culture of cooperation and collaboration. Also improving the skill sets of
the employees such as problem solving, communication, ability to collaborate and team work as
well the e decision-making skills (Tang and et.al., 2018).
In order to enhance the relations amongst employees, the human resource management
conducts various activities, face to face interactions and meetings on a periodical basis where the
employers and employee talk with each other to share their concerns, changes that are required
and various other suggestions. Human resource of Burberry takes care of the employee needs by
conducting surveys and taking feedbacks and tend to implement these in provision of various
facilities to employees like crèches and the need for work life balance. Apart from all these
practices, the human resource should aim at taking care of their employees and being transparent
with them.
Employee legislation and effects on decision-making
The various legislations and laws that protect employees from any kind of coercion or
disparity have to be adhered to by the company in all its operations and polices. Employee
legislations are those laws that are aimed at cover the rights of all the workers and control the
relationship with the employers. Burberry complies with all the employee legislations of the UK
through its various human resource policies. The present employee legislations that tend to affect
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the company are number of work hours, status of working conditions, employee contracts,
compensation structure and the amount of employee benefits that employees are avail as per the
laws (Fagan and Rubery, 2018). The major laws that affect the company in its long term
operations are:
Employee Rights Act: this law covers all the basic rights of the workers such as child care
leaves and work flexibility in need. This act directly motivate the human resource team to take
effective decisions that can allow to allocate all the rights to employees at work place. Human
resource team also get to take decision where they needed to ensure that they get all the rights at
work place which they deserve.
Equality act: in this law, the discrimination among the employees are prohibited in terms of
race, religion, ethnicity, gender, civil and marriage partnership, age, disability etc (Russell and
Gover, 2017). Human resource team required to take decision where they needed to ensure that
all employee will get equal treatment at work place. Department also needed to strict the rules
and regulations where they should ensure that in any case any employee oppose this rule strict
actions will be taken against such individual.
Health and safety of work act: the provisions of this law has brought in safety of employees
from dangerous chemicals or equipment at workplace which Burberry adheres to. Human
resource team needed to take decisions to cherish the health and safety of work force at the place
of work. Decisions like health insurance, accidental insurance and many such policies are
delivered by human resource team at Burberry Company.
Pensions act: this law gives the provisions as per the UK law which allows the employees for
getting enrolled in primary pension schemes where their funds are protected. Under this
company need to take decision related to pension scheme of employee. Equal contribution is also
donated by the business entity in the pension fund as the employee in contributing. Proper
decision-making has been taken related to system that can ensure the best quality of
maintenance related to pension fund.
National minimum wage act: this employee law aims at giving away the right amount of
compensation as per standards to all the employees which is a minimum of £ 8.21 for all the
workers that are above the age of 25 years (Zaid, Jaaron and Bon, 2018). Under this the decision
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is totally related to offering minimum amount of salary and wages to all the employee
irrespective of the designated position role in Burberry Company.
Application of human resource management practices in Burberry
Whenever the recruitment process is conducted in Burberry, post workforce planning,
new job positions and specifications are designed that help the company to select the best
candidates. For example, after job analysis a position of department manager comes up. The
following documents are used:
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Job specification
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Job description
Company name: Burberry PLC.
Job Role: Deputy Manager
Experience: At least 5 years of experience in the field of fashion retail as a manager.
Qualifications required: Bachelor’s degree in Finance or accounting (MBA will be prefered).
Skills: The candidate should have results driven attitude and high confidence level, and also
have numerical aptitude and statistics know how, should carry organizational skills, self-
motivated problem-solving skills, communication skills and should be excellent in team work.
Responsibilities:
 Recruitment, selection and induction of new workers under the department
 Periodic monitoring and evaluation the performance of workers
 Managing financial regularity of department.
 Setting strategic and department targets for short and long-time frame
 Ensuring high level of productivity in employees and motivation

Person specification (CV)
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Curriculum Vitae
Name: Robert Jam
Email Id: [e-mail]
Contact No: 8209136678
Work experience:
Company Job title and role Duration
PQRST Deputy Manager 2012-2020
ABCD Management trainee 2010-2012
Educational qualifications:
Duration Degree/Certificate University
2008-
2010
Masters in business
administration
Oxford
2005-
2008
Bachelors in business
management
London University
Achievements and awards: XXX
Technical skills: MS excel, SAP, Six Sigma Green Belt, , SQL, MIS Tally, MS Visio, PMP
certification, Database management and Analytic.

Offer letter
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Offer Letter
To: Mr. Robert
From: HR department Burberry ([e-mail])
We would like to congratulate you on your selection in Burberry as the department
manager of Retail department of retail store in the London branch. We would be glad to
inform to that you have been offered a full-time position according to the job description
and look forward to having you on-board by 2nd of Febuary, 2021. On the basis of your
skills and experience, we hope that you will take our company to the next level.
As discussed, we are offering you a CTC of: £XXXX and the details are as follows:
CTC £500000
Basic Pay £250000
Allowances and benefits £150000
Deduction 1 £60000
Deduction 2 £40000
Salary in hand £400000
We are looking forward to have you on board with us as soon as possible. Kindly find the
attached the details of your job description, employee handbook and other documents in the
email.

Conclusion
From the report of human resource management, it was concluded that human resource
management plays significant role in managing the employees of the company. Burberry highly
focuses on all its employees and aims to increase the productivity of the organisation through
effective talent management practices as well as efficient recruitment and selection, training and
development, performance appraisal etc, the HR also motivates the employees by employee
engagement activities, rewards and recognitions, employee relation programs etc. A high focus is
given on team building, employee participation and development as well as work life balance.
All necessary employee legislations are adhered to and human resources benefits both employees
and employers and raises the company profits and productivity.
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