Human Resource Management Practices and Strategies at Cadbury

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This report provides a comprehensive overview of Human Resource Management (HRM) practices within Cadbury, a major player in the confectionery industry. The introduction highlights the role of HRM in enhancing organizational performance and achieving competitive advantages. The report delves into the objectives and functions of HRM, including managerial and operative functions such as planning, organizing, recruitment, training, and compensation. It analyzes various recruitment and selection methods, comparing internal and external recruitment, and different selection tests and interview techniques. The report also examines the benefits of HRM practices such as performance appraisal, training and development, and reward systems for both employees and the organization, including improved employee motivation, skill development, and organizational efficiency. Furthermore, it evaluates the effectiveness of these practices, the influence of employee relations on decision-making, and identifies key elements of employee legislation. Finally, the report provides an application of these HRM practices within Cadbury, offering insights into how the company manages its workforce to achieve its strategic goals. The conclusion summarizes the key findings and emphasizes the significance of effective HRM for Cadbury's success.
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HUMAN RESOURCE
MANAGEMENT
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Table of Contents
INTRODUCTION...........................................................................................................................3
L O 1................................................................................................................................................3
P1) Objectives and role of HRM,...........................................................................................3
P2) Different methods of recruitment and selection...............................................................6
L O 2 ...............................................................................................................................................8
P3) Benefits of various HRM practices..................................................................................8
L O 3..............................................................................................................................................11
P4) Effectiveness of various practices of HRM...................................................................11
P5) Value of employee relations in influencing decision-making.......................................12
P6) Identifying the key element of employee legislation.....................................................14
LO 4...............................................................................................................................................15
P7) Application of HRM Practices.......................................................................................15
CONCLUSION..............................................................................................................................18
References......................................................................................................................................19
........................................................................................................................................................22
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INTRODUCTION
Human resource management is an approach of organization to manage the people of
organization in an effective way to improve the complete performance of organization to gain
competitive advantage in market place (Brewster, Mayrhofer and Farndale, 2018) The purpose of
HRM in the organization is to improve the personal skills and management of each person in the
organization to meet the goals and targets of company that are decided by leaders and
management. This report is providing brief about Cadbury that is performing business in
confectionery sector. Cadbury was founded in year 1824 by John Cadbury Birmingham England.
Company is providing various range of food products to the consumers. This report is providing
brief of HRM practices of human resource department for workforce management in the
organization. Strengths and weaknesses of recruitment and selection approaches are explained.
Benefits of different HRM practices for employees and employer are explained in the study.
Evaluation of HRM practices is performed to find their effectiveness in the performance and
productivity of organization. Influence of employee relation on the decision making of HRM is
provided in the report. Different key factors of legislation are considered to evaluate their impact
on the decision making of the organization. Practices of HRM are evaluated for the working of
organization.
L O 1
P1) Objectives and role of HRM,
Overview of the organization -
Cadbury is the subsidiary of Mondelez International. It was founded in year 1824 by John
Cadbury. Headquarter of Cadbury is located in London, England. It offers various products such
as Crème Egg, Dairy Milk, beverages, biscuits, ice cream etc. It offers the products in different
countries like India, UK, New Zealand, Canada etc. Key peoples of the firm are Irene Rosenfield
etc. One of the major aim of Cadbury is to become the largest confectionery company in the
world.
Human Resource Management refers to the method of managing human resource of the
firm. So that, organization will gain competitive advantage over other competitors. Human
Resource Manager of the firm is responsible for performing various functions that helps to
improve the performance of the employees (Jain, A., 2019).
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Purpose of HRM-
ï‚· One of the major objective behind management of human resource is that the process
helps the organization to improve its performance by recruiting skilled workforce.
ï‚· HRM is a method that will help Cadbury to achieve its objectives by clearly defining the
goals and objectives of the company to human resource.
ï‚· It also helps the organization to improve its work efficiency by recruiting efficient
workers, providing them opportunity of training and development and offering incentives
on the basis of work performance of the staff (Akter, 2018).
ï‚· HRM plays an important role in developing adequate level of coordination between
various functional departments of Cadbury. Through this it helps in optimum utilization
of the resources that results in achieving goal of the firm.
Functions of HRM-
Human Resource Department of Cadbury and the department plays a major role in
managing the human resource of the organization in effective and efficient way. Human
Manager is responsible for performing various types of functions of HRM. These are as follows -
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Managerial functions-
Planning-
One of the major function of HRM is planning. It includes determining aims and
objectives of the company and policies and programmes to achieve these goals. Human Resource
Manager of Cadbury is responsible for developing personnel programmes that will help to
realize mission and aims of the firm.
Organizing-
After determining goals and objectives and plans for achieving them, Human Resource
Manager of Cadbury will develop structure of organization for performing different operations.
The structure will include assigning different jobs to different individuals, delegating authority
for completing the responsibilities that are already assigned (Ellmer and Reichel, 2018).
Operative functions-
Recruitment-
Figure 1 : Functions of Human Resource Management
Source : (Functions of Human Resource Management, 2018)
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One of the most important function of Human Resource Department of any company is
recruitment. It helps in recruiting right number and right type of employees for filling vacant job
positions in the organization. It also involves induction and job placement of the workers. As a
result it helps to achieve the goals of the firm.
Training and development-
After recruiting and selecting the candidates, Manager of the company will provide
adequate training to the staff for developing their skills that are required to perform various tasks
of the firm. This will help to achieve individual as well as organizational goals. To provide
proper training, Human Resource Department of Cadbury will develop proper training
programmes. So that, employees will be able to use new tools and techniques for performing the
work (Noe and et.al., 2017).
Compensation-
Human Resource Department of Cadbury is also responsible for determining and
providing adequate level of compensation to the staff for their work performance. Manager will
consider various factors before providing compensation such as laws of Government,
requirement of the work, capacity of the firm, basic requirements of the employees etc.
Compensation should be equitable so that, it will not demotivate the workers of the organization.
And helps to improve motivation level and job satisfaction level of the staff members.
P2) Different methods of recruitment and selection.
Recruitment -
It refers to the detail process of influencing many candidates to apply for vacant job
positions in the firm. It also involves short-listing and selecting the most suitable type of workers
to perform different jobs in the organization. The process of recruitment can be performed by
Human Resource Manager, person who is specialized in such activity or by Human Resource
generalists (Ranjan, 2017). Department of Human Resource in Cadbury will adopt different
methods of recruitment such as-
Internal Recruitment-
It refers to the method of filling vacant job roles by selecting the employees from inside
the organization. Internal recruitment helps to retain loyal employees in the firm. Manager of
Cadbury should adopt different methods for recruiting existing workforce (Griffin, Bryant, A.
and Koerber, 2015). Such as-
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ï‚· Promotion of existing employees from low level to high level of job.
ï‚· Transferring the workers to same job in different department or at similar job position in
different division.
Strengths-
ï‚· It will help to avoid the cost of providing training to new employees. Therefore, it will
save cost and time of Human Resource Department.
ï‚· It will improve the morale and motion level of the workers. As a result, they will not
leave the company.
Weaknesses-
ï‚· It creates a restriction on recruiting fresh talent from outside the firm. Therefore, through
internal recruitment, company can miss innovative perspectives.ï‚· Employees that are promoted to higher job position may develop sense of jealousy.
External Recruitment-
It is the process of recruiting staff from outside the organization to fulfil the available job
positions. Under this method, organization recruits those employees that are not currently
working in the firm. Manager of Cadbury will use various methods of external recruitment such
as-
ï‚· Advertisement in social media platforms.
ï‚· Providing information on Company website.
ï‚· Through employment agencies.
ï‚· Campus placement etc.
Strengths-
ï‚· More chances of finding and selecting candidates that are having new skills and
knowledge that will help to realize aims and objectives of the company.
ï‚· It helps in better growth of not only the candidate but also of the organization and helps
to face competition in the market (Poon, 2019).
Weaknesses-
ï‚· There may be the possibility that candidate will have less knowledge of the environment
of the firm.
ï‚· It is a time-consuming and costly method of recruitment.
Selection -
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It is the process of short listing and selecting the most suitable candidates that are having
required skills and abilities to perform the vacant jobs. The process of selection is different in
different companies, industries and even for different departments of the firm. Department of
Human Resource of Cadbury will use various methods for selecting the candidates. Such as-
Selection test-
For selecting the best candidates, every organization conducts certain types of selection
test. This varies according to the job position for which they have applied. Manager of Cadbury
will conduct different test of the candidates. Such as Ability test to determine level of
intelligence, clerical, mechanical ability of candidate. Firm will also conduct personality test to
judge personal traits of the person (Raines, 2019).
Strengths-
ï‚· Selection test helps the organization to match the necessity of vacant job with skills and
knowledge of the candidate.
Weaknesses-ï‚· These test may not always suitable for selection.
Interview-
Organization also conducts interview of the candidates. Interview may be conducted
either by an individual or by panel of individuals.
Strengths-
ï‚· It helps to collect sufficient information regarding the candidate such as primary
information etc.
Weaknesses-
ï‚· Interview may create confusion in the future due to lack of evidence regarding the
discussion that has take place during interview.
L O 2
P3) Benefits of various HRM practices.
Practises of HRM Benefits to employees Benefits to Cadbury
Performance Appraisal -
It is a systematic method of
determining the efficiency of
Performance Appraisal acts as
a tool of inspiration. It
provides the employees the
Performance appraisal helps
Cadbury to improve the
communication with
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workers in performing in their
tasks. It is a process of
collecting and analysing the
details regarding the value of
workers in the firm.
opportunity of promotion at a
high job position, more
authority and better salary. As
a result it will develop sense of
motivation in employees to
perform better.
It also supports the
management of Cadbury to
determine the strengths and
weaknesses of the workers that
helps in future growth and
development of staff.
employees. The practice helps
the firm to resolve the conflicts
that may arise due to lack of
proper communication (Kaur,
D. and Batra, 2018).
Performance Appraisal System
of the company helps the
management to collect
information regarding
performance of employees. As
a result, it improves the ability
of decision-making of Human
Resource Manager.
The system of evaluating the
performance of employees of
Cadbury will help to determine
the need of providing training
to the workers of the firm.
Training and Development -
It is one of the major function
of management of human
resource. Training is provided
by the firm for improving
technical knowledge of the
workers.
Whereas, development refers
to the overall development of
the employees (Holt, Hall, A.
and Gilley, 2018).
The practice of training and
development of Human
Resource Department of
Cadbury help to improve the
skills of workers, and they
remain up to date with the
latest technology.
It helps to improve job
satisfaction level of the
employees.
Training and development
assists the management to
develop team spirit and zeal in
Training and development
practice provides an
opportunity of optimum
utilization of the resources.
It helps to create sense of
security and confidence in the
minds of workers. As a result
it provides benefit of low rate
of absenteeism and turnover of
employees in Cadbury.
Training and development of
the staff of Cadbury helps to
reduce the chances of errors in
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workers for learning new
things.
work performance. As a result,
it helps to improve
productivity of work.
Rewards and Recognition
System -
It is one of the important
practice of Human Resource
Management. The objective of
HR Department behind
rewards system is to attract
skilled workforce in the firm.
Main components of Rewards
System are basic salary,
incentives, bonus, perks etc.
Rewards System of Cadbury
helps to motivate human
resource of the firm.
Firm should provide incentives
and rewards on the basis of
performance. This will
promote self-development of
workers.
When employees remain
happy they become more
productive. The practice of
Cadbury to provide rewards
and recognition to staff helps
to improve the level of
productivity of employees
(Voegtlin, C. and Greenwood,
2016).
Workers get the opportunity of
receiving bonus, incentives
along with basic salary for
high level of performance.
The practice of Rewards
System in Cadbury also
includes the policy of offering
perks to existing and new
employees. This helps to
attract highly skilled
candidates to work in the
company. And it will also
support the Management of the
organization to retain loyal
employees for a long period.
Providing recognition and
incentives top the employees
will help Cadbury to influence
the workers for achieving the
objectives of the organization.
Appreciating the workers for
their performance will help to
develop feeling of motivation
in employees. This will result
in increase in level of output
and sales of the products of
Cadbury.
For example- When
employees of Cadbury get
retired they will tell positive
things about the company.
This will result in
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improvement in brand image
and reputation of the firm
(Xiong, W. and Wang, 2018).
L O 3
P4) Effectiveness of various practices of HRM.
There are various practises that are adopted by Human Resource Department of Cadbury,
and they are highly effective in improving the profits and productivity of the organization in
different ways.
Performance Appraisal -
Performance Appraisal System of Cadbury is one of the major function of HRM. It helps
in determining the current and future capabilities of the employees. It is highly beneficial for the
supervisors to evaluate how the workers are performing their tasks. It helps the firm to resolve
existing problems and to motivate the staff for better performance in the future (Ma, 2019). In
this way the practice of appraising the performance of staff provides the advantage of
improvement in productivity of output, sales and profits of Cadbury.
Organization has adopted the technique of Management by Objectives (MBO) for
appraisal of performance of workers. It has improved the involvement of employees in decision-
making of the firm. It results in improvement in motivation level of staff.
Training and Development -
Regular training and development of employees is very essential for bringing an
improvement not only in productivity of employee’s but also to improve the productivity of
Cadbury. Training sessions for the staff members helps the firm to improve the level of
competence of workers and also resulted in increase in motivation level. Therefore, it has
resulted in increase in the level of production and sales of the products of Cadbury (Ranjan,
2017). Training and development practice of the department of Human Resource is highly
effective in improvement in process of communication that results in better work productivity.
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Due to improvement in skills and abilities of workers of Cadbury, the turnover and profitability
of the business has also improved.
Cadbury is using different models like ADDIE model (Analyse, Design, Develop,
Implement and Evaluate etc.) for developing training programs for providing training to the
workers. The model help Cadbury to evaluate the need of training for staff, to determine the
outcome etc. Regular training sessions has resulted in advancement in skills and abilities of
employees, it results in reduction in the level of accidents while performing the job. Effective
training and development programmes is highly effective in improving the performance of
workers of Cadbury. It also resulted in increase in turnover and profit margin of the organization.
Rewards and Recognition System -
Providing rewards and recognition to the workers is very essential for employee
motivation. Providing informal recognition such as saying thank you etc. for better work
performance helps Cadbury to improve trust of employees on their supervisors. Firm offers
various financial as well as non-financial incentives to the workers. Financial incentives like
allowance, incentives linked with productivity and financial incentives like higher status, job
enrichment etc. The system of Rewards and recognition in company is highly effective in
improving morale of the staff.
Management of the organization treats their employees like a family and also developed
the programmes for providing incentives on the basis of performance. This has resulted in
improvement in level of employee retention in Cadbury. Human Resource Manager of the firm
offer bonus, perks to employees. It helps to improve motivation level of workers. As a result the
productivity of the staff members has been improved and it helps to increase the revenue and
profitability of the firm (Islam, 2015).
P5) Value of employee relations in influencing decision-making.
Employee employer relation refers to the relationship between the workers and
management of the company. It is an art of monitoring the relation between members of same
team or of another team. There are various benefits of effective employee employer relationship
such as it helps to improve the morale and level of motivation of staff that helps to improve
productivity of work. Manager of Cadbury should develop the policy for collecting feedback
from employees. It will assist to determine the reason behind conflicts at workplace. As a result,
it will help to improve employee relations (Cioclov, NAGHI, R.I. and Boldea, 2016).
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