Human Resource Management Report: Merrill Lynch Analysis

This report provides a comprehensive overview of Human Resource Management (HRM) practices, focusing on workforce planning, recruitment, selection, and employee relations within the context of Merrill Lynch. It begins by defining HRM and outlining its core functions, including planning, recruitment, training and development, performance management, and compensation and benefits. The report then delves into the strengths and weaknesses of different recruitment and selection approaches, differentiating between internal and external methods. Furthermore, it describes the benefits of various HRM practices for both employers and employees, evaluating their effectiveness in terms of profit and productivity. Key aspects of employment legislation impacting HR decision-making are also discussed, along with an evaluation of employee relations and the application of HRM practices in a work-related context, supported by specific examples.

Human Resources
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Explaining the purpose and functions of HRM applicable to workforce planning and
resourcing an organization.....................................................................................................1
Explaining the strength and weaknesses of different approaches to recruitment and selection.
................................................................................................................................................3
TASK 2............................................................................................................................................7
Describing the benefits of different HRM practices within an organization for both employer
and employee..........................................................................................................................7
Evaluating the effectiveness of HRM practices in terms of profit and productivity..............8
TASK 3..........................................................................................................................................10
Key aspects of employment legislation that impacts HR decision-making.........................10
Evaluation of employee relations and use of HRM practise................................................11
TASK 4..........................................................................................................................................14
Applications of HRM practices in a work related context along with specific examples....14
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
Human resource management is the function of the organization that deals with issues
related to people such as hiring, performance management, organization development, safety,
wellness benefits, employee motivation etc. the purpose of human resource management is to
sustain the professional interest of employees and develop their capacity and development level.
Present study will be base on Human Resource management in the context of Merrill Lynch
Firm which is situated in Central London. Further, In the study will be explained about the
functions of HRM that provides talent and skills appropriate to fulfill the business objectives. In
order to recruit and hire the great talent for that present research also explains about the different
approaches of recruitment and selection. Report will also explain the effectiveness of the
different HRM practices in terms of raising organizational profit and productivity. At the end of
the segment the study also presenting the documents.
TASK 1
Explaining the purpose and functions of HRM applicable to workforce planning and resourcing
an organization
Definition of Human Resource
Human resource is the part of the business organisation that better deals with people and
their issues within the organisation. Besides, human resource development also supports the staff
activity and ensuring and fulfill their role at work.
Human resource management is the process of training, appraising, acquiring and
compensating employees and attending to their labour relations.
Purpose of Human Resource Management
Human resource department ensures the source of competitive advantage. It regards
people as the most important single asset of the organization (Albrecht And et.al., 2015). HRM is
proactive in its relationship with people and seeks to enhance the organizational performance in
its relationship. The purpose of the organization that makes the better understanding and also
sustained the business effectiveness. The main objectives of HRM is directly related to an
organizations mission and goals.
Functions of Human Resource Management
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Planning : HRM is responsible for planning employee development and procedure by which the
management ensures the productive environment within the organization. Planning is the crucial
practices performed by the HR manager in order to sustain the working & positive environment.
Planning ensures the actual performance and how to strengthen the future performance. The
basic objective of this function is to optimize the employee performance and avoid imbalances in
the distribution and allocation of human resources (Banfield, Kay and Royles, 2018).
Recruitment & Selection : the core function of HRM is to recruit the right person for the right
place within the organization. Recruitment is of the basic job of human resource services.
Nowadays, recruitment & selection process is become complex procedure for the company due
to high competition within the environment. It has been documented that there is dissimilarity in
enrolment and selection practices reflecting an organization strategies. This is successfully
measured the systematic form of development process to rethink the process objectives.
Recruiter and employment are generally is measured by the number of positions. HR manager
liable to recruit person, scanning the hiring efforts with managers responsible for making the
final selection of candidates (Berman And et.al., 2019).
Training & Development : Training and Development is the another core function of HRM for
that they always plan something new and (innovative) than before. This is the most important
function within the organization in which HR manager is responsible for getting the new
management criteria of training and make employees more effectively sustainable and
productive. This function of HRM ensure the new skill set for employees that followed by the
new techniques and methods to perform the specific task. It can help Merrill Lynch to make the
employees more productive and challenging. Another purpose of this unction is to make
employees expertise in different areas.
Performance Management : Performance management is an effective procedure the managers
used to measure the job performance of an individual. By applying the distinct management
theories. Managers and workers collectively plan for the same pace in order to contribute the
management functions (Brewster and et.al., 2016). HR manager has been used different methods
of performance management such as performance reviews, self evaluation, Peer evaluation,
target setting for individual groups, Measuring individual group output etc.
Compensation & Benefits : Another functions performed by HRM is to set the compensation
benefits for employees and introducing the new policies and performance standards. It has been
2

shown that those organizations whose having good compensation benefits for their productive
employees (Cascio, 2015). It better drives its personal costs, manages the performance of
employees and rewards the extraordinary performance.
Hard & Soft practices of HRM
Soft Practices :
 Employee training and development
 Developing teamwork performance
 Implied the just in time approach
 Total quality management
Hard Practices :
 Strategic quantitative aspect replaced and seen as disposal.
 Hard models look at people as a financial resources.
Explaining the strength and weaknesses of different approaches to recruitment and selection.
(A) Internal Recruitment & Selection
Internal recruitment is the process which has been done within the company without any
involvement of external support (Emerson and et.al., 2016). In internal recruitment HR Manager
a company has decides to recruit persons from an organization. In the form of promotion,
transfer, employee referral, external recruitment eliminates these problems but is more expensive
and time-consuming. As a business owner it would help to better discover the certain things to
better analyse the performance.
Transfer
Transfer involves the shifting the persons from present jobs to other similar jobs. In the
process of transfers an employee shifted to another place from one place to another.
Advantage
 It is the easiest way of recruitment & Selection (John and Taylor, 2016).
Disadvantage
 Transfer rigid the scope of further innovation.
Promotions : Promotion is the another way of recruiting employees within the organisation.
Promotion is the new opportunity for the employees to get promoted job place along with higher
pay scale and benefits.
Advantage
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 Promotion makes employees more productive and energetic.
 Promotion can also improve the employee morale.
 No error in selection process.
Disadvantage
 Promotion can make other employees low to not get any appraisal which might be the
cause of employee turnover (Mura and Horvath, 2015).
(B) External Recruitment & Selection.
External process or ways through accomplish their work into the best possible manner.
External recruitment and selection process but is more expensive and time-consuming. External
recruitment is the process where the method is deciding the work out goals more clearly. This
will help to continue the work objectives that assures the better management objectives.
Advertisement : Advertisement is the source through company can recruit number of candidates
as per the required set skills. Advertisement for the job profile can be done through different
sources such as newspaper and professional journals (Nankervis And et.al., 2016).
Preparing good advertisement is a specialized task.
Advantage
 It involves various scope and methods through company can take help for the recruitment
and selection.
 Newspaper advertisement through different social media sites.
Disadvantage
 It occurs high cost and time to recruit and took the whole process.
Employment Exchanges : Employment exchanges is the source which has been authorized by
the government (Noe And et.al., 2015). Such organization provides employment facilities to
unemployed persons. So overall this is the another option that company could adopt.
Advantage
 It increases the chances of number of recruitment
Disadvantage
 More time-consuming
On Campus recruitment : On campus recruitment from colleges or schools open up the great
opportunity to get the fresh and talented candidates for the organization. The student is spotted
during their studies (Noe And et.al., 2017.).
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Advantage
 It open up the great opportunity for recruiters as well for the candidates.
 This would affect the long-lasting work opportunity gain.
Disadvantage
 It involves high cost and time taking process.
Recommendation of existing employees : This method or recruitment has been done on the
basis of recommendation by employer or employee both. Some employees recommend their
company to their family, friends.
Advantage
 It increases the business strategy.
 It also helps to gain the high productivity
Disadvantage
 Sourcing candidate and selection might be difficult.
 Candidates can quit the job very quickly.
Recruitment Sources
Recruitment methods of selection which makes the people more complex of change in
inefficient.
 Applicant initiated
 Employee Referral
 Social Service agencies
 Outplacement services
 Job affairs
 Co ops and internships
Selection methods
Selection is the next process after recruitment where the final candidates have been chosen for
the vacant position (Sparrow, Brewster and Chung, 2016). Selection is the negative process than
recruitment because in this process only few candidates will b chosen for the next process or
task. There are given some methods and techniques for the selection that company could adopt.
Behavioural questions
In this method candidates were asked some behavioural based questions to understand
how the prospects thinks and the types of choices they set. This behavioural test is also helps to
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know more about the individual behaviour to understand about the honesty. Behavioural tests is
the another process of challenging and leading the business that understand the outcomes and
goals.
Personality Tests.
Personality tests is the another method of selection in which manager got to know more about the
individual person (Stewart and Brown, 2019). In this method person has been measured by
different criteria and makes the better understand the targets. For example : The persons who
hate conflicts and bad environment it means the person can better handle the uncertain and
conflict issues. Personality test helps HR manager to better understand the individual level and
better understand the opportunity and target.
Face to face Interview
Face to face interview is the last method or process of selection where the managers and
the head of the department decides weather candidate is selected or not. Face to face interview is
the best process to judge an individual (Stewart and Brown, 2019). In this process of interview
the whole process deciding the final selection decision. Face to face interview process enhance
the opportunity level of the organisation that generate the highest developing performance for the
growth of the business.
Methods to attract job candidates
 Through consultancies & agencies
 Direct applications
 word of mouth
 Open days
 Internet
 Other media sources etc.
TASK 2
Describing the benefits of different HRM practices within an organization for both employer and
employee.
Human resource management is the important source for the organization that can help to
make the understand and gaining the better understanding of the organization. HRM is the
effective development that develop the new emerging market opportunity (Albrecht And et.al.,
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2015). It is the set procedure that HR manager has been followed. HRM is the another most
competitive way to deal with the organization goals and objectives to be more effective and
fluctuating. There are many benefits that obtain by both employer and employees in different.
Benefits of HRM practices for employer
Organizational Culture: Organization culture involves bringing together values, company
vision. Effective HRM practices enable to maintain the good organization culture and maintained
the value or the company vision beliefs and traditions. Establishing company standards, and
make the working opportunity (Banfield, Kay and Royles, 2018). The Best human resource
practices can help to better development process in order to develop the best practices. For
example : HR manager provides the good compensation and benefits to employees that
encourage them into the best possible manner. By having good practices of HRM gain the
advantage for the employees benefits.
Planning for change : By the help of training and development employer get benefit to plan for
the new changes that better take the company advantage and goals. By the help of new change
and new development it can help to better understand and opportunity (Berman And et.al., 201).
The business this certainly affect the business organization and organize the different opportunity
and gain. By applying the different theories and motivation employer get benefited through
different range or style.
Development of goods relations : Employer get good environment from the office in order to
gain the management opportunity. By the help of good practices of human resource development
it would gain the different opportunity for the people. For example recruitment and selection,
give rewards to employees all such practices of HR manager helps to maintain the good relation
with the employees (Emerson and et.al., 2016).
Productive employees' performance: Employee effective performance obtained the productive
outcomes for the company gains. Organization should always offer the best training and
practices to employees so that it makes the employee work more energetic. Employee
performance has been increased by the help of extrinsic and intrinsic reward system. Extrinsic
reward system belongs to tangible rewards in which manager of the organization offer some
exciting offers to employees such as bonus, incentives etc. besides, that intrinsic reward system
are non-physical which offer good relationship etc (John and Taylor, 2016). all such
development is beneficial for the best advantage and result goals.
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Benefits of HRM practices for employee.
Individual development : HR practices is connected with the employee development
where the aim of each practice is to enhance the work efficiency level of an employee. This is
the first benefit that HR practices has been given to employees to get to know different learning
and information in the context of different opportunity task. For example Training and
Development makes employee more educate skill full and knowledgeable to perform the
particular task.
Increasing employee morale : Another benefit of HR practices to employees is it
maintained the employee interest with the organization objective. This is the another benefit that
employee get from the good practices of HRM (Mura and Horvath, 2015).
Promoting positive behaviour : HRM good HR policies are the another reason due to
which employees have always connected with the same firms. Such environment makes
employees behaviour positive and optimistic. Such situations happily consisting the work
opportunity and gain the different gain opportunity.
Financial and non Financial : this is the another practices by the organization that
effectively gain the advantage for the better environment and also the makes
Evaluating the effectiveness of HRM practices in terms of profit and productivity.
Learning and development
Human resource management is the essential business opportunity and gain that certainly
helps to make the business environment more productive and efficiently work. However, The
HR policies and procedures are always meeting the company needs and wants according to
different aspect or the development process (Noe And et.al., 2015). Effective working and
healthy HR policies has always beneficial for the tasking opportunity work performance. HRM
increases the profitability of the organization in different context as per given below:
Effective HRM policies and practices hire and select the best candidate for the
organization after posing both hard and soft skills needed requiring for the task. This influencing
task performance can make the better performance and task. It also helps to gain the different
objectives and gain the different developing performance (Sparrow, Brewster and Chung, 2016).
In other words, the impact of HRM policies on the company performance is been given high
range of developing styles and also provides the best source of outcomes for the better
development of objectives and task.
8

The flexible organisation
In order to gain productivity HR should invest on employees' performance such as give
them training and development, give them rewards and recognition and ensure the rewards for
the productive employees all such practices and environment helps to develop the profitable
outcomes. Another way through HRM gain the environment is to provide the good working
environment which is free or safe from ensuring the work compliances etc. all such measures
make the study more productive for the development.
Minimize the threat of litigation
Another effectiveness of HRM practices is that it helpful to reduce the threat or uncertainties
from the working environment (Brewster and et.al., 2016). HRM effective organization policies
can helpful to protect the business environment from the uncertainties happened within the
working culture. HR manager can help to make the secure environment to resolve the employee
issues before escalate and become a serious problem. This is how HR manager gain the
productivity environment in the business. This is how HR can improve profitability growth for
the business.
HRM policies and procedures also helpful to monitors the company work culture and
performance of employees. Every organization has distinct company culture, it would help to
maintain the employee morale and sustained the employee relationship with others. These
practices can also very helpful for the company to maintain the company profitability.
Recommend the HR strategies are the most significant growth for the organization to gain the
business opportunity and gain (Cascio, 2015).
Effectiveness of Training & development to organisation
 It helps to trained employees or new candidates as per the choice of the requirement.
 It improves the individual skills and existing strategies.
 It helps to introduce staff commitment and motivation.
 Increased job performance and employee satisfaction.
 It helps to develop the customer satisfaction
 increased the value of employee.
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TASK 3
Key aspects of employment legislation that impacts HR decision-making.
Employee relations refers to the relationship between company and employees that are
working in the organization. Management should ensure that there must be healthy relationship
between employees and employer so that, productivity will improve (Heyes, J. and Lewis, 2015).
Employment Legislation -
It is a very wide area as it covers all the areas of the relationship between employer and
employees of the company. Employment laws includes different types of administrative, federal
rules and regulations. The major aim of developing employment legislation is equal treatment of
employees regarding all the aspects such as equal employment opportunity, fair salary etc. Terms
of Employment are agreed between employer and workers at the time of recruiting the staff.
Such as job responsibilities, sick days, salary etc (Gibson, 2015).
Employment Legislation in UK regulates the relationship between employees,
management and trade union. These regulations define the rights of employees regarding
minimum wages, working time, right to participate in decisions that is collective bargaining,
right to get equal treatment by employer etc. Human Resource Manager of Merrill Lynch should
consider all the elements of various employment legislations at the time of taking decisions
related with human resource of the firm (Guest, D.E. and Clinton, 2017). These are as follows -
Equality Act, 2010 -
Equality Act was implemented on 1st October 2010. Main objective of the Act is to
prevent discrimination among employees in the organization, to improve discrimination law and
to support the equality of the workers etc. The Act has replaced other laws like Equal Pay Act,
1970, the Employment Equality Regulations, 2003 etc.
One of the major element of Equality Act, 2010 is equality that is, Manager of Human
Resource Department in Merrill Lynch should ensure the equality among all the workers of the
organization during the process of recruitment and selection. There must be no discrimination
among candidates on the basis of caste, religion, sex etc (Griffiths, E. and Vaughan, 2016).
Equal Pay Act, 1970 -
The Act defines that men and women should receive equal amount of compensation for similar
type of work or similar job position. The Act is mainly related with sex discrimination regarding
payment. It does not deals with discrimination on the basis of pay.
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The Disability Discrimination Act, 1995 -
The Act is applicable to the companies that employs over 20 employees. Employer is responsible
to support the needs of disabled persons and to provide the right to access transport, education
facility etc.
Health and Safety Act, 1974 -
The Act has defined the structure for regulation of welfare, health and safety at the
workplace within UK. It covers the responsibility of employer, contractors and employees at
work and those who are responsible to manage them. Human Resource Manager of Merrill
Lynch should take all the necessary steps for protecting the employee’s against the use of
dangerous substance while offering services to the clients. Health, safety and wellness of the
staff are important factors of the perception of employees towards the fair treatment by the
management. Initiatives for health and safety of the employee’s is a part of Human Resource
Management approach. Employer of Merrill Lynch should utilize the resources in programmes
for promoting health and safety of the workers such as preventive measures, wellness
programmes, disability management etc.
Health and safety of the staff should be a part of overall strategy of the firm. It will help
to improve productivity of employees, to increase level of staff retention and to prevent loss of
time of workers etc. It will also support Merrill Lynch to achieve the objectives of the
organization (Wing‐Fai, Gill, R. and Randle, 2015).
Evaluation of employee relations and use of HRM practise.
Factors influencing employee relations
 Employee relations get influenced by industrial history
 Economic satisfaction and dissatisfaction can also affect the HRM practices.
 Social psychological satisfaction can affected by the HRM relations.
 Negotiating skills and attitude of management and workers. Public policy and regulations can affect the employee relation.
Employee relations -
Employer and employee are interdependent on each other. The employee relationship
should be mutual and strong because more the workers will be happy it will help to improve the
productivity of staff. It includes individual as well as group relations. The term individual
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relation means relation between workers and employer (Daykin, 2018). Whereas, collective
relations means relationship between association of employer and trade union.
Elements of employment relations -There are mainly three parties involved they are:
 Employees
 Employer
 Trade Unions and other associations
 Government agencies etc.
 The process of industrial relations involves-
Various types of disputes and the mechanism to resolve them. It also includes participation of
employees at their workplace. Collective bargaining between Trade Union and representatives of
employer.
 The result of industrial relations include :
It will result in collective agreement between employer/their representative and employees/trade
union etc. Or tribunal will take decision for resolving the dispute.
 Strategies for improving employee relations.
Management of Merrill Lynch should take steps for maintaining better employee
relationship in the company. Such as -
 Leader should influence the employees to discuss the tasks with each other. They must be
given authority to take decision.
 Manager of the organization should make efforts for maintaining effective
communication among workers. This will help to remove misunderstandings and
confusion (Dingwall, R. and Frost, 2016).
The above strategies will help Merrill Lynch to improve employee relationship in the firm. This
will help to promote productivity of work.
Trade Union -
Trade Union is a union made up of workers. One of the major aim of trade union is to
protect the interest of the members of the group. There are some activities of trade union such as
securing the increase in salary of employee’s etc. are not just for the benefit of members of the
union but for all the workers of the organization. The role of Trade Union are not just related
with the workplace but, there are some other work of trade union such as lobbying etc. that helps
to modify the laws of UK and to obtain new rights for the employees (Lewis, D. and
12

Vandekerckhove, 2018). Generally, in UK the working of trade unions are not dependent on any
employer of the firm.
Importance of Trade Union in UK -
Trade Union performs various activities for protecting the interest of the members. These
are as follows -
 Craft union will represent skilled workers that belongs from similar occupation.
 General union will represent unskilled workers that belongs from different occupations.
 They help to negotiate the terms and conditions with the employer of the company. Such
as terms related with compensation of employees etc.
 One of the major role that trade union play is discussing the major changes that takes
place in the firm such as redundancy of workers etc (Magntorn, J. and Winters, 2018).
 Trade Union act as a link between employees and management and helps to discuss the
grievances of members with the employer.
 They also play a major role in providing information and advice to the employees. Such
as financial advice or legal advice etc.
Manager of Merrill Lynch should make efforts for improving the relationship with trade
union. This will help to improve the performance of workers and provides benefits to both
employees and to employer. There must be proper communication between organization and
workers for resolving any type of conflicts etc. If there is effective communication between
employee union and company, it will help the employer to develop the best strategies for
handling the disturbances of the market. It will also result in better working relationship.
Improvement in relationship will help in better negotiations with the management (Lewis, D. and
Vandekerckhove, 2018).
TASK 4
Applications of HRM practices in a work related context along with specific examples.
HRM business practices are the set of activities and documents which contains some
specific development results that affectively work for the betterment and maintained the work
objectives. That effectively manage and work and select the employees productively.
Job Specification for HR business manager
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Job specification is the HR essential document that specify the actual requirement for the job
profile in which manager mentioned the all requirements of the company from the candidates
(Emerson and et.al., 2016). In other words, Job specification has consists the roles and
responsibilities of the vacant position.
Job Specification
Job Title : HR business manager
Report to : Department Manager
Job Overview : Merrill Lynch looking for a competitive HR business manager who is
confident and have good experience of work in previous firm.
Roles & Responsibilities
 Candidate is responsible for developing the business strategies
 Delegate work to subordinates as per their skill set.
 Supervise the activities and monitoring the employees activities.
Preferred Qualification
 Bachelor degree in Management
 Have experienced of 2-3 years
 Master in Business Administration.
What we offer to employees
 A competitive working environment. Attractive salary + incentives and bonus.
Person Specification.
Person specification is the another HR document which either prepared by the company
or an individual to measure their own desired and actual skills (Emerson and et.al., 2016). In
other words, person specification is a description of the qualification, skills, experience and
knowledge, and other attributes which a candidate must posses to perform the job duties.
Area of
responsibility
Requirement Essential Desired
Candidate should have
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Leadership &
Management
skills of managing
work in over pressure
Should have handled
the team of 5-10
people.
Good understanding of
equality issues and
how they work
Technical Skills
Efficient in Microsoft
office and excel.
Prompt in Data base &
cloud.
Able to promote
business through
digitalization.
Planning &
Organization
Efficient in planning
the business plan.
Efficient in organizing
and staffing
employees.
Excellent in market
trends and demand of
the customers.
Budget Control Ability to control the
unnecessary expenses.
Ability to apply the
cost-cutting
techniques.
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Efficient to make
budget plan as per the
required cost.
CONCLUSION
The above Report has outlined that there are different objectives and functions of Human
Resource Management that helps the Manager of Merrill Lynch Firm to manage the workers so
that, objectives of the firm can be achieved. Further, the Report has outlined various advantages
and disadvantages of methods of recruiting employees such as internal and external methods. It
has also described benefits and limitations of selection methods that firm uses for appointing
candidates on vacant job positions. Moreover, the Report has explained various Human Resource
practises that helps to improve the performance of the staff and to achieve goals and objectives
of Merrill Lynch. The main aim of developing employment laws and legislation is to provide
equal treatment of employees regarding all the aspects of the employment such as equal
employment opportunity, fair salary etc. Equality Act, 2010 helps to ensure the equality among
all the employees of the organization. There are various strategies that helps to improve
employee relations such as promoting communication etc. Trade Union in UK plays a major role
in undertaking various activities for protecting the interest of the workers. Better relation with
trade union helps to improve productivity of the work. However, the overall study has been
concluded that how much human resource management plays a most important role within the
organization who is a responsible for maintaining the employee relation & sustaining the
business aims and objectives. Study also sustaining and leading the business gain in order to
maintain the efficient work efficiency within the business organization. However, the study
concluded that how much business get affected in terms of positive and negative manner without
the support of employees.
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