Human Resource Management Report: JP Morgan Firm HRM Analysis

This report provides a comprehensive analysis of Human Resource Management (HRM) practices, with a specific focus on JP Morgan. It begins by defining HRM and its core functions, including recruitment, staffing, training, and employee relations. The report then delves into Strategic HRM (SHRM), explaining its approaches, features, and importance in achieving organizational goals, with discussion on the benefits and barriers of SHRM implementation. The report also explores the distinctions between Hard and Soft HRM approaches. Furthermore, it examines recruitment and selection processes, employee relations, and the impact of employment legislation on HRM decision-making. The report applies these HRM practices to a work-related context and concludes with a summary of key findings and recommendations for JP Morgan. The report uses academic sources to support its claims.

Human Resources
Management

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
What is Human Resource Management ?..............................................................................1
Strategic Human Resource Management ..............................................................................3
What is Hard and Soft HRM ?...............................................................................................6
Global context .......................................................................................................................7
What is recruitment and selection ?........................................................................................8
Internal and external recruitment..........................................................................................10
TASK 2 .........................................................................................................................................12
P3 Benefits of various HRM practices within organisation for both employers and employees
..............................................................................................................................................12
P4 Effectiveness of HRM practices in terms of raising organisational profits and productivity
..............................................................................................................................................12
TASK 3..........................................................................................................................................13
P 5 Importance of employee relation in respect to influence HRM decision making .........13
P6 Key elements of employment legislation and its impact upon HRM decision making. .14
TASK 4..........................................................................................................................................16
P7 Application of HRM practices in a work related context using specific examples........16
CONCLUSION .............................................................................................................................18
REFERENCES..............................................................................................................................19

INTRODUCTION
Human resource management can be simply defined as the procedure of selecting, hiring,
inducting workforces within an organisation. In broad terms, it is commonly used for describing
formal systems which is devised to manage people effectively. Thus, it can be said that HRM
plays an important role in running a venture. This can be referred as strategic approach to the
efficient administration of company's personnel in order to accomplish competitive edge of firm
(Krot and Lewicka, 2012). Therefore, the human resource manager is initially associated with
administration of company;s people within firm that highlight on system and policies.
Responsibility of HR mainly fall into three categories such as: Employees compensation,
staffing, benefits and designing work. Major purpose of HRM is to maximize productivity of
company by optimizing the effectiveness of their staff members. This report is based on JP
Morgan Firm which is an investment and commercial bank founded in 1871. This assessment
will emphasise HRM and strategic HRM along with distinct human resource management
approaches such as HARD and SOFT HRM etc. It will also assess distinct recruitment and
selection procedure along with their strengths and weaknesses.
TASK 1
What is Human Resource Management ?
HRM is referred as practice of recruitment and selection of staff members, providing
orientation and induction, education and training, performance of appraisal, compensation and
benefits to personnel within JP Morgan Firm in order to manage workforce efficiently. Apart
from this, major role of the same is about managing people in the company and work culture.
Purpose of HRM
The domain of human resource manager generally falls under three main areas that is
recruitment, worker recompenses & benefits and defining or designing work. Basically, the
primary purpose of HRM is to upgrade the existing level of production of an enterprise by
optimising the performance of its personnels (Hendry, 2012). Apart from this, some of the other
essential purposes of human resource management are described below : Utilisation of resource : The HR professional of JP Morgan is liable for taking care of
issues regrading usage of assets within venture. Employers is liable for examine whether
appropriate resources are used for carrying out jobs or not. In case of any
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mismanagement in the company, HR will rearrange different framework of workplace
and provide assurance that each resource are being utilised in effectual way. Maintaining employee relation : This is very important to create healthy relationship
with staff members since they are the only one who help in completing regular chores of
a venture. If employees remain unhappy by the terms and conditions of enterprise, then
overall work may get hampered badly (Benabou and Tirole, 2011). Therefore, employer
of JP Morgan should also focus on generating good relations with personnels so that they
can retain them for a long time period. Staffing : This is nothing but employing worker under an organisation on the ground of
some criteria. HR used to carry on identical task of hiring according to the requirement
of venture. The major motive of doing so is to build strong as well as skilled work-
forces. JP Morgan require to concentrate on this area as without employees a single task
can not be performed. Thereby, Human resource manger of this venture ought to focus
on duty of staffing in order to perform their work appropriately.
 Acting as advisers : HR also acts as an adviser for a company. They generally are having
ideas about what should be implemented within association for its upliftment. Ideas
associated with wages, professional functions, leave management and many more are
presented by them.
Function of HRM
There are few essential functions of human resource management system which are :
 Training and development : HR department used to arrange training and improvement
sessions for entire workers who are performing within in venture. Those employees may
be newly recruited or are already a part of organisation. The primary motto of offering
preparation classes to new individual is to make them learn all concepts affiliated with
their official task (Bagnoli and Megali, 2011). At the similar time period, old personnels
is also being trained so as to improve their current skills and qualifications. This bring a
positive environment since people show interest in learning new things because it is
beneficial for their personal as well as professional life.
 Recruitment and selection : These are two significant functioning of HR division.
Managers generally recruit as well as select right individual for particular post. In first
process of recruiting, they contribute in determining and making the expected participants
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to apply for vacant positions. On the other hand, while selecting employers basically
choose eligible candidate for that designation.
 Assignment of jobs : HR also play the role of in – charging suitable duty to specific
member on the basis of their past records, experiences, skills, educational qualifications,
abilities & so on. It is to be noted that if designation of job is not done accurately, then it
may negatively impact on productivity of association (Bloom and Van Reenen, 2011).
Therefore, this is considered as most complicating task which is being provided by HR
management only.
 Orientation : This is treated as one of the vital functioning of human resource
department. Employer used to create a perfect surrounding for freshly employed
personnels as it is difficult for them to adjust in a new environment. So, for feeling them
stress free, supervisor try to make arrangement of attracting orientation programmes
wherein introduction from rest members is being done. The main aim of carrying out this
is to settle workers in appropriate manner so that working would be started afterwards.
Strategic Human Resource Management
Strategic human resource management can be outlined as linkage of human resources
with strategical aims and objectives. This is generally done for improving the business
performances and developing better organisational culture that helps in fostering innovation,
flexibility and competitive benefits. In an enterprise, SHRM means including and accepting
functions of HR as a strategic partner in the creation and execution of firm's strategies via several
activities like employing, selecting, grooming and rewarding workers (Boxall and Purcell, 2011).
JP Morgan should also introduce similar concept in their business action as this will assist
them in gaining predetermined goals. By the implementation of this practice, management of JP
Morgan should focus on rewarding, developing, attracting and retaining staff members for the
benefits of both personnels and organisation overall. Human resource department which practice
Strategic HRM don't work independently they interact with other divisions also for
understanding their ambitions and objectives. Hence, this can be proclaimed that strategic HRM
of JP Morgan firm include typical personnel determinants such as discipline, recruitment and
payroll along with performing with worker in adequate and collaborative manner in order to
emphasise retention, improvise work experience and quality as well as enlarge the employment
benefits for both employer and worker of company.
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Approaches of SHRM
This has been found that strategical human resource management majorly includes two
approaches. These are mentioned below :
 It primarily emphasizes HR activity with competence based performance actions.
 It focus on connecting HR activities with bringing profitability to the enterprise.
Features of Strategic Human Resource Management
There are various key characteristics of SHRM which are listed following :
 It give significance to HR participations and interventions. The reason for giving
importance is that issues occurring within corporation could be resolved in a easy going
way.
 There is a relationship between practices or policies of human resource system and the
entire ambition of company.
 Most of the liabilities of higher management are delegated down the line.
Importance of SHRM
In this modern and digital era, competition is touching the level of sky and is
continuously increasing day by day. Therefore, companies are now concentrating on programs
related to human resource since these are focused on long term goals. The major aim of HRM is
to enhance the productivity of staff members by centralising on the exterior as well as interior
obstructors. But this is to be noted that strategic human resource management not only concerns
with the attainment of corporation-al goals, on the other hand also give importance to the entire
improvement of manpower. This mission is completed by offering unique training classes to
freshly joined as well as already existed workers (Brewster and et. al., 2016). In addition to this,
hereby while taking final decisions on important subjects associated with commerce,
contribution or involvement of personnel is also done. Besides this, management of games is
also being carried out so that people feel relax and learn to balance their mental level. Thereby, it
can be depicted that overall worker feel to stick with the venture and henceforth they work hard
for enhancing net production of corporation. In SHRM, employers working under department of
human resource used to play an essential part. They aid in identifying main HR regions whereby
strategies could be executed for long run. Additionally, it also emphasize on the communication
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amongst member present in up-most management and HR. This in turn assist in getting aware
about the requirements of the employees along with inspiring them also.
Advantages of Strategic HRM
Some of the benefits of SHRM are described below :
 SHRM helps in determining and analysing extraneous possibilities to develop and threats
of human resource management. Through understanding and analysing upcoming
menaces, JP Morgan Firm can prepare themselves properly to avoid further problems and
struggles. At the same time, identification about golden opportunities aid them in
expanding their current business. Therefore, it can said that, company can easily achieve
a clear commercial scheme along with vision for the future.
 On the basis of vision, managers can recruit, inspire as well as retain persons within their
workstation (Budhwar, and Debrah, 2013). This would impact positively on the entire
performance of organisation. Thus, employers working under JP Morgan should hire
personnels on the ground of mission or vision of corporation. Afterwards, it is the duty of
HR professional to motivate workforce in order to contribute best in attaining the
ambitions efficaciously.
 When company wish to observe closely the performances of their workforce, they are
advised to implement SHRM. From this, manager can keep close eyes on working of
employees and cater them suitable training and development programmes for own
welfare.
 By generating correct strategical techniques with the assistance of SHRM, a venture can
provide satisfaction to expected consumers.
Barriers of SHRM
This has been found from an investigation that there are different obstacles to the
implementation of successful strategical human resource management. The major one is nothing
but the absence of growth scheme and the failure to execute one. There are few other barriers
which are described below :
 Higher resistance due to the lack of coordination from lowermost line.
 Limited resources, revenue and money.
 Vulnerabilities to legislatives alterations.
 Instant as well as rapid structural changes.
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 Economical and market pressure impact on the adoption of strategic HRM.
What is Hard and Soft HRM ?
Human resource management is considered as administration of a company's personnel
and people. The division is liable for selection, attraction, rewarding, training and assessment of
worker along with ensuring employment laws compliance within a workplace. In regard of
managing the workplace issues and disputes, this is fundamental for organisation to adopt
numerous methods and ways of HR management which are available and are accessible
according to the firm's nature and structure. These approaches are academic in nature and
Henceforth, this can be claimed that basically there are two broad approaches to human resource
management i.e. elaborated as below:
Hard HRM : This is a human resource approach in which personnel are treated as
resources of business organisation such as buildings and machinery (Dalal and et. al., 2012). This
is strongly associated with the planing of corporate business understanding what are the required
resources of company, how can firm reach to them and how much it will cost. Focus : the major focus of Hard HRM is to identify the demands and requirements of
workforce of business along with managing and recruiting as per it. Key Features : Main features of human resource management is to accomplish short term
changes in numbers of worker and consider minimal communication. The main
communication structure of such companies are from higher to lower level. Pay : Such organisation who employ Hard HRM optimise minimum wage standard and
are enough capable to hire as well as retain their employee as per their requirements.
 Appraisal Framework : Main focus over appraisal system is concentrated on creating
judgements in relation of staff whether it is bad or good.
Hence, this is basically the typical style of human resource management which often
contains taller structure of organisations and suits autocratic style of leadership when it comes to
directing and leading people of organisation. For example,
Soft HRM : It is an approach of human resource management whereby employees are treated as
most important resource within commerce and is also considered as a source of competitive
advantages (Fine, 2012). It is to be noted that treatment of personnels is done as an individual
and their necessities are planned consequently.
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 Focus : Here – in, the major focus of HRM is on the basic requirements of workforces,
their roles, encouragement along with motivation , giving rewards & so on (Ford and
Richardson, 2013). In aspect of time scale, soft HRM takes a long term perception since
employees are prepared well for attaining the prolonged aims and objectives of company. Key features : Workers are inspired and empowered for seeking delegation and taking
responsibility. Appraisal structure : In this system of appraisal is also focussing on addressing and
determining need of training & development of entire workforces.
 Pay : This comprised of competitive pay framework along with appropriate rewards
affiliated with presentation. For example, sharing options, profit shares.
Global context
In the context of globalization, an enterprise whether it is small or large have been stop
from the order of local government and they have became global and it has been enhancing
workforce diversity and make sensitive culture which emerged in current time period. These
factors are lead an organization towards development of international human resource
management. Along with this, such organization are mainly consider through unaffected for
transaction in all over the wide network at global level (Hendry, 2012). It is the one way and it is
depend on organization which does not heard about this in better way. There are some
interdependence which occur among corporations in different functions and areas. HR are facing
various issues and problems at global level in effective manner. There are such issues and
problems involved in global level such as global competition for goods and services, risk and
privacy, issues related to culture, challenges regarding leadership, also managing all international
project by the human resource manager. Many of the HR abilities and competencies apply to
local human resource practitioners, incremental global skills which are required for human
resource to deal with some major issues or disputes. HR manager need to enhancing their
business in other location.
What is recruitment and selection ?
Recruitment is considered as an eminent part of HRM. This is not carried out without
correct strategic planning. It can be defined as a procedure that offers the corporation with a pool
of skilled job participants from which to select.
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Significance of recruitment : Recruiting plays a vital role in building strong worker base. A
large number of unemployed people having best skills are available in United Kingdom. With
the help of similar process, company can attract those persons by providing them proper
information about the vacancies and salary (Huselid and Becker, 2011). By this way, employer
of specific venture can attain desired employees. This in turn aids in improving productivity
since personnels which are chosen may contribute a lot in development of quality based products
and services. On the other side, recruiting is chiefly intended to upgrade the quality as well as
quantity of applications for a designation. This is done for improving the possibilities of getting a
suited person for the job.
There are commonly five steps involved in the process of recruitment of JP Morgan are
following :
1. Recruitment Planning
2. Strategy development
3. Searching
4. Evaluation and control
Strengths of recruitment procedure :
There are various types of process of recruitment such as internal and external which play
important role in fulfilling particular vacancy of organisation (Krot and Lewicka, 2012).
Manager consider in-sourcing or outsourcing for find most suitable candidates for a specific post
of business. There are some major strengths of recruitment process such as:
 Recruitment is essential in filling vacant post or job by appointing suitable candidates.
 This process help in attracting more applicants towards organisation for the purpose of
fulfilment of job requirements.
 Company use recruitment process that support to find, shortlist, select and appoint
talented people so that task or work be completed.
 J.P. Morgan has considered various methods of recruitment and selection process for
attracting fresh talents and experienced persons who are able to perform any critical task
and achieve goals with appropriate way.
 Recruitment is one of the best way to brings new innovative ideas and creativity by
selecting skilled individuals among various applicants in an adequate manner.
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 This process creates large pool of candidates who have better qualities, skills,
knowledges and abilities to work hard and complete targets.
 It is beneficial in finding best candidates for JP Morgan which facilitate to select them for
fulfilling particular job within time frame.
Weaknesses of recruitment process :
Besides strength, there are some weak factors of recruitment process. These are mentioned
below:
 It is a lengthy procedure since examination of appropriate candidate take long period of
time.
 This is expensive in nature, thus, JP Morgan have to invest high sum of money.
 It is very confusing as there are so many options present in nation and world too. Hence,
hiring of correct nominee creates difficulties for mangers.
Selection process : This can be defined as the activity of putting correct applicant on right
designation. This is playing crucial role in development of an enterprise as without worthy
personnel, quality work could not be done (Marchington and et. al, 2016). This leads to
dissatisfaction of consumers which ultimately give negative complications on whole business.
Thus, it is important for each and every association to arrange effectual selection procedure. JP
Morgan can involve following steps while selecting employees :
 Giving invitation to applicants
 Receiving applications from those people
 Arrangement of written test
 Taking psychological exam
 Personal interview
 Final selection
Advantages of selection procedure
 It help in recruiting appropriate candidate for correct post without any confusion.
 Quality standard may get higher when talented personnels work for the association.
 Company can easily satisfy their clients as candidates employed would give best efforts
in manufacturing goods and services.
Weakness of selection process
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