Human Resource Management Report: ALDI Grocery Retail Chain Analysis

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within the ALDI grocery retail chain. It begins with an introduction to the role and purpose of HRM, emphasizing workforce planning and its importance. The report then delves into the strengths and weaknesses of different recruitment and selection approaches, comparing internal and external sourcing methods. It further examines the benefits of HRM practices for both employers and employees, highlighting aspects like employee relations, training, and development. The impact of HRM on raising profits and productivity is also assessed, focusing on factors such as proper planning, resource utilization, and feedback mechanisms. Finally, the report discusses the significance of employee relations and key elements of employment legislation, concluding with an application of HRM practices within the context of ALDI's operations and future expansion plans.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Purpose and function of HRM, application of workforce planning.......................................1
P2 Strengths and weakness of different approaches of recruitment and selection......................2
TASK 2............................................................................................................................................3
P3 Benefits of HRM practices for employer and employee.......................................................3
P4 Impact of HRM practices in terms of raising profits and productivity..................................4
TASK 3............................................................................................................................................5
P5 Importance of employee relations..........................................................................................5
P6 Key elements of employment legislation...............................................................................6
TASK 4............................................................................................................................................7
P7 Application of HRM practices...............................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
HR department helps in dividing operations in proper way. There are many departments
in company, having numerous employees. Then it is essential to make cooperation among them.
Human resource department has to make policies for employees. Manager has to motivate
workers to give their best (Alfes and et. al., 2013). There is difference in activities of workers, so
it is essential to give them direction, which improves quality of operations. Manager can attach
performance of workers through their promotion. This report is based on ALDI grocery retail
supermarket chain. This company operates in more than 20 countries having 10000 stores. In this
report there is discussion about Role and purpose of HR department, strength and weakness of
various approaches of company, impact of HR policies on profits and productivity of company,
HR decisions affects employees relations. These days there is change in laws related to
employees and it is important to make modification timely , it is clear with this report.
TASK 1
P1 Purpose and function of HRM, application of workforce planning
Human resource department is essential unit of organization. In older days they do not
have much responsibility but as business grows number of employees’ increases then their role
also increases. There are many operations which have to undertake by them. There are
possibilities that Company does not give that importance to HR department then it affects
performance of company. ALDI want to open new outlets or there are requirement of workers,
which are undertaken by HR manager (Armstrong and Taylor, 2014). They play very essential
role in performing activities in better way.
Purpose of workforce planning
There are di8ffdeernt factors which affects requirement of workers such as expansion of
business, labour retirement, turnover, etc. So all these requirement related to workers are full
filled by HR department of company. There is requirement of planning before hiring personnel.
There is discussion about qualification, salary, skills, and job responsibilities. Then best
candidate can be selected. There are various departments in ALDI so managers of respective
department have to deliver their requirement to HR department. This helps to perform task in
best way.
Purpose of HRM
Employer and employee relation- Workers and employer are important to achieve
business and objectives of ALDI. There are many strategies framed by HR manager, so it is
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essential to perform task in better and effective manner. This reduces communication gap
between both and worker know to whom they are responsible.
Law related plans and policies- There are many laws related to worker. They are framed
by HR manger and it is essential to tell relevance to workers too. Sometimes there are changes in
plans of employees then those modifications are accepted by company too. If there is any
problem to worker related to it then it must be resolved (Bloom and Van Reenen, 2011).
Function of HRM
Selection and recruitment- This is basic and important function of workers. There are
different factors that affect selection. There are some set of questions asked with candidate this is
done by HR manager. If selection of employee is not appropriate then it affects company’s
performance.
Induction and training- Induction means to introduce worker with various departments
of company. This induction helps new candidate to know whom to approach in case of particular
department. Training is the approach which improves performance of workers. As there is
change in technology, then it is essential to train workers so it provides ease to operations.
P2 Strengths and weakness of different approaches of recruitment and selection
ALDI is the company which deals in different p[arts of country. They are planning to
open new outlet, so there is need of employees to satisfy need of consumer. There are different
approaches which can be adopted to place workers. But it is essential to analyze their pros and
cons associated with it. Selection and recruitment is time consuming process, so it is essential
that recruited candidate must give positive results (Boxall and Purcell, 2011). In case of negative
results, it some inefficiency of HR department and it affects image of ALDI in adverse manner.
Mainly there are two sources of selection. They are discussed as under-
INTERNAL SOURCE
In this source HR department, place personnel within the organization. When company
has need of employee urgently, then also ALDI can prefer this source. Recruitment of retired
employees, employee’s references, etc. are example of internal source of recruitment. There are
some pros and cons of this source which are discussed under-
Advantages
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Comfort zone- When employee get placed in company back then employer and employee
both are comfortable with environment of organisation. Employer need not to feel weird about
disclosure of business plans and policies (Bratton and Gold, 2012).
Reduction in cost and time- As employees are placed within organization. There is no
need of external party to take place in selection and recruitment, so this reduces tones as well
cost.
Disadvantages
Limited scope of learning- Existing workers cannot learn new ideas. They prefer to
work with existing pans and policies. This might affect performance of company. This is biggest
disadvantage for company. This affect environment of organization also.
Possibilities of biasness- Under this method, there are possibilities that top level
management give preference to their choice instead of skills of worker. This creates wrong
environment in organization.
EXTERNAL SOURCE
This method is beneficial when company has planned to grow their business. There is
requirement of many employees, which can be fulfilled through external sources. This method is
preferable for ALDI as they want to open new outlet. As new people works with full efficiency
and they do not create wrong environment, so this method is more effective for big
organizations.
Advantages
New energy- AS new person has some dreams about new work places. Hence he/ she
work with full efficiency. This motivates existing employees to give their best and compete. This
ultimately helps company as this improves consumer satisfaction.
Easy to train- New workers has less idea about organization, so they can be easily
trained. This helps company to improve their effectiveness and efficiency. Training is essential
but as change in working style it can be sassily by new worker.
Disadvantages
Possibilities of wrong choice- There are possibilities that new candidate elected by HR
department is not competent to company. This may affect business operations and HR
department has to reappoint some other person (Buller and McEvoy, 2012).
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Lack of confidentiality- There are some plans and policies which are confidential and
cannot reveal in front of external party. This source may prove like leakage of important
information (Guest, 2011).
TASK 2
P3 Benefits of HRM practices for employer and employee
HR policies are framed by organization. But it is effective or company as well as
employees. This is the link between both and it is important to perform task best method, so it
improves image of company in market. It is essential to create good relation among employees
so their personal issues does not affect operations so company, this can be done only by HR
manager. In ALDI there are many branches, so it is essential to elect separate manager for
different places, this provides ease to company in performing activities. Benefits of Human
Resource management practices are discussed under for employer as well as employee-
Benefits for employee
Platform to disclose problems- As there is close discussion with HR department, so this
helps workers to share their problems and get satisfactory solution. Employees in ALDI are from
different background, so it is essential to respect each other. This is because HR department.
Sometimes worker is not satisfied with workplace then he/ she can share issues which they are
facing.
Training and development- There are changes taking place in society very frequently
and it is essential to accept them, so employee can compete with external parties of organization.
There is change in plans and policies, there is need of training. This plans by HRE manager.
They keep check performance of workers, so as per need training is provided. This helps
employees to improve their personality and perform job responsibility in better way.
Benefits for employer
Planning events for workers- There is need of employee’s entertainment, this boost their
worker’s performance. This helps in interacting with various employees. So when they work in
team, they feel familiar with each other and this gives positive results on operations. Activities
like movie, games this gives positive impact on company. There are less labour turnover and
absenteeism. Planning provides assistance to workers to know what has to be done next and in
what way (Han, Chiang, and Chang, 2010)..
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Performance appraisal- As training helps employees to improve performance, then there
is check done for analyse change in performance (Huselid, and Becker, 2011). There are
different factors which affect performance of workers. This is responsibility of HR department to
evaluate performance and then accordingly promotions and demotions are given. Performance
appraisal is main key which motivates employees to give their best. This is the technique through
which leader can motivate subordinates to cooperate with team and give best.
P4 Impact of HRM practices in terms of raising profits and productivity
ALDI has some goals and objectives for which they are running business. The basic aim
of every business is to earn profit. This can be achieved when consumer are satisfied. Lower
level of the ALDI is important because they are the people who interact with consumer. It is
essential to motivate them to give their best. There are possibilities that due to change in
performance level of employee customer satisfaction also get affected. It is essential that
manager has to frame policies which directly have link with profits and productivity of ALDI.
Some points are discussed below which help in improving condition of organization-
Proper planning- Planning is most common component which can improve performance
of workers. This is essential that HR department has to plan strategies which help in performing
task in proper and effective manner. There is some set targets which help worker to achieve
them. These targets can be in form of sales or profits, which ultimately growth factor of ALDI.
Optimal utilization of resources- There is use of different resources to achieve business
targets. To improve productivity it is essential that leader must give emphasis on proper use of
resources. There must be regular check in external market of company, in case there is change in
customer demand there must be actions which help in achieving it.
Proper allocation of job responsibilities- To improve productivity and profits of
company it is essential that there must have policies which tells about personal skills and
qualities of individual. This task can be done proper by HR department as they have full
information about workers. This is beneficial in assigning duties to workers and they are also
satisfied.
Feedback- This is the most essential aspect of ALDI’s success. Thee are many activities
performed in organization to achieve business objectives. These are associated with employees.
HR department must take feedback from workers with regular intervals. This gives workers
feeling of security and they give their best (Jiang and et. al., 2012).
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Above discussed points are important to improve productivity of company. as there is
provision of new outlet of ALDI, so they is important role of proper planning, so it will be
successful . there must be feedback from customers also so improvement can be done. There
must be training to employees, how to treat customer and handle their grievances (Renwick,
Redman, and Maguire, 2013). Because these are the way through which company can improve
their production and profits.
TASK 3
P5 Importance of employee relations
Employees are most essential component in company. They are the source which bridge
gap between what goals are and it can be achieved. HR department work for their upliftment. It
is essential that company must give emphasise on relation among workers and their performance.
Polices of ALDI are farmed for betterment of company and if results are not positive then it must
get changed. E.g. Top level of ALDI is thinking for new biometric system for attendance, but
employees are not satisfied with this decision , then manager has to reverse his ideas or provide
proper solution to them. ALDI is the grocery store with huge brand value. It is tough to maintain
brand image, this can be done through support of workers. These days competition is increasing,
so company must take care of competitors policies also.
Bridge gap between employer and employee: There are Some specific goals and
objectives of worker as well as company. There is difference between them. In this case if
manger bridge gap between both then employee also perform well. This helps in improving their
performance and in case of positive results rewards must be there.
Positive environment- This is essential factors which has to undertake by HR manager.
Environment affects persons working there. It is important to analyse factors which are affects
business culture and try to reducer them. To create positive environment HR manger has frame
policies again.
Workplace flexibility- There is change in business policies as per change in external
factors, so it is important that manger must give authority to work as per their will. It is essential
because employees has their own learning and style of working, so flexibility plays important
role in creating good relations among employees. Employees can take help of each other in case
of need (Schalk, Timmerman, and Van den Heuvel, 2013).
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Welcome new ideas- This is a good way to improve workers morale. Employees have
various learning and style of working. ALDI must motivate employees to share their views in
order to solve any problems (Vaiman, Scullion and Collings, 2012). This improves elations in
company and top level personnel can judge mindset of workers. There are many other important
task in organisation, they can concentrate on it.
These points are effective to maintain good relations Among employees. There are
possibility that due to employees dissatisfaction they do not give their best. So feedback helps
company to improve environment off organization. There must be different teams as per skills
and equal role to every team mates, this increase their interaction among themselves.
P6 Key elements of employment legislation
There are mandatory acts followed by company. These acts provides employees security
at workplace. In case employee feel that company is cheating him then they can file petition
under concern act. In ALDI when they place people for new candidate, then it is discussed with
him/ her. There are some provisions which ALKLDI necessarily has to follow. In case there is
change in policies of government then it affects business operations also. Some act are discussed
below-
Safety and security act- There are many operations, held by workers. So as per this law
this is essential that employer must take care of employee,s health and security. There must not
be negative impact on health of worker. There must be proper light, ventilation, toilets, sitting
facility, etc.
Equal remuneration act- As per this law there must not be discrimination among
workers and equal pay must be given for same post to men and women. Many times at same post
employer is not paying equal remuneration to women and men, in this case candidate can sue
case against this law.
Equality act- According to this act, there must be equality in company. it means there
must be not be discrimination on the basis of caste colour creed sex. This act protects employees
from being discri8mnate at work place.
These laws provides safety to workers and create some fear in mind of employer so they
can not turn everything according to themselves (Van Solinge and Henkens, 2014).
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TASK 4
P7 Application of HRM practices
HR work is very dynamic these days. As ALDI is big organisation then there is many
aspects which has to be followed by HR department. There are many activities in practical which
has to followed by HR department (Wright and McMahan, 2011).Interview, group description,
assessment test, etc. are some major activities which has to be followed. It is essential that
manger has to task care about these so it does not give wrong impact in negative manner.
Job Specification – Job specification is a written document which tells about skills
required in candidate for particular post. There are different sets of activities which are required
to be performed by candidates.
JOB SPECIFICATION
Organisation: ALDI
Job Title – Human Resource manager
Qualification – MBA or PGDM (Human Resources)
Essential Criteria:
 Knowledge about management theories.
 Good convincing power.
 Can cooperate between various departments.
 Can create positive environment.
Desirable criteria:
 1 or more years experience
 good interaction skills required
 Calm personality
 Knowledge of employee related laws and regulation.
Job Description – This is important document which is used by company for their internal use.
It is essential to tell HR manager about requirement of qualities at particular place.
Job Description
Organisation: ALDI
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Division: Human Resource Department
Job Title: Human resource manager
Job Location: New Zealand
Job Summary
Company is finding that employees who is highly capable and have high knowledge which is
required for post of assistant human resource manager. Hence firm can run effectively.
Role
1. Checks that proper laws and polices are followed.
2. Maintaining peace among all employees and in firm.
3. Create polices regarding recruitment
4. Creates various training and development programmes and seminars for employees.
There are many candidates apply for the post, but it is essential to select best among
them. This is responsibility of manager to sort people and there are possibilities that many
company has to take different activities which are help to get best candidate for post. Assessment
test, group discussion, etc. are some activities before personal interview. In this candidate come
with curriculum vitae, this tells about his/ her competency and skills.
CURRICULUM VITAE
Curriculum Vitae
Name: Aliza
Address :23rd Street, Nilon Tower, Burma
Phone No. -25698541
Profile summary:
An MBA in human resources with 2 years of experience wants to be part of ALDI. As there are
scope of development to career. I have good command on English and religional language.
Specialisation:
 Recruitment
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 Training and development
 Internship at Hotel Hilton for 2 months Able to cooperate with different dilemma of personnel
Educational qualification: -
 BBA MBA (HR)
Declaration:
I hereby declare that all the information provided is true and is best of my knowledge.
Date:
Place:
CONCLUSION
There are roles and responsibilities of HR department, this is understandable through
above discussion. There are many factors which affect business operations and discussion of HR.
It is essential that company has to perform task in better way so there is cooperation among
different departments of organisation. There are many employees in company and it is essential
to create coordination among them. Business environment is changing very frequently so it is
essential to analyse them and take corrective measures. There is change in laws related to
workers also, then it is essential to modify policies in proper way. Employees are the component
which helps company to perform task in better way, so HR manager must keep upgrading their
policies. Job specification, job descriptions are some documents which are [prepared by HR
manager to place best candidate. It is essential that performance has to be evaluated, so
appraisals can be made.
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