Comprehensive Report on Human Resource Management Practices at ALDI

This report provides a detailed analysis of Human Resource Management (HRM) practices at ALDI, a major retail chain. It begins with an overview of ALDI's operations, including its global presence and business model. The report then delves into the core functions of HRM, such as recruitment, training, performance management, and employee relations, explaining their purpose and key responsibilities within the organization. It examines ALDI's approaches to workforce planning, recruitment and selection, training, and performance management, including the use of internal and external recruitment, structured selection processes, and 360-degree feedback. The report also discusses employee relations, employee engagement, and the adoption of flexible working practices. Furthermore, it outlines key areas of employment legislation relevant to ALDI. The assignment includes practical elements such as a job specification for a Customer Service Assistant, student CVs, preparatory notes for interviews, a job offer letter, and an evaluation of the HR practices employed. The report concludes with an assessment of the effectiveness of ALDI's HRM strategies and practices.

Human resource management

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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P1 Overview of the organisation ...........................................................................................1
P2 An explanation of the purpose of HR function and key roles and responsibilities of HR
function...................................................................................................................................2
LO 2.................................................................................................................................................4
P3 The approach to workforce planning, recruitment and selection, development and training,
performance management and reward systems......................................................................4
P4 The approach to and effectiveness of employee relations and employee engagement, and
comment on the adoption of flexible organisation and flexible working practice and employer
of choice ................................................................................................................................7
LO 3.................................................................................................................................................8
P5 Key areas of employment legislation................................................................................8
LO 4...............................................................................................................................................10
1) Job Specification of Customer Service Assistant:...........................................................10
2) CV of each students apply for Customer Service Assistant post:....................................10
3) Documentation of preparatory notes for interview and their notes based on selection
process and a justified decision of the candidate's selection process...................................10
4) Job Offer Letter to the selected candidates:.....................................................................10
5) Evaluate the process and rational conduct of appropriate HR practice: .........................11
CONCLUSION..............................................................................................................................11
REFERENCES .............................................................................................................................12
Appendix 1 – Job Specification....................................................................................................14
Appendix 2 - CV............................................................................................................................14
Appendix 3- job offer letter...........................................................................................................15

INTRODUCTION
Human resource management (HRM) is the process of selected candidates, measuring
their performance, rewarding them so that people feel motivated and retain in the firm for longer
duration. It is responsibility of HR manager that to train workers, takes their feedback and make
necessary changes in workplace environment so that people like to work in business and become
loyal towards the organisation. Present study is based on ALDI, it is operating in retail industry
and having 10000 stores in around 20 countries. It offers food, beverages, sanitary etc. products
to consumers. Its main agenda is to serve consumers well and generate more profit. Current
assignment will explain purpose and responsibility of HR in business. Study will describe
approach of workforce planning, recruitment, selection, training and performance management.
Furthermore, report will describe effectiveness of employee relationship and engagement in
order to accomplish the goal of business unit successfully. Assignment will define key areas of
employment legislation that must be followed by ALDI. Study will prepare CV and will design
job offer letter.
LO 1
P1 Overview of the organisation
ALDI is a discounted supermarket chain. It have more than 10,000 stores in 20 countries
with the turnover more than £50 billion. ALDI provides low price grocery with high quality and
become a nation's low cost market leader. It is the german based company which offers food at
very low and discounted price. ALDI opened as a small food store and now become a world
largest supermarket. Its first store is in germany. ALDI have so many competitor such as ASDA,
sainbury and tesco etc. it becomes a faster growing supermarket in UK(Golden and et.al., 2016).
ALDI is separated in two groups ALDI nord and ALDI sud. They both operates their
business in different different countries. ALDI nord operates their business activities in denmark,
france, spain and poland etc. ALDI sud operates their business in great britain, hungary,
australia and china etc.
ALDI provides a higher quality products to their customers at best price. It uses highly
efficient business operations that helps to achieve organisations goal with profitability. It focuses
on long term planning based on consistency, responsibility and simplicity. They believe that
greatest quality do not come with higher price, great quality come with efficiency. They deals
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with more than 40 million customers in every month. In their store, their all products have brand
name.
ALDI's product list is food, beverage, household essentials, sanitary products with more
than 10000 of brand names. It holds one subsidiary named trader joe's. The revenue of ALDI is
£53 billion. ALDI uses modern technology in their business process. The need of employee is
less because of automated machinery and product efficiency is improved.
ALDI continuously increases their stores location and expand themselves in global
market. Th3e customers of ALDI is loyal for their brands because they provides highly
qualitative products at lower pricing.
P2 An explanation of the purpose of HR function and key roles and responsibilities of HR
function.
Purpose of the HR function:-
 Hiring and recruiting:- One of main function of human resource is hiring people for the
organisation. It includes screening, interviewing and personality test etc. in this function
HR identify the right candidate to perform a particular job. This function helps to identify
the skills and talented candidates for the organisation and selects the right candidates to
fulfil the organisations objectives.
 Training and development function:- In this function, the aldi conducts training and
development programs for the new as well as existing employees. With the help of
training and development function, aldi provides training and improve the skills and
talent of the employees that increase the performance of the organisation and fulfil the
organisations objectives(Arzenšek and Musek Lešnik, 2016).
 Performance management:-The purpose of performance management is focus on the
performance of an individuals and department and evaluate their performance to the
organisations objectives.
 Payroll management:-It is also a important purpose that to provide a satisfying pay to
the employees. Satisfying means the pay is appropriate to works that they do. If
employees get satisfactory pay to their work. They are satisfy with their work and
improve their work efficiency and helps in achieving organisations objective.
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 Employee relations:- To maintain a good relation with employees is one of the
important purpose because are the need of an organisation. It involves maintain good
relation between employee and employer, management and labour union always product
workers right. If employee feels happy in the organisation that enhance the performance
level and contribute in achieving organisation objectives.
 Legal responsibilities:- It is also a main purpose of HR to ensure that all laws related to
workers ( compensation act, equality act and labour welfare act etc.) must be follow in
the organisation that helps to protect the rights of labour and employee are feel secure in
the organisation. They work with full efficiency and fulfil the organisation
objectives(Arzenšek and Musek Lešnik, 2016).
 Performance appraisals:- it means to give a appraisal according to employees
performance. It helps in motivating employee to work with their full potential and
achieving organisations objectives.
Key roles and responsibilities of HR function:-
11 Maintaining work culture:- It is a responsibility of the HR to maintain safe and secure
working environment and ensure the comfort of the employee and eliminate their stress
related to atmosphere and surrounding where the are working. If employee feel satisfy
with the environment that enhance the productivity of the organisation and helps in
achieving targets.11 Resolving conflict:- It an organisation all people have different different opinions so,
conflict may be arising. That time HR manager play a role of negotiator and solved the
conflict between employee and management and employee and employee etc. and
maintain friendly working environment.11 Rewards and incentives:- Rewarding the employees for their well work performance
and give extra incentives to the employees is a responsibility of HR manager. It motivates
employee to work hard and contribute in achieving organisation objectives.
In ALDI, the key responsibilities that performed by HR that is to developing company
programs, improving the existing policies, addressing employees complaints regarding work
place and their job and negotiating the conflicts arising between management and labour. HR
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manger have responsibilities to avoid cyberbullying at business premises because this is also
main priority of HR that employees do not use any digital gadget to track the data of the
company(Roles and responsibilities of HR managers in growing organizations, 2019).
In ALDI, the key roles performed by HR is as a HR manager, trainee, consultant,
negotiator and also business partner etc. HR function plays an important roles and
responsibilities in every organisation because they are only who hired skills and talented people
for organisation to fulfil the objectives.
LO 2
P3 The approach to workforce planning, recruitment and selection, development and training,
performance management and reward systems.
Approach of workforce planning:-
It is a planning to balance the supply and demand of the employee in an organisation and
also identifying right talent for performing a right job. There are two workforce planning
approach- holistic and sustainable approach. Holistic approach means a hold picture of an
individual such as individual's physical, mental as well as emotional health etc. Sustainable
approach means renew business process and involve customers and supplier and active
participation towards society(Chadwick, Super and Kwon, 2015).
ALDI follows sustainable approach of workforce planning and involve them in their
decision making and organized events for society.
Approach of recruitment:-
Recruitment is divided into two parts- internal and external recruitment. Internal
recruitment, when the vacancies are fulfilled by existing employees. Those employees are trusted
because they already work in the company. External recruitment, when the vacancies are
fulfilled by any candidates who are applied for the job. Organisation provides training to the new
employee(Sablok and et.al., 2017).
ALDI believes internal source of recruitment that saves time because the candidates is
know and the company knows their skill and ability.
Approach of selection:-
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There are two types of selection approach- structured and unstructured approach.
Structured approach means candidate must selected by the proper process which includes
aptitude test, group discussion, personal interview and personality test etc. unstructured approach
when there is not proper format for employee selection process. Some times they directly select
employee without interview and ask very general questions(Prayag and Hosany, 2015).
ALDI is used structured approach to select candidates for an employment. With the use
of structure approach the company can identify skills and talent of the employee to perform a
specific job.
Approach of development and training:-
There are various approach of training and development that are on the job, role playing,
lectures& tutorials and management games etc. On the job training means employees are trained
at workplace and teaching knowledge and skills that need to perform a job. Role playing, it
allows an employee to assume as a manager and handle the working conditions. Lectures &
tutorial, the trainer provides class room lectures to the employee and explain about their work.
Management games, this training is based making a scenario of real life situation in management
of business(Kerzner, 2019).
ALDI follows role playing training to their employee. With the help of role playing
approach employee learns how is directing and controlling works to the workplace. They plays
role as a management that motivates employee to work hard and promote to the higher position.
Approach of performance management:-
Various approaches are their to develop the performance of the employees. This are result
approach, 360 degree approach and factor comparison approach. Result approach focus on
outcomes of the employee from the inputs. 360 degree approach focus on a complete feedback
from the employees relating to their work, working environment and their relations with
supervisor. Factor comparison approach compares the performance of individual to other
employees(Chadwick, Super and Kwon, 2015).
ALDI follows 360 degree approach in their organisation. They takes feedback from their
employees about all factors that affect the employees and take action according to feedback.
Employee get satisfied from the organisation that enhance the organisations performance.
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Approach of reward system:-
Rewards are given to the employee when they perform extra from their work. Rewards
may be monetary and non-monetary. Monetary rewards, that rewards which the company are
giving in form of cash and cheque. Non monetary, that rewards which the company are giving in
form of holidays and get promote to the higher level(Nieves and Segarra-Ciprés, 2015).
ALDI provides non-monetary rewards to their employees in term of holiday package. So,
employee feel happy from the organisation. It helps to enhance the performance of the employee
and contribute in organisations objectives.
Approaches Strength Weakness
Workforce planning It helps to identify the right
talent for right job that
indirectly enhance the
productivity of the
organisation.
Sometimes it reduces the
productivity if the work is not
done accordingly to the
planning.
Recruitment It helps to enhance the strength
of the organisation by
recruiting people.
It wastes a lot of time because
of lots of people comes for
interview.
Selection This approach helps to know
the candidate from closely that
helps to identify the skill and
talent of the individual
accordingly they place.
Some times it takes too much
time for selecting one
candidate and if candidate do
not joint that impacts
negatively on the organisation.
Development and training It enhances the skills and
ability of the employees that
increase the productivity.
It wastes lots of time if the
employee leaves the
organisation.
Performance management It helps to identify the
performance of the employees.
It de-motivates the employees
because they are compared by
others.
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Reward system It enhances the employee
retention in the organisation
It is demotivated some
employees who do not get any
rewards and effects the
performance of the employees.
P4 The approach to and effectiveness of employee relations and employee engagement, and
comment on the adoption of flexible organisation and flexible working practice and
employer of choice
Employee relations:-
It includes the effort of the organisation to manage the relationship between management
and employees.
Approach of employee relation:-
Human Relations approach:- this theory helps in examine human behaviour in the
organisation. with the help of human relation theory, company maintain good relation with
employee. The employees are satisfied from their work and work-place. The company can
identify the workers behaviour towards the work and solve the problems of the worker.
Employee gets motivate and the performance is improved. The company can achieve their
objectives with more efficiency.
Effectiveness of employee relation:-
The employee relation helps ALDI company to improve their relation with employees at
workplace and knows about their behaviour towards their work. With maintain good relation
with employee motivates them to increase their performance that makes the business process
effective(Donate and de Pablo, 2015).
Employee engagement:-
It includes to provide a good conditions to all the members of the organisation and those
link with the organisation's objectives and values and motivates to employee to contribute in
achieving organisations goals.
Approach to employee engagement:-
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Communication activity approach:- it is play an important role in employee engagement.
Communication is a best way to connect all the levels of the organisation. With the help of
communication, the company find the problem of employee also their perception about the
organisation(Binder, 2016).
Effectiveness of employee engagement:-
The benefits of employee engagement is employees are free to discuss about any issue
and also give chance to employee to take decision which they feel important to perform their
work. The employee get motivates and helps in achieving organisation goals.
Atkinson Model of flexibility:-
This model consist of two group core group and peripheral group. Core group consist of
workers that are responsible for the internal functioning of the organisation. In core group skilled
workers with knowledge and experience are working. In peripheral group unskilled workers
with less experience are working. It is further divided into two subgroups: First peripheral group
that has less skilled workers and the second peripheral group workers are not directly involved
with the organisation(Donate and de Pablo, 2015).
Atkinson has defined tHRee forms of flexibility in the organisation:-
 Functional Flexibility: In this high skilled workers are working performing different
task as in the core group. It provides flexibility to the workers such as flexible working
hours.
 Numerical Flexibility:In this low skilled workers are working in the organisation .It
means that employer can match the labour demand with the number of employees.
 Financial flexibility:It means managing the price of labour according to the supply and
demand in the company.
ALDI follows the functional flexibility as it is the supermarket business it have to deal
with demand and supply of the product in the market.
LO 3
P5 Key areas of employment legislation
Employment laws are the regulatory frameworks that are essential to be followed by
employee and employer both. Government has made this legislation in order to protect rights and
interest of both these persons. It is essential for the firm that to follow these norms stricktly. If
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enterprise fails to follow guidelines of these employment laws, then enterprise may have to face
serious consequences. Few laws that are essential to be followed by ALDI are explained s below:
Health and safety act 1974
It is essential for ALDI that to follow legal guidelines of health and safety act 1974. This
legislation ensure that employer provide safer environment to its workers. They have to provide
safety training to staff and have to ensure all the employees wear gloves etc. if they are engaged
in hazardous activities. Mangers and business owners has to maintain premises and has to cross
check safety measures timely(Chadwick, Super and Kwon, 2015). This is the best way tHRough
which company can enhance satisfaction level of its employees and gain increase their
confidence as well. By this way all the works will perform their duties well and will contribute
well in accomplishing goal of business unit. This act provides adequate welfare provisions so
that interest of employees and employer can be protected.
Equality act 2010
This is another legislation that needs to be followed by ALDI strictly. This legislation
ensure that each firm has to provide equal opportunities to its staff members, there should not be
any kind of discrimination on the bases of age, gender, race etc. ALDI must operate with, as HR
has to design practices in such manner so that it can provide equal chance to grow to each
candidate. Firm has to hire people on the bases of their skills and capabilities rather than sex or
race. This act protects people from discrimination and help in boosting energy of workers to
great extent. If ALDI follows this rule strictly then it would be beneficial for business to retain its
talented people in the firm for longer duration(Golden and et.al., 2016).
Disable discrimination act 1995
This is another employment act that must be followed in ALDI. Managers of the firm has
to give chance to disable person. If company has any kind of disable person then firm has to
protect their right s that no one can bully that person. Furthermore, it is essential to treat that
individual normally as other employees are being treated. Whenever firm has to give promotion
to workers then performance of disable person needs to be measured equally as other people.
This will help in motivating that staff and retaining skilled person in business for longer
duration(Oke, 2016).
All these employment legislations impact on HRM decision making to great extent. For
instance, if ALDI has not provided safety equipment’s to its staff needs to be given such gloves
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