Human Resource Management Report: ALDI - Practices and Analysis

This report examines the Human Resource Management (HRM) practices implemented by ALDI, a global discount supermarket chain. It begins with an introduction to HRM, defining its purpose and functions, including recruitment, training, compensation, performance appraisal, and legal compli...Read More

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Purpose and functions of HRM.............................................................................................1
P2. Strengths and weaknesses of different approaches to recruitment and selection ................3
TASK 2............................................................................................................................................4
P3 Benefits of HRM practices for employee and employer. .....................................................4
P4 HRM practices in term of raising profits and productivity....................................................5
TASK 3............................................................................................................................................6
P5 Importance of employee relations influencing HRM decision making for the Aldi............6
P6 Element of employment legislation and impact it has upon HRM decision making.............7
TASK 4............................................................................................................................................8
P7 Application of HRM practices in ALDI................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
Human resource management (HRM) is known as the process of recruiting and selecting
people, providing induction, orientation and learning development. This also concerns
performance appraisal of employees, setting compensation and benefits as well as motivating
employees. Human resource management helps in maintaining relations with employees and
trade unions (Armstrong and Taylor 2014). The manager of human resource department looks
after safety of employees and their welfare. ALDI is selected in the present report which is a
global discount supermarket chain with approx. 10,000 stores in around 18 countries. There will
be discussion on purpose and functions of HRM as well as several practices which HR
department uses in organisation to increase profit in productivity. Discussion on legislations will
also be done which HR management use to create a healthy relations with employees and
company.
TASK 1
P1. Purpose and functions of HRM
The successful human resource management basically builds a bridge between
management and workforce of company. ALDI's HR management also have purpose in
organisation which keep their eyes on goal. Main purpose of human resource management is to
maintain the environment and reduce problem in organisation ( Boxall and Purcell 2011). Some
of the purposes are:
Internal customer management human resources management has so many purpose.
They took their focus on the productive. Sound HR department helps in motivation employee
which reflects in quality of the product. HR manager defined and impose those process and
policies attract and recruit or keep retain quality skilled employees. The human resources
managements helps in creating good relation between organisation and workforce. Employees
are internal customer for company who are working for financial aid and looking their benefits
but organisation's prosperity comes with his employees (Brewster and Hegewisch 2017).
Laws another purpose of human resources management is hires and terminates
employees with federal and state law that means organisation can do whatever they what but
they are not allowed to harm any employee. Every company needs to run in laws.
Metrics a powerful human resource management helps in creates interaction with all
levels of employees and employers of the organisation. This management examine and short the
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solution for hires and retain employee in company. The HR manager use matrix to analyse cost
and more sufficiency at all level of organisation. They provides effectiveness of measuring
performance outcomes and the conditions that helps in attaining their desired result.
Cultural sensitivity the human resource management provides cultural awareness in
firm. They answer to the wishes of one or more divisions. They hires candidates from one part of
the world and aimed to relocate it when they are felt the requirement ( Bratton and Gold 2012).
Human resource management performs many functions in organisation which helps it to
run smoothly and achieve desired objectives. Some of the major functions are:
Recruitment: HR manager performs this function to hire new skilled persons in
organisation when firm needs to fill the vacancies. A lot of element are going in this function
development of job description, posting, shorting to candidates ( Chelladurai and Kerwin 2017).
Training and development: This is the responsibility of HR manager to provide
learning programme to their employees for enhancing their skills. At the time when company
needs some different skills and abilities in employees to perform certain tasks, training and
development is given to employees.
Compensation and benefits: Organisation is able to attain set goals if their
compensation policies for employees are sound. Effective compensation plans help in building
trust of employees on firm. There are several benefits that a person is looking for:
 Flexibility in working hours
 Vacation plan
 Medical insurance from company
 Leaves for paternal and maternal
Performance appraisal: human resources management evaluate all performance and
give decision to employee. They offered some award to those who worked according to their
benchmark and also punishes to those who gives bad performance ( Guest 2011).
Ensuring legal compliance: Human resource managements protects his organisation
hence this function is playing good role. The HR department of each and every company should
be aware of legal laws and policies which are related to employment, working condition,
minimal wages, work time, over time, tax. Work in ethical environment helps organisation to
grow rich and made good impact on society.
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The human resource management also do other function where they do planning,
organizing employees in accordance with requirement, directing to workers in suitable path.
They controls the all other function along his employees and work which is called a managerial
function.
P2. Strengths and weaknesses of different approaches to recruitment and selection
Recruitment and selection is a part of HR function where new candidates are hired for
accomplishing objective of the company. Hence human resource manager begin this function (
Wright and McMahan 2011).
Job description: A sound job description helps in framing systematic hiring policy. This
involves detailed information of the job, salary range, all task which are performed by
candidates, wished report and their desired responsibility. It also facilitates person to choose his
suitable job as it provides information to job seeker in different position which on what post the
person apply to get satisfaction on job.
Skills inventory: Here manager compile all those list who has specific skills
requirements and set eligibility criteria for specific work. Basically it is refer to those ability
which are wished for accomplished pre-determined objective of the company.
Strategy of job posting: Job opening of the company are come up with the perfect
strategy of posting. It helps in recruitment and selection process. This consider that skilled and
suitable matched candidates are occupied with job.
Multi step recruitment: this depicts that manager of human resources has systematic
interview process which helps them in finding the best suitable candidates whom meet with
desired skilled profile for specific job. The team of human resource of ALDI conduct multiple
process of interview to select the right person and made final decision. The company is dealing
with food item and it is international firm they took interviews through telephonic, examination
via internet, face to face interview rounds.
The strengths and weaknesses of recruitment ans selection of ADLI.
Strengths:
 defining best person for specific job requirement.
 Make invitation for vacant post.
 Develops skills in candidates.
 Helps in productivity.
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 Selects to those who wants to work with the company and passionate for his given task.
 Hires those person whom are flexible in working in every segment of work.
 Facilitates in finding growth for organisation. Forecast the workforce in according to task
and ability ( JiangLepak and Baer 2012).
 Provide the process of internal recruitment for exiting employee to gives them chances to
go in high post.
 Builds sound environment in organisation
 recruitment process helps in creating interaction between different cultural and abilities.
 External recruitment may be good cause outer person come with their unique idea which
their give in interview session that showcase his ability of think and his mind set for
organisation.
 Providing different experience to HR of the firm.
Weaknesses:
 it took larger amount of money and time to recruit a person. Manager need to spend more
time on searching and inviting persons.
 Higher level of effort are needed in this procedure.
 Person who what to get hired are always ready to work hence it may be wastage of time.
 Online recruitment can made some wrong decision.
 Internal process of recruitment are able to create conflicts in work environments.
 Internal recruitment would provide limited number of potential applicant.
TASK 2
P3 Benefits of HRM practices for employee and employer.
Human resource management includes practises which used by managers and HR team to
manage people in organisation. Like in involves performance management, Hiring, training. HR
practises has benefits for both employee and employer as:
Positive behaviour: proper use and implementation of the human resources practise helps in
creating sound behaviour of employees towards organisation. This helps in keeping workers
happy and productive. If the production is good then the firm will be satisfies with their
employee which frame behaviour accordingly.
Developing employee: HRM practises provides satisfaction to employees and motivates them to
gives their best in organisation. ALDI's workforce are giving contribution in company's
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intellectual assets hence they are enjoying sound profit in market. The mix of skilled employees
and knowledge of employers can increase business's competitive advantage ( Huselid and Becker
2011).
Building flexible work place: these practices are shown in shifting places in firm. Worker who
are coming from new country are expecting different condition in organisation but with human
resources practises environment of working are based on international level which includes so
many components that employee can work easily and employer are continuously framing plans
for it.
Motivating workers and employer: cause ALDI is food retailing company they need to have
motivated employees in firm hence these practises are helping them to encourage workforce also
provides quality to employers.
Conflict management: through the practice of human resource employee and employer can sort
their issue if happens in organisation. Conflicts may rise in organisation with workforce when
they are disagree with decision of the firm which cannot be avoided hence this department role
as a counsellor for employee which helps in resolving the dispute and retain workforce.
Performance management system: ALDI's team of HR are playing a sound role in managing
employee's performance as the HR manager took regular feedbacks from them so organisation
look after worker's problem. This system also provides training to them which improves skills
and ability of the employee ( Meredith Belbin 2011).
P4 HRM practices in term of raising profits and productivity.
The human resources management practises provides sound generation of profit in ALDI
and also helps in making growth in nation's economy. ALDI promotes their stuff in different
country hence they are using practises of HR in sufficient manner. The HR practises are directly
link to revenue and profit margin. There can be a correlation between positive economic
performance and talented human in various areas like branding of employees, reward system.
Employee engagement: involving in task employee provides contribution in generation benefits
for organisation with higher engagement ratio. It facilitates organisation to grow rich. Employees
who are involved in work are more producing and also not stops the production.
Focus on management: majorly HRM practises are focusing in management in organisation.
As ALDI, company are focuses on how to manage their work and forecast his workforce to grab
attain in market and also to make customer satisfies (Renwick, Redman and Maguire 2013).
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Create brand image: Sound use of HR practices can helps in making brand image. If customers
are highly satisfies with the work, product and employee it will be a respect for the company
which turns to brand image and also creates loyal customers.
Wrap up: Good use of manpower is needed to major firm better cause skilled and talented
persons are as important as assets and management of it is reflected in outcomes. Hence HR
manager frame plan to achieve goals through sound workforce. The contribution of employees in
business are results in firm's financial objective.
Stimulates innovation in the organisation: In this phase manager of HR gives some
challenging task to assess individual's performance or innovation by talent management. Human
resources practice are pushing the firm for having some innovation through using internal ideas
and suggestion, get feedback or responses. There are some prominent element which helps
management in growth such as internal process infrastructure, learning and development.
TASK 3
P5 Importance of employee relations influencing HRM decision making for the Aldi.
Sound connection between staff members and employees can be a ultimate tool of
prosper organisation. This can be mark that harmony are better at work place workers will be
more productive and effective. The process of decision making is all concern with procedure in
with superiors will draw a out line that guide employees step by step whom are followed by
employees to achieve pre determined objective ( AlfesShantz and Soane 2013). Here ALDI is a
company who are offering food and beverage in internation basis and his workers are give their
performance in both environment internal where the are proceeding the product or external
where employees are having their direct contact with customers. This is important for ALDI to
make involvement of employee and consider their view in decision making which may influence
firm's policies.
ALDI knows that employees are crucial part of the organisation that provide his
productivity in order to achieve goal. If management allows employees to have participation in
process of decision then the high level of change can be happened in decision making cause
every employee are using his view point in order to frame policies. After involvement what
regulation and policies are coming are the main and useful thing cause they are made with mix
view of authority and employee. It also provides higher involvement of workforce in production
and build trust on organisation. Every aspect of staff member have ability to change the decision
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of higher authority. The relation of employees make influences on decision making as they help
in ratio of productivity. Employee who are engage with decision making process has higher
level of morale. It helps in team work. Play as a internal resource of the company to save time
and cost.
Strong relation in organisation are necessary for the firm to achieve its objective via taking
employee in decision making process.
P6 Element of employment legislation and impact it has upon HRM decision making.
The legislation is known as legal contract that draws a out line for certain aspect of
employment relation which can be in between employee and employer. The aspects has proper
and clear description of the term and conditions ( Lengnick-Hall and Lengnick-Hall2011). This
contract has been considered before entering in to organisation but on the different side of coin it
provides benefits for both employee or firm. ALDI'S law of contract are framing as handbook
which are easy to read and it gives chance to both company and worker to write and understand
that bond. So it consist all the thing that are required and has everything about firm and hired
person expect to one others. A few who are majorly determine element and impact of it on
decision making of human resource are as:
Terms of employment: on very general basis this involves how much time a person will stays in
organisation on certain position. It may draws attention on a specific periods of time for a
particular product. Every team of HR in organisation sets theirs benchmark of the job before
looking out for individual who are interested in this job. At time of hiring person the HR team
enclose their desired skills and attitudes for which they are searching in individual. This helps
ALDI's team to met with requirement and provide sufficient manner in making decision it also
helps in saving times.
Employee responsibility: this can be defined as the most important part of the employment law
which has detailed information for given roles and responsibility because every aspect of the
organisation are engage in different work condition. So this will mark a impact on decision
making or company as since it describe all duty for organisation. Hence it helps in framing a
organisational plan or policies which are covers all job's specify role and also trying to enclose in
front of job seekers that helps in build trust of individuals (Daley 2012).
Employee benefits: this law is related with life and health insurance, retirement plans of those
individual who have interest to join organisation. These phase are required to create some
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changes in old framed policies and rules the reason behind amendments is aged policies are not
in accordance with present condition hence HR team reframe and generate the new code for
company. ALDI is very aware and responsible for employees and gives best policies to them.
Ownership Agreement: This law covers the copyright of the business that means whatever has
been invented or produced will be the property of business. All thing that are copmleted in work
place are comes in owner's possession.
Termination: the favour of this law has been relays on organisation's regards. This will affects
in decision making at any time period cause the person who will be terminated from the
company may build some hurdles in management.
There are other law which are concern with employees such as work hour law that describe how
much people need to work per day if they do over time then company will give them extra
money.
TASK 4
P7 Application of HRM practices in ALDI.
The practices of human resources management are refer to those personnel who are able
to develop and has the trait of leadership in staff members. The learning and motivational
programme which are given by organisation for employees are helps in assisting management to
examine on going performance. ALDI is believing in high quality human resource practises
which facilitates them to keep their employee in appropriate condition of action where they can
work confidently. Since the company are dealing both environment internal or external hence
their worker have chance to make contacts with customers and produce quality product ( Buller
and McEvoy 2012). There are some HR practises and application on ALDI.
Performance appraisal: HR manager of the company are required to look over employee
appraisal. ALDI needs to have this trick to make his employees more productive cause every
human are working for having some recognition and value the performance appraisal helps them
to do best in organisation which company will considered.
Career management: every employees wish to growth high in company. So ALDI should frame
those plan which facilitates workers career in firm this will create trust on company.
Training: ALDI provides some training to employee cause they have direct communication with
customers in stores.
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CONCLUSION
From the above report it has bee summarised that ALDI is a food retailing company and
have store chain in several places. The human resources management of the company is
important as they play so may function in organisation such as they recruit and trains person,
framing plan for award system the purpose behind HR team is to maintain employee relation on
organisation. Worker of the company have participation in decision-making process which
makes high changes in having decision. ALDI has follows some employment law which helps
them to maintain harmony and there are some application for the HR practise that company
needs to apply such as reward, performance appraisal.
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REFERENCES
Books and Journals
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Brewster, C. and Hegewisch, A. eds., 2017. Policy and Practice in European Human Resource
Management: The Price Waterhouse Cranfield Survey. Taylor & Francis.
Bratton, J. and Gold, J., 2012. Human resource management: theory and practice. Palgrave
Macmillan.
Chelladurai, P. and Kerwin, S., 2017. Human resource management in sport and recreation.
Human Kinetics.
Guest, D.E., 2011. Human resource management and performance: still searching for some
answers. Human resource management journal. 21(1). pp.3-13.
Wright, P.M. and McMahan, G.C., 2011. Exploring human capital: putting ‘human’back into
strategic human resource management. Human Resource Management Journal. 21(2).
pp.93-104.
Jiang, K., Lepak, D.P., Hu, J. and Baer, J.C., 2012. How does human resource management
influence organizational outcomes? A meta-analytic investigation of mediating
mechanisms. Academy of management Journal. 55(6). pp.1264-1294.
Huselid, M.A. and Becker, B.E., 2011. Bridging micro and macro domains: Workforce
differentiation and strategic human resource management.
Meredith Belbin, R., 2011. Management teams: Why they succeed or fail. Human Resource
Management International Digest. 19(3).
Renwick, D.W., Redman, T. and Maguire, S., 2013. Green human resource management: A
review and research agenda. International Journal of Management Reviews. 15(1).
pp.1-14.
Alfes, K., Truss, C. and Soane, E.C., 2013. The link between perceived human resource
management practices, engagement and employee behaviour: a moderated mediation
model. The international journal of human resource management. 24(2). pp.330-351.
Lengnick-Hall, C.A., and Lengnick-Hall, M.L., 2011. Developing a capacity for organizational
resilience through strategic human resource management. Human Resource
Management Review. 21(3). pp.243-255.
Daley, D.M., 2012. Strategic human resources management. Public Personnel Management,
pp.120-125.
Buller, P.F. and McEvoy, G.M., 2012. Strategy, human resource management and performance:
Sharpening line of sight. Human resource management review 22(1). pp.43-56.
Online
Human resource management. [Online] available through:
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