Human Resource Management Report: Practices and Benefits at ALDI

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within ALDI supermarket. It begins by defining the purpose and functions of HRM, emphasizing the importance of employee relations and workforce planning. The report then delves into the strengths and weaknesses of different recruitment and selection approaches, evaluating both internal and external sources. It further explores the benefits of various HRM practices for both employers and employees, including training, development, and effective communication. The report also examines the effectiveness of HRM in raising organizational profit and productivity, highlighting the significance of employee relations and employment legislation. Finally, it offers a critical evaluation of HRM practices and their application within the organization, discussing the importance of adapting policies to the changing environment and resolving employee grievances. The report underscores the crucial role of HRM in achieving business objectives and fostering a positive work environment within ALDI.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Purpose and functions of HRM practices..........................................................................3
M1Functions of HRM that provide talent and skills appropriately to fulfil business objectives
................................................................................................................................................4
P2 Strengths and weaknesses of different approaches to recruitment and selection..............4
M2 Evaluation of strength and weaknesses of different approaches to recruitment and
selection..................................................................................................................................5
D1Critical evaluation of strengths and weaknesses of different approaches to recruitment and
selection..................................................................................................................................5
TASK 2............................................................................................................................................6
P3 Benefits of different HRM practices for employer and employee....................................6
M3 Different methods used in HRM practices.......................................................................6
P4 Effectiveness of different HRM practices in terms of raising organisational profit and
productivity.............................................................................................................................7
D2 Critical evaluation of HRM practices and application within an organisation................7
TASK 3............................................................................................................................................8
P5 Importance of employee relations in respect to influencing HRM decision-making.......8
P6 Key elements of employment legislation and the impact it has upon HRM decision-making
................................................................................................................................................8
M4 Key aspects of employee relations management and employment legislation that affect
HRM decision-making...........................................................................................................9
D3 Critically evaluate employee relations and application of HRM practices......................9
TASK 4..........................................................................................................................................10
P7 HRM practices in work related context...........................................................................10
M5 Application of specific HRM practices..........................................................................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Human resource management means managing employees working in company. It is
important that manger has to plan policies for the upliftment of employees as they are the
important component of organisation. There are various types of employees in association
having different mindset, so it is important to analyse them and perform actions. If there are
personal conflicts among employees then it must be resolved by manger so this does not affects
business operations. This report is based on ALDI super market having head quarter in Germany.
They have around 10000 stores in 20 countries (Alfes and et. al., 2013). This report discusses
about purpose and function of Human resource management and purpose of workforce planning,
strength and weaknesses of various approaches of recruitment and selection, benefits of HRM
practices for employer as well as employee. HR practices are effective in raising profits and
productivity, there are some laws which safeguard interest of workers in company these points
are also discussed under this report.
TASK 1
P1 Purpose and functions of HRM practices
HR department has many activities which help company to come expand their business.
This can be done with the joint efforts of Employer and employee. ALDI is company having
good image in market this can be achieved with the help of employees, when they are satisfied
and provide best services to company.
Purpose of HRM Practices Improving employer employee relation: There is important role of employee and
employer relation in achieving business objectives. ALDI organisation has many
employees headed by supervisor so it is important that manager has to take care of
relations among them.
 Futuristic Approach: HR policies are framed to achieve future business objectives so it
is important that manger has to analyse external factors so they can achieve goals
effectively (Armstrong and Taylor, 2014).
Functions of HRM Practices

 Laws and regulations: This is the important function of HR department to provide
assistance in case of fraud. It is important that manager must keep knowledge about rules
and regulations.
 Directing: There are many employees in ALDI, it is important to guide them regarding
change in society, this will help company tom perform activities in best manner.
Purpose of work Force Planning
Work force planning means to place person at correct place when there is need. There are
many departments in ALDI and hence there are many post which are necessarily be occupied. In
case there is vacant position it must be communicated to HR manger and then he/s he plan how
to fill it (Bloom and Van Reenen, 2011). It is important that department head has to tell skills
required for post and then they select candidate as per requirement.
M1Functions of HRM that provide talent and skills appropriately to fulfil business objectives
There is important role of HR department in placing person at correct place as per skills
required. It is not possible to achieve targets without proper planning. There are many goals and
objectives which can be achieved through joint efforts of workers. It is responsibility of HR
manager to analyse one's ability and then give responsibility. It is important to give authority
with that responsibility. There are many factors which has to be considered before assigning
duties, this will help in achieving business objectives on time. Every person has their own skills
which can be polished to improve their efficiency.
P2 Strengths and weaknesses of different approaches to recruitment and selection
There are various methods through which company can recruit personnel. There are
many components which are essential to be analysed. It is important that manager has to give
importance to these factors so they get best candidates for ALDI organisation. Mainly there are
two sources of recruitment i.e. Internal and external source (Boxall and Purcell, 2011).
INTERNAL SOURCE
This source is adopted by company when they have to select few members. Under this
method employees are shifted from one position to other which help management of ALDI to
satisfy short term need of workers. E.g. Promotion, Transfer, etc.
STRENGTH OF INTERNAL SOURCES
1. Easily satisfy the need of company and it motivates employees to give their best.

2. No training cost.
WEAKNESS OF INTERNAL SOURCE
1. As positions are filled through internal sources so there might be chances that there is
dissatisfaction among employees.
2. There is no new idea generation as employees apply same old theories of working which
may affect working of workers (Bratton and Gold, 2012).
EXTERNAL SOURCE
External source are useful when company has to need of new employees and they have
new learning which help to grow and expand their business. There are many options of placing
candidates, manager has to adopt best method among them as per need of organisation.
STRENGTH OF EXTERNAL SOURCE
1. Generation of new ideas which improves image of company in industry.
2. There are more options which help manager to opt best candidates.
WEAKNESSES OF EXTERNAL SOURCE
1. Due to huge choice manager can get confused with may affects therir culture of
company.
2. This method is time consuming and costly.
M2 Evaluation of strength and weaknesses of different approaches to recruitment and selection
As discussed above there are advantages as well as disadvantages of both the sources. So
it is essential to evaluate and opt best method as per situation. HR manager of ALDI can adopt
external source when they have vacancy for lower level subordinates. This will help company to
get new techniques and ideas to achieve task. While when there is requirement of employees at
higher level of management because existing personnel are aware about culture and working
style.
D1Critical evaluation of strengths and weaknesses of different approaches to recruitment and
selection
Selection and recruitment is most important task in company and this is responsibility of
HR department to select most suitable candidate. According to Buller and McEvoy, 2012
these external and internal methods are beneficial as well as disadvantage for company. E.g. As
internal source is fruitful employees are satisfied that there is growth in ALDI company so they

do not want to leave organisation. This reduces labour turnover and absenteeism. While in case
of external cost there is involvement of huge cost as well as time and there are possibilities that
plans and policies can be revealed in front of external person.
TASK 2
P3 Benefits of different HRM practices for employer and employee
HR practices have many benefits in organisation. They works as support system in
operations of company. HR practices can be applied in organisation with the help of employer
involvement. As environment is changing very frequently so it is important to watch those
changes and then apply them as per need of company. It is important to communicate those
changes to employees so they are aware about their code of conduct (Gues, 2011).
BENEFITS FOR EMPLOYEE Training and development: This is important for employees which helps them to
improve their skills. There is requirement of training as change in working styles so this
helps company also. Planning: ALDI is big company hence there is requirement to plan many activities
which aims at achieving business objectives on time. There are many operations which
has to be plan by HR manager, there are possibilities to change plans as per change in
situation.
BENEFITS FOR EMPLOYER Alteration in plans and policies: As environment is dynamic so it is important to make
alterations in plans and policies. It is important to analyse market and then take corrective
measures. If there is modifications in plan it must be delivered to employees.
 Proper communication: There are many departments in ALDI such as purchase, sales
and marketing, etc. which aims at achieving business objective (Han, Chiang and
Chang, 2010). It is important to communicate employees regarding change in plans and
policies. If there is proper communication between employer and employees which help
company to reduce confusion.
M3 Different methods used in HRM practices
HR department deals with employees of company and it is important to take care which
helps company to growth. There are possibilities that employee may have problem related

change in policies then it is responsibility of manager to know about shortcomings and take
corrective measures. HR department has to take acre of compensation, training and development,
recruitment and selection, etc. These are some important task of HR department. There is
requirement to motivate employees to give their best HR manager can plan training program for
them (Huselid and Becker, 2011). He/ she can connect performance of employees with their
growth. This will increase confidence among employees and they give their best.
P4 Effectiveness of different HRM practices in terms of raising organisational profit and
productivity
There is important role of HR manager in dealing with employees. As change in
environment it is important that company has to apply those change in organisation. There are
many employees in ALDI having different perception so HR manager has to take care of it and
then deliver duties. Effectiveness of employees has positive impact on position of company also.
If employees perform with their full efficiency, this will give positive impact on their faith and
trust of customer. It is important that manager has to encourage employee to come with and
innovative ideas so that can be applied to in operations of organisation. This creates confidence
in employees and there are possibilities that this creates new energy among workers (Jiang and
et. al., 2012).
ALDI is organisation which as many goals and objectives so it is important that manager
has to transform policies as per environment. This helps to improves skills and efficiency of
employees as well as company. There is requirement of proper guidance which help company to
grow and get huge customer range. It is not possible without employees cooperation. To make
workers efficient at their place, HR personnel can plan some activities for upliftment of morale.
These activities help personnel in getting refresh with this and they feel that company things for
them. It is not possible for organisation to modify plans for few employees so in case of
disagreement by few workers there is requirement to find reason of disagreement and resolve it.
D2 Critical evaluation of HRM practices and application within an organisation
There are many activities in organisation and this can be achieved with involvement of
manager and workers. It is not possible that company run without employees. There are
possibilities that manger has to change working style of employees but it is essential for them to
do convey that change to employees. This will work more effectively and provide more chances

of growth. It is important that manager has to perform his task in most efficient manner, this will
improve morale of workers. According to Renwick, Redman and Maguire, 2013 there are
some personal grievances which affects working in organisation, this is important to create good
culture in company. Hence employees feel comfortable to work.
TASK 3
P5 Importance of employee relations in respect to influencing HRM decision-making
There are many changes in working of organisation and hence there are possibilities that
company has to change its business related discussions. It is important to make alterations in
plans and policies. This will help company to improve qualities of their product and it helps to
improve relations with customers (Schalk, Timmerman and Van den Heuvel, 2013). There
are possibilities that company has many departments and there are many operations which help
company to achieve its business operations. It is important to create simulation in them so there
will be no over lapping of operations.
There must be good relations in between employer and employer so communication will
help company to get share views and ideas with subordinates and in case of grievances and
problems with superiors. This create good culture in company, employees think that they can
solve problems by discussion. It is important for manger to check perform of employees and in
case of diversion it must be rectified. Good relation among employer and employee will help
company to create good image in industry. It is important that manger has to perform operations
in best and appropriate manner. There are many factors which affects decision making of
company and in case of negative results it must be checked and act accordingly. Employee act as
per employer so it is clear that there is change in plans and policies affects both. HR has to check
whether method adopted by company for training and development of employee is efficient or
not.
P6 Key elements of employment legislation and the impact it has upon HRM decision-making
There are many acts related to employee which provides them safety at work place. There
are numerous employees in ALDI which are under HR manager (Vaiman, Scullion and
Collings, 2012). There are many laws which are related to employees and there upliftment. It is
essential for ALDI to apply these laws and hence there are chances that Government of UK can
change or modify these laws which has to be modified in organisation also. There are many

policies in society related to employees and it has to be revised. These acts help company to
change their plans and policies and change in decision making techniques. It is important to
apply changes as per change in customer demand. Some of laws are discussed below: Anti discrimination Act- This act is applied at small and medium organisation. According
to this act there must not be any discrimination on the basis of caste, colour, sex, etc. in
company. This will help organisation to create fluency in working. If person feeling
discriminated he/ she can file pledge in court (Van Solinge and Henkens, 2014). Age discrimination- This act says that management of company can not fire from
association having age more than 40 years. Organisation having employees more than 20
have to follows norms of this law.
 Minimum Wages Act- This act says that every person working in company must get
minimum wages. This act protect employees who does not get salary of their work. They
can file case against them under this act.
M4 Key aspects of employee relations management and employment legislation that affect HRM
decision-making
In ALDI they are applying different policies which help company to grow and expand
their. It is important that manager has to flow norms of government and necessarily apply those
in operations. There after policies of Government which safeguards person from having tortured
at work place. If there is case against company then it affects image of company there is involved
of government in their operations. This affects operations of company. This affects decision
making of manager of ALDI.
D3 Critically evaluate employee relations and application of HRM practices
It is important that manager has to take care of employee and employer. There are
possibilities of HR policies in ALDI company which help manger to get achieve targets timely
and efficiently. It is important that manger has to give emphasis on enhancing employee's morale
which helps to sharp skills of workers. According to Wright and McMahan, 2011 if there are
good relations among worker and employer then this helps to improve environment in company.
TASK 4
P7 HRM practices in work related context
HR practices apply at ALDI is as under-

JOB SPECIALISATION
This is document used by company which shows required skills at respective post. These
skills must be known to HR manager s they can select person accordingly.
JOB SPECIFICATION
Organisation: ALDI
Job Title – CUSTOMER RELATIONSHIP MANAGER
Qualification – MBA or PGDM (Human Resources)
Essential Criteria:
 Have knowledge of management techniques and theories.
 Capable to cooperation among employees.
 Maintaining coordination between the functions of management.
 Able to deal with customer queries.
Desirable criteria:
 2 years experience
 Effective communication skills.
 Attractive personality
JOB DESCRIPTION
This paper also defines job responsibilities of worker and skills present in them . This
document is important at work place with the help of which they can aplly while placing
personnel (Alfes and et. al., 2013).
Job Description
Organisation: ALDI
Division: CUSTOMER RELATION
Job Title: Customer relationship manager
Job Location: New Castle
Job Summary

ALDI is looking for suitable individual who is capable to hold position of customer
relationship manager in the company. The applicant must carry knowledge about external
factors happening in society.
Role
 Ensuring knowledge about customer and their queries.
 Maintaining Harmony in the environment
 Can able to represent company in front of stakeholders.
CURRICULUM VITAE
When there is interaction with candidates there are various rounds which help them to
recruit. In last stage there is personal interview with candidate's and then they come with their
Curriculum Vitae, which provides knowledge about his/ her skills and past experience.
CURICULAM VITAE
Curriculum Vitae
Name: Kim Smith
Address :23rd Street, Balori lane, Birmingham
Phone No. - 2568412
Profile summary:
An MBA in Human Resource department with 3 years of experience wants to be part of ALDI
as there are bright chances of career growth. Effective communicator and have knowledge of
management theories and techniques.
Specialisation:
 Knowledge about Customer behaviour
 Conflict management Training and development
Educational qualification: -
 Bachelor in Commerce. (B.com) Masters in Business administration (MBA) (HR)

Declaration:
I hereby declare that all the information provided is true and is best of my knowledge.
Date:
Place:
M5 Application of specific HRM practices
There are many activities in ALDI related to organisation and HR manger is frame those
policies in best and effective manner, but this is not only task of HR department. It is
responsibility of manager to apply those policies in most effective manner. This helps company
to reduce stress of workers and stakeholders (Armstrong and Taylor, 2014). It is important that
manager has to check application of techniques and in case of positive results there must be
provision of rewards. This boost the confidence of employees and they give their best.
CONCLUSION
From above discussion it is clear that manager has to perform many task apart from
selection and recruitment. There are various ways through which organisation can recruit
workforce but adopt method which is appropriate for company. There are chances that company
has to change its decision making techniques to satisfy personnel working. If employees are
satisfied they will work with full energy and this helps in upliftment of organisation. There is
important role of employees in achieving business objectives and in case of employees are not
satisfied then it is responsibility of HR department to resolve their problems. Laws related to
employees are essential for company to apply and in case of modifications it has to be changed.
There is involvement of government in applying these laws. Employees are the sector which help
company to achieve its goals and targets. It is important to manage activities which are
interrelated so there will be reduction in production time and cost.