Human Resource Management Case Study: Gaps, Controls, and Analysis

This assignment presents an analysis of an HRM case study, identifying key issues and providing recommendations for improvement. The case study reveals a lack of effective human resource management practices, including problems with pay balance, employee retention, confidential information leakage, and skill development. The analysis identifies the impacts of these issues, such as demotivation, high turnover rates, and damage to the organization's brand and culture. Recommendations include improving communication regarding pay, implementing employee engagement activities, ensuring the confidentiality of information, and investing in employee skill development through external consultants. Furthermore, the assignment discusses the importance of internal controls within the HRM department, including performance appraisals, discipline policies, employee observations, and training programs, emphasizing their role in achieving strategic goals. References to academic sources support the need for controls in HRM to meet its objectives.

Running head: HRM
HRM
Name of the Student
Name of the University
Author Note

HRM
Task 1
The case study reflects that the organization has a rather sloppy approach towards the Human
resource management department (Berman et al., 2019). The employees form the backbone of
the organization and the organization does not have a well-defined plan for the various
employees. The turnover rate of the organization is very high and the firm has been facing a
large number of problems in relation to the pay management and retention of the employees.
Hence, it is in religion to this, that the given section will outline certain gaps which are present in
the organization and recommendations for each of these gaps will be mentioned. The different
gaps which have been identified are as follows:
a. Pay balance: There exists a considerable gap in the pay management department. The pay
which is generally given to an employee has a major role to play in determining whether
the organization will be able to manage and motivate its employees in the long run or not.
Hence, the organization is facing problems related to pay balance whereby the employees
have been complaining that they are not being paid as agreed.
Impact:
1. This will lead to demotivation of employees
2. Will lead to regular conflicts
3. Will lead to higher turnover rate
b. Retention rate: The retention rate of the organization can also be understood to be
considerably very low. In regard to this, it has to be understood that the turnover rate is
very high in the organization and this seriously poses a threat to the overall welfare of the
organization (Noe et al., 2015). The main reason behind this concern is that as the
retention rate is high, the organization would be then required to spend an additional
amount of funds on hiring the new employees and with reverence to this, they will be
required to spend more
Impact:
1. Spoils the brand name of the firm
2. Leads to hire costs
3. Increases work load of the firm

HRM
c. Confidential information leakage: The case study reflects that there has been a leak out
on confidential information and in reverence to this, it needs to be understood that,
leakage of such information may lead to the tarnish on the organizational image. In
addition to this, the different employees may lose out on trust of the employees which
may then lead to the spoiling of the image of the firm (Noe et al., 2017).
Impact:
1. Has an impact on the trust of the employees
2. Tampers with the organizational culture
3. Leads to conflicts within the firm
d. Lack of skill development: The next problem which can be understood from the case
study relates to the fact that the skill and knowledge of the different employees is not
updated and hence, in reverence to this, the skills of the different employees can be
understood to be rather outdated in nature. In relation to this, the organization does not
remain updated with the business requirements.
Impact:
1. The first impact is that the skills of the firm do not remain at par with the
organizational skills
2. Secondly, it will also impact the overall self-esteem of the different employees
present in the organization
Recommendations
The different recommendations which have been provided for the organization can be
mentioned as follows:
1. In order to deal with the problem of pay balance, the firm is required to see to it that it is
able to maintain a strong communication system with the organization employees
whereby they will be essentially provided with adequate information about pay and other
domain (DeCenzo, Robbins & Verhulst, 2016). This will increase the transparency
2. Secondly, the problem of turnover needs to be resolved with employee engagement. The
firm would be required to incur in various employee engagement activities which will
ensure that the firm is being able to communicate with the different employees and get
their interest in the operations of the firm.

HRM
3. Thirdly, the confidential information leakage needs to be ensured such that the
information remains confidential and that, the trust of the different employees is
maintained (Chelladurai & Kerwin, 2018).
4. Lastly, the firm needs to higher external consultants whereby it would be required to
engage in the skill upgradation of the employees.

HRM
Task 2
Although it may be considered as a myth that the controls may be suitable for the
accounts department of the firm, however, this is not the case and the organization would be
essentially required to see to it that the control system is activated within the firm as well
(Bratton & Gold, 2017). The different internal controls for the Human resource department of
the firm are as follows:
The Human resource controls can be described as those controls which have a focus on
the employee behavior, the performance of the employees and upgradation of the different
procedures of the firm (Sparrow, Brewster & Chung, 2016). These controls are not only
maintained to ensure that the firm is being able to recruit and train the right kind of employees
but also ensures that, the needs in the external environment of the firm can be met with
adequately.
The different controls to meet strategic goals are as follows:
 Performance appraisals: This helps to keep a check on the overall development of the
employees and to see to it that the organization is being able to perform well.
 Discipline policies: This control keeps in check the ways in which the discipline aspects
needs to be maintained in the firm.
 Employee observations: This helps in identifying any dissatisfaction amongst the
different employees of the firm and improving the same (Cascio, 2015).
 Employee training: This control ensures that the skills of the employees are up to date.
Hence, controls are the key to manage well and are essential in the field of Human resource
management as well. The two given readings describe the manner in which Human resource
system could benefit from the controls.
 https://www.tandfonline.com/doi/pdf/10.1080/09585190600581691
 https://www.emeraldinsight.com/doi/10.1108/01437721111158170

HRM
These academic sources agree with the needs of the control in the field of human resource
management and stress its importance stating that without the controls, the Human resource
management department would not be able to meet its goals.

HRM
References
Berman, E. M., Bowman, J. S., West, J. P., & Van Wart, M. R. (2019). Human resource
management in public service: Paradoxes, processes, and problems. CQ Press.
Bratton, J., & Gold, J. (2017). Human resource management: theory and practice. Palgrave.
Cascio, W. F. (2015). Managing human resources. McGraw-Hill.
Chelladurai, P., & Kerwin, S. (2018). Human resource management in sport and recreation.
Human Kinetics.
DeCenzo, D. A., Robbins, S. P., & Verhulst, S. L. (2016). Fundamentals of Human Resource
Management, Binder Ready Version. John Wiley & Sons.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2015). Human resources
management. Instructor, 2015.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill
Education.
Sparrow, P., Brewster, C., & Chung, C. (2016). Globalizing human resource management.
Routledge.