Human Resource Management Report: HSBC's Strategic Practices

This report provides a detailed analysis of Human Resource Management (HRM) practices within HSBC, a multinational financial services company. The report begins with an introduction to HRM, emphasizing its importance in organizational success and profitability, followed by an overview of HSBC's operations. Task 1 explores the purpose and functions of HRM, including recruitment, selection, training, and compensation. It then examines internal and external recruitment approaches, detailing their respective strengths and weaknesses. Task 2 delves into the advantages of various HRM practices employed by HSBC, such as performance monitoring, training, and development, and their impact on both the organization and its employees. The report also highlights the benefits of these practices, including improved employee motivation, personality development, and a positive work environment. Task 3 focuses on the importance of employee relations and key elements of employee legislation. Finally, Task 4 provides illustrations of different HRM practices within HSBC. The conclusion summarizes the key findings and their implications for HSBC's overall performance. The report references various academic sources to support its analysis.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Purpose and Function of Human Resource Management......................................................3
P2 Different approaches to recruitment and selection and its strength and weakness ...............4
TASK 2............................................................................................................................................6
P3 Advantage of different practices of Human Resource Management.....................................6
P4 Effectiveness of different HRM practices in context of raising company productivity and
profit ...........................................................................................................................................8
TASK 3............................................................................................................................................9
P5 Importance of employee relation ..........................................................................................9
P6 Key elements of employee legislation .................................................................................9
TASK 4..........................................................................................................................................10
P7 Illustration of different HRM practices ...............................................................................10
CONCLUSION .............................................................................................................................11
REFERENCES ...............................................................................................................................1

INTRODUCTION
In any organization, the concept of Human Resource Management plays crucial role in
each and every organization. It contributes in improving profitability and execution of employees
and leads firm towards development and achievement (Armstrong and Taylor., 2014). The prime
obligation of every HR manager is to decide needs of worker and select most suitable and
capable work force in association that can achieve targets and meet destinations of business
within its time period. The selected organization for given report is HSBC which is a leading
China based multinational company that specialize in providing financial services to vast
number of customer. The report is based on how selected company is gaining high competitive
advantage because of its HHRM practices. It include roles and function of human resource
management, different approaches to recruitment and selection along with its strength and
weakness, benefits of different HRM practices, key elements of employee legislation and
effectiveness of various HRM practices.
TASK 1
P1 Purpose and Function of Human Resource Management
Human Resource Management is a procedure identified with recruitment and selection of
talented candidate, giving orientation and induction, managing healthy relation, compensation
and benefit, welfare, motivating, health and safety etc. It helps with achieving set goals and
focuses of the firm and leads it towards development and achievement. It guarantees procuring
of skilled candidates that helps with addressing client needs in an effectual manner.
Purpose of HRM:
The primary purpose of Human Resource Management is to employ correct individual for right
position in opportune time. For this, it is essential for manager to forecast needs related with
manpower and fulfil them accordingly by hiring competent and skilled person. Manager of HR
department define diverse techniques keeping in mind the end goal to construct responsibility of
specialists towards firm. They help with building limit of association by defining objectives.
Functions of HRM:
Recruitment and Selection: With skilled and knowledgable candidate, productivity &
profitability of any company significantly increases (Berman and et. al., 2012). The main
function of HR department is to enroll and select potential employees that leads the business
towards achieving pre-defined goal and objectives in a significant manner. It is the primary duty

of HR administrator of HSBC Bank to envision the staff needs and higher right number of
workers for vacant position. They welcome substantial pool of candidates and select the most
reasonable possibility for work from that.
Training and Development: It is fundamental for each association to provide adequate training
and development to its workforce with a specific end goal to build up their aptitudes and
capacities (Boella and Goss-Turner, 2013). The chief of HSBC Bank conduct various training
and development program that help in improving their overall efficiency and productivity.
Managers are require to distinguish preparing necessities of representatives with a specific end
goal to control them proper discovering that helps with expanding their execution.
Compensation and Benefits: HR manager of HSBC Bank create compensation plan for its
employees according to the enactments that helps with empowering moral practices at work
environment. This leads to motivate and inspire workers to perform in better manner. By giving
great advantages and pay to workforce, manager of respective firm can enhance the execution of
firm.
P2 Different approaches to recruitment and selection and its strength and weakness
Recruitment means searching for a prospective candidate and stimulate them to apply for vacant
job opening in the company. It refers to the process of finding most talented and suitable
candidate for the company. It is a positive process that is mainly used by company to seize the
attention of customer so that they can apply for given job opening in the company. Selection
means choosing most suitable candidate from the pool of applicants. It is very crucial process as
it revolve around selecting the most talented and competent individual for company who with
their skill, efficiency and knowledge achieve organizational goals and objectives in an effective
manner. These two strategies are critical in the association. Through this exercises and
undertakings run productively and adequately (Boselie, 2010). It helps in expanding the
efficiency of the firm. Association utilizes different methodologies for recruitment and selection.
However, there are two main approaches of recruitment and selection namely Internal and
External.
Internal source of recruitment– When Company enlists the workers from inside the firm it is
said as internal recruitment. They don't enlist individuals from the outside source. It builds the
inspiration and enthusiasm of existing workers.
Strengths Weakness

 It helps in expanding the inspiration
level of existing representatives. So
staff individuals work with full
commitment and enthusiasm. It
prompts great nature of yield. Hence it
prompts proficient working of the
exercises and assignments. This
prompts expanding efficiency and
association can keep up one of a kind
position in the market.
 No preparation is to be given to
existing representatives. Along these
lines firm can spare the cost and time of
preparing and enlistment. Prepared and
taught representatives can perform
better. It drives firm towards expanding
benefits and piece of the pie.
Subsequently, association can keep up
exceptional position in an industry.
They can give solid rivalry to different
firms.
 There is no development and creativity
exist when candidates are selected
within the association only. As firms
select workers from inside the
association they can't give one of a kind
and imaginative thoughts. Subsequently
firm can't make creative items. It
prompts decrease in deals and
execution of firm. So it can't produce
tremendous incomes and can't grow the
business.
 Association can't procure the talented
and new workers. So thus work is
impossible productively and viably.
New workers can give great nature of
yield. So henceforth it prompts low
profitability. It prompts low execution
of firm in the market and can't offer
rivalry to different organizations.
External source of recruitment: Under this approach, manager of HSBC recruit and select
candidate from outside the business organization. For example: Walk-ins, employment
exchange, direct recruitment etc.
Strength Weakness
 Association can enroll the inventive
and creative representatives. So along
 It incorporates high cost of recruitment.
Additional time is squandered all the

these lines they give new and
interesting thoughts for making the
item. Exercises and errands run
effectively. It builds the efficiency in
the association.
 Association can be fruitful as it
procures skilful, knowledgable and
prepared workers. So they can perform
with full proficiency. They give great
outcomes. Along these lines firm can
produce more benefits. In this manner
association can keep up unmistakable
position in the market and can't give
solid rivalry to different organizations.
while. So subsequently association can't
focuses on essential designs and
strategies. In this way firm can't make
procedures for different exercises and
assignments. It prompts low
development of firm.
 More debate amongst existing and new
workers. Representatives can't work
with their full proficiency and can't
give great outcomes. Consequently
exercises and errands can't work
appropriately. This prompts low
execution and development of the firm.
TASK 2
P3 Advantage of different practices of Human Resource Management
HSBC is a UK-based multinational bank which gives financial services around the world.
The fundamental point of HSBC is to keep up great connection between their workers. This adds
to build association of workers in their capacities. For this reason, administration of HSBC
receive numerous practices which gives expansive number of focal points to both manager and
worker (Boxall and Purcell, 2011). For manager, accomplishes their objectives in stipulated time
and for representatives, enhance identity and expert vocation. Some of the practices of HRM
adopted by HSBC are discussed below:
Monitoring and managing performance of employees: Workers are considered as main
company's assets and accomplishment of each association relies on the capacity of
representatives in regards to execution of their capacities. This gives opportunity in regards to
upkeep of maintainability in their exercises and grow their capacities effectively. This routine
with regards to administration, incorporates about the examination of execution of staff
individuals from HSBC and give legitimate direction to enhance their execution and aptitudes.

This also assist in identifying issues which are related with their execution and present at
working environment. This gives opportunity in regards to reception and arrangement of such
approaches which are filling in as standard and aides in evacuation of such existing issues.
Training and Development Session: It encompasses two process, one is identifying training
needs of each individual and secondly conduction training session according to their
requirements and needs (Daley, 2012). This gives opportunity with respect to growth and
development of their aptitudes. It gives advantages to representatives being developed of their
identity and expert vocation. It additionally contributes in production of advancement among
staff individuals which helps in fulfilment of various requests of customers.
Benefits determined by HSBC and workers through use of such practices
HSBC Staff members
Motivating Factor: Training and development
session which are give by HSBC to their
workers helps being developed of their
identity. This will demonstrate as huge
propelling element for boss since it helps in
accomplishment of certainty of representatives
towards their administrations. This gives
opportunity with respect to effectively ID of
various inclinations of client and roll out
improvements in their methodologies. This
gives opportunity to enhance their image
picture in everywhere throughout the world.
Personality Development: Various Training
programs which are give by HSBC assist in
enhancing existing abilities and increment their
insight with respect to their particular
occupation.
Long Term Relation: The practices which are
connected by administration of HSBC picks up
the trust and loyalty of workers. This
additionally helps in upgrades of
correspondence channels and expulsion of the
issues. This gives opportunity in regards to
upkeep of long haul connection with their
Positive Working Environment: Application of
different HRM practices helps in making of
strong conduct among the workers. This
contributes in production of positive
environment at work environment. This gives
opportunity in regards to evacuation of stress
and pressure and works with free personalities.

workers and utilized them for expansive
number of period.
Through this execution of workers are
expanded and helps in accomplishment of their
own and expert targets.
P4 Effectiveness of different HRM practices in context of raising company productivity and
profit
HSBC is a leading multinational bank that exercise services related with banking and
finance. The fundamental objective of bank is to give their services viably to the advantage of
buyers and accomplish their specified goals and targets. The administration of bank figure out
that there is enormous significance of worker relation to enhance commitment of representatives
in their exercises. It is watched that workers are genuine resources of association and based on
their execution achievement is accomplished in future (Gospel and Sako, 2010). Substantial
number of steps are taken by HSBC to enhance worker connection and commitment of
representative in their capacities. By providing flexible working environment, proper training
and development session etc. firm can build strong relationship with its customers.
Low chances of conflicts: Strong relationship exist between the administration of HSBC and its
workers that helps in making of positive climate in bank. This will enhances the energy of staff
in their exercises and aides in expulsion of the issues which are emerged between the
administration and representatives on everyday schedule. This will brings about expulsion of the
circumstances of strikes and deferral in their normal works. This gives chance to HSBC with
respect to adequately fulfil distinctive requests of their clients.
Communication: The main significance of employee relation promote effective communication
among workers and management of HSBC. It also gives opportunity in support of good
connection with their staff and hold them for longer time-frame. Additionally, it makes great
connection with their clients so that they are able to understand their needs in more effective
manner. It also contributes in building strong coordination between various HSBC functions and
completion of defined task and projects in an effective manner.
Flexible working conditions: This incorporates about offering adaptability to the staff individuals
from HSBC that because of having some work or any reason they are permitted to come late for

work. With formulation of such strategies, HSBC accomplishes the certainty of representative's
on the elements of administration (Heizer, 2016). This enhances the commitment of workers on
their capacities
Employee contribution in decision-making: This will have double significance for bank and
workers as well. Commitment of workers in basic leadership process helps in fulfilment of their
genuine perspectives which improve basic leadership energy of HSBC. At the same time,
representatives feel the vital piece of bank which expands their enthusiasm towards their work.
This likewise helps in change of commitment of staff individuals.
TASK 3
P5 Importance of employee relation
1. Increased profitability: Training and development session straightforwardly improve the
proficiency and efficiency of workforce. They remain refreshed with new imaginative and propel
innovation and hence use current one of every a superior way. Well trained and motivated
employees demonstrate both quality and amount execution (Hoque, 2013). There is less wastage
in term of time, assets and cost when work force are prepared appropriately.
2. Minimising the chances of error: Most of the mix-ups and mistake emerges on the grounds
that numerous faculty needs wanted aptitude and learning required for doing particular
occupation. Non-stop learning, improvement and preparing guarantees that specialist get right
information and aptitude at correct time.
3. Employment Satisfaction: Training and improvement influences specialist to feel more
esteemed and happy with the undertaking or part they are depicting in the association. It
influences them to feel associated and connected with the organization which influences them to
hold for longer period. Fulfilled representative works viably and effectively towards returning
higher benefits and deals.
4. Decrease in learning time: Systematic training and development regularly diminishes the
learning time which can be used in lead age, better client benefits that outcomes in returning
higher benefits and incomes (Jiang and et. al., 2012).
P6 Key elements of employee legislation
Employee Legislation: It mainly specify rules and regulation which are regulated by UK
government and which are necessary for all association and banks to embed it while giving their
exercises. Such enactment administers the exercises of HSBC in culminate way and gives the

chance to accomplish better association of representatives in their working. This likewise helps
in lessening of the legitimate punishments and fines . This contributes in enhancing the picture of
bank in UK and draw in vast number of clients as they feel secured to execute their exercises
with HSBC. Key elements of employment legislation are mentioned below:
Health and Safety Act 1974: Under this act, it is important to provide safe and healthy working
environment to the representatives of HSBC. It is a lawful commitment upon HSBC with respect
to take mind the well-being of their representatives (Marchington and et. al., 2016).
Equality Act 2010: This act provide equal opportunities chances to all staff individuals from
HSBC and no predisposition treatment is embraced by administration in regards to evaluation of
their execution. The administration of HSBC likewise have the obligation to embrace measure up
to approach in assurance of wages of staff individuals and there is no separation in light of sexual
orientation, religion, age, rank and so forth.
Impact of employment legislation on company and its performance
1. Keeping working hours records: Adoption of this enactment gives commitment upon HSBC to
keep sufficient records of working hours for which the representatives gives their administrations
in HSBC. This gives no representative is working for over 8 hours.
Proper Record of minimum pay: This incorporates about obligation of HSBC to keep record of
least pay which is give by them to their workers (Mok and et. al., 2013). Such enactments brings
commitment upon HSBC not give less wages than such least sum gave by government body
under NMW Act 1998
TASK 4
P7 Illustration of different HRM practices
JOB SPECIFICATION
Organisation: HSBC
Job title: Assistant Human resource manager
Qualification:- Preferably MBA or PGDM specialize in Human Resource
Essential Criteria:
 Adequate knowledge of policies related with HR
 Proper maintenance of records
 Arrange adequate training and development session

Desirable Criteria:
 Minimum experience of 2-3 is required
CURRICULUM VITAE
Curriculum Vitae
Name:- ABC
Address:- United Kingdom
Phone No:- 454695659
Career Objective:
Looking for a platform that provide an opportunity to show and utilize my skills, knowledge,
potential in an effective and efficient manner.
Educational Qualification:-
 BBA
 MBA or PGDM
Specialisation:
 Human Resource Management
Declaration:
I hereby declare that, all above stated information is true and correct
Date:
Place:
CONCLUSION
According to the above mentioned report, it can be concluded that firm's sustainability
and success rely on how significantly their employees contribute towards accomplishing it.
Employees are often consider as main asset of the company who carry out all task and objectives
in an effectual manner. With the help of different HRM practices such as working condition,
training and development, compensation and benefit etc. chances of generating higher
profitability ratio increases and it also aid in gaining high competitive edge in the market place.

REFERENCES
Books and Journals
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Berman, E. M. and et. al., 2012. Human resource management in public service: Paradoxes,
processes, and problems. Sage.
Boella, M. and Goss-Turner, S., 2013. Human resource management in the hospitality industry:
A guide to best practice. Routledge.
Boselie, P., 2010. Strategic human resource management: A balanced approach. Tata McGraw-
Hill Education.
Boxall, P. and Purcell, J., 2011. Strategy and human resource management. Palgrave Macmillan.
Daley, D. M., 2012. Strategic human resources management. Public Personnel Management.
pp.120-125.
Gospel, H. and Sako, M., 2010. The unbundling of corporate functions: the evolution of shared
services and outsourcing in human resource management. Industrial and Corporate
Change. 19(5). pp.1367-1396.
Heizer, J., 2016. Operations Management, 11/e. Pearson Education India.
Hoque, K., 2013. Human resource management in the hotel industry: Strategy, innovation and
performance. Routledge.
Jiang, K. and et. al., 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.
Marchington and et. al., 2016. Human resource management at work. Kogan Page Publishers.
Mok, C., Sparks, B. and Kadampully, J., 2013. Service quality management in hospitality,
tourism, and leisure. Routledge.
Nickson, D., 2013. Human resource management for hospitality, tourism and events. Routledge.
Purce, J., 2014. The impact of corporate strategy on human resource management. New
Perspectives on Human Resource Management (Routledge Revivals). 67.
Sparrow, P., Brewster, C. and Chung, C., 2016. Globalizing human resource management.
Routledge.