Human Resource Management in Morrisons Supermarket

Verified

Added on  2025/05/03

|16
|3395
|291
AI Summary
Desklib provides solved assignments and past papers to help students succeed.
Document Page
Managing Human Resource
1
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Table of Contents
Introduction...................................................................................................................... 3
Task................................................................................................................................. 4
Conclusion....................................................................................................................... 6
Reference list................................................................................................................... 7
2
Document Page
Introduction
Human resource management is the most effective approach of selecting, recruiting,
deploying as well as managing employees of an organization. In simple words, HRM is
the process of managing the entire organizational workforce unit towards the
accomplishment of business objectives. Within the organizational premises, a HR officer
plays multiple vital activities including recruitment and selection, HR planning, employee
well-being, managing diversity, motivating employees, orientation and others for
betterment of the organization. Modern business scenario is highly competitive, where
ventures are focusing on achieving competitive advantage for greater market
sustainability. Effective HR department allow ventures achieving higher profits and
greater sustainability in market.
“Morrisons” is one of the most popular and fourth largest chains of supermarkets
across the UK premises. The company namely, Wm Morrison Supermarkets plc,
trading as “Morrisons” was founded in 1899, more than 119 years ago by William
Morrison. In recent days, the company has well-established brand image and the
company already has extended their business operations in over 400 different
destinations, where almost 110,000-trained employees serve high quality services and
performance to the wide range of global customers. In 2018, the company generated
GB£17,262million revenue in their business (Groceries.morrisons, 2019).
This study will evaluate multiple vital roles of HR department within an organization
along with its effective towards accomplishment of business objectives. Apart from this,
major threats of the specified organization in context of business operations will be
explained in this paper for better consideration of the entire project.
3
Document Page
Task
Explain how the ‘Resource Based View’ can be adapted to Human Resource
Management to help deliver competitive advantage and organisational success,
using examples of ‘good practice’ by organisations to support your argument.
In 1990, the term Human resources were first introduced in the market place and then
more widely in the 1960 for describing the people those work for the company, in
aggregate (Baum, 2016). In simple words, it is the most effective process in which
business operations can be managed smoothly. Employees are the most important
assets of business organizations and HR personnel of the specified organization are
responsible for maintaining the organizational workforce unit towards right direction.
Apart from this, the key responsibility of HR officer of business venture is recruiting the
most suitable and appropriate workforce resources to complete all the business
operations in an effective manner (DeCenzoet al., 2016). It is undeniable that modern
business scenario is extremely competitive and ventures are competing with each other
to achieve competitive advantage and market sustainability simultaneously. In order to
sustain in modern market place, effective HRM performance is necessity. Apart from
this, the HR personnel are adopting several new approaches and strategies in order to
smoothly manage entire business operations in business ventures (Bratton and Gold,
2017). In recent days, one of the most effective approaches is review-based view that
is being used by multiple ventures from small to large-scale multinational organizations
like “Morrisons” to improve their overall business performance as well as the market
competitiveness. Being one of the most successful retail business foundations across
the UK premises, “Morrisons” must adopt effective and the most suitable HR based
approaches such as resource-based view for growth and better prosperity of the
specified organization (Berman et al.,2019). The entire process is also popular as RBV
system that is an effective managerial framework basically used to determine the
strategic resources with the potential of delivering business sustainability to a business
venture such as “Morrisons”.
4
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Figure 1: Role of resource-based view
(Source: DeCenzo et al., 2016)
In simple words, the term resource based view refers to a set of practices that starts
from the proper analysis of available organizational resources and gathering information
regarding the demands and expectations of the customers as well as using all those
available organizational resources to modify the existing product for meeting customer
expectations.
However, it is fact the HR officers of an organization like “Morrisons” has the
responsibility of adopting this effective RB, which focuses upon managerial attention
over the organisational internal resources in an effort to determine those assets and
capabilities to deliver superior competitive advantage and better market sustainability.
Ventures such as “Morrisons” are showing extreme interest to adopt high tech and
advanced effective approaches such as RBV for managing their available
organizational resources effectively. As per the consideration of the market researchers,
resource based view has become one of the most important HR approaches that
influence business performance, growth and profitability altogether (Lin and Wu, 2014).
Most of the successful multinational ventures like “Morrisons” can utilise RBV to
enhance their market position and market shares simultaneously. In context of
5
Document Page
resource-based view, organizational resources can be regarded as the determinant of
competitive advantage and performance management in the venture. This theory was
introduced in the article “A Resource Based View of the Firm” for the first time in 1984
by Birger Warner felt. Additionally, modern market researchers are opining that
resource heterogeneity is vital for the company for accomplishing competitive
advantage in market place. In order to adopt the most effective approach namely,
Resource based view approach in “Morrisons”, the HR officer needs to follow few
effective steps and strategies that are detailed in below section:
Proper analysis and assessment of available resources in organization
In order to adopt the RBV system within the organizational premises of “Morrisons”,
the HR personnel must be able to analyse and assess the available resources of the
organization first. Through understanding the available resources of the organization,
HR manager will be able to make better allocation of resources. Additionally, HR
manager can divide and distribute the whole task into smaller units for better completion
of the tasks.
Measuring the resource capabilities
‘Resource capabilities of organizations depend upon size and market shares of the
organization. After the assessment of available resources of the company, measuring
the capacities of the firm is another important consideration. It is such impossible for the
HR department to make the most appropriate decisions, without knowing the
organizational capability (Kozlenkova et al., 2014). Hence, measuring organizational
capabilities is regarded as the second step of adopting resource based view within the
organization.
6
Document Page
Figure 2: Resource based view strategy analysis, practical framework
(Source: Lin and Wu, 2014)
Identification of resource allocation gap
In most of the organizations gap in resource allocation is common and it hampers the
actual performance and manufacturing capability of the organization. Hence,
identification of the resource allocation is considered as one of the vital steps of
resource based view. Business ventures like “Morrisons” that are intended to adopt
the RBV in their firms must identify the actual gap in their resource allocations system.
After the identification of the gap in the resource allocation system of the specified
organization, the organization must concentrate upon fulfilling the resource allocation
gap effectively.
Equal resource allocation among teams
Key mystery of business success is teamwork. Therefore, in resource based view
approach is always aimed at improving the team performance and co-ordination skill. In
RB, resources are allocated among teams equally for accomplishment of set business
objectives (Nason and Wiklund, 2018).
7
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Meeting the expectations of the customers
Customers are the main assets of an organization. Therefore, meeting the expectation
standard of the customers is the main target of all business ventures. The last step of
RBV process is meeting the expectations of the consumers effectively (Chae et al.,
2014). Companies like “Morrisons” always focus on increasing the customer
satisfaction level for achieving better sustainability in the market place. In order to adopt
the resource-based view by “Morrisons”the organization must focus upon the
fulfilling the demands of their valuable customers.
Most of the successful organizations like Morrison can get a bunch of different
assistance while adopting resource view at their particular organizational context. While
moving down from the stages, some tools can also be taken into consideration by the
organization called Morrison so that they modify the prefabricated resource based view
from the outer capacity. There are a range of different tools such as product
differentiation, SWOT analysis, PESEL analysis, pricing strategies and many others
(Cascio, 2015). All of these strategies can be extremely helpful towards the organization
called Morrison since it will epidemically help them at selecting the business procedure
that goes best with their organizational policies, goals and objectives at certain
extension.
Through the help of PESTEL analysis, it is possible for organizations as Morrison can
use a range of different components such as political, social, environmental, economical
and legal factors, which might be extremely helpful towards such organizations that are
opted to move up their overall revenue generation through the help off effective external
analysis. Through the help of effective PESTEL analysis, it is extremely helpful towards
such organizations at generating higher amount of profit for their entire organizational
base at certain extension.
In addition to all of these, SWOT analysis can also be used by organizations like
Primark at enhancing their overall capability so that they can assess their overall
strengths, weakness, opportunity and threats. They can also use SWOT analysis to
assess the strength of their entire competitor base, which ultimately help them at
8
Document Page
guessing the actual threats and weakness of a certain organization such as Morrison.
Effective SWOT analysis can be extremely helpful towards making sustainable business
opportunities so that they can get access towards greater competitive advantage (Noe
et al., 2017). In addition to that, SWOT analysis has also been helpful for such
originations that are opted to allocate their resources in an effective and efficient
manner.
Resource based view is needed to be taken into consideration at the time of conducting
SWOT analysis. However, SWOT analysis also assists at make sure the fact that it will
be easy for different organizations to manufacture such products that are completely
different from the product of their competitor base. The differentiation strategy of
product can be extremely helpful for organizations like Morrison to get prefabricated and
expected competitive advantage from their entire competitor base at certain extension.
Pricing strategies are also needed to be taken into consideration by the management of
different famous and international organizations like Morrison to attain competitive
advantage since it help them positively at getting competitive advantage. Effective
pricing strategy is an effective part of consumer engagement technique that is needed
to be considered by different organizations at the time of their overall marker expansion.
However, they need to make sure the fact that they are continuously meeting up with
the need and expectations of their consumer base, which will ultimately help them at
getting prefabricated competitive advance at the continuously increasing competitive
market place (Petrick, 2017).
9
Document Page
Analyse two major threats currently facing organisations operating within the
United Kingdom labour market, using evidenced examples as part of your critical
assessment.
Since the modern business scenario is getting competitive day after day, it has been
highly anticipated that organizations belonging from recent context need to manage
effectively their entire management and leadership strategies so that they can get
sustain at their operating market. Moreover, in the business premises of UK where the
number of competitor might raise at a daily basis, it is essential for different
organizations like Morrison to get rid of different forms and kinds of threats so that they
can make their sustainable entry at international market scenario. However, in
appropriate and unauthentic recruitment and selection process can be extremely
dangerous for organization like Morrison that has several presences at the market
sector of entire UK. Apart from that it has been observed from several different
instances that organizations belongs from UK need to assess the entire need of their
consumer base so that they can get a clear idea regarding how to manage seasonal
demand while not minimizing the overall quality of different products. However, it is
enviable that recruitment process of organization as Morrison.
High wage rate at the organizational premises of UK
The wage rates of UK employees are much greater than employees belonging from
other continents. The economic condition and rate of GDP can be described as the key
reason behind the high wage rate of UK based workers. Organizations such as
Morrison need to maintain the basics of National Minimum Wages Act so that they
can maintain basic integrity at their workplace (Werner et al., 2016). According to the
act, Morrison need to pay £7.83/hour towards such employees that are aged over 25
years.
Due to the employee act and many more other regulations and acts implemented by the
UK parliament, business ventures across the country pay employees proper wages and
compensation, which alternatively increases the employee satisfaction level. However, it
alternatively lowers down the profitability of the business organizations. It has become
10
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
one of the major business problems and HR department is facing challenges to
maintain the scale of organizational profitability (Sheehan, 2014). On the other hand,
lower business profits are slowing down growth rate and prosperity. According to the
modern market researchers, the main reason of implementation of these laws across
the UK premises is increasing the wages of the employees as well as improving their
life leading style. Alternatively, UK parliament implemented range of laws for betterment
of the society and community development. However, it has created barriers to ventures
in generating large amounts of business profits. Cost of production is high and on the
other hand different critical employment laws have lowered down the business profits
(Kim, 2014).
Due to increased market competition, companies like “Morrisons”are not able to
enhance the price rates. For an example, if a specified organization set price rate of a
product high than rivals, customers will surely go to the rival organizations. Due to this
reason, organizations try to set lower price rates and attract more customers to gain
competitive advantage in market place. Customers have multiple choices in recent days
to fulfill their demands and needs. Customers are likely to purchase affordable products
so that where they will get the most affordable products along with their required
expectations; they will buy from the shop as well. Overall, this critical business situation
has created challenge to ventures to generate profits (Greiner, 2015).
Apart from this, high employee turnover is extremely common in retail companies. HR
department of an organization is responsible for handling these issues. As per the
modern market researchers, high rate of employee turnover is resulted in lower
organizational revenue. It is undeniable that, employer of organizations like
“Morrisons”invest huge amount of capital in recruitment of eligible staffs, arranging
appropriate training and development process. HR department of the specified
organization is responsible for managing, recruiting, providing training to new as well as
employees so that they can enhance their performance level to their maximum level. In
present days, most of the modern business ventures is stumbling in market to sustain
just due to high employee turnover as well as high wages across UK premises.
Inappropriate recruitment, especially during high seasonal demands
11
Document Page
Recruitment is the process through which business organizations fulfill their vacant job
designation with appropriate skill set and talents. HR personnel of ventures are
responsible for handling entire recruitment and selection activities. Ventures fulfill their
vacancies as per their different organizational requirements. For an example,
companies like “Morrisons” follow both of the internal as well as external recruitment
process for selection of most effective and eligible candidates for the organization so
that they can support the organizational to face future business obstacles effectively.
However, in retail industry, in some particular time of a financial season, demands and
sales of products increased extremely, while companies face difficulties to manage wide
customer demands with their existing staffs. In order to meet those high seasonal
demands of customers, most of the business companies like “Morrisons”recruit
candidates without checking their skill set and eligibility (SMITH and MACKO, 2014). It
affects the work environment of the specified venture and the performance level of the
workforce unit. The service standard of the organization also decreases that result in
reduced customer satisfaction and loyalty level that alternatively affects over the market
sustainability of the firm.
It was clear to “Morrisons” that inappropriate recruitment system would hamper
business performance of the specified organization. However, to meet high seasonal
demands, it had become mandatory for them to recruit employees immediately, without
measuring their abilities, skill set and knowledge (Kim, 2014). These seasonal
employees need to be trained in such manner that they can work maintaining the
organizational standards. Additionally, the HR department of “Morrisons” needs to
focus more on improving the seasonal employees to provide satisfaction to customers
during seasonal purchasing as well.
Thus, this inappropriate recruitment has been considered as one of the major negative
aspects of labour market of the United Kingdom, which can affects business
performance, growth and success rate of the specified organization. Apart from this,
inappropriate recruitment provides multiple advantages or benefits to ventures. During
urgency, this inappropriate recruitment assists companies to maintain their required
workforce resources to provide services to wide customer base. However, in long-term,
12
chevron_up_icon
1 out of 16
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]