Human Resource Management Practices in Chocola Fantastica

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Human resource management
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Table of Contents
Introduction................................................................................................................................3
LO1............................................................................................................................................4
P1 Explain the purpose and the functions of HRM, applicable to workforce planning and
resourcing an organisation......................................................................................................4
P2 Explain the strengths and weaknesses of different approaches to recruitment and
selection..................................................................................................................................7
LO2............................................................................................................................................9
P3 Explain the benefits of different HRM practices within an organisation for both the
employer and employee..........................................................................................................9
LO3..........................................................................................................................................13
P5 Analyse the importance of employee relations in respect to influencing HRM decision
making..................................................................................................................................13
P6 Identify the key elements of employment legislation and the impact it has upon HRM
decision making....................................................................................................................15
LO4..........................................................................................................................................17
P7 Illustrate the application of HRM practices in a work-related context, using specific
examples...............................................................................................................................17
Conclusion................................................................................................................................19
References................................................................................................................................20
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Introduction
The management of the resource simply means the management of the resource and the
human resource of the organization. The task of the human resources management is that
they have to attract, select, train, reward, and assess the employees of the organization. They
are helpful in forecasting the culture of the organization and also the leadership. HR is
basically responsible for making the good relations with the labor unions and also with the
CBA (collective bargaining agreement). The human resource management has many roles to
be played in a organization but the most important role is the selection and recruitments of
the employees for the future growth of the company. In this report the company taken is
“Chocola Fantastica” which selects the employees through the particular procedure but now
needs to change.
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LO1
P1 Explain the purpose and the functions of HRM, applicable to workforce
planning and resourcing an organisation.
The human resource management is responsible for the process of selecting, recruiting, and
appraising the employees of the organization. They are very helpful and also maintain the
relations with the trade unions and employees (Adams, et. al., 2019).
The functions of the human resource management of the organization “Chocola Fantastica”
are as follows:
 Safety and health
 Human resource development
 Human resource planning, selection, and recruitment
 Compensations and benefits
 Relation establishment between labor and employees
 Human resource research (Buckly, et. al., 2019)
The activities which the human resource management includes are that they:
 Act as an consultant
 Develop the knowledge about the plans and cultural of the organization
 Establish a good communication between the employees of the workspace
 Initiate the modifications and alterations (Berman, et. al., 2019)
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Figure 1: functions of human resource management
The “best practice” and the “best fit” approach:
Best practice approach
 The HR leads to the employee’s commitments and motivation.
 The HR policies should include the reward plans.
Best fit approach
 It results in the benefits for the company.
 It has a belief in the system of rewards which aligns the company’s strategies
(Kasemsap, 2019).
Human resource management models:
It is divided into two types including soft HRM model and hard HRM model. The differences
between two models are:
Characteristics Soft HRM model Hard HRM model
Time scale Takes long term view to
achieve the long term
objectives of an organization.
It is a short term policy.
Key features a. Managers consult with
employees regularly.
b. Developmental
a. Judgmental appraisal
used
b. Employees are paid
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appraisals given
c. Emphasis on
development and
training
d. Employees are
promoted (Kim, et. al.,
2019)
with less amount
c. Communication is in
the downward
direction.
d. Employees have less
control on their
working life.
Motivational techniques Empowerment, delegation. Motivated by Pay that
requires minimum use of team
working and delegation.
Planning of workforce:
Types of Firm Types of Labour Power Market
Core
Subordinate Primary Independent Primary
Production workers who often gets
unionized by competing with union
Line/Control employees, Salaried
staff both of technical and
professional fields
Periphery
Secondary Craft
Low skill, lesser job security with
high turnover for a chance of
advancement. These are actually
dead-end jobs
These are highly skilled people who
are generally unionized by craft
union (Lee, et. al., 2019)
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P2 Explain the strengths and weaknesses of different approaches to recruitment
and selection.
There are many approaches for the procedure of the selection and recruitment. The
approaches include internal and external recruitment:
 Internal recruitment: this is the approach of the recruitment process in which the
human resource management considers the referrals of the employees that are
already working in the organization. This makes the new employees completely
comfortable in the culture of the office. They are aware of the policies very well.
The advantages of the internal recruitment are:
1. It reduces the hiring time.
2. It shortens the onboarding times
3. The cost is less
4. It strengthens the engagement of an employee (Pohler and Riddell, 2019)
The disadvantages of the internal recruitment are:
1. It leaves the gap between the workforce that is existing.
2. It creates the resentment among the managers and the employees.
3. It results in the inflexible culture.
4. It limits the pool of applicants.
For the resentment to be avoided, the trust should be cultivates and the assurance
should be given that the hiring has been done correctly. For this, the following
approaches can be considered:
 The process should be transparent (Stewart and Brown, 2019).
 The job moves and the promotions are not only the way for the employees’
recognition. They should be helped so that can excel in their careers.
 The opening communication should be avoided is the candidate is already
selected.
 The managers should be trained and prepared for the career paths of the team
members.
 The combination of the internal and external recruitment should take place.
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 External recruitment: this is the process of recruitment in which the human
resource management takes help form the help of external resources such as
agencies and advertisements (Tweedie, et. al., 2019).
The advantages of the internal recruitment are:
 It opens the opportunity for the large number of applicants. It increases the
chances of recruiting the right and suitable person.
 The fresh outlook is provided by the applicant to the company.
 This increases the opportunity to find the well-qualified and experienced
applicants.
 The key players are targeted to make the competition successful.
 The fresh talents are searched from external sources which help in motivating
the current employees (Stewart and Brown, 2019).
The disadvantages of the internal recruitment are:
 It is time and cost consuming.
 The external candidates take more time to get trained as they are unaware of
the policies in advance.
 It damages the employees.
 The information provided by the candidate is not enough to decide whether
he/she is fit for the organization.
PESTEL analysis:
 Political: corruption, government policy, foreign trade policy, political stability,
labour law, tax policy, trade restrictions.
 Economic: economic growth, disposal incomes, inflation rates, exchange rates,
rate of interest, unemployment rates.
 Social: career attitudes, age distribution, safety emphasis, population growth rates,
health consciousness.
 Technological: technological changes, technological awareness, level of
innovation, technological incentives, automation R&D activities.
 Environmental: climate changes, climate, weather, pressure from NGOs,
environmental policies (Adams, et. al., 2019).
 Legal: employment laws, antitrust laws, patent and copyright laws, discrimination
laws, safety and health laws.
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LO2
P3 Explain the benefits of different HRM practices within an organisation for
both the employer and employee.
The practices of human resource management are as follows:
Figure 2: practices of human resource
1. Safe, happy, and healthy workplace: creating such a happy, safe, and healthy
environment for working makes the employees feel comfortable and they should feel
like home so that they can engage long time in the office which helps in increasing the
productivity (Berman, et. al., 2019).
2. Open book management style: the information should be shared about the sales,
management objectives, policies of the company, contracts, new clients, and may
more such information. It makes the people encourage to takes the proper strategic
decisions about the business.
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3. Performance linked bonuses: the bonuses should be awarded to the employees on the
basis of the employee’s performance. This can be in any form like the compensation
or an incentive. The bonuses should be given in the conditions that might make the
employee understand that they are only given when the certain requirement of the
organization is fulfilled (Buckley, et. al., 2019).
4. Management feedback system: this solicit system takes the feedback from peers,
subordinates, and seniors, but now there is a new feedback system that collects the
feedback on the basis of the performance. Every individual is free to give the positive,
relevant, and constructive feedbacks.
5. Fair evaluation system: the evaluation system should be developed so that the
performance of an individual can be tracked. The well-reporting relationships should
be provided to each of the employee (Kasemsap, 2019). The evaluation should
provide the employee an opportunity to have the self-assessment. It helps in
empowering the employees.
6. Knowledge sharing: the management of the knowledge should support the strategy.
The knowledge should be stored in databases and this databased must be provided
with an access so that the information on the different fields can be shared among the
different employees. This increases the opportunity to have more innovative ideas and
helps in the future requirements (Kim, et. al., 2019).
7. Highlight performers: the top performers should be highlights and must be visible
using the intranet of company, display and notice boards, company’s magazines, etc.
It will help in encouraging so that they can put theory more efforts to meet the
demands of the company.
8. Mechanism of open house feedback and discussion: the discussions and the feedbacks
should be open house. This brings the hidden talent of the employees out, this gives
the opportunity to get the different ideas, opinions and thoughts on the similar kind of
work through which the best decisions and the additions can be made. The suggestion
box is also beneficial.
9. Rewards: The talent recognition always not works, but sometimes there is a need of
the public appreciation that helps the employee with the motivation. The public
applause is worth more than getting the cash bonus (Lee, et. al., 2019).
10. Delight employees with the unexpected: the employees should delight by doing the
unexpected things like the gifts, rewards, or a certificate. This helps to motivate the
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employee and also makes them to become towards their work. By this their potential
and capabilities are recognized to the organization and to that employee as well.
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P4 Evaluate the effectiveness of different HRM practices in terms of raising organisational
profit and productivity.
1) The evaluation models are as follows:
a. Kirkpatrick’s Design of Evaluation
b. Premil’a and Virmani Model of Evaluation
c. Warr’s Framework of Evaluation
d. Hamblin Model of Evaluation
e. Peter Brameley’s Model of Evaluation (Adams, et. al., 2019)
The evaluation models effects in different ways. This is discussed below:
 At the organization “Chocola Fantastica”, the evaluation is used for assuring the
accountability.
 It checks the efficiency of the training program’s cost.
 The feedbacks are provided for the training and the trainer as well.
2) The effectiveness of the work place design, job, and the reward system: these all can
be enhanced by the following practices:
 It improves the attendance
 The moral of the employee gets improved
 The productivity of the organization increases
 The retention of the employee gets improved (Buckley, et. al., 2019)
3) The effectiveness of the flexible working options and the organization: the practice of
providing the flexible workspace is very useful and helpful while seeking the
commitment of the employees. It has strengthened the Chocola Fantastica employees’
commitment. It helps in enhancing the situation handling process which can be unsafe
for the functionality of the company. The positive environment helps them to work
comfortably and perfectly which allows them to have the positive results.
4) The effectiveness of training and its need: the training and the developmental always
remains the factor for the functioning of the HR (Kim, et. al., 2019). The Chocola
Fantastica always looks towards the process of development and training as the
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