Human Resource Management: HRM Practices and Legislation Report

This report delves into the core aspects of Human Resource Management (HRM), examining the purpose and functions of HRM as applied to workforce planning and resourcing within organizations. It analyzes the strengths and weaknesses of various recruitment and selection approaches, considering both internal and external methods, and evaluating the impact of these processes on candidate selection. The report then explores the benefits of different HRM practices for both employees and employers, including performance management, knowledge sharing, and fair evaluation systems, using Microsoft as a case study. Furthermore, it assesses the effectiveness of HRM practices in enhancing organizational profit and productivity. The report also investigates the significance of employee relations in influencing HRM decision-making, along with key elements of employment legislation and their effects on HRM decisions. Finally, the report applies HRM practices within a work-related context, providing a comprehensive overview of HRM strategies and their practical implications.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION .........................................................................................................................3
PART A ..........................................................................................................................................3
TASK 1 ...........................................................................................................................................3
P1 The purpose and functions of HRM applicable to workforce planning and resourcing
organisation.................................................................................................................................3
P2 The strength and weakness of different approaches to recruitment and selection.................5
PART B ...........................................................................................................................................7
TASK 2 ...........................................................................................................................................7
P3 The benefits of different HRM practices for employee and employer..................................7
P4 Effectiveness of different HRM practices for increasing organisational profit and
productively.................................................................................................................................9
TASK 3 .........................................................................................................................................10
P5 The importance of employee relation for influencing HRM decision-making....................10
P6 Key elements of employment legislation and its impact on HRM decision-making..........11
TASK 4 .........................................................................................................................................12
P7 The application of HRM practices in a work related context..............................................12
CONCLUSION .............................................................................................................................15
REFERENCES .............................................................................................................................16

INTRODUCTION
Human resource management is concerned with various methods and strategies used by
the organisation for recruiting and hiring individuals. It is also related with formulating plans for
fulfilling the needs of its workforce. The major motive of HR department in every organisation is
to hire talented candidates so that they can help in achieving desired goals and target. Strategies
for enhancing relationship among organisation and its customers are also formulated by every
human resource department. This directly leads to achievement of competitive advantage within
prescribed time period(Alonso, 2015). This report will consist of two parts for the first part
Chocolate Presence is chosen, while for the second part Microsoft is being selected. Chocolate
Presence deals in providing tailor made chocolate based greeting cards in different parts of UK.
While one the other hand Microsoft deals in Manufacturing and selling computer software and
consumer electronics. Major topics covered in this report are purpose of HRM, strength and
weakness of various recruitment and selection process and advantages of human resource in
context to employee and employer. With the help of effective decisions management of
organisation will be able to sustain in the market for longer period of time. As different
employment legislation laws will guide the organisation in achieving certain objectives.
PART A
TASK 1
P1 The purpose and functions of HRM applicable to workforce planning and resourcing
organisation.
Human resource management is process of managing and hiring the employees working in the
organisation by providing proper training and development program. It also ensure best
candidate for particular job role(Cascio, 2015). HRM focused on the various areas such as
learning and training, staffing and recruiting, employer and labour relation, compensation and
wages, organisational development etc. Chocolate presence is a small company that deals with
chocolates and greeting cards. There are some purpose and functions of HRM that are as
follow :-
Purpose of HRM :-
 Staffing :- The major responsibility of HRM is hiring and retaining the best employees in
the organisation so that they helps to accomplish organisational goals and target

effectively and efficiently. So chocolate presence also appoint HR for the hiring and
finding the best suited candidates for the particular position through proper
advertisement. This whole process is done through proper screening of individuals,
conducting test, and hiring.
 Employee relation :- Human resource management is maintain good employee and
employer relation. Chocolate presence company also appoint HR to ensure good
employer and employee relation within the organisation so this will helps to increase
organisation productivity. Good employee relation also leads healthy working
environment in the organisation(Bratton and Gold, 2017).
 Benefits management :- It is also very important for HR of the company to manage all
the benefits that are provided to the employees such as insurance, paid holidays,
retirement plans, leave of disability etc. chocolate presence appoint HR to manage all
these benefits of the employees so they get satisfaction from their job and work with
more efficiency.
Functions of HRM :-
 Training and development :- Training and development is very essential to develop
current skills and knowledge of the employees. It is improve current capabilities of the
employees to perform particular job role. Chocolate presence also provide training and
development program to its employees by educating them for the role which they need to
be perform and it is also very effective to increase productivity of the employees.
 Maintaining good working conditions :- Providing good working condition to the
employees of the organisation is a major responsibility of the human resource
management. In good working conditions includes proper working environment, safety
measures and equipments, etc. It is also very important responsibility of human resource
management to provide motivation to the employee so that they can perform out of their
best capabilities(Drucker, 2012).
 Managing employee relation :- As employees are the very important part of the
organisation so human resource management need to ensure good relations within the
organisation because this will increase their morale and satisfaction towards their job.
Proper employee relation within the organisation also reduces the employee turnover
ratio and increase their productivity also.

 Compensation and benefits :- HR manager has major duty to manage all the
compensation and benefits that are given to the employees of the organisation.
Compensation means all the rewards that are provided to the employees for their
particular job. These rewards are in various forms such as benefits, pay, non financial
benefits etc. It is a major function of the HR department of the company to manage all
such compensation and benefits of the employees.
HRM helps to increase employees skills and knowledge by providing proper training and
development program which makes them more competitive to achieve organisation goals and
target effectively or at proper time.
P2 The strength and weakness of different approaches to recruitment and selection.
Recruiting is the process of attracting the individuals and selecting the best candidate to
perform particular job role of the organisation. There are certain recruitment and selection
policies which are need to be followed by the HR department of Chocolate Presence while
performing recruitment and selection for hiring candidates(Ekwoaba, Ikeije and Ufoma, 2015).
In recruitment so many candidates are attracted towards the job where as in selecting only few
required candidates are hired for the particular vacant job. Here are some strength and weakness
of recruitment and selection :-
Recruitment :- Recruitment is the procedure of distinguishing and making the
appropriate individual to apply for the particular job. In recruitment HR attracting the various
individuals for the vacant job. Internal as well as external recruitment process in being used in
Chocolate Presence for hiring best candidates.
 Internal recruitment :- Internal recruitment is the process when organisation provide
opportunity of higher level position to their internal deserving employees. Promotions are
included in the internal recruitment(Epstein, 2015).
Strength Weakness
 It provides higher motivation to the
employees of Chocolate Presence for
great performance.
 It also provide greater opportunity to
the present employees in the
 There is chances to miss valuable
outsider talent in internal recruitment
process.
 It create pressure of competition
between the employees of the

organisation. organisation.
 External recruitment :- In this includes hiring the best suitable candidates from outside
the organisation or other than present staff of the company. In this method new needed
skilled candidates are recruited for vacant job in Chocolate Presence.
Strength Weakness
 It provides various new and innovative
ideas which is necessary in rapidly
changing environment.
 It provide greater variety because there
huge options are available for the
particular job in external recruitment.
 External hiring is very time consuming
and also very expensive method as
compared to the internal method.
 It cut down the incentives of existing
customers because of promotional
activities.
Selection :- Selecting refers to choosing best suitable candidates for the particular job. In
selection HR reject the various candidates to find out the best one for the particular position in
Chocolate Presence(FBA, 2011). There are two types of selection process which are systematic
and unsystematic process. Selection is a systematic procedure that includes step by step
procedure such as screening of applications, pre employment testing, interview, medical exam
and so on.
Strength Weakness
 It helps in comparison between various
skilled candidates to find best one for
the particular position.
 It is cost effective as well as time
saving process.
 It is called a negative process because
so many candidates are rejected or
eliminated in this process.
 It it is not conducted properly then
some wrong candidates are also hired
by the HR.
All approaches of recruitment and selection have some strength and weakness. Internal
recruitment motivates the employees to perform better where as external recruitment provide

new and innovative thoughts to the organisation. But external recruitment is time consuming.
Through selection organisation get best candidate out of various candidates.
PART B
TASK 2
P3 The benefits of different HRM practices for employee and employer.
HRM practices is the process in which plans and strategies are made for monitoring the
performance of workforce with the motive of completing task. These practices are not only
beneficial for employee but also helps employer in achieving long and short term objectives.
Since Microsoft is operating its business at international level, so it becomes essential for
organisation to develop effective policies. As with the help of these polices positive and healthy
working environment can be maintained and chances of conflicts can be reduced. There are
several practices of HRM which directly and indirectly affect the decision-making of
organisation. These practices are discussed below-
Performance management- It is concerned with analysing and evaluating the
performance of workforce working in Microsoft . It becomes essential for the organisation and
its top management to make its employee work in better manner. Microsoft aims at monitoring
work of each and every employee so that plans can be made for their overall development. There
performance is analysed and monitored by collecting relevant information regarding the work.
Feedback form the customers of Microsoft are also collected to enhance and improve
performance of its work-force(Flamholtz, 2012).
Knowledge sharing- This method is related with transferring and communicating vital
information within the organisation in effective manner. Employee of Microsoft must have
certain skills and knowledge for sharing information so that chances of problems and disputes
can be reduced. By doing this performance and productivity of Microsoft can be easily improved
as employee's will know how they are supposed to perform a specific task. For example if senior
employees of Microsoft are given any kind of training for improving there skill. Than it becomes
the duty of those employees to transfer and share their learnings with other employee's. So that
they are also able to complete the task with less error and mistakes(Goetsch and Davis, 2014).
Fair evaluation system- This aspect is directly connected with management of
employee performance and achievement of organisational goals. As per this strategy equal

opportunities are given to the individuals in Microsoft. As by doing this chances of employee
retention and dissatisfaction can be reduced within limited period of time. Since the organisation
aims at offering various graduate training programmes, so this will help organisation in
evaluating their performance in a better manner. With the help of this appropriate compensation
to employees can also be given for the future course of action.
Benefit to employees Benefit to employers
 With the help of performance
management appropriate improvement
measures are provided to employee of
Microsoft by collecting feedbacks
from various sources.
 Sharing of information in a systematic
manner is also beneficial for employees
in Microsoft. As with the help of this
they are able to use new and better
techniques for the completion of task.
 By using fair evaluation techniques
management of Microsoft tries to
provided better compensation to its
employees. This results in increase in
their motivation level and achievement
of personal goals.
 Performance management system is
used in Microsoft for analysing and
monitoring the work of employee's.
After reviewing their performance
some methods are suggested for its
improvement.
 Management of Microsoft manages to
assign work and responsibilities to
every employee with the help of
effective communication strategies. By
doing this long as well as short term
objectives are achieved by Microsoft.
 Microsoft aims at increasing its
profitability and productivity in the best
possible manner.
HRM practices is very much beneficial for the organisation as it helps in monitoring the
performance of each and every employee in the systematic manner. For instance- with the help
of performance management technique organisation is able to monitor there performance and
also guides them for their improvement(Jolls, 2013). Chances of disputes and conflicts can be
reduced because they will be motivated to perform in desirable manner. Motivation of
employee's in Microsoft is also done by providing them appropriate working environment and
organising training programmes as per the current situation.

P4 Effectiveness of different HRM practices for increasing organisational profit and
productively.
The major work of HRM in organisations is to plan and manage work of employee's.
This is done by organising training programmes for the improvement of their skills and also for
increasing profit of Microsoft. New and innovation strategies are implemented by the HR
department of Microsoft for the completion of complex task with less errors and mistakes. If the
skills of employees are increased after attending training programmes than they will have sense
of belongingness towards Microsoft. This will directly lead to increase in profit and productivity
of Microsoft at domestic and international level. Some of the major effectiveness of HRM
practices are discussed below-
Delight employees with the unexpected- If the management of organisation wants to
retain its employees for a prescribed period of time. Than focus can be emphasised on providing
different kinds of rewards for the employee's(Kelly, 2012). This will improve and enhance the
productivity of work-force in Microsoft because they will be motivated to give their best output.
This will not only benefit employees in Microsoft but also helps the organisation in achieving
competitive advantage for the longer period of time.
Open house discussion- Microsoft generally focuses on using and implementing
innovative ideas for increasing its market share. For this organisation can also involve its its
employee's in the decision-making process. Skilled and talented employee's will provide better
ideas for completing the complex task of organisation and will also increase their motivation
level. Suggestions can be taken from employees for maintaining appropriate work culture within
the organisation. If the ideas of employee's are taken into consideration by the top management
of Microsoft than other employee's will also feel motivated and encouraged in contributing the
growth and success of organisation.
Positive environment- It is the duty of the organisation to create healthy and positive
working environment for its employee's. If the work-force of Microsoft feel safe and secure than
they will automatically be able to give their best output(Leat, 2012). As employee's will be
comfortable in completing the assigned task within limited period of time. With the help of this
Microsoft will be able to provide better services to customers which will lead to increase in their
profit.

Performance linked bonus- Various benefits and rewards to employee's in Microsoft is
provided after analysing their performance. For increasing and enhancing productivity of
employees Microsoft aims at offering them various monetary benefits. Major motive behind
doing this is to get positive results form employee's and decreasing the chances of employee's
turnover. If the management of Microsoft is successful in providing rewards to its employee's at
equal intervals than they unnecessary wastage of time and resources of organisation will be
reduced(Nikandrou and Panayotopoulou, 2012).
These HRM practices can be beneficial to every organisation to a great extend. If the
management of organisation is successful in implementing these practices after evaluating
current and past scenario than better results can be drawn. This means HR department of
Microsoft must try to know the actual demand of its work-force. As by doing this effective
strategies can be made for the achievement of individual and organisational goals.
TASK 3
P5 The importance of employee relation for influencing HRM decision-making.
Employee relation is concerned with efforts taken by the management for managing the
relationship among employee and employer. Major motive of employee relation is to treat the
work force in a better manner and fulfil their needs and demand. If there is healthy relationship
in the organisation than chances of employee dissatisfaction will be reduced. As they will be
satisfied working in the organisation and their needs will be automatically fulfilled. Better
relationship in Microsoft will decrease the chances of mismanagement and miscommunication. If
the management is not successful in maintaining better and healthy relationship than Microsoft
will not be able to grow and develop its business(Owens, Riley and Murray, 2011). This is
because its employee will not be willing to complete the assigned task as per the plans and
objectives. Resources of the organisation will not able used in best possible manner. As
employee's will be dissatisfied with polices of Microsoft. This will give rise to conflicts and
disputes in the internal environment of Microsoft. Some of the major importance of employee
relation for influencing the decision-making process are discussed below-
 If the employee's in Microsoft have performed well than organisation can plan to appraise
them. This will lead to increase in morale and performance of employee's. It will also
lead to increase in potential of employee's and growth for Microsoft.

 Plans and strategies can be made for providing equal opportunities to each and every
employee's. So that chances of discrimination in the internal environment is reduced. By
this employee's will also become familiar with their work and organisation within limited
period of time.
 Microsoft can also focus on organising various training programmes for its work-force to
increase their capabilities. This will improve knowledge of employee's and achievement
of long term vision.
 Focus can also be emphasised on providing authority to employee's. This is top
management of Microsoft can implement plans for delegating for to employee's as per
their skills and knowledge. This will create sense of belongingness towards employee's
and improvement of employee and employer relationship. Employee's will also sustain
for longer period of time(Parker and et. al., 2011).
 Plans and strategies can be made for utilizing the resources in a better manner. As by
doing this chances of unnecessary wastage will be reduced and employee's will how to
complete the task in best possible manner.
P6 Key elements of employment legislation and its impact on HRM decision-making.
Employment legislation is related with formulating various rules and laws for the safety
and welfare of employee's working in a particular organisation. It works for the motive of
preventing unfair discrimination of individuals on the basis of their gender or race. If the
organisation is successful in making plans as per rules and regulations imposed by government
than employee's will be able to give their best output. Operations and activities of Microsoft will
be carried smoothly with the help of certain rules and regulations. If the organisation wants to
increase its productivity than focus can be emphasised on using these laws in systematic manner.
The key elements of UK employment legislation are discussed below-
Equality act, 2010 – This law is concerned with providing equal opportunities to
employee's and removing chances of discrimination. As per this laws every individual working
in Microsoft must be given equal opportunities to showcase their talent. Discrimination must not
be done on the basis of gender, race, etc. of the employees in Microsoft. If the management of
Microsoft wants to gain trust of its employee's than strategies can be made for providing equal
paying structure to employee's(Taylor and Emir, 2015). As by doing this they will not feel
dissatisfied and demotivated while working in Microsoft.

Employment protection act, 1978- It is concerned with using each and every right of
employees in the systematic manner. As per this law it is the duty of management to provide
appropriate working conditions and facilitates to employee's so that they are comfortable at the
workplace. Focus can also be emphasized on planning various things for the benefits of
employee's and also for the achievement of goals and objectives. This act will help Microsoft in
growing their business and achieving targeted goals with less errors and mistakes.
Health and safety at work act, 1974- As per this law it becomes the duty of manager to
provide appropriate and healthy working environment. Plans and strategies can be made for
providing safety and securing to employee's at the workplace. Appropriate tools and equipment
must be provided to employee's for their safety so that chances of risk and misshapening can be
reduced. If any individual has suffered from any kind of incident than it becomes the duty of
Microsoft to provide compensation. As by doing this employee's will not feel neglected and they
will be able to give their best.
Minimum wage act- This law is concerned with providing appropriate salary and wages
to employee's as per the work done by them. This means it is the right of every individual to get
appropriate salary and wage as the reward of work done by them. If Microsoft is not successful
in doing this than its employee's will not be satisfied and they will not feel like working in the
organization. To reduce such chances effective tactics can be formed for the same.
If the management of Microsoft is successful in using these laws and legislation in the
systematic manner(Trkman, 2010). Than it will lay a positive impact on overall development of
the organisation. As its employee's will be satisfied and motivated while working in Microsoft.
TASK 4
P7 The application of HRM practices in a work related context.
The main motive of various organizations is to sustain in the market for longer period of time.
This can only be done by hiring and recruiting best suitable candidate for the vacant job position.
There are certain rules and practices which needs to be taken into consideration by the
management of Chocolate presence for recruiting best candidates for the position of
Receptionist(Yang and et. al., 2013). Various documents required for selecting appropriate
candidate in Chocolate Presence are discussed below-