Case Study: Evaluating Human Resource Management at Rocela Limited

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within Rocela Limited, a small-scale UK-based organization. The report begins by differentiating between personnel management and HRM, highlighting the benefits of a modern HRM approach for Rocela Limited. It then outlines the core functions of HRM, including recruitment and selection, training and development, and performance appraisal, and explores the roles and responsibilities of line HR managers. The report further examines the legal and regulatory frameworks relevant to Rocela Limited, such as the Equal Pay Act and the Race Relations Act, and discusses the requirements for human resource planning. A key aspect is the comparison of Rocela Limited's recruitment and selection processes with those of Ernst & Young, a large-scale firm. The report also explores the link between motivational theory and reward systems and emphasizes the importance of job evaluation. It details different types of reward systems, alternative performance appraisal methods, and reasons for employee cessation. Finally, it compares employee exit procedures between Rocela Limited and Ernst & Young, and considers the impact of legal and regulatory frameworks on employee redundancies.

Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................2
TASK...............................................................................................................................................2
1. Difference in applying personnel and human resource management ....................................2
2. Function of the human resource management .......................................................................3
3. Role and responsibilities of line HR managers ......................................................................4
4. Legal and regulatory framework that must be borne in mind while setting human resource
driven workplace for Rocela Limited ........................................................................................4
5. Requirements for human resource planning in Rocela Limited .............................................5
6. Comparison of recruitment and selection process of Rocela Limited and Ernst and Young..6
7. Link between motivational theory and reward system ..........................................................7
8. Importance of job evaluation process in organisation ............................................................7
9. Different types of reward systems in organisation .................................................................8
10. Alternatives of performance appraisal methods for Rocela Limited ...................................9
11. Various reasons for employees cessation in organisation ....................................................9
12. Employee exit procedure in Rocela Limited to Ernst and Young .....................................10
13. Both legal and regulatory framework impact on employee redundancies .........................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
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INTRODUCTION
In every organisation, one formal system which is known as human resource
management is required in order to manage the people within organisation. In this person who
takes the responsibilities of human resource management is known as HR manager and his
responsibilities mainly falls in few areas such as job analysis, recruitment, selection, training,
development, performance appraisal, reward system and defining roles and work of employees in
organisation (What is human resource management. 2014). The man motive of HRM process is
related to staffing and developing he employees so that strategic goals and objectives of
company can be achieved effectively. The currently research study is focused on the concept of
human resource management. For this purpose, Rocela Limited organisation is selected which is
a small scale organisation in UK. The cited firm helps the other firms to get the best oracle
software for their business (Rocela Limited. 2016). The report describes the difference between
human resource management and personnel management. Along with this it explores the concept
of recruit, selection, motivation and reward system in organisation.
TASK
1. Difference in applying personnel and human resource management
As per the given case scenario, it is evaluated that Rocela Limited is facing problems at
their workplace because of improper human resource practices. With the purpose of
implementing the HRM in cited firm, difference between both HRM and personnel management
is described below such as:
Human resource management : This type of management is considered as a modern approach
and its main motive is to manage the persons within organisation and improve their performance.
In order to meet this purpose it emphasis on staffing, maintenance, development and motivation
of employees. With the help of this type of management approach, organisation consider their
employees as an important and valuable asset. For the development of employees skills, abilities
and knowledge, this management approach influence the company to provide training and
development opportunities to employees. In addition to this, job is also designed by company on
the basis of team work concept (Khan and Sheikh, 2012).
Personnel management : This approach is considered as a traditional method of management
and it also helps the organisation to manage the employees. This management approach mainly
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focus on the employee's welfare by maintaining their personnel administration and relations. In
organisation it also focuses on production and workforce. It also assumes the employees of
organisation as an input to attain the objectives. At the working time period, employees are
considered as a toll for company. On the behalf of labour division, job design in company takers
place. Further, company also takes for employees growth in terms of training and development
sessions (Cavico, Muffler and Mujtaba, 2013).
With the help of above discussion it is explored that HRM approach is the best for cited
firm which will help to overcome on issues.
2. Function of the human resource management
In organisation, human resource management includes various functions for maintenance
and managing the employees effectively. In this, functions are described below such as: Recruitment and selection process- It is essentially requires for Rocela Limited to focus
on this focus and implement this at their workplace to hire skilled and knowledgeable
persons. It also helps the organisation for allocating and utilizing the resources in
optimum and effective manner (Chiboiwa, Chipunza and Samuel, 2011). Training and development- With the motive of increasing the skills, knowledge and
capabilities of employees, cited firm requires to implement this function at their
workplace. It also helps in increasing the performance and productivity of employees and
organisation as well. By focusing on this function, cited firm increase the motivation and
job satisfaction level among employees.
 Performance appraisal and reward management- To motivate the employees, cited firm
can follow this function and appraise the work and performance of employee. Cited firm
can also provide the rewards to the best performer in organisation. In this context, Rocela
Limited can use two types of leadership styles such as intrinsic and extrinsic. In this
intrinsic considers the trust, empowerment and recognition whereas extrinsic refers to
salary increment, promotion opportunities of flexibility in working conditions etc.
(Mathis, Jackson and Valentine, 2013).
Further, the benefits of these functions to Rocela Limited are described below as:
 The recruitment and selection function will hep the cited firm at the time of hiring the
skilled and rightful person at job (What is human resource management. 2014).
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 The training and development function will help the employees to boost their knowledge
level by increasing their performance.
 The reward system will increase the confidence and motivation level of employees
towards their roles and work.
3. Role and responsibilities of line HR managers
According to case scenario it is evaluated that Rocela Limited is a small sized firm and
follows the flat type organisational structure. On this behalf, roles and responsibilities of Line
Human Resource Manager are as follows: Discipling employees- The line HR manager are responsible in organisation to manage
the disciple at workplace in effective manner. For this, manager has the responsibility to
create effective practices and policies of HR for cited firm. Through this, line manager
will be able to encourage the employees to improve their performance, behaviour and
relations (Knowles, Holton and Swanson, 2014). Relationship management- This is an important responsibility of line HR manager of
Rocela Limited to maintain the healthy relations among all human resources of company.
It will surely lead the company to improve coordination, communication and cooperation
in employees (Kane and Palmer, 2005).
 Performance appraisal- At the rime of implementing the method of performance
appraisal line HR manager of cited firm is responsible for fairly measure the performance
of individual employee without presence of any biasses. On the basis of performance
evaluation result they are also responsible to give he feedbacks to employees.
 Performance based pay- After-measuring the performance of employees, cited firm is
also responsible in Rocela Limited to determine promotion and incentives opportunities.
In this context, by using the performance rating method, HR can identify the best
performer within organisation (Chiboiwa, Chipunza and Samuel, 2011).
4. Legal and regulatory framework that must be borne in mind while setting human resource
driven workplace for Rocela Limited
In this context, few legal and regulatory aspects are described below which are important
for Rocela Limited such as: Equal Pay Act 1970- By focusing and implementing this act at workplace, cited firm will
be able to provide equal pay to all employees who are working at same designation. In
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addition to this, company will not able to deliver unfavourable treatment and behaviour
between female and male candidate in relation to pay structure (Sun, Aryee and Law,
2007). Sex Discrimination Act 1976- For Rocela Limited, this act is essentially required to be
implemented at workplace because with the help of this act cited firm will not
differentiate the employees on behalf of sex, physical disability and maria status etc. This
act will help to provide equal opportunities to all employees whether they are male or
female (Milner, 2011).
 Race Relation Act 1976- By considering and implementing this act at work place, cited
firm will not be able to discriminate the employees on the grounds of ethnic origin,
education level, religion and nationality etc.
As per above act, changers required at Rocela Limited are such as:
 Cited firm requires to change their paying system. In this, company should pay the
employees on behalf of performance without presence of any type of discrimination
factor.
 Cited firm requires to design the organisational policies and practice4s by considering the
equal factor between both male and female.
5. Requirements for human resource planning in Rocela Limited
The term human resource planning is a type of a continuous process that helps the
organisation by making the planning for effectively utilising the human resources in order to
attain the objectives. Effective. The requirement of HR planning in Rocela Limited is described
below as:
 By using this process, cited firm will be able to replace he unskilled and retired persons
from employees and replace them through new and talented people which will actively
and effectively contribute in achieving goals (Maloney, 2012).
 Through this cited company will also be able to explore the requirements of employees.
 With the motive of improving the working environment, cited firm will be able to choose
and implement the appropriate technological tools. The implemented technological
techniques at workplace will help to increase the productivity of organisation (Shamsudin
and et.al, 2012).
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 Effective HRP will also help the cited firm to evaluate the requirements of employees in
terms of training and development. At the time of implementing the new technologies at
workplace, employees are required to be trained so hat they can effectively cope up with
the changes (Condrey, 2010).
 At the time of expanding the business, Rocela Limited requires the HR planing to
identify the employee's needs.
 It will also help the cited firm to determine the future forecasting of demand and supply.
 In addition, cited firm also requires the effective HR planning for determining the surplus
and shortage of employees for the growth and success in future aspects (Knowles, Holton
and Swanson, 2014).
6. Comparison of recruitment and selection process of Rocela Limited and Ernst and Young
Both processes related to recruitment and selection varies in small and large scale
enterprises. In this, Rocela Limited is small scale firm whereas Ernst and Young is a large scale
firm. In both companies selection and recruitment process carried out but in different terms. Due
to the flat structure and small size organisation Rocela Limited uses the traditional method to
identify the vacant posts but in Ernst and Young, for conducting the process of job analysis first
permission is taken to higher authorities and after that process started. Further, Rocela Limited
uses the mediums such as newspaper and job portal for advertisements of their vacant positions
(Rocela Limited. 2016). In Ernst and Young mediums such as corporate magazines, websites,
newspaper and job portals are used for increasing the awareness of individuals to about
company's vacant designation. In addition to this, to increase the employees number, Rocela
Limited conducts the external recruitment process but in E&Y both internal and external
recruitment processes are carried out (Knowles, Holton and Swanson, 2014). Process of
interview is taken by HR manager whereas in E&Y panel is formed in which 5-6 experts present.
Along with this, in Rocela Limited two or three rounds are carried out but in E&Y many
interviews are taken to identify skills, abilities, logic reasoning concept, English level,
communication, confidence and health conditions etc. From the above description it is evaluated
that, in Rocela Limited requires to make the staffing process more effective (Chiboiwa,
Chipunza and Samuel, 2011).
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7. Link between motivational theory and reward system
The motivation factor in organisation, guide and influence the behaviour of employees in
positive direction. To increase the performance and productivity, every organisation requires to
focus on this motivation factor. To motivate the employees, organisation requires to determine
and fulfils their requirements. In order to motivate the employees effectively, there are various
types of motivational theories are present. In this context, cited firm can use the Herzberg's two
factor theory in two factors are present. As per this theory, cited firm requires to focus on two
factors such as hygiene and motivation. This theory describes the rise and fall of job satisfaction
level of employees (What is human resource management. 2014). Through this, cited firm can
offer good salary, flexible working conditions, friendly environment, job security, growth and
promotion opportunities and performance appraisal system. By considering this factors,
employees satisfaction level and motivation level can be increases. When the organisation fairly
appraise the work and provides the reward facilities than employees feel motivated to work even
more hard (Bratton and Gold, 2012). The motivation factor helps in increasing the performance
of employees and organisation as well. This theory will help the cited firm to resolve the issues
of HR practices in effective manner.
8. Importance of job evaluation process in organisation
Within the organisation there are various position are present in respect to customer
service, management, sales and administration etc. According to that hierarchy of departments,
chain of command and power is determined. In this, job evaluation process helps in determining
that order in organisation. The importance of job analysis Rocela Limited is as described below
as:
 With the help of job evaluation technique, cited firm is able to rate their entire jobs in
terms of importance and complexities. It also determines and fix the wages of jobs.
 It also helps in determining the salary structure and wages for various level of jobs in
organisation. With the purpose of determining the wages, both internal and external
consistencies of company are analysed (Rocela Limited. 2016).
 It helps in bringing the good and harmonious relations among management and worker
by eliminating the inequalities in wages (The advantage of job evaluation to an
organisation. 2016).
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 It also helps Rocela Limited keeping down the costs of recruitments and selection
process. The reason is that it inspires the firm for keeping down their labour turnover
effectively. This process results that there will be less requirement of new hiring of
employees.
 It also helps in making the recruitment and selection process more effectively by
matching candidates and qualifications.
 In order to determine the worth of jobs in cited firm, this technique determines the risk
and other elements of job rather than skills (Shamsudin and et.al, 2012).
 By comparing the importance and complexity of various jobs, it also identifies the
requirements of training and development.
9. Different types of reward systems in organisation
Presence of reward system at workplace helps to increase the morale level of employees.
With the help of this system, in Rocela Limited employees feel motivated and confident. BY
providing the rewards to employees, cited firm can get many benefits in terms of increment in
performance, sales, productivity and positive environment etc. With the presence of motivated
employees at workplace, cited firm is able to attain the goals and objectives in effective manner.
Basically cited firm uses the two types of rewards systems which are known as intrinsic and
extrinsic rearwards. In this context, both types are described below such as:
The intrinsic type rewards system consider few elements such as feedback process,
recognition, empowerment and trust factor etc. By adopting this type of system in organisation,
positive and healthy relationship can be created among employees. It also helps in developing
the attitude of employees in positive behaviour which also reflects in their positive behaviour.
They also feel motivated towards their roles and responsibilities (Sun, Aryee and Law, 2007). On
he other side, second type of reward system is known as extrinsic type. It covers the elements
such as bonuses, pay of extra work, bonuses and incentives etc. By giving focus on these factors
cited firm will be able to motivate their employees increasing their satisfaction level. When the
employees feel satisfied with the job, work, environment and working condition, they stay in
firm for longer period with the motive of giving contribution in achieving targets and objectives.
Both types of rewards system will help the Rocela Limited by increasing the employee's
motivation, performance and productivity in effective manner (Knowles, Holton and Swanson,
2014).
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10. Alternatives of performance appraisal methods for Rocela Limited
According to given scenario from case it is evaluated that cited firm was using the simple
rating method based on some parameters for performance review. For the each employee in
organisation, the process of performance review was taken by manager. There are several types
of tools and techniques are available that can be adopt and implemented at the workplace of
Rocela Limited. In this, methods and tools are described below such as:
 Productivity test- Thus tool can helps the cited firm in analysing the performance
of employees by finding out that they are meeting the targets on time or not. In
the quantifiable term, performance of employees is calculated.
 Benchmarking- In this performance of employees is determined by measuring
heir growths, punctuality, attendance and growth factors. Cited firm can give the
targets with specified time period and employees have to finish it accordingly
(Mathis, Jackson and Valentine, 2013).
 Ranking method- With help of this method, cited firm can effectively measure
the performance of employees. In this one employee is asked to give the ranks of
other employee performance. On the basis of numerical ranking, performance of
employees are measured (Rocela Limited. 2016).
 360 degree feedback- With the aim of analysing the employee's performance, this
method is also effective. In this, cited firm can ask the employees to give their
feedbacks. The result will help in defining the positive and negative points of
employees (What is human resource management. 2014).
By using all these above defined methods, Rocela Limited firm will be able to effectively
measure the performance of employees in efficient way.
11. Various reasons for employees cessation in organisation
There are several types of reasons are present which are related to cessation of
employment. These reasons could be either from company side or employee side. In this, from
employees side are resignation, retirement and from company side are such as unacceptable
behaviour, time of redundancy and absenteeism. In addition, two types of termination takes place
such as voluntary and non voluntary. Voluntary means employees resigns and non voluntary
means firm fires the employee from company. Reasons form both sides are described below such
as:
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Employee side : While working in organisation, if employee faces many problems in settle down
at workplace then this situation lead the employee to leave the organisation. If employee is not
satisfied with working conditions, growth opportunities, work and environment than these
conditions leads to cessation. In addition to this, if employee is delivering the services from very
long time period and his health condition does not permit them to take stress and work more for
long hours then they take initiatives to take the retirements and leave the company (Cavico,
Muffler and Mujtaba, 2013).
Company side : If the employee of company is continuously coming late to office then firm has
the right to fire a person. In addition if employee have the unacceptable, rude behaviour and tries
to disclose the information or steal property of company then fir remove that person
permanently.
12. Employee exit procedure in Rocela Limited to Ernst and Young
In corporate world, exit procedures differs from one organisation to another. This step
takes place in organisation when employee permanently leaves the organisation. The exit
procedure of one small scale and large scale firm is described below such as:
 Company's notice period- The notice period of Rocela Limited is 1 month but on other
side other firm E&Y has notice period of 2 months. Concept of notice period is useful
because through this firm get aware and hire a new person so that work does not hamper
at workplace due to vacant post (Rehman, 2012).
 Process of retention- In this firm offers the options related to increment in salary of
authorities to again retain the employee in firm. This step is followed by both companies.
 Exit interview process- If even after the process of retention, employee decides to leave
than by taking interview exact reason is evaluated that why employee is quitting. As
compare to Rocela, exit procedure of E&Y is quite complicated because employee
requires to train the new employee about his roles and responsibility in organisation
(Mathis, Jackson and Valentine, 2013).
 Process of acceptance- When organisation finds the valid reason then both firms accepts
the employee's resignation.
13. Both legal and regulatory framework impact on employee redundancies
The process of employee termination is impacted by the both legal and regulatory
framework. At the time of firing the employee, firm requires appropriate and valid reason for
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this. In this context, law givers the rights to employees in terms of job security in firm. In
without giving any valid reason, firm removes the employee then he has right to legally claim the
company. In this employee can take actions legally against that firm (Foot and Hook, 2008).
Further, firm is also committed to do not support any type of discrimination at workplace in
respect to religion, race and gender etc. In this, firm has the right to terminate the employee when
his behaviour is unacceptable and undisciplined.
In Rocela Limited, employee can be legally dismissed in term of:
 Termination of job with or without notice
 Contract is not renewed with same policies and terms
CONCLUSION
The present research evaluates the importance of human resource management and its
functions in organisation. It helps the firm by increasing the motivation, confidence and
performance level of employees in effective manner. For the betterment of employees it also
focus on training and development concept in firm. To motivate the employee, it also emphasis
on performance appraisal and reward system. By effectively considering the functions of HRM,
cited firm will be able to resolve their issues in HR practices.
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