Human Resources: Values, Contribution to Organizational Success Report

This report delves into the critical role of Human Resources in organizational success, examining the importance of organizational design theory and its impact on companies like Tesco. It explores various approaches and techniques for maintaining, attracting, rewarding, and developing human resources, including motivational theories and human capital theory. The report also investigates contemporary knowledge and research supporting HR's role in emerging developments, such as agile organizations and the McKinsey 7-S Model. Furthermore, it analyzes how organizational design must adapt to change management and the interrelationship between organizational situations, providing insights into competitive advantage, workforce diversity, and contingency planning. The report highlights the significance of aligning HR strategies with overall business objectives to foster a productive and thriving work environment.

Human Resources-
Values and
Contribution to
Organizational success

Table of Contents
INTRODUCTION.....................................................................................................................................3
TASK 1.......................................................................................................................................................3
P1. Importance of organisational design theory.......................................................................................3
TASK 2.......................................................................................................................................................6
P2. Different approaches and techniques used for maintaining, attracting, rewarding and developing
human resource........................................................................................................................................6
TASK 3.......................................................................................................................................................8
P3. Research and contemporary knowledge in order to support HR for emerging developments............8
TASK 4.....................................................................................................................................................10
P4. Organisational design has to adapt and respond to change management and the interrelationship
between to organisational situations......................................................................................................10
CONCLUSION........................................................................................................................................17
REFERENCES........................................................................................................................................18
Books and Journals:...............................................................................................................................18

INTRODUCTION
Human Resource is the most significant assets as well as essential factor of any company
towards success. It is very essential to have an effective HR department in order to opt the
objectives and goals of any organisation. The department of human resource provides a
significant contribution to get success. The needs and requirements of any organisation
determined when a company wants to get something. HRM strategies are adopted by HR
department through which they play active role in order to enhance the performance of
organisation. It might be suggested different approaches, process and business solutions to the
management (Abid, S. and Et.al., 2020). Talent management refers to the systematic process in
which vacant position is identified, recruiting right candidate with right skills and expertise that
it truly match with the position as well as to retain them in order to opt business objectives for a
long period. Tesco Plc is a multinational company which is specialized in groceries and general
merchandise. It is a British corporation which is introduced in 1919 by Jack for Cohen. Tesco
offers different varieties of products in their retailing business such as clothing, furniture, books,
electronic, software, telecoms as well as internet services. The report is included with the
discussion of importance of organisational design theory, different approaches, and techniques
which can be used for maintaining, rewarding, attracting and developing human resource as well
as research is conducted to support the evidence of emerging HR development.
TASK 1
P1. Importance of organisational design theory
Organisational design theory defines set of techniques or methods which includes plan
and process both. This theory is operated and structured by the employees of an organisation.
Theories of organisational design may influence about allocation of resources it also defines how
to interact with organisational environment. This concept describe the organisation design which
is the key factor in order to determine the performance of organisation by regulating and stating
employees whether individual or group, work together in order to get better activities done. This
theory facilitate a ladder so that organisation reach their goal step by step. This format must be
changed with the expansion of business, change of goals and other regarding things.
Organisational design can be understood as a restructure of total operational functions of the
organisation framework of the organisation in order to increase the capacity of the organizations
effectiveness, work force and accomplish the predetermined objectives and how to make
organisation flexible towards the changes of situation. It actually define reformation of
infrastructure of the organisation and improving the ability of compatible with the changes.
When organisational design and structures good then it helps to enhance communication and
innovation as well and increase the productivity. It creates a positive work environment where
individuals can work effectively. In context to Tesco, it can be better understood with the
example of changes in the whole model of organisation. In earlier times, the organisation is
focused on the traditional way of doing business but after that they identified that they need some
restructuring program. They were also focusing on diversification of products and business
practices (Alina, T. P. and Et.al., 2020). The company formerly used centralized business
structure now they are changed to decentralized business structure which results in increasing

growth and success. Due to this changes company is also overcoming several challenges such as
was economic condition and many more. With the help of organisational design theory it can be
possible to state the requirement of framing a plan and a procedure for change in order to get
success. It is also studied that organisational designing theory start from foundation which helps
to determine the organization’s performance and also support to standardize individuals that
make sure the number of organizations are ready to back together.
Agile organizations: The term organisation is applied to the companies in order to respond
quickly to changes in the environment in marketplace. Basically these are focusing on the
requirements of customer which may be understood as producing customized offerings instead of
standardized. This involves advanced tools, training and process which delivers successful
reactions to the competitors.
Traits of agile organizations:
 These are based on continuous learning.
 They likely to use open communication such as sharing of collaboration.
 It involves self-awarded and skillful employees who also worked great in groups.
Star model:
Star model framework was founded by Jay Galbrith which is used on the basis of
designing choice and development of organisation. This model includes five areas that should be
aligned and connected to shape the behaviours and decision successfully within the organisation;
structure, strategy, people, process and remove.

 Strategy: It highlights the vision, mission and values of the organisation including goals.
It provides direction to the company.
 Structure: The structure of the Tesco determines the number and type of job spheres
decides and required the number of people and departments. It edicts the movement of
power and authority placement.
 Process: The process shows the flow of decisions and information in the organisation
which may be vertical or horizontal (Yap Peng Lok, S. and Chin, T. L., 2019). In Tesco,
vertical process deals with allocation of talent and funds through planning and budgeting
on the other hand horizontal process are designed ground floor.
 Rewards: In order to motivate employees in the organisation rewards system must be
used appropriately it includes strategic directions. In addition to Tesco, incentives are
provided to the employees in order to motivate them.
 People: Human resource policies in the organisation includes rotation, recruitment,
training, promotion and development. This embraces the talent and build the capabilities
of employees.
McKinsey 7-S Model:
This model is used to identify the likely effects of future changes within the organisation
or to align process and departments during a merger or acquisition. This includes seven elements
of McKinsey’s framework:-

 Strategy: It shows the planning in order to build and maintain the competitive benefits
over the competition.
 Structure: It shows that how an organisation is organized which means how department
are structured.
 System: It involves daily task activities as well as processes that employees use to get the
work completed.
 Shared values: This represents the core values of a company which includes culture and
ethics.
 Style: This reflects the leadership style of company.
 Staff: Employees and their capabilities and skills.
 Skill: Employees actual competencies and skills within the organisation
Importance of Organizational design theory:
 Competitive advantage: In the present era, each and every organisation wants to design
their structure in order to maximize the sustained competitive benefits. The rivalry
enables an organisation to formulate a business strategy by offering better products and
services to outperform competitors.
 Dealing in contingencies: A contingency is a happening which might occur without any
planning or expectation, so that it is very important for the management to plan properly
in order to meet such contingencies. Because it totally changes the business environment.
The theory of organisational design helps to control several factors in business
environment. It determines the ability to attract talented employees, government
contracts, and permanent clients, these are the major three environmental factors which
should need a proper planning.

 Workforce diversity: Diversity in workforce considers several differences such as
gender, place, race which highly impact on the effectiveness of organisation. Change in
the characteristics of employees such as retirement of current employees or influx of
immigrant employees need effective planning in advance (Foysal, M. M. and Zhen, T.).
The structure of organisation should be designed in such a way so that it can take
maximum benefits of talented diverse workforce who have different cultural
backgrounds. Along with this, they should also encourage to work together.
It has been analyzed from the above discussion of organisational theory that it is very
significant to design organisation theory in order to meet success and growth of the organisation.
It is the reason to suggest the organisation is that they must opt for the strategy in order to gain
the maximum benefits of sustainability. Because it is the new rule in the organisation so that the
structure should meet accordingly.
TASK 2
P2. Different approaches and techniques used for maintaining, attracting, rewarding and
developing human resource.
The Motivational theories:
Motivation is the most crucial element in any organisation where employees can show
sense of control. It is very important that employees must demonstrate a level of control in their
department make sure that there is a sense of job satisfaction. Maslow's motivation theory
highlights the physiological order and the need of safety which employees look at the very initial
stage of each work process (Kazeroony, H., 2019). It has been studied that an employee first
concern will be make sure that they get required salary that will be able to accommodate their
lifestyle. The second need is concerned with work environment that demands safety at
workplace. An individual’s needs which will require a minimum fulfillment which is for
accommodation, social, security, self-gratitude, and self-satisfaction. In context to Tesco, HR
manager initially ensure that they can provide an attractive salary package that will meet the
physiological requirements of an employee (Liu, Y. and Et.al., 2021). Along with this, must
provide a safe and secure workplace. It is necessary to create a positive work atmosphere which
allows a taste of respect from each individual. It is also necessary to pay attention on their
incentive system so that they meet the sense of promotion in the part of their growth within the
workplace and the final fulfillment of needs is must ensure about their positions who are capable
with required skills and experience so that they has to meet with their self-actualization needs as
well.
The Human Capital theory:
In order to motivate employees of the organisation, the reward system plays a very
essential role. The reward system is based on the performance systems of an employer this can
be progressive when they get the desired results. This system has a positive and negative effect
on the motivation of an employee. Reward system provide some protection of individuals in the

organisation for their effectiveness (Zhang, J. and Li, K., 2019). If organization considers that the
productivity is reduced then they put some scheme into actions through which they will be able
to see individuals will be more motivated to provide increased productivity and enjoyable
activities throughout the business. It can be complicated when an organisation operates its
business at international level this may get negative impact whereas the reward is awarded to the
wrong individual it may result clashes in organization. It is very significant to check on prizes
and assessed as a result of rewards can be affected on expenses of employees and performance of
organization.
It has been analyzed from the above theory of motivation is that it is relevant because it is
concerned with human motivation and to understand people in the organisation more and helps
to differentiate the requirements of human which is the most important and effective for proper
management. But it has been criticized that it is not verified because of the lack of methods to
measure satisfaction level of employees. Human capital theory, it has been analyzed that human
capital is very significant within the organisation because it helps to boost the profitability and
productivity for the company. That is why the organisation is concerned with their investment in
in employment and training.
There are some techniques which are mentioned below which might help to fulfill the
objectives of Tesco:-
 Training: It is considered as one of the best method in order to create talented and
skillful by providing effective training. Employees get to know more about organisation
and provided effective direction and guidance so that they can develop their skills more.
It includes videos, lectures, simulations, podcast and many more.
 Career planning: Career planning helps an employee with driven strategies where
human resource department provide designation to the employee that what role he will
going to perform in the organisation (Oorschot, J., Blackman, A. and Moscardo, G.,
2019). Career planning provides a career path for future of the employees which includes
various decisions about career which offers them a boost in their strength. It is based on
objectives of organisation where existing skills that are identified in order to improve
with the right course of action by the organisation.
 360 degree performance review: It is a method which is essential for the organisation in
order to maintain and encourage the employee’s performance. Employees are encouraged
by giving rewards but this can be prepared with the help of 360 degree performance
review. This includes a complete review on performance of employees. It includes cross
questions from supervisors, feedback from employees, external vendors as well as
subordinates about their performance and behavior of employees in the organisation. It
provides appropriate direction and guidance so that it will be recognized what they have
further need in their training sessions in order to develop their skills. It is also very
supportive in order to recognize the current and existing skills what employees possessed.
It has been analyzed that organisation should ensure about the employees development in
order to opt best objectives for the organisation. For that purpose, organizations required to
utilize some of the best methods and techniques which will be helpful to improve the skills of

employees. It should not only focus on skills development but also maintain their performance
within the organisation. Training in the organisation is a never ending process through which it
helps to improve the skills and knowledge of the employees for doing a specific job. It has been
observed that these training methods helps to mould the thinking of members which leads the
productive performance of members in the organisation. Overall the main objective of training is
to improve, make the employees capable for promotion, avoid managerial obsolescence and
make them satisfied in their personal growth as well. So that HR departments provides several
training to make employees productive.
TASK 3
P3. Research and contemporary knowledge in order to support HR for emerging developments.
The development of an emerging development
In the current scenario, the human resource management is very challenging that they
have not come across before. In organizations, there is a need to update their principles and
policies in order to meet the requirements of the organisation (Portnykh, S. M., 2019). It has
been identified that there are some issues that have created challenges for HR management;
employee satisfaction, globalization, and other challenges which might face by HR manager is
the management of work environment as well as legal compliances.
Management and workforce legal compliance: It is a very critical factor when an organisation
wants to expand their business at international level. This includes cultural issues which may
differ from nation to nation. In context to Tesco, HR manager experiences complications and
difficulties in order to identify the changing needs of labor market at global level, which includes
issues in management styles, changing HR policies, organisational policies (Sihite, O. B. and
Tukiran, M., 2020). Different countries having altered legal frameworks and regulatory,
sometimes it can be complicated for the HR managers to fulfill all the obligations at an
international level.
Multi-generational diversity: When an organisation wants to expand its business in an
international market they faced challenges in dealing with generation that has a differences of
multi-generational. HR policies get affected by the cultural differences because it has a sense of
problems towards culture. On the other side, another generation have a preference lines of
communication to be done in a digital way. Hence, management can be confused in order to try
to incriminate the best management and leadership style.
The impact of technology within HR: The role of HR has significantly changed in the
international market over the past decades, development of technologies has seen several
changes in culture and behavior of the organisation as well as at workplace. It has significantly
impact the HR practices and skills which are needed to operate a company at international level
with the use of advanced technology that made HR managers to be able to make a direct contact
with employees, analyze their performance as well as maintain the record of necessary data
which is developed in business (Taksa, L. and Dados, N., 2019). Such changes in technologies
have also impact the recruitment process where it is shift from offline to online which includes
internet service connectivity and emails as well as the growth of smartphones has also in

enhanced the communication process. Manager is typically analyzed the data so that they can
make efficient staff policies (TARNAM, Y. F., 2019). Along with this technology has also a big
leap that has been established with the cloud service which has a very significant support to HR
managers in order to maintain more data on staff members as well as company.
Remote working: It support HR managers to work remotely or work from their home or offices
in several cases (Meri, M., 2020). This is the reason by organizations provide options for work
remotely through telecommunication which benefits employees and organizations.
Use of AI: AI or artificial intelligence delivers HR department many opportunities to improve
the employee and candidate experience by low value task, automating repetitive and freeing up
time to concentrate on the creative work and more strategic that HR groups require to get
complete.
Work-life balance: Work life balance defines the employee’s achievement of equality between
time spent personal life and working life. HR department supports by reducing absenteeism,
motivating staff members, reduce stress level of employees and so on.
Emergence of shamrock organizations: This organizations includes four “leaves”; a flexible
labour force, the professional core, customers, the contractual fringe. The professional core will
likely to get benefits like traditional permanent service.
TASK 4
P4. Organisational design has to adapt and respond to change management and the
interrelationship between to organisational situations

It includes budgeting, operational tactics, altering business processes and resource usage
which can be used in organizations day-to-day functions (Perkins, R. B. and Et.al., 2020).
Change management helps employees to understand their activities and responsibilities in
order to perform in a productive way. Spending time in order to develop change management in
an organisation will benefits a lot in order to transform into successful organisation.
Organization’s adopt and respond to change they need focus and attention in their planning,

understanding and monitoring to restructure the organisation which is a vital initiative in order to
keep their employees, managing in hiring new employees, understanding the employee’s views
and fears and many more. It is also very important to understand the significance of managing
the mindset of change because sometimes it will be very challenging to identify.
Organisation has a good organisational design and structure than they are undeniably able
to response and adapt the change management. It should be positive response by the organisation