Human Resources Management Report: Shell's Recruitment and Motivation

This report provides an in-depth analysis of Shell Plc's Human Resources Management (HRM) practices, focusing on recruitment and motivation strategies. It begins with an introduction to the company and the importance of HRM. The report then details Shell's recruitment strategies, including the Shell Graduate Program, experienced professional hiring, technical and non-technical hiring, tender-based hiring, and outsourcing. It discusses the advantages and disadvantages of these strategies, such as bridging the gap between university and work, fostering a strong business model, and the challenges of fierce competition. The report also explores Shell's motivation strategies, including healthcare plans, employee assistance programs, flexible working, rewards, car allowances, share plans, and London market allowances. The advantages of these strategies, such as employee benefits and work-life balance, are highlighted. The report concludes with suggestions for improvement, such as avoiding novice treatment for graduate program hires, providing opportunities for employees to work in different sectors, and ensuring that senior employees do not amend policies for personal gain. This report provides a comprehensive overview of Shell's HRM practices and offers valuable insights into their effectiveness.

Human Resources
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
1. Recruitment Strategies............................................................................................................3
2. Motivation Strategies .............................................................................................................6
3. Suggestions:-...........................................................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Organisations need people to smoothly run, control and monitor their businesses. To have
people organisations recruit individuals at mass level through various strategies. Recruitment
strategies are the plans adopted by the companies to attract, hire and onboard the talents in order
to operate their businesses (Boronat-Soler, 2018). This report consist of a company named Shell
plc, which is UK based company having diversified business in Oil and natural gas sector. It is a
public limited company listed on the London Stock Exchange. This report presents the
recruitment as well as motivation strategies adopted by the management in order to recruit
people to run their businesses. Further this report includes the advantages and disadvantages of
the strategies used by the management.
TASK
1. Recruitment Strategies
Recruitment and Selection is the process where the need for a job is identified. It defines
the requirements of the position and the employee. Advertising the vacancy and choosing the
most appropriate person for the job is the key objective of management. The company Shell plc,
recruit their employees using the below mentioned ways:-
 Students and Graduate Hiring:- Shell have designed a program mainly for the fresh
college students and graduates. This course is basically knowns as Shell Graduate
programme. This program is a long duration course of 2-5 years. Depending upon the
background of the candidate whether technical or non-technical, company provides
formal training which systematically exposes all the areas of the company. Before
entering into the programme, applicants have to go through an apptitude based test. This
test studies the mental and analytical skillset of every individual.
 Experienced Professional Hiring:- This recruitment process is for the ones who are
having minimum work experience in a particular domain or industry. Generally,
experienced ones are hired via posting the jobs at job search platforms and official
website. Training provided to the experienced ones is comparatively of short duration
than of students & graduates (Callaghan, 2018). Experienced employees usually work at
a steady pace and their work remains highly effective for the company.

 Technical and Non- Technical Hiring:- Other than the graduate programme,
individuals are directly hired on the basis of their qualifications, followed by the
recruitment processes (Cantele, 2018). Hiring can be both for the technical and non
technical backgrounds. Technical areas include the manufacturing units such as
production department, quality check, electric system, etc. On the other hand, non-
technical areas include purchase department, finance and accounts department, store
section, marketing and sales section, etc.
 Tender Basis:- Company also hire employees on the tender basis. This is basically done
in case of any pending project and that can be performed in shorter period of time. The
remuneration of these workers is done as per the provisions mentioned in the agreement.
 Outsource Employees:- Whenever company expand its plant or manufacturing units, it
outsource workers from another company or country. This is done when the company
feels that it lacks skilled employees which are required for the purpose of expansion. The
workers that are outsourced are mainly the experienced ones in their domains.
Advantages:-
 Bridges the gap between University & Work:- College academics mainly deals with
the theoretical portion. These theoretical concepts can only be used in the industry when
proper training is provided to the employees. The graduate programme of the company is
meant to serve the purpose of bridging the gap. The graduate programme offered by the
company Shell fills the gap between the college academics and work expertise.
Candidates are trained to gain expertise via exposing different areas of the company to
the employees. This turns beneficial as employees stays for a longer period and became
trust worthy as well (Chowdhury, 2020).
 Strong Business Model:- Graduate program works as a long term, successful and trained
career development scheme for the employees as well as company. Investing time in the
employees will help improve staff retention rates and the development for the company
as a whole.
 Multi-skilled & Adaptable:- Individuals which have earlier work experiences are more
multi skilled and adaptable compared to the freshers. Reason behind is they are more
prone to the corporate structure and working style. They feel less inferiority at workplace

and works smoothly. They also provide various suggestions to the management regarding
their domains or department in case any improvement is required.
 Matured and Self aware:- Experienced ones are more matured and self aware as they
usually are trained and accustomed to their specialisations. They are more matured, hence
can handle various tasks easily. Theses employees are of much beneficial whenever
company stuck in any problem. Plus another important aspect is company needs
employees who can co-relate the technical part with the non-technical. As company can
only work effectively when all the areas of the management have interdepartmental
communication (Dodokh, 2020).
Disadvantages:-
 Fierce competition:- There usually exist a fierce competition specially for the graduate
programs in comparison seats are limited. This is really a tough task from management's
point of view. As management needs to refine the suitable candidates for the job roles on
the basis of an aptitude and technical test. In many a case company fails to select the right
candidate and this results when employee fails to deliver desired results.
 Limited to a department:- Although candidates are exposed to various sectors of the
company but after allotting job roles they are restricted to a particular department. This
hinders their growth rate and mindset too. Doing the same work every day causes
boredom for the employees. Even it is seen the reason behind the high attrition rate in the
companies is the monotonous workstyle.
 Treated more like a novice:- Employees through graduate programs are treated more
like a novice, even after settling into the role and starting making progress. On the
contrary, company expect from these employees treating them as a naive. This puts
unnecessary pressure and task became hectic for the employees (Ismail and et.al 2019).
 Demand high salaries:- Experienced ones often demand higher salaries and may cost
higher to the company. They might not be open to learn new ways of job done as they
trust more on the old methods. Alongside, there are high chances of them to leave the
company and join with the rival or may start their own venture.
 More rigid:- Experienced employees are difficult to manage as they are more rigid and
have a streamlined approach in solving problems. And it is usually seen, employees

positioned at senior level amends the policies of the company in order to have personal
benefits and for near dear ones. This imbalances the whole structure of the company
(Magova and Kessy, 2020).
Suggestions:-
Studying the above mentioned advantages and disadvantages, it is analysed that the
company Shell have good enough recruitment strategies. Mainly, the graduate programme
offered to the freshers and college graduates turns out to be more beneficial. It includes the
training of candidates for their job roles along with the hands on experience. But on some aspects
company need to improve its perceptions. Below are the suggestions for the company:-
 Novice treatment:- Company treats more like novice to the employees hired through
graduate programme. Employees must not be treated like a novice after a certain time
period or when they start to deliver their work in a professional manner. Novice treatment
impact the mindset of the employees and this results as a failure in their productivity
 Departmental limitation:- Candidates hired by the company are mostly assigned to a
particular department. This limit their job roles and resulting employees becomes
accustomed to a particular role and find difficulties to learn new skills. Doing the same
work everyday also causes boredom for the employees. Capable employees should be
provided roles in different sectors too. This will help the company to cut its costs as well
as employees can boost their confidence level and have grip on various sectors. This will
be beneficial for the company in the long run.
 Control over the seniors:- It is good to have experienced employees in the company.
But the company needs to ensure that employees posted at managerial level should not
amend policies and plans for the sake of their personal or loved ones' beliefs and benefits.
If anyone is found guilty about it then he should be punished with heavy charges
(Lewicka and Pec018Liu, 2019).
2. Motivation Strategies
Motivation can be defined as the stimulation that the workers have for the work they do or in
order to attain the goals and objectives of the organisation. Employees are the most valuable
asset of every company and one of the most important challenge that mostly organizations face is
to retain them. If the employees are satisfied and motivated there is a higher chance that they will
stay in the organization. Various types of motivational techniques are applied by the company

which includes various monetary and non monetary elements in order to have effective work
done. The company Shell motivate their employees using following ways:-
 Provides healthcare plan:- Health is the foremost asset for a person. Therefore, Shell
provides healthcare and welfare plans to its employees and their family members.
Alongside employee can add their immediate family members at a nominal fee. This
makes the employees satisfied and work happily. Therefore employees retain with the
company and thus provides best of the results pleasingly (Perufo, 2018).
 Employee assistance programme:- This programme provides 24 hours access to
employees. It includes quality assistance services provided to support employees on
major concern like legal, financial, work related, housing, educational, etc. This helps
employees to attach with the company and to work harder for the development and
accomplishing the organisational goals.
 Flexible Working:- Company provides stress free and flexible working environment to
the employees. Employees also get work from home facility and leaves for vacation
alongside can change their office shifts according to their comfort. This also leads to a
good work life balance.
 Rewards:- The company always praises its hardworking and efficient employees in their
annual meetings. Give them various rewards as well. All this boosts the morale of the
employees. This also helps other employees to put in their best effort and achieve the
goals (Salih, 2020).
 Car Allowance:- Company provides monthly cash allowance to the senior employees for
bearing fuel expenses. This helps both to the employee and company to save cost and
time too. Employees pool a car this saves petrol as well as time.
 Share Plans:- Employees are provided shares based upon the performance and long-
term value to the company. In case the value of shares rises to a great extent, employee
will earn a handsome amount and this will boost their morale and confidence. Plus,
employees can take part in advantageous UK share purchase scheme also.
 London Market Allowance:- This allowance is provided to employees who are based in
London to assure their remuneration remains competitive in the market.
Advantages:-

 Employee Benefit:- Health insurance plans offered by the the company is a huge benefit
to all those who can't afford plans at market prices. The major portion of the premium is
paid by the company. This way, the employees receive health insurance coverage at a
budgeted amount. The amount saved by employees due to this can be utilised for further
investment.
 Basic Coverage:- Health insurance plans provide basic coverage to the employees. It
will be much beneficial at times of emergency hospitalisation. This brings a feeling of
attachment with the company and employees sustain with the company for a longer
period (TANDOĞAN, 2018)
 Work life balance:- Flexible working hours including work from home facility plus
change in the shift hours, provides great work life balance to the employees. This helps
employees to enjoy with their families. This all improves the work culture and employees
work in a pleasant environment. This all results in sustaining a healthy work environment
which improves productivity and better output.
 Cost reduction:- The car allowance provided by the company reduces the travel time as
well as cost in monetary terms also. Another advantage of pooling car is employees get to
know each other and this helps them at workplace. Plus this turns to be more beneficial as
employees can work up to late night without worrying about the travel conditions.
 ESOPs:- Stock options are provided by the company as a motivation to its employees.
With the help of ESOP, company avoid the cash compensations as a reward, thus saves a
lot on immediate cash outflow. The major advantage of ESOPs is employee can purchase
up to €30,000 worth of shares at a fixed price without paying any taxes on the gains and
national insurance contributions (Vyas, 2019).
Disadvantages:-
 Difficult to keep everyone happy:- The plans offered to the employees are such that can
help majority of the employees. Still, some of them might not be happy with the policies
and plans provided. Another aspect is plans and policies of the company changes every
year depending about the market conditions. This effects the mindset and the growth of
the employee.
 Management of Budget:- The cost associated with the insurance policies, assistance
programmes and various other benefits is really very high. Plus the changes of policies or

plans every year effects the budget of the company. Management often got confused
between managing operational activities or to oversee these benefits.
 Legal proceedings:- The employees working in the company nowadays are more aware
about their benefits and plans. If there is any mistake on the part of the management, the
employees can file a case in the court. This can cause trouble and hamper the reputation
of the company (Wawer, 2018).
 Procastination:- The work life balanced which includes various flexible working hours
as well as various leaves leads to procastination in the work. Employee often became lazy
and divert their work to each other. This may lead to failure in accomplishing
organisational goals.
 Communication Differences:- The changes in the working shift included in the flexible
working hours can create communication gap between the seniors and subordinates as
well as between colleagues. Due to communication gap, employee many not understand
their tasks whch may lead to delay and undesired outputs. This in long run can create
problem for the company (Wyleżałek and Podkowińska, 2018).
 Value of shares if decreased:- The value of shares offered to the employees can drop.
The decline in the value would impact the morale of the employees plus it enhances the
administrative cost of the company. The decline in the morals of the employees will
directly impact the working style. Consequently, the employees will be less interested to
work and may even leave the company. This all may lead to business failure.
3. Suggestions:-
The above mentioned motivational strategies of Shell plc, along with its advantages and
disadvantages declares that the support of company towards its employees. Company is
providing best of the facilities to encourage employees in order to have work performed
effectively and efficiently. But somewhere company needs to improve its strategies for more
better outputs. Here are some mentioned suggestions for the company:-
 Budgets:- As the main purpose of the company is to miximise profits not to serve the
employees. But no business can be performed without employees, therefore employees
are always considered as an asset. Framing various plans and policies requires huge
amount to be invested. Plus the fluctuating market conditions also impact these plans.
The actual problem arises when the budget of the management get disturbed due to the

various employee policies and plans. The management here needs to ensure that the
budget of the company must not be impacted, otherwise it can slow down other activities.
The plans must be framed overviewing historical financial data and market conditions.
 Timely claims:- Many a times it happen that the claim settlement of the insurances and
other policies get delayed due to many reasons. Employees get tensed of this thing and
may trouble management into it. Company need to have a specific department that can
manage these issues in a specific time frame. This will solve the unneccessary tension of
management as well as employees.
 Less Communication Barriers:- The shift change facility provided to the employees is
really a great benefit as employees working according to their comfortability. But
somewhere it creates the communicaton between the employees. As employees get
divided into various shifts. It is possible that the senior employees may get morning shift
or evening shift and the junior ones get night shift. Therefore, company needs to manage
the communication between employees and ensure that there must not be no gap.
CONCLUSION
The above report presented the various strategies used by the company Shell plc for their
recruitment processes and to encourage employees to work properly. Recruitment strategies are
the techniques used for the main purpose to hire and train individuals with the required skills.
Recruitment process is not an easy task as it consumes huge time and energy. Motivational
techniques are applied to encourage employees to get work done efficiently and effectively.
Employees need to be happy and satisfied with their job roles and workplace, otherwise it will be
create a problem for both company and employee. These all rewards, perks, increments, and
various other benefits are meant to satisfy and encourage them. If employees are satisfied and
happy, they will deliver best of their efforts and it will positively impact the company's
performance.

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