IT and HRM: Rolls-Royce Recruitment and Employee Engagement Analysis

This report examines the integration of Information Technology (IT) in Human Resource Management (HRM), focusing on the case of Rolls-Royce Motor Cars Limited. It explores how IT systems influence recruitment and retention strategies, highlighting the implementation of a cloud-based HR system to manage its global workforce. The report delves into the impact of IT on employee engagement, discussing strategies like feedback systems and employee-centric environments. Rolls-Royce's approach to recruitment involves identifying vacancies, matching candidates to required skills, and analyzing future needs. Retention strategies include providing employees with a platform to express their views and feedback, creating an employee-centered environment, and rewarding performance. The conclusion emphasizes the importance of IT in HRM for enhancing productivity, achieving business objectives, and fostering employee development. The report also references various academic sources to support its findings.

IT and HRM

Table of Contents
PART 1: INTRODUCTION ...........................................................................................................1
PART 2: Impact of IT system on recruitment and retention of employees.....................................1
PART 3: Strategies to improve employees engagement..................................................................3
PART 4: CONCLUSION................................................................................................................3
REFERENCES................................................................................................................................5

PART 1: INTRODUCTION
Business environment is changing and business organisations to operate effectively need
to well equipped with the latest technology and human resources. In 21st century to achieve
competitive advantages of businesses trained workforce is the basic need. Introduction of IT for
human resource management used to store or create information that is required to enhance
productivity of the organisation. Through IT right information at the right time is available with
human resource management department and employees are used to maximise productivity.
Information on the basis of individual performance in form of data is stored through using IT
technology (Bondarouk, Trullen and Valverde, 2016). Opportunities are provided to deserving
employees and those who require training will be provided with the training programme. Talent
will be given opportunity to grow and develop and this will help to retain them in organisation.
In this project Rolls-Royce Motor Care Limited company which is a British auto-mobile
maker organisation is considered. It is founded in United Kingdom in the year 1998 and
distributed all over the world. Purpose of this organisation is to serve with luxury cars and this
purpose is achieved through working with approx 50000 employees in the organisation. Rolls-
Royce targets exclusively i.e. people with liquid assets of at-lest $30 million. As motor cares that
are provided by the company are very expensive and consumers belongs to premium class. The
company has reported an annual sales of 4,107 vehicles (IT HRM of Rolls-Royce, 2019). Total
turnover of Rolls-Royce Motor Car Limited is £15729 million. Rolls-Royce has implemented
Cloud Human resource management project. The HR IT director of the company explains that
engineering and aerospace firm swapped ageing ERP and spreadsheets for the company-wide
core HR system. This is a multi-million -pound project to replace HR system to manage 50000
employees and will pay for itself in two years. Through this plan Rolls-Royce new capabilities to
plan for its future recruitment is identified and existing employees are deployed more effectively.
Through this HR management using IT will develop the ability to deploy the right people when
required. Organisations is growing with a significant footprint by employing technology in
management.
PART 2: Impact of IT system on recruitment and retention of employees
Recruitment and retention are the two human resource functions that requires strategic
thought and planning (Cook, MacKenzie and Forde, 2016). These activities are extremely
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important for organisational growth and development in future by accomplishing future goals.
Recruitment and retention strategies used in Rolls-Royce organisation are as follows-
Recruitment: Human resource management in Rolls-Royce organisation is performed
through IT system by installing all the information on cloud. HR department of the organisation
is responsible for appointing best personal to match the ambitions of the organisation. Rolls-
Royce develops a recruitment plan after identifying the vacant position in the organisation
(Strategic Resource Management of Rolls-Royce, 2019). The cloud HR project of Rolls-Royce
gives a clear picture of organisational structure, skills, history, salaries and team. This will help
in developing a baseline and focus will be provided on strategic roles at the time of recruitment.
Retention: This step involves the efforts that Rolls-Royce is taking to create a working
environment that supports the current staff to remain in the organisation for longer duration. This
is achieved by Rolls-Royce organisation by developing organisation policies to ensure that job
satisfaction of employees is highest by employing them at the right place. With recruitment
process companies make all the efforts to keep a hold on employees that are already working in
the organisation. Rolls-Royce uses a unique strategy for employees retention where a platform is
provided to employees to express their views and feedbacks. Continuous feedback helps to
improve on the areas of weakness and maintain its strong point. Second strategy used by Rolls-
Royce to enhance employees retention is by creating an employee cantered environment.
Employees are given all the importance for the success of the business and flexible working
environment is provided to them to achieve work-life balance. Third strategy used by Rolls-
Royce involves rewarding and recognising staff performance. These all will motivate employees
to retain with company for long duration (Hauff, Alewell and Katrin Hansen, 2017).
Recruitment process start with identifying all the vacancy in the company and evaluate
the needs. Job interviews of interested candidates matches with the required skills are taken. On
the basis of requirements guidelines for recruitment a suitable candidate is selected. Human
resource department search for the employee who matches with the requirement to fill the
vacancy. At the time of restructure and change in organisational goals new vacancies are created
and these are filled with the appropriate employees. At the time of recruitment skills that are
required now and in future both needs to be analysed to meet future goals.
The company previously relied on a SAP system to manage the HR records and payroll
of the employees in its five territories. In the year 2015 a cloud system of HR is introduced that
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is a new IT technology for management of workforce through data collected and analysed
through cloud system.
PART 3: Strategies to improve employees engagement
Employee engagement is the extent to which employees feel passionate about their jobs
and become more committed towards organisation and put all their efforts into their work. To
improve employee engagement flexibility must be encouraged in the Rolls-Royce organisation.
For this strategy used is creating an environment which is cantered on employees. As employees
in the organisation are given importance for achieving objectives and flexibility is provided to
them in the business environment (Kowalski and Loretto, 2017). This flexibility enhances
employees engagement in the business and acts as a tool to motivate towards achievement of
goals that are set by managers. Employees in Rolls-Royce are always asked for their feedback in
relation to their job or any organisational activities that needs to be improved or performed with
other productive manner. When employees are given an opportunity to express their opinion
through feedback system then it enhances employees engagement. Because employees
understands that their opinion also matter and this act as a motivating too to perform their job in
best manner (Obeidat, 2016).
Cloud HR project of Rolls-Royce used to analyse that employees development and
engagement is effective in the organisation. As history of all the human resource is available in
this system and this history helps in identifying how current performance is improved over past
performance. Employees performance graph on all the data available with the company is
designed and when any requirement is found proper training is provided to employees. This IT
software also helps in employing right people at the right place which is a key to employees
development and engagement (Verma, 2017).
PART 4: CONCLUSION
The main idea of this report is to provide importance to introduction of Information
Technology in Human resource management to enhance productivity and achievement of
business objective. Technology has grown at great scale and each business organisation to
perform operations requires to introduce technology in different segments of businesses. Human
resource is one of the most important asset for an organisation and implementation of IT in HRM
will help in creating a workforce which will leave its footprints on the industry with all the hard
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work performed. In this competitive business environment HR and IT needs to join their hands
so that resources can be utilised in best of their way and competitive advantage can be enjoyed in
long run. IT also helps in development of employees in the best version by evaluating their
performance over the year. This evaluation will results in identifying variations and to minimise
these all possible actions taken as per new and enhanced technology skills.
In 21st century role of IT in HRM has grown really far and human resource is not only
employees in the company rather they are termed as an asset which helps organisations in
achievement of well defined business objectives. Information technology has its impact on HRM
from the beginning of employing workers for the company. As recruitment and retention
strategies used in Rolls-Royce organisation is influenced through its Cloud HR system.
Employee engagement is important to make an stand alone position in the competitive world. To
enhance engagement strategies like feedback system and providing employees importance is
introduced. All the strategies that are used by businesses for implementing IT to manage its
human resources provides effective results. As accuracy of information that is collected through
IT is more accurate then others and human resources are managed to generate productivity at the
highest level through managing them in productive way.
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REFERENCES
Books and Journals
Bondarouk, T., Trullen, J. and Valverde, M., 2016. Special Issue of International Journal of
Human Resource Management: Conceptual and empirical discoveries in successful
HRM implementation.
Cook, H., MacKenzie, R. and Forde, C., 2016. HRM and performance: The vulnerability of soft
HRM practices during recession and retrenchment. Human Resource Management
Journal. 26(4). pp.557-571.
Hauff, S., Alewell, D. and Katrin Hansen, N., 2017. HRM system strength and HRM target
achievement—toward a broader understanding of HRM processes. Human Resource
Management. 56(5). pp.715-729.
Kowalski, T. H. and Loretto, W., 2017. Well-being and HRM in the changing workplace.
Obeidat, S. M., 2016. The link between e-HRM use and HRM effectiveness: an empirical
study. Personnel review. 45(6). pp.1281-1301.
Verma, A., 2017. What do unions do to the workplace? Union effects on management and HRM
policies. In What Do Unions Do? (pp. 275-311). Routledge.
Online
IT HRM of Rolls-Royce. 2019. [Online]. Available through:
<https://www.computerweekly.com/news/4500278704/Rolls-Royce-cloud-HR-project-
will-pay-for-itself-in-two-years>
Strategic Resource Management of Rolls-Royce. 2019. [Online]. Available through:
<https://www.essaytyping.com/rolls-royce-strategic-resource-management/>
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