Analysis of HRM Practices: Kingfisher PLC Company Report

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This report provides a detailed analysis of Human Resource Management (HRM) practices within Kingfisher PLC. It begins with an introduction to the company, its size, and its e-commerce initiatives. The report then delves into the purpose of HRM within Kingfisher, highlighting its role in workforce management, recruitment, employee training, and overall organizational efficiency. The report examines two key HRM models: the best practice and best-fit approaches, illustrating how Kingfisher utilizes these strategies in its recruitment and selection processes. It covers internal and external recruitment sources and explores various HRM practices, including training and development, management development, employee relations, and relevant employment legislation. The report also discusses the significance of training for both the employer and employees, emphasizing its impact on productivity, employee morale, and skill development. The report uses examples from Kingfisher PLC to illustrate the practical application of these HRM concepts. The report concludes by examining key elements in employment legislation, including employee rights and health and safety regulations.
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KINGFISHER PLC COMPANY1
KINGFISHER PLC COMPANY
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Table of Contents
1.0 Introduction.....................................................................................................................................3
2.0 The purpose of HRM in Kingfisher...................................................................................................3
3.0 Human Resource Management models...........................................................................................4
3.1 Best practice method.....................................................................................................................5
3.2 Best fit approach...........................................................................................................................5
4.0 Recruitment and Selection..............................................................................................................6
4.1 Approaches used in recruitment and selection.............................................................................6
4.2 Internal and external sources of recruitment................................................................................7
5.0 Employer and employee HRM practices in Kingfisher...........................................................................8
5.1 Training and development.............................................................................................................8
5.2 Objectives of Training..............................................................................................................9
5.3 significance of Training (to employer/management)...............................................................9
5.4 The significance of training to employees...................................................................................10
6.0. Management development................................................................................................................10
6.1 Importance of management development..................................................................................10
6.2 Employee salary and wage administration.................................................................................11
7.0 Employee Relations in Kingfisher plc Company...................................................................................12
7.1 Improving Employee relations and engagement.........................................................................13
8.0 Key elements in employment legislation.............................................................................................15
8.1 Employee human rights...............................................................................................................15
8.2 Employee health and safety........................................................................................................16
References.................................................................................................................................................17
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1.0 Introduction
Kingfisher plc is among the most prolific retailers in Europe ranging from general
merchandise, electrical and DIY. This company recruits more than 130,000 workers in over
2,900 stores in 15 countries. Also, it owns well known retail brands across Europe from Darty,
Castorama, BUT, Superdrug, Woolsworth, Comet, and B&Q. The company is classified as the
third largest electrical business and the leading DIY retailer in Europe. Kingfisher plc has a new
section for e-commerce opportunities known as e-Kingfisher. This study looks into the concept
of employees as the company’s assets that require continuous growth and development.
Kingfisher plc has a new management scheme known as Kingfisher Management Scheme
(KMDS) the company is looking forward to producing managers with pride and loyalty in the
organization and also be able to sustain the different business cultures.
2.0 The purpose of HRM in Kingfisher
Human Resource Management (HRM) is the duty that looks into the workforce of the
organization including management, recruitment and organizing employees in the organization.
It is the body that is concerned with the issues affecting the workforce such as employee
wellness, work training, reimbursement, motivation, hiring and recruitment, organizational
communication ,work safety,administration ,employee benefits, performance management and
promotions.
According to Anon (2018), Human Resources Departments in Kingfisher plc coordinate
the recruitment process, in cooperation with other departments, in order to fill open positions and
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ensure that the organization's procedures and rules for hiring are followed. Human Resources
Departments play a central role in creating and updating job descriptions, posting job
announcements both internally and externally, and reviewing submitted application materials.
Human Resources also makes arrangements for interviewing and testing candidates, as well as
conducting background checks, drug tests, and verifying employee credentials. They also
develop plans for training for both new and existing employees. They also ensure the necessary
licenses for the company are maintained and updated within the required time.
The Human Resources Department is drawing the process of negotiating contracts with
employee unions. They ensure the guidelines and provisions for contracts are strictly adhered to.
In times of labour negotiations, HR Departments work with labour attorneys, affected
departments, and the organization's chief executive. They are also responsible for presenting
proposed labour contracts to legislative bodies for their consideration. They also play the role of
labour relations by processing union grievances.
The human resource department is also responsible for administering payroll and
employee benefits including disability insurance, life insurance, health covers and retirement
benefits. Payroll and benefits administration also entails tracking employee use of leave time,
including sick, vacation, and personal leave, and determining employee eligibility for various
benefits.
3.0 Human Resource Management models
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Best practice and best-fit approach of HRM have over many years had a lot of
controversies in the HRM area. They possess practical managerial importance. They well
explained below using a case study of Kingfisher plc Company.
3.1 Best practice method
According to Redman and Wilkinson (2012), the best practice approach claims that there
exist various HR activities universally that focus on assisting organizations to reach a
competitive advantage despite their organizational structure. The best HR practice models
portray a close interrelation between HR practices and work performance. Additionally, these
practices are associated with a high level of employee commitment to the organization.
Kingfisher plc applies the best practice method when hiring its workforce to attract
skilled personnel and ensure quality work and high-performance culture of the organization. It
also applies this strategy to its training activities to enhance employee skills, technical and
business facts through major practices recognized internationally (Marchington & Grugulis,
2010). Expectancy theory put forward by Vroom & Lawler (2014) states that the best HR
practices lead to increased levels of productivity and quality as well as reduced levels of
absenteeism and employee turnover.
3.2 Best fit approach
According to Sparrow and Hiltrop (2006) HRM strategies used in an organization with the
purpose of strengthening the corporate strategy. These scholars often refer to it as the matching
model for HRM. The best-fit approach focuses on the concept of universality hypothesis in
determining the best practice in each organization. This approach focuses on the possible fit
between HR practices and the organization’s environment, its structures and its stages of
development (Redman and Wilkinson, 2009). Kingfisher plc adapts the best-fit approach to get
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access to other labour markets by bringing forth and looking for potential employees through
higher management which helps to find personnel best fit to the company’s high performance
and produce quality work.
4.0 Recruitment and Selection
Recruitment is whereby the organization sets out to search for prospective employees and
encourages them to apply for the vacant positions (Flippo,2016). The HR department estimates
the available vacancies and then makes necessary plans for selection, recruitment, and hiring.
The vacant positions are widely publicized encouraging more candidates to apply in order to get
suitable candidates during the scientific.In the process of hiring, relevant data is gathered from
the most interested candidates. Its the first contact between the company and the potential
employees. Some of the methods of recruitment include networking, advertising, posting,
referring, waiting list and study aids.
Selection involves pinpointing the most qualified and suitable candidates among the
interested candidates.It involves picking the best and leaving out others. During the process, the
interested candidates are sorted and classified according to the best capabilities in accordance
with the skills required for the job. Then, the best candidates are chosen and hired by the
organization. The selection process is based on the concept of the right person for the correct
position.
4.1 Approaches used in recruitment and selection
The Kingfisher plc company applies various approaches in the recruitment and selection
processes. These processes include:
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4.1.1 Job analysis
Job analysis involves reviewing a job and the collection of information that pertains the
responsibilities, operations, and skills of a particular job.
Some of its benefits are: it enhances good advertisement for jobs, ensures purposeful
interviews, and it also promotes appropriate selection of psychological tests. Job analysis has its
cons. The process of job analysis is time-consuming, personal biases may be involved in the job
analyst is from the same organization thus hinderance of genuine and accurate data. A lot of
individual effort is involved in the process of job analysis due to lack of particular pattern for the
job.
4.1.2 Networking
It is a type of selection process that involves being referred and recommended by bodies
such as associations and agencies. They provide opportunities to their members to be placed in
jobs through referral. Some of its advantages are: it is not costly and consumes less time. It gives
one direct connection between their areas of specialization. On the other hand, it has its cons:
fairness and equal opportunity can be a challenge; information must be within the organization
for the candidate to be considered.
4.2 Internal and external sources of recruitment
Recruitment and selection go hand in hand. They are the gateway through which
qualified candidates for a job are accessible. The Kingfisher Company applies these internal and
external sources to select and recruit its potential employees. Internal sources refer to the
selection that is within the company. These include promotions, internal notification, retirements,
recalls and formal employees.
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External sources of selection and recruitment involve sourcing outside the company. It
includes press releases, administration consultancy services and private pay exchanges,
management training schemes, walk-ins and talk-ins and deputation of personnel.
5.0 Employer and employee HRM practices in Kingfisher
Some of the activities for HRM within Kingfisher plc are learning, training and development,
job and workplace design, types of payment and reward system.
5.1 Training and development
According to Flippo (2014), training is the process of enhancing the skills and know-how
of an employee in performing a specific task. Training is giving information, wisdom, and
learning to acquire technical, social skills and administrative skills within the workers.
5.1.1 The Types of Training
There are various kinds of training, including refresher, induction, job, promotion training
and training for supervision development
Induction training seeks to introduce a fresh worker who has been appointed by the
organization. It is a training that is subject just after being a member of the organization. It aims
at giving an overview of the employer for the organization.The purpose of job training involves
giving instructions and providing the way forward to an employee in regards to the specific job
advertised. This is to ensure that the employee has the skills, and they know how to carry out
tasks, diligently, efficiently and effectively in the organization, while at the same time, ensuring
time discipline.
Promotional training performed in the case of an employee moving to a higher post in the
organization. The main aim is to equity the worker with necessary skills to handle the top
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position. Refresher training focusses on updating and enriching the experiences, knowledge and
professional skills of employees in higher managerial positions.Finally, training for supervision
development is performed to top leaders to enrich their efficiency skills preparing them for
higher positions. Kingfisher plc makes provisions before assigning any type of training to its
employees.
5.2 Objectives of Training
Training increases productivity and effectiveness of its workers and the entire organization and
helps combat challenges that come with the invention in the science and technology sector. It
also creates a good place for skilled, loyal and employees which are capable of doing a particular
work to actualize the vision and mission of the organization. Training ensures employee job
security and ensuring motivation for employees and morale boost to enhance growth and
development. Additionally, training reduces accidents in the workplace and any unbiased moods
for workers in terms of health and safety
5.3 significance of Training (to employer/management)
According to Kingfisher plc Company, training has a variety of benefits to the management or
employer. Due to a boost in morale and motivation, the performance at the workplace improves
thus raising productivity and efficiency of managers. It results in improvement in production by
reducing the volume of wastage; the general production cost is lowered. Accidents are
minimized as employees work in a systematic manner to avoid any errors in the area of work.
Training lowers the rate of expenditure for the organization because trained employees require
less supervision as they work because employees have high morale for work. It reduces the
turnover for management positions thus enhancing stability. Training ensures an efficient
workforce which is an important asset to the organization and it natures employee attitude
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towards work and creates good company relations. Due to the interesting job, managers want to
be at work all the time thus reducing absenteeism.
5.4 The significance of training to employees
Training plays an important role in the employees. Employees are an important asset to the
organization thus given the priority for training. Training builds employee courage at the
workplace as they are fully secured from risks which raise job interests among employees in
work thus higher productivity is enhanced
Training acts as an asset to the employees through gaining relevant skills creating a gateway to
higher promotions. It enumerates a lot of benefits to employees monetary and remuneration and
develops flexibility among employees. It refreshes the mental look of employees by updating
their skills and knowledge.
6.0. Management development
The Kingfisher Company adapts the managerial development programme whose role is to
train the managers apart from the operative staff. Managerial talent is the most valuable talent in
an organization.
6.1 Importance of management development
Management development has become a necessity for organizations today. Technology
developments have had a great impact in influencing management development making it easier
to incorporate into the workplace. The value of management development is as outlined below.
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Appointing new managers in an organization can lead to slow growth and low productivity
before he peaks up the pace. Management development has now made it easier to train talented
employees in the organization to take up the managerial positions and create a rich team of
managers within the organization.
In every organization, the managerial position can be risky and a challenge thus requiring more
skill improvement. Management development ensures that the talented personnel in the
organization is often trained and the skills strengthened to make work easier to handle(Chen and
Huang, 2009). Management development is important in offering self-development programs to
the managers to ensure that management obsolescence is well taken of. It is important for an
organization to have a sharp executive team to enhance the organization’s growth
The business world is receiving rapid changes in the social and technological changes thus
organizational managers should be well trained to ensure they keep up with the developments in
the business arena. Mangement development ensures that an organisation has well trained and
professional managers who are able to keep up with market competition, government rules,
consumers sanity and social pressures. The business world today needs a focused manager ,who
is well trained to handle all the issues facing the organization.
6.2 Employee salary and wage administration
The concept of salary and wage administration involves the development and implementation
of reasonable practices and right policies of employee compensation. It is characterised by a
survey of employee salary and wages, wage adjustments, job evaluation, supplementary
payments and allowances,analysis of organizational problems, payment incentives, establishment
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and maintenance of wage structure,control of compensation costs, profit sharing and making
rules for administrating wages (Beach,2016).
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