Management Report: Key Aims of HRM and Customer Service

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Management Report
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Table of Contents
1. Discuss the key aims of two of the following functions........................................................3
Human Resource Management (HRM).................................................................................3
Customer Service...................................................................................................................5
2. Discuss how an effective structure can positively contribute to the success of an
organization................................................................................................................................7
References................................................................................................................................11

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1. Discuss the key aims of two of the following functions
Human Resource Management (HRM)
HRM also known as personal management is composed of various activities that fall under an
organisation and ensure effective utilization of employees to achieve the desired goals and
objectives of an organization. According to Berry et al. (2016), HRM also includes both
personnel and payroll function in a company. The personnel function includes hiring and
defending the employee’s information and on the other side, payroll function includes
retaining the information associated with the employee payment. All the essential activities
such as engagement of employees, training and other functions are managed by this sector of
an organisation. It is quite necessary for an organisation to specify proper job openings,
which will have more demand in the upcoming period and determine the essential
qualification to perform these jobs. As opined by Alfes et al. (2013), HRM practices in most
of the organisations are implemented using human resource or personnel department. The
responsibility of these departments relies under HR professionals and line managers. The
responsibility of HR professionals includes development of the system and provides actual
evaluation of the performance.
The main objectives of HRM include:
1. Defining the organisational structure and driving productivity
Human Resource Management drives efficiency in organisational work and acts as a method
to realise competence at the working environment. The main motive of this department at an
organisation is to accomplish organisation goals. As mentioned by Jiang et al. (2012), HRM
department also provides clearly defined aims and directs various departments in achieving
those. The major focus of HRM is to describe the key problems that need to be taken care of
and the rules and regulations along with meeting the organisational goals. The HRM
department increases the organisational efficacy and hires efficient peoples, trains them and
effectively assign them their tasks. Along with all these functions, HRM should also increase
the service that focuses on structuring the confidence of employee’s confidence and provide a
positive direction to them. This affects the performance of an individual and group.
2. Building a relationship between organisational departments

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It is the responsibility of HRM department to maintain a harmonic functionality and
coordination within the departments. The department is responsible for organising the
business-oriented resources. HRM also ensures that there is proper utilisation of these
resources and all over performance of human resources. As mentioned by Albrecht et al.
(2015), the department should also focus on making the effective utilisation of workforce in
proper direction of the organisation. This can be achieved by refining the conditions for
successful results, by making appropriate decisions, providing proper training, rewards,
panning, recruitment, evaluation and improvement of staff that are reliable.
3. Maintaining the societal and ethical models in the organisation
The ethical, legal and social responsibilities are to be deal with HRM department. The legal,
environmental and social responsibilities are to be suitably dealt with. The resources must be
officially coped with such that their requirements are appropriately recognised and fulfilled
by the organisation. As cited by Tooksoon (2011), HRM should also try to enhance the
organisational culture and provide a competitive advantage by implying social strategies. The
social and legal ethics must be clearly described by the company and works towards a healthy
and sustainable environment. Social objectives such as equal chance and equal pay must be
given proper concern to meet the objectives.
4. Offering job satisfaction to the employees
As referred by Kehoe and Wright (2013), job satisfaction is the major aim of employees at
any organisation. It is becoming harder for employees to sustain capable employees, as the
competition is globally rising. Along with this, it is also difficult to leave the high skilled
employees. Hence, it is the highest priority for HR department to hire right skilled employees
and the right talent. It is the liability of HRM to make certain that employees at organisation
respect each other choices and individual views. The policies, strategies and ideas that are
implemented for individual development must be attached to organisational goals. In such
cases, it would be beneficial for employees and the organisation. This would enhance the
performance of company. As opined by Huselid and Becker (2011), one of the
responsibilities of HRM also includes gratifying individual objectives that would help to
align the organisational objectives. Job satisfaction benefits the organisation by increasing the
productivity and setting up a specific focused edge.

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HR practices are implemented to gain a competitive advantage over other firms. It is the
liability of HR manager to be treated ethically, as most of the decisions are made by HRM are
related with ethical consequences. As argued by Paillé et al. (2014), in spite of many laws,
most of the times employees are treated in an unprincipled manner and they need to ensure
fair action at workplace. In some organisations, employees skirt the law and some follow the
letter part but they are not treated fairly by the management. In most of the organisations, HR
professionals play three roles, first monitoring, second investigating and third serving the
company as spokespeople. They need to overcome ethical dilemma and must be willing to
take strong stand. Theses department maintain the highest standards of professional and
personal behaviour.
Customer Service
Customer service department relates to the issues of customers and tries hard to resolves
those. This department is specially set for customers on behalf of organisation. It is the
responsibility of customer service department to handle each enquiry about the organisation
related with sales and delivery of the organisation. According to Radnor and Johnston (2013),
this department is important for the success for organisation as it directly communicates with
the customers. The highest priority of customer service department is to provide satisfaction
to the customers. It would be difficult for an organisation to make desired profits without this
department. An excellent customer service division helps the company to identify the needs
of customer and meet those. Customer service affects the bottom line of the organisation and
identifies the view of company in public’s eye. A set of policies is collected in customer
service, which governs how employee treats the customers. These policies consist of the
space availed to the customers in case of handling the issues, greeting customers, and backing
up our product and service.
Importance of customer service division
Almost all the companies are competing to gain higher customer dollar and gain customer
loyalty. Customers can be brought to the doors of company by proper advertising and using
appropriate marketing strategies. Investing in marketing and advertising strategies attracts
customers. As mentioned by Johnston and Kong (2011), customer service division keeps the
customers within the organisation once they come in. It is the responsibility of customer
service division to identify the issues and resolve those. It cost more to an organisation to
attract new customers as compared to the customers who are already sustained by the

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company. This division also helps the company to reduce turnover. Employees need to deal
to with both happy and unhappy customers and these employees are very unlikely to enjoy
their jobs and leave in a more hospitable environment.
Need for excellent customer service:
a) Helps the organisation to retain its customers
Customer retention is as important in an organisation as customer acquisition. It is considered
good for an organisation when old customers return to the company to purchase goods and
services. As referred by Jayawardhena and Farrell (2011), customer service department helps
the organisation to retain these customers. The well or good customer service representation
the more customers get attracted towards the business.
b) Builds a positive environment in an organisation
A positive brand image and reputation is built in an organisation by providing excellent
customer service. Customers in an organisation need to be treated as the kings and by
implementing this, organisation gets positive reviews. This helps the customers to build a
positive reputation among the customers. Every organisation needs good reputation to
increase the brand image and positive environment.
c) Customer service-customer relationship is the best form of advertisement
Advertisement has been taken to another level and in this modern era, one needs to be
creative enough to relate each of the marketing strategies with customers. The maintenance of
excellent relationship with the customers is however, the best form of advertisement. As
opined by Murdy and Pike (2012), customers endorse the products on their own and without
any fee. Therefore, it is essential for an organisation to invest a substantial portion in this
department.
d) Excellent customer service reduces most of the problems
Organisation invests most of the work force available in the customer service section. Every
organisation needs to face problems at one phase or another and it is the first priority of an
organisation to resolve the issues and problems of customers. For example, friendly
behaviour of customer service representatives with customers eases the tensions and prevents

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the chance of any type of litigation. All such problems related with customer along with
cancellation of orders, returns etc are also sorted by this department.
e) Opens door for business partnership and business opportunities
As great customer service builds healthy relationship, so it also opens doors for healthy
business partnership. According to Chathoth et al. (2013), an excellent customer service can
never be overemphasized. For each new product formed, a company needs to contact other
businesses, which would endorse the products and establish healthy business partnership.
This also helps the organisation to build trust with customers and the community.
f) Increases sales of the company
Sales department is different form of customer service department. However, efficient
customer determines the performance of sales department in an organisation. The amount of
positive reviews and feedbacks determines rise in sales. As opined by Smith et al. (2014), a
great customer service deal with various customer enquiries regarding the products and
services offered by the organisation, and complains in the organisation determines the sales
department.
Customer service can be enhanced in an organisation in various ways. Some of these include
developing customer service policies, hiring of talented employees and providing customer
service training to the employees. It is necessary for an organisation to survey their customers
and get an honest assessment of services provided by the company. The organisation then
must look upon the threads that can be addressed and then improved.
2. Discuss how an effective structure can positively contribute to the success of an
organization.
It is important for an organisation to maintain a balance between sales and operations. The
companies, which are unable to maintain a good organisational structure and a balance
between these two activities, fail most of the times. These companies do not generate enough
sales to support salaries and fulfil other resources. As referred by McLean and Wilson (2016),
organisational structure in a company can be defined as a method used to communicate, adapt
the changes and assign responsibilities. Along with this, organisational structure also defines
the scope of acceptable behaviour within an organisation and its relationship with the external
environment. There are various problems caused by bad organisational structure such as

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reduced productivity, poor communication, poor customer service, high employee turnover,
high hiring price and misalignment of the technology.
Importance of organisational structure:
According to Kumar et al. (2011), effective organisational structure in an organisation is
responsible for the maintenance of hierarchical structure in a business. This also provides
clarity on the business and employees issues such as managerial authority etc. The major
purpose of effective organisational structure includes:
 Making effective business decisions
 Perform only those tasks which are required
 Helps the company to run smoothly
 Facilitates internal communication
 Providing extraordinary customer service
Creation of an effective organisational structure for a company:
The creation of effective organisational structure consists of identifying the strengths and all
the key functions of an organisation. As mentioned by Smith (2011), the key functions and
management priorities must be clearly identified. Along with this, this also consists of
identifying the duties and responsibilities associated with the employees and their potential.
These steps can be followed to create an effective organisational structure:
 Creation of a dream structure
This is the most basic step in creating an effective organisational structure. It consists of
designing a structure as such the doors of the company are not been opened yet. This would
help to create a best possible management structure meeting the current and future demands
of employees. The structure must be thought of as if no regard is given to the employees or
there is any need to honour the commitments. After these, all the functions should be sorted
out based on the reality. This model would best suit to the challenges of the company and
help to reduce stress and create a positive environment.
 Organising by key functions
The key function of effective organisational structure consists of ensuring proper tasks to the
employees as per their capabilities. According to Carlström and Ekman (2012), various

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functions such as marketing, operations, sales and finance need to be managed by each
organisation. In most of the small businesses, multiple responsibilities are associated with
same department in order to save money. Such cases must be avoided, as the employees
under such condition are unable to perform as per its capabilities. Sometimes departments are
combined and each person has to perform different activities simultaneously.
 Creating a chain of commands
The effective organisational structure must decide the hierarchy of positions and should
clearly mention whom each employee directly reflects. This prevents competition between
the employees and they need not to follow co-worker’s direction, as he/she is not a
supervisor.
 Communicating the structure
Organisational structure is to be shared among all the employees as the must be aware with
the current objectives of the organisation. The structure is not a top-secret document and if
each employee would be aware with its responsibilities, it would be easier for the
organisation to assign roles. A well-dreamed structure makes the company and the roles
efficient enough to perform all the tasks.
Organisational structure is required by businesses to grow and gain high profit. A well-
planned structure includes of proper management of human resources and right skills need to
be associated with goals of company to achieve those. The organisational structure clearly
defines the roles and responsibilities of the employees. Each position has a job description
and employee needs to fulfil all those requirements to occupy the position. As opined by
Carlos Pinho et al. (2014), effective organisational structure allows and creates more
opportunities for better communication. The flow of information from one department or one
individual to other is necessary. Thus, an organisational structure must be designed to share
every detail and the communication lines must always be clear. The reporting relationships
i.e. who reports to whom, must be clearly identified and built. A clear reporting relationship
makes understand the employees their roles and responsibilities.
Along with these, effective structure makes the organisation celebrate for their every victory
and creates and highly enthusiastic environment in the company. Companies that tend to
grow faster, utilises their resources optimally and efficiently. An organisational structure with
positive environment ensures that right people occupy the right positions. A well-designed

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structure also ensures the completion of projects. As mentioned by Romero et al. (2011), in
effective structure, project managers identify the resources available and make the best use of
them. Good organisational structure ensures the minimal conflict between two individuals. It
also eliminates the chances of overlapping and duplication of work. It is the responsibility of
effective organisational structure to facilitate attainments of objectives through effective
coordination. Thus, the existence of effective structure is necessary for better management, as
this improves the teamwork within the organisation and increases the productivity. The
suggested framework tends to increase the productivity and makes people to work together
effectively. An effective organisational structure also provides simplicity, flexibility,
emphasis on staff and other activities related to management to ensure success and contribute
towards the organisation.

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