Analyzing Nestle's HR Strategy: Corporate Plan & Implementation

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This essay provides a comprehensive analysis of Nestle's Human Resources (HR) strategy and its alignment with the company's corporate objectives. It explores how Nestle's HR priorities are embedded within its strategic plan, emphasizing the importance of employee engagement, talent management, and corporate social responsibility. The essay discusses the rationale behind integrating HR strategies into the corporate plan, highlighting the role of HR in achieving organizational goals at the departmental level. Furthermore, it addresses contemporary HR challenges faced by Nestle, such as an aging workforce and competition for talent, and examines how successful implementation of HR strategies can lead to ethical practices, employee trust, and improved business performance. The essay concludes by underscoring the significance of aligning HR practices with Nestle's mission to enhance the quality of life and contribute to a healthier future.
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Running head: HR STRATEGY OF NESTLE
HR Strategy of Nestle
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Introduction
Human Resource Management helps in the process of maximising the performance of
the employees in relation to the strategic objectives of an organization. It primarily deals with
managing people and focuses on policies along with that of systems. Nestle is a leading food
along with beverage company within that of the world. They are known for more than that of
2000 brands that range from that of global icons to the local favourites. The purpose of Nestle
is to enhance the quality of life and thus contribute to that of a healthier future (Brewster,
2017) The essay talks about the strategic plan of Nestle. It elaborates on the HR strategy that
is embedded within the corporate plan. It also expounds on the rationale of the strategies
pertaining to HR. This essay discusses the contemporary HR challenges that are facing the
organization and the achievements that HR can gain on successful implementation of
workplace related strategy.
Analysis of the Discussion Questions
The strategic plan of Nestle focusses on the aspect of helping 50 million children in
maintaining a healthy lifestyle. Primary objective in relation to Nestle is the creation of
products that can bring forth a future that is healthy. Nestle wants to act legally and value in
relation to their brand is created because of the respect that they provide to people with whom
they have collaborated in a business. The department of Human Resources (HR) are well
aware of the fact that employee engagement can pave the path for the growth of the
organization. HR department of Nestle should be able to communicate vision in relation to
the organization. The principles of the business should be communicated to the employees
which can help them in attaining the corporate objectives in relation to Nestle (Cascio, 2018)
The line managers of Nestle should be capable of building an environment that can imbibe
value of personal commitment in relation to the employees (Nestle.com.au., 2018)
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2HR STRATEGY OF NESTLE
Professional guidance should be provided by the line managers which can aid in the process
of delivering superior business. The aim of HR in Nestle is to optimise the performance and
they have to take care of the fact that the conditions in relation to working are quite good. A
streamlined method has been adopted by that of “Nestle in the Market approach” that can
assist in the process of ensuring clarity (Bratton & Gold, 2017). The employees in Nestle
should be hired on the basis of professional skills that can assist them in the process of
fostering that of long term relationship. There should be strong alignment in relation to values
along with culture of Nestle. The skills of the employees should be aligned with the
principles pertaining to Nestle that can prove to be an advantage for the company (Armstrong
& Taylor, 2014)
Nestle should focus on providing the employees with the right kind of working
conditions that can help them in understanding the significance of safety. On the event of
stress being laid on the well-being of employees a workforce will be created who will feel
responsible towards that of the community. It is the role of HR to communicate to the
employees and people outside of the organization that they care for them. Nestle wants to
produce a high performance culture. The different elements in relation to the organization can
help in creating value in relation to the employees. New employees cannot be attracted only
on the basis of remuneration. The HR Department should be able to create a distinctive
culture that can help in the process of bringing about change (Marchington et al., 2016).
Young employees of the organization should be made conscious towards the environment
and they should be acquainted with corporate social responsibility. The social responsibility
of Nestle can help in rehabilitating the employer brand with the new hires. Litigation is faced
by the food industry in relation to Australia and the government agencies have strict rules in
relation to it (Brewster, Mayrhofer & Morley, 2016) It is the duty of the human resources to
offer protection to the business from the clutches of costly law suits. Food safety training has
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3HR STRATEGY OF NESTLE
to be imparted to the employees for the success of the company. Training the personnel of
food quality control can help in delivering organizational value (Reiche et al., 2016)
There are different departments in Nestle like that of Quality Control, Marketing,
supply Chain and Customer and Sales. The kids having nutritious food will be able to lead a
healthy life and they would face lower risk pertaining to health problems. Quality Control
Department in relation to Nestle has to make sure the food consists of the perfect quantity of
protein and vitamins. Partnership being formed in between sales team and human resources
can act as valuable relationship pertaining to the company. The human resources of Nestle
can play a key role for the sales department in making profits. Understanding in relation to
the products is a necessity that can help in attracting the right talent in the organization
(Brewster et al., 2016) People want to be aligned with an organization that has good name
and a mission. The stakeholder theory in relation to human resources lays stress on the morals
along with values in relation to an organization (Jones, Harrison & Felps, 2018) The
stakeholder theory emphasizes on the fact that the different parties involved within that of the
organization should be able to benefit from that of the business practices pertaining to the
organization. Nestle takes into account the stakeholder theory as it looks after the well-being
of the consumers along with that of the employees involved in the organization (Hörisch,
Freeman & Schaltegger, 2014). The marketing approach and the innovations adopted by
Nestle looks after the benefits in terms of the consumers which makes Nestle abide by the
stakeholder theory. People should be shown the personality in relation to Nestle and the
marketing team can help in this regard. It is the duty of the human resources to see to it that
the products are on the basis of the marketing approach. On the event of wrong information
being delivered to that of the customer the loyalty of the brand will subside to a great extent.
Expectations in relation to the employees can help in changing aspects of the brand (Purce,
2014) The evolving of Nestle is required so that it can survive in the competitive market and
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4HR STRATEGY OF NESTLE
it is the responsibility of the human resources team of Nestle to make sure that health of
children is not sacrificed at any cost. HR Department focusses on the arena of providing
nutritious food and beverages to that of children and the new mothers.
The present challenges that Nestle have to face is pertaining to that of the ageing
workforce. The personnel in the upper level who become aged retire every year. Recruiting
has to be done by Nestle continuously in order to fill positions on the occasion of succession
proving not be possible. The right person should be found by the organization who can
comprehend the mission of the company and work along those lines. This acts like a
challenge in relation to the company. The graduates in the present age lack the perquisite
amount of knowledge and experience to fulfil the responsibilities of their particular role.
Nestle focuses on producing healthy food that can lead to contribute to well-being of the
consumer. Nestle has to face stiff competition from other MNC’s for attracting potential
talent within job market (Van Der Aalst, La Rosa & Santoro, 2016) It hence acts like a
challenge and selection of the right employee is a big challenge for the organization. New
employees joining the organization lack practical exposure and creative skills of employee
can bring benefits for the organization. Talent Gap can affect the arena of business flexibility
and growth.
Nestle can be called a diverse organization and they lay emphasis on the creation of
an environment that can provide support to the employees. Successful implementation will
cause the human resources to create practices that are ethical and which can build trust in that
of the employees. Quality maintenance of food items can help Nestle in maintaining
compliance with external standard such as UN Global Compact (Bridoux & Stoelhorst,
2014). Engagement Strategy of Nestle can keep the employees engaged and they can be a
cause of competitive advantage. This can help in bolstering the business performance
pertaining to the organization. Employee feedback can prove to be useful in relation to the
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5HR STRATEGY OF NESTLE
organization for reaching their aims. It is seen that the effective implementation pertaining to
the HR strategies can decrease employee turnover. Experienced employees will thus be able
to perform effectively and this can prove to be a success for the organization (Andriof et al.,
2017) The HR strategies being implemented along the right lines can help in the development
of the talented people. The team should be developed in the arenas of technical and
leadership skills that can prove to be crucial for the growth of the organization. Corporate
social responsibility can help in looking at the ethical demands and fulfilling the objectives
pertaining to HR can help the organization in the arena of meeting objectives.
Conclusion:
Nestle wants to create products that can be of good use for the future and inspire
healthy lifestyle in the people. Nestle wants to act along the right lines and this can create
value for the brand. HR department in relation to Nestle should communicate the mission of
the organization to that of the employees that can assist in the growth of the organization. The
business principles should be made known to the employees that can be of great benefit for
Nestle to attain the aims. The hiring of the employees should be based on professional skills
and this will help in creating a lasting relationship between the employees and the
organization. The Quality Control team of Nestle has to take care of the fact that the food
consists of the right amount of protein along with that of vitamins. The HR department
should take care of the fact that the right people has been employed by the organization that
can help in attaining the organizational objectives.
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References:
Andriof, J., Waddock, S., Husted, B., & Rahman, S. S. (2017). Jensen’s approach to
stakeholder theory. In Unfolding Stakeholder Thinking (pp. 85-100). Routledge.
Armstrong, M., & Taylor, S. (2014). Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Bratton, J., & Gold, J. (2017). Human resource management: theory and practice. Palgrave.
Brewster, C. (2017). The integration of human resource management and corporate strategy.
In Policy and practice in European human resource management (pp. 22-35).
Routledge.
Brewster, C., Houldsworth, E., Sparrow, P., & Vernon, G. (2016). International human
resource management. Kogan Page Publishers.
Brewster, C., Mayrhofer, W., & Morley, M. (Eds.). (2016). New challenges for European
resource management. Springer.
Bridoux, F., & Stoelhorst, J. W. (2014). Microfoundations for stakeholder theory: Managing
stakeholders with heterogeneous motives. Strategic Management Journal, 35(1), 107-
125.
Cascio, W. (2018). Managing human resources. McGraw-Hill Education.
Hörisch, J., Freeman, R. E., & Schaltegger, S. (2014). Applying stakeholder theory in
sustainability management: Links, similarities, dissimilarities, and a conceptual
framework. Organization & Environment, 27(4), 328-346.
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7HR STRATEGY OF NESTLE
Jones, T. M., Harrison, J. S., & Felps, W. (2018). How Applying Instrumental Stakeholder
Theory Can Provide Sustainable Competitive Advantage. Academy of Management
Review, (ja).
Marchington, M., Wilkinson, A., Donnelly, R., & Kynighou, A. (2016). Human resource
management at work. Kogan Page Publishers.
Nestle.com.au. (2018) http://www.nestle.com.au. Retrieved 17 April 2018, from
https://www.nestle.com.au/creating-shared-value/our-people
Purce, J. (2014). The impact of corporate strategy on human resource management. New
Perspectives on Human Resource Management (Routledge Revivals), 67.
Reiche, B. S., Stahl, G. K., Mendenhall, M. E., & Oddou, G. R. (Eds.). (2016). Readings and
cases in international human resource management. Taylor & Francis.
Van Der Aalst, W. M., La Rosa, M., & Santoro, F. M. (2016). Business process management.
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