HR's Value & Contribution to Organisational Success Report

This report delves into the critical role of Human Resources (HR) in achieving organisational success. It begins by examining organisational design theory and its influence, using Unilever as a case study to illustrate practical applications. The report then explores various approaches to managing human resources, including content and process motivation theories, and the human capital theory, highlighting the significance of knowledge management. The report also incorporates a PPT on key HR concepts. Finally, it addresses how organisational design responds to and manages change, including the impact of environmental factors and change management strategies like Kotter's model. The report emphasizes the importance of HR in adapting to market changes, fostering employee motivation, and driving overall business performance.

UNIT 36 HUMAN
RESOURCES -VALUE AND
CONTRIBUTION TO
ORGANISATIONAL
SUCCESS

TABLE OF CONTENT
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
LO 1.................................................................................................................................................3
Organisational Design Theory and its influence.........................................................................3
LO 2.................................................................................................................................................6
Approaches for managing Human Resources..............................................................................6
LO 3.................................................................................................................................................8
Covered in PPT............................................................................................................................8
LO 4...............................................................................................................................................15
Organisational Design Response and management..................................................................15
CONCLUSION..............................................................................................................................16
REFERENCES................................................................................................................................1

INTRODUCTION
The term human resource collectively refers to the overall strategies and practices that are
adopted in order to develop and implement better practices that help in the contributing towards
the overall success factors towards the organisation. Initially the report will identify the factors
that are associated with the organisational design theory and the different strategies that can be
used in different organisational examples and contexts. The report will also identify the different
approached and techniques that can be used for attracting, developing and maintaining the
human resources. The different emerging developments in the field of HR will be identified in
the report and further the manner in which the organisational design helps in responding to the
overall change management process in different organisational situations. Lastly a conclusion
summarising the key facts will be presented.
MAIN BODY
LO 1
Organisational Design Theory and its influence
Organisational Design
Organisational design is known as framework which helps to identify factors influencing
performance of company (Olowookere and et al., 2020). Organisational design includes structure
and system which enhances the product and service quality of Unilever in the market. It is highly
important for Unilever to evaluate all internal factors which assist in understanding all the
available resources which can increase opportunity to gain competitiveness of company to
increase communication level in the organization effectively. It is crucial for Unilever to
formulate effective organisation design as the business is very large and operates in diverse types
of markets around the world which helps to control employee performance and achieve
objectives of organisation to gain competitive advantage in the market effectively.
Effective organisational design helps to detect and understand all the market changes and
adopt them and increase the potential to compete effectively in the market. It also assists
business to survive in the competition which also impacts the quality of services and products for
attracting more people and to increase their satisfaction considerably. Unilever has adopted this
organisation design which helps to analyse needs and wants of customers which increases

opportunity for business to expand in market regions and increase sales and profit margins. This
also develops consistency to gain better quality of products and services for effectively attaining
core competencies.
Sustainable Performance
Sustainable development is the effective management which helps to increase the
efficiency and maintain all work balance with life which also impacts the performance of
employees to achieve to objectives (PROFIROIU, 2019). It is also required for Unilever to raise
the productivity of the organisation by creating healthy working environment which increases the
collaborating working. These also reduce the stress of employees and motivate them and increase
their satisfaction and increase employee loyalty effectively. It provides to lower the cost of
operation and improve the quality aspects of company operations which increase customer
satisfaction (Taylor, 2016). It is mandatory for employees to increase their capabilities and
knowledge which increases the potential to create innovative ideas for new products which
attract customers and improve brand image effectively. Unilever has also developed effective
strategies which improve the brand value and perceived value to obtain higher profit margins.
Mckinsey’s 7S Model
This model helps in determining organisational design by examining all the seven
segments of the model for raising the potential to improve the profitability effectively. Increase
in competition in the retail industry globally, Unilever has adopted this model which helps to
analyse seven factors of the organisation which helps to gain competitive benefit in targeted
market effectively and promotes the organisation to achieve its set objectives effectively. This is
also helpful for Unilever to implement this model in the organisation as the company is largely
operational in different countries which may have negative impact on organisational
performance.
Strategy
Strategy is the forecast of all the action which company will be taking by analysing
available resources. Strategy also focuses on reducing the weakness of organisation and
increasing strengths to attain competitive advantage effectively (Laxman and Limbare, 2018).
Unilever has develop their strategy to increase customer satisfaction which is integrates with the
vision and aim of the company to achieve their objectives and increase market share effectively.

The main strategy of Unilever is to develop innovative products and services at lower prices to
dominate the market and raise customer satisfaction.
Structure
Structure is the formulation of functional departments in the organisation in such a way
which increases the potential of business to accomplish its objectives effectively. Unilever must
also understand all skills and knowledge of their employees to develop effective structure by
delegating roles and responsibilities to employees. This also helps to increase the communication
level of organisation and increase their performance effectively. Company has developed board
which includes management committee to manage all the activities in the organisation and
reduces risks (Unilever's legal structure and foundation agreements, 2020).
System
System is very necessary fragment of business organisation which reduces the wastage of
resources and also provides better opportunity to develop effective policies to grow effectively.
Unilever has effective management information system which helps to provide all internal and
external element analysis to make effective decision and maintain the performance of company
in the market effectively.
Shared Values
Unilever has adopted equality and diversity as shared values of organisation which helps to
enhances core value of employee to achieve objectives (Amankwah-Amoah, Ifere and Nyuur,
2016). Company also implement ethical examination of employees, regular interaction with staff
members and focuses on training and development of employees (Strategic Leadership at
Unilever, 2013). Shared values Helps Company to become more productive and develop healthy
working environment to compete effectively.
Skills
Unilever has maintained its effective skills which help to improve its relationship with its
suppliers which benefit the company effectively. Company has effective production units which
help to meet the demand of customer across the world effectively.
Style
Leadership styles of Unilever are autonomous which helps employees to become more
productive and achieve objectives effectively. this also helps the maintain the cultural values of

the organisation effectively. If leaders of Unilever do not communicate or follow integrated
style, then it can demotivate employees and their performance can be affected negatively.
Staff
Unilever has most effective workforce which helps the company to compete and increase its
potential to increase profit margins. Every employee has effective communication skill which
increases effectiveness of interrelationships between departments and achieve objectives (Stacho
and et al.,2017).
Effect of change is going to make the standards and skills be improved of the company
and also get in a lot of experience as well. Evaluation of the 7 elements in the organization is that
the theories are going to help the company be able to get the changes right so that there is going
to be higher outcomes. Structure of the company is going to change and traditional and
contemporary structure of the organization will be improved with time.
LO 2
Approaches for managing Human Resources
Motivation Theory
Content Theories
Content theory of motivation aims on the factors which motivates people to increase the
performance to achieve task. This theory aims at needs of employees in Unilever to analyse their
needs to increase their motivation effectively (Pimentel and Major, 2016). Content theory helps
Unilever to examine the needs and goals of employees and provide them opportunity to achieve
their personal goals which in return increase their motivation level and improve performance of
employees to attain objectives effectively. Company has adopted two factor theory which is
more effective in analysing all the factors and improving motivation level of employees
effectively. This theory helps to increase the opportunity of Unilever to understand the potential
of employees and develop effective strategies to attain core competency effectively.
Process Theories
Process theory focuses on the reason which changes the behaviour of people while
working. It is beneficial for business organisation to develop healthy working environment of
employees to increase their motivation (Bradford, Guzmán and Trujillo, 2017). This theory helps
Unilever to understand the behavioural pattern of employees to develop effective strategies

which improves performance and achieve objectives effectively. Company has implemented
equity theory which provides equal opportunity to all the employees according to standard
criteria for rewards which is analysed according to performance in the organisation. this also
reduces conflict ratio in the company and helps employees to focus on achieving objectives to
increase the sales and attain benefit over other competitors.
Human Capital Theory
Human capital theory is the tool which is related to experiences and knowledge of
employees which is converted in assets for business organisation. Unilever has actively invested
in employee training and development to increase their job satisfaction and increase retention
power of the company effectively. Human resource capital is very essential as it helped Unilever
to improve workforce performance to compete and attain excellency core competencies. This
also increase potential of employees by becoming loyal to the company effectively (Unilever
leaders chat strategy with employees, 2014). This is very essential for Unilever to understand the
different skills which are changing due to change in the retail industry which has also impacted
the potential of employees to achieve objectives of the company negatively.
Knowledge Management
It is essential for organisation to manage knowledge of employees so that growth
opportunities and profit margins can be increased. this also helps to increase the possibility of
high performance workforce which improve the service quality to increase customer engagement
and provide high satisfaction to them effectively (Uslu, 2017). Knowledge management helps to
create, identify, store, integrate and apply knowledge in the organisation by developing effective
strategies and higher technology to improve market share effectively. Unilever has implemented
effective management information system (MIS) which helps to process all stages of knowledge
management and develop strategies for improving efficiency of company. It also increases the
efficiency of employees to become more productive and motivated to achieve objectives
effectively. For motivating staff members Unilever regularly improve and implement employee
welfare programs. For instance, regular interaction or chat programs helps to resolve employee
issues so that they can focus more efficiently on work (Unilever leaders chat strategy with
employees, 2014).

LO 3
Covered in PPT

LO 4
Organisational Design Response and management
The Changing Environment
Due to change in the environment Unilever has reduced efficiency of its products and
services and also has incurred organisation which are imposed by different government
negatively. Due to constant change in the taste and preference of customers which has impacted
Unilever to adopt change management strategies effectively. increase in health consciousness of
customers in the global market has also changed the raw material procurement demand from the
suppliers. company has to analyse effective strategies to increase organisational potential and to
maintain performance for achieving objectives effectively. Unilever has adopted sustainable
development activities in the market which has increases cost of company however it has also
provided better brand image in market. Organizational design is going to change of the company

which has to be addressed by Unilever so that there is going to be higher operations and
functioning which is going to make the reputation and standards of the company remain intact.
Change Management
Change management is an integral part of business which assist in increasing the business
capabilities to compete in current market and to increase the efficiency to maintain the
organisational design effectively. Unilever has adopted Kottler change management theory
which helps to understand all external factors and try to integrate with internal factors of the
organisation. this provides better functional capacity for Unilever to grow in the market and
improve the profitability effectively. this also provided information about all the strategies which
has improved the quality of food and beauty products of Unilever to attract more customers
effectively (Chinyamurindi, 2016). Due to change in the governmental policies after Brexit,
company has adopted new change compliance which has impacted the performance of the
company and also impacted the ethical image of the company, Unilever has to pay huge amount
to government as penalty which has impacted the perceived value of the products and services in
the market effectively. it is also very essential for Unilever to develop effective research and
development team which analyses all the latest market trends to effectively invest in the future to
survive the competition effectively. Due to Hierarchical structure it also helps company to
increase its communication channel and increase innovation of products and services to improves
brand image in the market effectively. The negative sides of changes is that the company is
going to take time to be able to make sure that they have the right functioning and are matching
the demand and needs of the clients on time.
Unilever will have to make sure that they are using the right methods and change in the
design which the company has been using from a long run so that the organization will be able to
compete effectively in the market. Design of the company has to be according to the changes and
the leaders and managers will have to make sure that they are using the right measures and steps
in order to get in the changes which are required.
CONCLUSION
This report concludes that for business organisations it is crucial to develop effective
organisational design which improves the performance of all the activities to achieve objectives
faster. Report has also provided information about all the techniques and approaches which are

used by company to increase the potential of employees and develop them as human capital to
achieve the objectives effectively. It was analysed that skills and knowledge are very essential
part to become effective in the market and attain competitive advantage and increase profit
margins effectively. finally report described the different strategies which helped organisation to
adopt change management and improve the performance to achieve objectives and compete in
the market effectively. Report helped to analyse relationship between organisational design and
change management to resolve all the barriers and achieve core competency with high
performance workforce effectively.

REFERENCES
Books and journals
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