Strategic Human Resource Management: Marriott Hotel Case Study

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Strategic Human Resource Management

TABLE OF CONTENT
INTRODUCTION......................................................................................................................1
TASK 1......................................................................................................................................2
Explain the relationship between business strategy and the human resource strategy..........2
TASK 2......................................................................................................................................9
Explain and critically discuss the nature and theoretical perspectives of Employment
Relations.................................................................................................................................9
CONCLUSION........................................................................................................................13
REFERENCES.........................................................................................................................14

INTRODUCTION
In the hyper changing business world, the organisation are realising that their main resource
in order to achieve the success and competitive advantage in the market is the human capital.
Organisation is now making strategy in order to explore and enhance their most useful asset,
human resource. Strategic human resource management is termed as the process of linking
the human resource functions with the strategic goals of the organisation with an aim to
improve the organisational performance. Marriott hotel based in the UK which provides
quality of hospitality services to their guest and for this it is essential for their human resource
department to manage the performance of all the employees. The report will discuss some of
the strategies and approaches that will be use by human resource management of Marriott
hotel for managing their service quality and internal capabilities.
The present report will assist in understanding the various aspects of SHRM that are essential
for leaders and managers in their decision making process whether private or public sector.
The report will highlight the linkage between the human resource strategy and business
strategy in organisation. Further, the report will include the analysis of Vertical alignment
and Horizontal integration. Report will also include the theory and model of Strategic human
resource management. Further, the report will assist in understanding the aspects of
employment relationship. It will provide a deep insight regarding various perspectives of
employment relation. It will also highlight the role of actors in employment relationship with
recommendation to the business leaders and managers.
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TASK 1
Introduction
Strategic human resource management is significance practise of attracting, developing,
rewarding and retaining the employees for the benefit of both employees as an individuals
and organisation as whole. Present task will include the relationship between business and
HR strategy. It will also highlight the vertical and horizontal integration in HR within the
Marriott hotel. Further, task will also explain the theoretical basis of SHRM which need to
be considered by the HR manager of Marriott hotel. The task will assist in understanding the
approach of best fit, best practice and resource based view. Furthermore, task has present
different HR practices of reward and performance management.
Explain the relationship between business strategy and the human resource strategy
Relationship between HR strategy and Business strategy
Strategic human resource management is termed as the process of linking the human resource
functions with the strategic goals of Marriott hotel with an aim to improve the hotel
performance. Business strategy of a firm is strongly related to the HR strategy, as the human
capital is essential for the longevity and success of a business, whether private or public
organisation (Taylor, Doherty and McGraw, 2015). It can be said that, business strategy
indulge in indentifying the direction of firm’s work in relation to its environment and HR
strategies manages the human capital in order to achieved the goals of the firm efficiently.
The relationship between business strategy and human resource strategy can be presented as:
Competitive advantage and Hr strategy: Business strategy emphasised on gaining
competitive advantage in the market. This competitive advantage can be attained in form of
either low cost or product differentiation or by providing higher quality products and
services. Despites of having capital and technologies, the most important resource that
Marriott hotel requires are its human resource and their capabilities which will assist in
achieving the unique competitive advantage. Human resource strategies seek to manage the
human resource in order to achieve the business strategies. Hence it can be said that the way
through the human resource influenced, motivated, managed and retained is essential to
impact upon the business strategy implementation.
Controlling external factors: Interaction between HR and business strategy is effective for
controlling the uncontrollable external factors if business environment (Cascio, 2015). The
HR professional works as per the strategy in order to minimize the adverse impact of such
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factors on the business strategies. It can be controlled with effective leadership provided from
the departmental managers and leaders, training and instructions that are being provided to
the employee with effective information system will assist in monitoring the process more
efficiently.
Thus, it can be said that business strategy and human resource strategy are directly linked
towards the success of Marriott hotel. A leader or manager should always makes the human
resource strategy in a way that it will assist in accomplished the business objectives and goals
of firm in an efficient manner.
Vertical alignment and Horizontal integration
Integration is essential in an HR to increase its effectiveness and relevance of human resource
management in Marriott hotel. There two ways in which integration in HR practices can be
done:
Vertical integration: It refers to integrating the learning and developing strategy for
comprehension of the HR strategy with the business strategy at corporate level (Delery and
Roumpi, 2017). Vertical integration is referred as the way in which the HR practices and
activities can support and fit with overall organisational activities. The main aim of this
integration is to link up the goal of the Marriott hotel so that it can be achieved in more
efficient manner. Vertical integration assists in increasing the effectiveness of the HR (What
Are the Differences Between Vertical & Horizontal in Strategic Management? , 2019). The
businesses leaders can efficiently aligned the HRM practices, roles and responsibility with
the strategic management process and contribute with the vision, mission and strategic
objectives of Marriott hotel. In other words it can be said that, the HR activities needs to fit in
the organisation and works in the same direction with the vision and mission of Marriott
hotel.
Horizontal integration: It can be referred as integrating the learning and developing activity
with that of other HR practices in order to bring the consistency across the whole HR area. It
aims to increase the efficiency of the HR practices and is defined as consistency of HRM
practices, policies and implementing in order to deploy the HR in Marriott hotel. The main
objective of HR activities is to support each other activities that include recruitment and
selection process, performance management, reward management etc.
However, the main difference between the two is the business leader who will make the
decision. In the vertical integration, decision ns are made by the top level management
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communicated to downwards from middle level to supervisor and then to the employees. On
the other hand, in horizontal integration, the employees will take the decisions on their own
which are based on company’s guidelines (Moutinho and Vargas-Sanchez, 2018). The top
management and leaders will enter in a critical situation only.
Theories and Models of SHRM
Strategic human resource management is the practise of attracting, developing, rewarding and
retaining the employees for the benefit of both employees as an individuals and Marriott
hotel. The goals of the HR are to reflect and support the goals of rest of the organisation.
Different theories and framework related to Strategic human resource management are
presented as below:
Harvard model of SHRM:
This model of SHRM proposes the interrelatedness and coherence of different HRM
activities. The theory emphasised on the four human resource categories which are employee
influence, human resource flow, reward system and work system. These are the issues which
a leader has to face in Marriott hotel. This theory states that, leaders should apply a
management style or strategy needs to apply. As per the theory, the major concern for an HR
manager in policy areas is as follows:
Employee influence- It reflects delegated levels of authority, responsibility and power to the
employees by the managers and leaders (DeCenzo, Robbins and Verhulst, 2016). As per the
theory, employees influence must be compatible with management purpose and priorities.
Human resource flow- It involves the strategic functions of HR that is to manage the flow of
employees into the organisation. As per the model, the leaders and manager needs to ensure
the proper flow of employees in order to meet the strategic requirement of Marriott hotel.
Reward system- The Harvard model recommend that an employees should be included in the
organisation’s reward system and should be aware about the business strategy related to
motivating the employees through such reward system.
Work system- It can be termed as the ways in which people. Information, activities and
technology are arranged in each level of the organisation in order to make the work more
effective and efficient.
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Figure 1 Harvard model of HRM
As per the Harvard Model for HR manager in policy areas leads to achieve the four C’s that
are commitment, congruence, competent and cost effectiveness. However, a critical analysis
of this theory shows that it has been deeply rooted in the human relations which are
ineffective. Moreover, it can be said that Harvard model beliefs that human capital are the
main source in order to gain the comparative advantage.
The Guest Model: It is another model of HRM which focuses on the assumption that says
HR managers has some specific strategies that require to be executed for effective outcomes.
Such outcomes can be behavioural, performance related and financial rewards. As per the
model, that emphasised the logical sequence of six components:
HRM practices- It includes hiring, training, compensation and employee relation.
HR outcomes- It results in achieving the commitment from employees, performance quality
and flexibility in adapting change.
Behavioural outcomes- it includes motivation of employees, co-operation among them and
organisational citizenship
Performance outcomes- It can be negative or positive depends on the strategies implication
on employees.
Financial outcomes- It includes revenue, profit and return on investment.
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It can be said that, these theory can be understand with looking inversely these perspectives
that financial results are depends on the employee performance. Which are the results the
result of their behaviour towards work. Behavioural outcomes are the result of commitment,
quality and flexibility that are impacted by the HRM practices which arte depends on the
HRM strategies of Marriott hotel.
Best fit, Best practice and Resource Based View approach:
With the increase in the rapid change in business world, the Marriott hotel is realising the
importance of employees as an asset which are essential for the success of an organisation.
These are many models which organisations are integrating the human resource with the
standard, vision and mission of Marriott hotel. Some of such approach is:
Best Fit approach: This approach of SHRM focuses on developing the HRM process of
organisation as per its business strategy (Brewster, Mayrhofer and Morley, M, 2016). This
approach emphasised that HR strategy must according to the situation and circumstances of
Marriott hotel. It assists the managers and leaders to take decision regarding the employees
that are suitable in that particular situation. It focuses on making the HR strategy that which
can fulfil the needs of Marriott hotel and its employees.
However, it can be critique that the approach of best fit that it due to the flexibility it will be
difficult in order to handle the new challenges.
Best Practices approach: This approach based on the assumption that there are set of
practices of HRM that are universally accepted by all organisations. As per this approach,
these practices are suitable in any satiation and will also assist in improving the performance
of Marriott hotel. Some of these practices are as employment security, selective hiring,
training and development to employees etc. such practices are very useful for HR in order to
increase the employee satisfaction and employee commitment (Morschett, Schramm-Klein
and Zentes, 2015). the leaders and managers aims to make decision in order to adopt the
practices which will assist in influencing and motivating the employees which results in
improved Marriott hotel performance.
However, this approach can be critique through pointing out the inconsistency between the
belief in best practices and the resource based view in organisation that includes HR which is
essential in gaining the competitive advantage. However, it has also been argued that the best
practices that are suitable for an organisation may not be suitable for other organisation.
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Resource based view: It can be said there is no single best way approach for HRM. The
organisation should design their approach as per the elements of best fit and best practice to
achieve the best possible outcomes. Resource based view of the firm focuses on the internal
source of the organisation rather than analysing the performance in the external context. This
approach argues that organisation have the resources such as human resource of in order to
gain competitive advantage.
HR practices of Performance Management and Reward
Performance management can be termed as the systematic process which assists in improving
the overall performance of the organisation through improving the performance of an
individual. Performance management aims to make the superior performance which can be
achieved through achievable benchmarks (Analoui, 2017). PM and reward system assist in
setting a platform in order to reward the excellence performance of the individual achieving
as per the objectives and mission of Marriott hotel. There are many HR practices related to
the performance management and rewards which are presented as follows:
Communicating company’s goals and performance objectives: It is very essential for the
employees to know regarding their performance duties and expectation that they need to
fulfil. The manager should define and effectively communicate the company goals and
performance objectives.
Offering performance management feedback: After communicating the company goals
and job performance expectations; HR managers frequently provide them feedbacks
regarding their performance. The performance feedbacks are very essential for the employees
so that they can improve their performance more efficiently.
Consistent appreciation: reviewing the performance and providing feedback is an effective
practice. But the HR manager and leaders can make strategy in order to appreciate the
performance of an employee (Marler and Parry, 2016). It is grate strategy which is effective
in boosting up the employee performance.
Recommendation
It can be recommended to the business leaders that effective performance management
system in organisation is very essential to boosting up the performance of the employee as
per the standard of the organisation whether a private or public. It can be recommended that,
the HR managers should redesign the performance management system in order to support
modern performance management and reward system. As it is very essential for the
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organisational development and also assist the employees to accept the change in Marriott
hotel culture.
Conclusion
It can be said from the above task that strategic human resource management is very effective
as human resource is termed as the most important asset for the success of Marriott hotel. It
can be said that business strategy and human resource strategy are directly linked towards the
success of Marriott hotel. Further, the difference between vertical and horizontal integration
has been explained. The task has concluded the Harvard model of SHRM with different
approach for the HRM. It can be analysed from the report. Different HR practices related to
the performance management and rewards in Marriott hotel.
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TASK 2
Introduction
Employment relationship can be termed as the legal link between employer and employee. It
is the nature when a person is being employed under the condition in return of compensation
of his efforts. The employee relation is the efforts that a company make in order to gain the
employee loyalty and to increase the employee satisfaction from the job. The present task
will discuss the nature and different perspectives of the employment relationship. Further, the
task will also include actors of the employment relationship with their roles in maintaining
the employment relation. Further, the task will provide recommendation related to
contribution of employee voice in Marriott Hotel.
Explain and critically discuss the nature and theoretical perspectives of Employment
Relations
Theoretical perspectives of Employment Relation
Employment relation is termed as efforts of organisation to establish effective
communication and relation with their employees. It can be termed as a formal and informal
relationship between management and employee interaction in all working situation. It can be
said that there are different theoretical perspectives to the empowerment relation which can
be presented as follows:
Unitary Perspective: As per these perspectives, the employers and employees work in a team
in order to attain the common objectives within Marriott Hotel. These perspectives allow the
organisation to look as a single unit, where the management and workers share the common
purpose, interest and objectives (Brewster, Mayrhofer and Farndale, 2018). As per the unitary
perspectives, the conflicts in Marriott Hotel are bad as it reflects the employee dissatisfaction
and differences ort poor communication of management with the employees. Unitarists
implies that the leaders should make the decisions and employees should support the
management in complying with the law.
However, this perspective has been critiques as the basic disagreement in the employment
relationship can influence the attitude and behaviour of employers towards the employees in
Marriott Hotel.
Pluralist perspective: As per this perspective, the organisation is employed with small groups
with diverse objectives, values and interests (Marchington, 2015). This perspective has
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assumptions which states that the organisation is combined with group of distinct groups with
their own leadership, interest and objectives. The conflicts between such groups will leads to
create tension for the management. The organisation which is pluralist often has conflicts
related to differences in interest and disagreements that are over the distribution of profit. In
pluralist perspective, the trade union are representative of the employee to the organisation
which enables the employee groups to influence the decisions of management decisions. As
per these perspectives, the employees are loyal towards the organisation rather than the
management.
Marxist perspective: It is vast concept which emphasised on the importance of the collective
action and organisation in terms of mobilisation theory. This perspective believes in change
as per the change in organisation and society (Bratton and Gold, 2017). This perspective
majorly focuses on the capital society and its production, distribution and exchange system. It
assists in analysing the industrial relations in terms of organisation job which relates to
industrial relation in social, political and economic terms.
As per Marxist perspectives, the inequalities in society lead to enter the organisation which
results to raise the conflicts. The Marxist is based on certain assumptions which are the basis
of these perspectives. First one says that the social changes lead to increase the class
conflicts, second says that with the inequalities causes class conflicts that leads to arise in the
distribution of economic power in society. It can be said that, in this perspective, the conflicts
are structured and necessary
Roles of the actors in employment relationship
Employee relation can be termed as the complexes of interactions between the managers,
workers, and agencies of the state. There are different actors exist in employment relationship
which are essential to make make it more effective and efficient. These actors have various
roles and responsibilities ion employment relationship which are as follows:
Trade union: These are the representatives of the employees to the management of the
organisation. Trade union plays a significance role in protecting employees from any kind of
harassment or discrimination in Marriott Hotel. They play an effective role in collective
bargaining related to the employees to the management of the organisation. The management
of Marriott Hotel include the representative of trade union in decision making process.
Presence of trade union representative will help the management to take decisions that can be
favourable for the employees (Stone and Deadrick, 2015). This trade union also influences
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