Strategic Human Resource Management Report for EasiClean plc

This report provides a comprehensive analysis of strategic human resource management (HRM), using EasiClean plc as a case study. The report begins with an introduction to strategic HRM and its importance in attracting and retaining employees. Task 1 explores the impact of organizational structure...Read More

Strategic Human Resource
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Impact of the structure and culture of organisations on HRM strategies.........................1
1.2 Asses importance of financial resources in formulating HRM strategy...........................2
TASK 2............................................................................................................................................3
Impact of government legislation on human resource management strategies......................3
TASK 3............................................................................................................................................4
2.1 Different models of strategic human resource management............................................4
2.2 Human resource management contributes to the achievement of the organisation’s
strategic plans.........................................................................................................................5
TASK 4............................................................................................................................................6
3.1 Factors to be considered when preparing human resource management strategies.........6
3.2 Key elements of a human resource management strategy................................................7
TASK 5............................................................................................................................................7
4.1 Strategic human resource management strategy for organisation....................................7
4.2 Human resources management strategy will support achievement of the business
objectives for organisation.....................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Strategic human resource management refers to the HRM practices which involves
developing, attracting, retaining and rewarding employees in order to reduce employees turnover
in the organisation. Strategic HRM practices are beneficial for both employees and business
enterprise. This assignment is based on EasiClean plc which offers soaps and detergent at global
market place (Bailey and et. al., 2018). This report is going to discuss about effect of
organisational culture and structure over human resource management strategies. Further
different models of strategic HRM and its contribution in achieving organisational strategic
plans are discussed. At last impact of internal and external factors on elements of HRM strategies
are going to be evaluated.
TASK 1
1.1 Impact of the structure and culture of organisations on HRM strategies
Strategic HRM is an approach to the human resource practices which attempt the
challenges of business and make a proper contribution to their long-term objectives. HRM
strategies are considered as one of the major function of HR department as it supports the
organisation by retaining its employees for long term.
Organisational culture: This refers to the system which includes behaviour, belief and
values of employee and the way through which they behave in organisation.
Organisation structure: It is the outline or format in which all the activities are directed
for purpose of achieving goal and objective in the given period of time.
Effect of organisational structure and culture on HRM strategies
Organisational culture and structure both influences the HRM strategies as HR manager
of EasiClean plc. have to formulate all the policies and strategies accordingly. Here, at the time
of business expansion, culture may affect HRM strategies of EasiClean Plc. Apart from this,
some of HRM strategies which are influenced by organisational culture and strategies are
evaluated as below:
Training and development: Training is essential for growth of business but it varies on
the basis of organisational culture and its structure. In relation to EasiClean plc., its HR manager
have to analyse the requirement of training on the basis of their structure of working.
1

Motivation: HRM strategies involve motivation as HR manager is required to motivate
its employees to perform in effective manner (Truss, Mankin and Kelliher, 2012). HR manager
of EasiClean plc. is motivating its employees according to the culture of company. As if
organisational culture of this firm is formal then HR motivates the employees by proving them
rewards and incentives. This encourages manpower to improve their performance.
1.2 Asses importance of financial resources in formulating HRM strategy
HRM strategies includes several resources which helps in developing effective policies
for employees within a company. With the help of this, EasiClean Plc can easily deliver training
to existing employees and can attain long term goals and objectives related to HR department.
Aim of human resource section of EasiClean Plc is that to improve performance of staff through
delivering training. On the other hand, it has also been analysed that financial resources might
help in developing HRM strategy realignment, client relationships, dynamic recruitment, culture
and employee development, identify employee motivations and many more. Here, in order to
develop or formulate HR strategy, it is required for company to focus over number of financial
resources. Some importance of financial resources in formulating HRM strategy are as follows:
 Capital of EasiClean Plc can be considered as one of the major financial resource i.e.
requisite for company while formulating HRM strategy. With the help of this,
organisation do not need to borrow money from banks and can easily develop training
sessions for employees in order to improve their performance (Armstrong and Taylor,
2014).
 Investors (Shareholders) plays crucial role over plans and strategies that has been made
by EasiClean Plc. They mostly stays important as they provide funding to employees and
is required for this organisation to keep focus over investors with keeping an aim of
delivering high returns over investments that has been made by them. Proper funding will
help EasiClean.Plc in hitting their targets.
 At the time of improving performance level of employees of EasiClean Plc, it may be
possible that company will need new software where HR manager can see and analyse
the performance that has been given by them. It is required for manager to focus over
financial resources at the time adopting or buying new technology for EasiClean Plc to
employ new software. Insufficient funds may impact over plan that has been made by
organisation in order to improve performance of staff.
2

TASK 2
Impact of government legislation on human resource management strategies
Human resource strategy is designation for long term plan that is developed for attaining
the aims and objectives linked with workplace. It has also been analysed that there are many
legislations in HRM strategies such as Civil Rights Act of (1964), Equality Act (2010), Sex
Discrimination Act (1975) and many more. The government introduce many legislations to
protect the interest of employees at workplace. At the time of developing the human resource
management strategies, manager should keep all consideration in their mind consisting interest
of workers, protecting their rights and many others. It is a responsibility of EasiClean plc to
implement all legislations that may aid them in creating favourable conditions for employees
(Jackson, Schuler and Jiang, 2014). There are different kinds of regulations developed through
government for an instance Discrimination Act, Workplace Safety, Equal pay act, Equal
Employment Opportunity and many others. In addition to this, legislation of government develop
affect on the human resource management strategies.
Discrimination Act: This type of act also may impact over HRM strategy of EasiClean
Plc. Any sort of discrimination done by employer of EasiClean Plc among individuals (staff
members) males and females can be considered as an issue over policies, made by HR manager
of this company.
Equal pay Act: This is another act which might affect HRM strategies of EasiClean Plc
and it is required for this company to follow this rule as well. This can be helpful in motivating
different staff members that are following different religion and culture towards there job.
On the other hand, if strategies will be according to the legislations then it will helps in
developing the positive impact on development and productivity of business. HR manager of
EasiClean plc have used health safety act which ensures that organisation is safe for both
employer as well as employees. It is the responsibility of manager to create healthy working
environment which is secure for them.
3

TASK 3
2.1 Different models of strategic human resource management
Strategic human resource management is considered as a concept that is used by
companies to furnish strategic framework so as to get long term benefits. Here are discussed few
of those models:
Contingency Model of strategic HRM : This model of strategic HRM was found in 1960
by Fred Fielder. It helps an organisation in using right style of management depending on
context of situation which is being faced by company while hitting their desired targets (Kramar,
2014). Here, it is required for HR manager of EasiClean plc to keep their eyes over both situation
and style i.e. followed by them and make changes accordingly whenever it is required.
Best-Fit Model for strategic HRM : Baird and Meshoulam were the two philosophers
who have formed this strategic HRM model in 1988 and can be understood as vertical
integration or alignment among company's business and HR strategies. This approach is also
being called as matching model. When an organisation like EasiClean plc looks to attain long
term goals and objectives then this strategy can be adopted majorly. This model keeps focus over
innovation, quality and cost leadership.
Guest Model for strategic HRM : David Guest developed this model in 1989. Approach
was formally based on six dimensions which includes HRM Strategy, Practices, Behavioural,
Performance & Financial outcomes. It is required for HR manager of EasiClean plc to focus over
these dimensions while making decisions that are related to set objective i.e. enhancement of
performance of employees.
4

(Sources : Guest Model of Strategic HRM, 2018)
2.2 Human resource management contributes to the achievement of the organisation’s strategic
plans
HR planning refers to procedure of analysing as well as determining requirement for
availability of human resources so that company can meet with its set objectives and aims with in
given period of time (Jiang and et. al., 2012). The main focus of HRM is to increase productivity
of business. After developing the plan, manger implement it at workplace and also communicate
with all employees in a detailed manner. In addition to this, attaining the objectives of company
is based on behaviour as well as attitude of staff members.
Apart from motivation, human resource management enacts autonomous teams. It will
help in engaging employees in project management through which quality based management
can be established. This is assisting in keeping check of organisational culture of EasiClean Plc
with time to make the business strategies accordingly. Along with this, implementation of HRM
and HPW (High Performance Working) practices, help in increasing productivity of workers.
Under this process, capital and technology can easily be introduced in business but retention of
skilled employees is a difficult task. Therefore, in this regard, HRM is critical and strategic in
order to build up human capital at workplace.
The main role of HR manager is to increase motivation of employees, provide positive
working environment, give them rewards and many others. In order to achieve the strategic
organisational plan, it is necessary for human resource management of EasiClean Plc to increase
5
Illustration 1: Guest Model of Strategic HRM

motivational level of employees so that they can focus on the organisational plan. It will also
help the staff to retain towards company for long period of time. Henceforth, in regard of
managing proper personnel and support collaborative working within workplace, HRM plays
vital role in strategic planning procedure.
TASK 4
3.1 Factors to be considered when preparing human resource management strategies
Human resource management strategies are helpful in achieving the organisational goals
within given period of time. At the time of developing the better human resource management
strategies, it is necessary for manager to consider internal and external factors. Internal factors
impact on business from inside of an organisation and manager can easily control these factors.
On the other hand, external factors affect on the business activities from outside and these are not
controllable by management (Kaufman, 2012). These factors are mentioned as below:
Budget- It is an internal factor that identifies utilisation of the human resource. At the
time of developing the human resource strategy, it is essential to consider this factors. Through
this EasiClean plc. company can identify that how it can recruit, sustain and also promote the
people. For this, firm make financial budget to evaluate the income and expenditure at the time
of preparing HRM strategies. This will help in reducing the unnecessary cost within the firm.
Legislations- Under this, legal system affect on the Human Resource strategies. There are
different kinds of legislation developed through government which protect the rights as well as
interest of employee at workplace. If an organisation will not implement the legislation in
company then it will develop the negative impact on business. Company includes some
regulations such as Equality act, Anti-discriminate Act, Equal pay Act and many more. All these
contribute in making positive work environment and accomplishing success.
3.2 Key elements of a human resource management strategy
Human resource management strategies are required to be formulated in effective manner
as it contributes in organisational success. In relation to this, there are various factors which are
important to be included for its effectiveness. Some of these factors are evaluated as below:
Evaluation of organisational performance: It is important for HR manager to evaluate
performance of every employee which support in the process of performance appraisal.
Monitoring performance of employees is essentials for the growth of EasiClean plc and also
6

helps in identifying potential employee which contributes their valuable efforts for expansion of
enterprise (Taylor, Doherty and McGraw, 2015).
Develop strategies: It is required by HR manager of EasiClean plc to modify the existing
HR strategies in favour of employees as well as organisation. For example: Providing training to
store manager will improve his performance by providing better services.
Effective organisational structure: Organisational structure of EasiClean plc is one
among the key elements of HRM strategies. It is the responsibility of HR manager to opt
appropriate organisation structure which supports the firm in achieving it predetermined goals
and objectives.
Reward strategy: It is considered as one of the essential factor used by HR manager for
influencing employees for long term working. As reward involves several monetary benefits like
increment, compensations, incentives etc. which motivates employees. This factors of HRM
strategy improves performance of the employees (Budhwar and Debrah, 2013).
TASK 5
4.1 Strategic human resource management strategy for organisation
Strategic human resource management strategy involves various HR factors which
contributes in the success of business enterprise. In present context, HR manager of EasiClean
Plc. has found an issue i.e. less employee engagement at workplace which impacted over
productivity of the organisation. The company has set goal to increase the employee engagement
of staff in EasiClean to improve productivity and decision making. Here is developed a strategic
HRM strategy for this: Planning and preparing process – HR manager of EasiClean Plc decided to look into the
issue which were faced by employees and then set number of activities (blue print) in
order to attain the specific aim i.e. effective employee engagement at workplace. HR vision and mission – EasiClean Plc. mission is to develop a stronger customer base
through delivering them good quality soaps and detergents. On the other hand, vision is
to become one of leading manufacturer in near future in order to develop an HRM
strategy. Environment Scanning – On the basis of proper investigation, it has been analysed that
legislations that has been made by government are in favour and making any sort of
7

changes for an example : offering attractive amount to workers if they give few extra
hours than normal working hours. This can be considered as a part of developing right
strategic strategy which might aid HR manager of EasiClean Plc. to attain the desired
goal in set time frame.
 Strategic alignment – Purpose of setting this objective has been understood by
company's HR manager which helped in taking initiatives to improve employee
engagement, continuation of strategic alignment with keeping the objective in mind
might help EasiClean's employees to building up initiatory behaviour with customers.
4.2 Human resources management strategy will support achievement of the business objectives
for organisation
Development of HRM strategy is required because it may aid HR manager of EasiClean
Plc to attain specific goals and objectives that has been formulated. With the help of above
discussed strategic HR strategy developed by management of EasiClean Plc, it has been analysed
that performance management may aid company in improving overall performance of the
organisation and of employees as well. Going through the process of how this HR strategy can
can help HR manager of EasiClean Plc to emphasise employee engagement within organisation
which will be assisting for future growth and productive decision of organisation. With the help
of this strategy, HR manager may easily take decisions in which areas that their employees are
lacking and what needs to be done next so that their skills and knowledge can get enhanced
(Alfes and et. al., 2013). Henceforth, through applying various appreciation and rewarding
techniques, this can affirm from the notion that employee engagement can be managed through
the prepared HRM strategy.
CONCLUSION
From the above mentioned report it has been evaluated that strategic human resource
management focuses on developing HR strategies for improving the performance of employees.
In this assignment, impact of organisational culture and structure on HRM strategies has been
described. Along with this, it also elaborates about importance of financial resources which helps
in developing effective HRM practices and contributes towards growth of organisation.
8

REFERENCES
Books and Journals
Bailey, C., and et. al., 2018. Strategic human resource management. Oxford University Press.
Truss, C., Mankin, D. and Kelliher, C., 2012. Strategic human resource management. Oxford
University Press.
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Jackson, S. E., Schuler, R. S. and Jiang, K., 2014. An aspirational framework for strategic human
resource management. The Academy of Management Annals. 8(1). pp.1-56.
Kramar, R., 2014. Beyond strategic human resource management: is sustainable human resource
management the next approach?. The International Journal of Human Resource
Management. 25(8). pp.1069-1089.
Jiang, K., and et. al., 2012. How does human resource management influence organizational
outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
management Journal. 55(6). pp.1264-1294.
Kaufman, B. E., 2012. Strategic human resource management research in the United States: A
failing grade after 30 years?. Academy of Management Perspectives. 26(2). pp.12-36.
Taylor, T., Doherty, A. and McGraw, P., 2015. Managing people in sport organizations: A
strategic human resource management perspective. Routledge.
Budhwar, P. S. and Debrah, Y. A. eds., 2013. Human resource management in developing
countries. Routledge.
Buller, P. F. and McEvoy, G. M., 2012. Strategy, human resource management and performance:
Sharpening line of sight. Human resource management review. 22(1). pp.43-56.
Alfes, K., and et. al., 2013. The link between perceived human resource management practices,
engagement and employee behaviour: a moderated mediation model. The international
journal of human resource management. 24(2). pp.330-351.
Waiganjo, E. W., Mukulu, E. and Kahiri, J., 2012. Relationship between strategic human
resource management and firm performance of Kenya’s corporate organizations.
International Journal of Humanities and Social Science. 2(10). pp.62-70.
Online
Strategic human resource management. 2018. [Online]. Available
through:<http://www.businessdictionary.com/definition/strategic-human-resource-
management.html>.
Guest Model of Strategic HRM. 2013. [Online]. Available through:
<https://www.briefingwire.com/pr/explain-the-guest-model-of-hrm>.
9