Strategic Human Resource Management and Nestle's HPWS - MGT3SHR
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This report provides an overview of strategic human resource management (SHRM) and high-performance work systems (HPWS) within Nestle, a leading global food and beverage company. It reviews challenges faced by Nestle, including underpinning values, setting a clear vision, and employee motivation. The report offers recommendations for improving individual performance through motivation, job satisfaction, and a positive work culture, and for enhancing organizational performance via training, performance assessment, and effective leadership. Practical lessons learned from the unit emphasize the importance of SHRM and HPWS in achieving competitive advantages and maintaining work-life balance. The analysis concludes that SHRM is crucial for Nestle's success in addressing employee-related issues and achieving its business objectives.

Running head: Strategic human resource management
Strategic human resource management
Strategic human resource management
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Strategic human resource management
Executive summary
The paper explains and outlines the role of SHRM and high performance work systems in Nestle.
Nestle is a leading brands in the marketplace which is founded by the Henri Nestle. The
company offers various types of food products including ice-cream, pet foods, beverages, dairy
products and baby food products. Here is the discussion about the strategic human resource
management and high performance work system that help to run the business operations in an
effective manner. The paper explains that how Nestle uses sustainable human resource
management to reduce and avert the issues related to employees performance and productivity.
Furthermore, the paper explains that how the organization maintains favorable working culture
and also how Nestle identifies the efficiency and effectiveness of the workers. It shall be noted
that the Corporation cannot attain sustainability without using performance management system
within the organization. It also outlines the roles and responsibilities of HR professional that are
being performed by them. A system is measured and identified by Nestle to enhance the
efficiency and outcomes of the workers. In this way, Nestle can become successful leader in the
rivalries market. The organization also protects the rights and interest of the shareholders within
the organization.
2
Executive summary
The paper explains and outlines the role of SHRM and high performance work systems in Nestle.
Nestle is a leading brands in the marketplace which is founded by the Henri Nestle. The
company offers various types of food products including ice-cream, pet foods, beverages, dairy
products and baby food products. Here is the discussion about the strategic human resource
management and high performance work system that help to run the business operations in an
effective manner. The paper explains that how Nestle uses sustainable human resource
management to reduce and avert the issues related to employees performance and productivity.
Furthermore, the paper explains that how the organization maintains favorable working culture
and also how Nestle identifies the efficiency and effectiveness of the workers. It shall be noted
that the Corporation cannot attain sustainability without using performance management system
within the organization. It also outlines the roles and responsibilities of HR professional that are
being performed by them. A system is measured and identified by Nestle to enhance the
efficiency and outcomes of the workers. In this way, Nestle can become successful leader in the
rivalries market. The organization also protects the rights and interest of the shareholders within
the organization.
2

Strategic human resource management
Table of Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................4
Review of the challenges.............................................................................................................................4
3. Recommendations...................................................................................................................................5
3.1 Recommendations for individual performance..................................................................................5
3.2 Recommendations for organizational performance............................................................................6
4. Practical lessons...................................................................................................................................7
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9
3
Table of Contents
Executive summary.....................................................................................................................................2
Introduction.................................................................................................................................................4
Review of the challenges.............................................................................................................................4
3. Recommendations...................................................................................................................................5
3.1 Recommendations for individual performance..................................................................................5
3.2 Recommendations for organizational performance............................................................................6
4. Practical lessons...................................................................................................................................7
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9
3
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Strategic human resource management
Introduction
It is the continuation of assignment one. The main aim of this task is to outline and depicts the
significance of the strategic human resource management and high performance work system in
the workplace. Furthermore, the paper explains that how Nestle manages and handles the HRM
and employees issues within the organization after making effective policies and strategies
within the organization. Nestle is a food company which produces food products in the global
market (Nestle, 2018). It shall be noted that suggestions for organizational and individual
performance have been explained in the paper. It discusses that how CEO and upper
management perform roles, duties and responsibilities effectively. Along with this, the paper
explains that how Nestle is maximizing its profitability by eliminating the issues related to the
employees performance and productivity. Strong and heave organizational culture is maintained
by Nestle to satisfy the needs, requirements and wants of the employees and consumers as well.
More detail of the task has been detailed below.
Review of the challenges
There are various challenges faced by Nestle in assignment 1. One of the significant challenges
that faced by the company is underpinning values across the world. Due to underpinning values,
Nestle has failed to attract and retain their consumers to increase the sale their products. It also
affects the success and growth of the firm. Nestle produces wide range of products in the
marketplace therefore; the company has not been able to set clear vision for long time period.
Furthermore, the organization is unable to focus and analyze all the business units and divisions.
Moreover, it shall be noted that Nestle is unable to motivate and inspire the employees due to
poor leadership. In addition, effective and dynamic is not available to maintain coordination and
cooperation among the different departments (Dickmann and Baruch, 2011).
4
Introduction
It is the continuation of assignment one. The main aim of this task is to outline and depicts the
significance of the strategic human resource management and high performance work system in
the workplace. Furthermore, the paper explains that how Nestle manages and handles the HRM
and employees issues within the organization after making effective policies and strategies
within the organization. Nestle is a food company which produces food products in the global
market (Nestle, 2018). It shall be noted that suggestions for organizational and individual
performance have been explained in the paper. It discusses that how CEO and upper
management perform roles, duties and responsibilities effectively. Along with this, the paper
explains that how Nestle is maximizing its profitability by eliminating the issues related to the
employees performance and productivity. Strong and heave organizational culture is maintained
by Nestle to satisfy the needs, requirements and wants of the employees and consumers as well.
More detail of the task has been detailed below.
Review of the challenges
There are various challenges faced by Nestle in assignment 1. One of the significant challenges
that faced by the company is underpinning values across the world. Due to underpinning values,
Nestle has failed to attract and retain their consumers to increase the sale their products. It also
affects the success and growth of the firm. Nestle produces wide range of products in the
marketplace therefore; the company has not been able to set clear vision for long time period.
Furthermore, the organization is unable to focus and analyze all the business units and divisions.
Moreover, it shall be noted that Nestle is unable to motivate and inspire the employees due to
poor leadership. In addition, effective and dynamic is not available to maintain coordination and
cooperation among the different departments (Dickmann and Baruch, 2011).
4
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Strategic human resource management
3. Recommendations
3.1 Recommendations for individual performance
It shall be noted that ample of issues and challenges are encountered by Nestle while operating
and managing the business activities and operations in the international market. The company
needs to focus on the motivation and job satisfaction of the workers. It is recommended that
nestle should provide performance appraisal, benefits and incentives to the employees to
motivate and inspire the workers. The top management should maintain favorable working
environment to build and develop confidence and morale among the employees. The leaders
should provide training and development coaching to the workforce in order to improve the level
of satisfaction of the workers. In addition, rewards and recognition shall be provided to the
employees to increase and enhance the performance of the workers (Carleton, 2011).
It has been analyzed that the company should maintain positive culture at the workplace to carry
out the business activities and operations successfully and effectively. Apart from this, the
company should develop and build sustainable human resource management to make effective
policies and strategies within the organization. It will help to make a dynamic image in the minds
of the customers (Nigam et al, 2011).
To maintain a work life balance, the employees should understand and analyze the value of pace
in the workplace. It will help to reduce and eliminate the tension and stress of the firm. If an
employee is working overtime then additional benefits must be provided to the employee to
encourage the workers for performing tasks and duties effectively. Along with this, the firm
should analyze and identify the skills and talents of the potential candidates at the workplace
(Herzberg, Mausner and Snyderman, 2011).
It shall be analyzed that employees should maintain reciprocal relationship with leaders and top
management to maintain work life balance between home and work. In addition, top
management should find out the issues and hurdles that are faced by the employees at the
workplace. The company should also promote the work of the unions in the competitive market.
The leaders must share the advantages of the organizing model with employees. Furthermore,
training and development sessions shall be held by the company to teach the employees
successfully (Bagga and Srivastava, 2014).
5
3. Recommendations
3.1 Recommendations for individual performance
It shall be noted that ample of issues and challenges are encountered by Nestle while operating
and managing the business activities and operations in the international market. The company
needs to focus on the motivation and job satisfaction of the workers. It is recommended that
nestle should provide performance appraisal, benefits and incentives to the employees to
motivate and inspire the workers. The top management should maintain favorable working
environment to build and develop confidence and morale among the employees. The leaders
should provide training and development coaching to the workforce in order to improve the level
of satisfaction of the workers. In addition, rewards and recognition shall be provided to the
employees to increase and enhance the performance of the workers (Carleton, 2011).
It has been analyzed that the company should maintain positive culture at the workplace to carry
out the business activities and operations successfully and effectively. Apart from this, the
company should develop and build sustainable human resource management to make effective
policies and strategies within the organization. It will help to make a dynamic image in the minds
of the customers (Nigam et al, 2011).
To maintain a work life balance, the employees should understand and analyze the value of pace
in the workplace. It will help to reduce and eliminate the tension and stress of the firm. If an
employee is working overtime then additional benefits must be provided to the employee to
encourage the workers for performing tasks and duties effectively. Along with this, the firm
should analyze and identify the skills and talents of the potential candidates at the workplace
(Herzberg, Mausner and Snyderman, 2011).
It shall be analyzed that employees should maintain reciprocal relationship with leaders and top
management to maintain work life balance between home and work. In addition, top
management should find out the issues and hurdles that are faced by the employees at the
workplace. The company should also promote the work of the unions in the competitive market.
The leaders must share the advantages of the organizing model with employees. Furthermore,
training and development sessions shall be held by the company to teach the employees
successfully (Bagga and Srivastava, 2014).
5

Strategic human resource management
3.2 Recommendations for organizational performance
The top management should educate and inspire the managers for performing roles and
responsibilities in a hassle free manner. For this purpose, the company should conduct learning
and training sessions, seminars and programs within the organization. The employees do not
perform well because they are unable to know and understand the significance of strategic
human resource management. The top management and HR professional should tell and teach
workers about the significance of human resource management. Nestle should provide
practically knowledge related to the sustainable human resource management (Van den Broeck
et al, 2013).
It shall be noted that Nestle should uses balanced score card method and technique to asses and
analyze the performance of the organization as well as employees. Furthermore, total quality
management and talent management must be initiated by Nestle improve and enhance the
performance of the employees. Effective and dynamic policies and strategies should be made by
the firm to measure the performance and effectiveness of the organization. Favorable and strong
working environment shall be provided to the employees in order to increase and enhance the
profitability (Rummler and Brache, 2012).
There should be various roles performed by CEO and upper management. The CEO should make
unique and dynamic strategies towards the achievement of long term goals and objectives. CEO
is responsible to make effective strategies and policies within the organization attract and retain
the talented and skilled employees. On the other hand, it has been noted that upper management
should guide and assist the workers to perform tasks and duties successfully. They should
maintain good communication and cooperation with employees in the marketplace. It will help to
boost and enhance the values and competencies among the employees.
It is stated that interest alignment shall be done by the company to ensure the interest among the
stakeholders and clients. Co-investment, clients and shareholders participate in investcorp’s
investment products. Competing interest is not good for the employees because it creates hurdles
and issues among the employees. In this way, the company should make effective strategies to
protect the rights and interest of the shareholders in the rivalries market (Talukder, 2013).
6
3.2 Recommendations for organizational performance
The top management should educate and inspire the managers for performing roles and
responsibilities in a hassle free manner. For this purpose, the company should conduct learning
and training sessions, seminars and programs within the organization. The employees do not
perform well because they are unable to know and understand the significance of strategic
human resource management. The top management and HR professional should tell and teach
workers about the significance of human resource management. Nestle should provide
practically knowledge related to the sustainable human resource management (Van den Broeck
et al, 2013).
It shall be noted that Nestle should uses balanced score card method and technique to asses and
analyze the performance of the organization as well as employees. Furthermore, total quality
management and talent management must be initiated by Nestle improve and enhance the
performance of the employees. Effective and dynamic policies and strategies should be made by
the firm to measure the performance and effectiveness of the organization. Favorable and strong
working environment shall be provided to the employees in order to increase and enhance the
profitability (Rummler and Brache, 2012).
There should be various roles performed by CEO and upper management. The CEO should make
unique and dynamic strategies towards the achievement of long term goals and objectives. CEO
is responsible to make effective strategies and policies within the organization attract and retain
the talented and skilled employees. On the other hand, it has been noted that upper management
should guide and assist the workers to perform tasks and duties successfully. They should
maintain good communication and cooperation with employees in the marketplace. It will help to
boost and enhance the values and competencies among the employees.
It is stated that interest alignment shall be done by the company to ensure the interest among the
stakeholders and clients. Co-investment, clients and shareholders participate in investcorp’s
investment products. Competing interest is not good for the employees because it creates hurdles
and issues among the employees. In this way, the company should make effective strategies to
protect the rights and interest of the shareholders in the rivalries market (Talukder, 2013).
6
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Strategic human resource management
To evaluate and analyze the performance, the company should focus and check the quality of
work that is performed by the employees. For this purpose regular feedback and reviews must be
collected by the top management and leaders to enhance and improve the efficiency and
effectiveness of the workers. The company should take advice of the employees while making
unique and dynamic decisions at the workplace. The top management should provide training to
the workers to execute the tasks and duties of the firm carefully (Saha et al, 2016).
4. Practical lessons
It has been noted that we have learned plenty of things from this unit. This unit provides
information about the business activities and operations of Nestle. It explains the significance of
human resource management and high performance work system. It analyzes that how HRM
plays a significant role to increase and improve the efficiency and performance of the workers at
the workplace. Along with this, high performance work system is used by Nestle to gain
competitive advantages in the international market. It has been revealed that there is a close
relationship between strategic human resource management and high performance work system.
Besides this, the paper explains the roles of trade union within the organization. It has been
learned from this unit that no company can survive and grow its business without using strategic
human resource management. In addition, high performance work system also helps the
employees to maintain a balance between work and home (Chadwick, Super and Kwon, 2015). It
is noted that SHRM also plays an effective role in to attract and encourage the maximum number
of the employees in the workplace. SHRM also helps in eliminating and reducing the issues,
hurdles and obstacles of the workers. It also helps in maintaining a dynamic culture within the
organization to enhance and improve the efficiency and potential of the workers. Strategic
human resource management also motivates and encourages the employees for attaining the long
term goals and objectives of Nestle. Resistance to change can be reduced by using unique and
sustainable human resource management within the organization. Moreover, it has been studied
that performance management system is used by Nestle to review and analyze the performance
and outcomes of the workers. It is revealed that SHRM uses dynamic recruitment and selection
methods to enlist the talented and skilled workers to initiate the business activities effectively
(Quick et al, 2013).
7
To evaluate and analyze the performance, the company should focus and check the quality of
work that is performed by the employees. For this purpose regular feedback and reviews must be
collected by the top management and leaders to enhance and improve the efficiency and
effectiveness of the workers. The company should take advice of the employees while making
unique and dynamic decisions at the workplace. The top management should provide training to
the workers to execute the tasks and duties of the firm carefully (Saha et al, 2016).
4. Practical lessons
It has been noted that we have learned plenty of things from this unit. This unit provides
information about the business activities and operations of Nestle. It explains the significance of
human resource management and high performance work system. It analyzes that how HRM
plays a significant role to increase and improve the efficiency and performance of the workers at
the workplace. Along with this, high performance work system is used by Nestle to gain
competitive advantages in the international market. It has been revealed that there is a close
relationship between strategic human resource management and high performance work system.
Besides this, the paper explains the roles of trade union within the organization. It has been
learned from this unit that no company can survive and grow its business without using strategic
human resource management. In addition, high performance work system also helps the
employees to maintain a balance between work and home (Chadwick, Super and Kwon, 2015). It
is noted that SHRM also plays an effective role in to attract and encourage the maximum number
of the employees in the workplace. SHRM also helps in eliminating and reducing the issues,
hurdles and obstacles of the workers. It also helps in maintaining a dynamic culture within the
organization to enhance and improve the efficiency and potential of the workers. Strategic
human resource management also motivates and encourages the employees for attaining the long
term goals and objectives of Nestle. Resistance to change can be reduced by using unique and
sustainable human resource management within the organization. Moreover, it has been studied
that performance management system is used by Nestle to review and analyze the performance
and outcomes of the workers. It is revealed that SHRM uses dynamic recruitment and selection
methods to enlist the talented and skilled workers to initiate the business activities effectively
(Quick et al, 2013).
7
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Strategic human resource management
Conclusion
From this above mentioned analysis, it has been concluded that Nestle is one of the significant
brands in the world. However, various issues and challenges are handled by the company while
exploring the business globally. It is the second part of the assignment in which issues and
recommendations have been explained. Along with this, the paper explains that how the firm
overcomes and handles the issues and challenges related to the employees and employment. The
analysis shows that how the company evaluate and analyze the performance of the group
members. It is analyzed that SHRM and high performance work system play a vital role to
determine the roles and responsibilities of the workers. The company cannot explore and flourish
its business activities without using unique and effective SHRM within the organization. SHRM
is considered the backbone of the each and every company to run the business in a hassle free
manner.
8
Conclusion
From this above mentioned analysis, it has been concluded that Nestle is one of the significant
brands in the world. However, various issues and challenges are handled by the company while
exploring the business globally. It is the second part of the assignment in which issues and
recommendations have been explained. Along with this, the paper explains that how the firm
overcomes and handles the issues and challenges related to the employees and employment. The
analysis shows that how the company evaluate and analyze the performance of the group
members. It is analyzed that SHRM and high performance work system play a vital role to
determine the roles and responsibilities of the workers. The company cannot explore and flourish
its business activities without using unique and effective SHRM within the organization. SHRM
is considered the backbone of the each and every company to run the business in a hassle free
manner.
8

Strategic human resource management
References
Bagga, T. and Srivastava, S., 2014. SHRM: alignment of HR function with business
strategy. Strategic HR Review, 13(4/5).
Carleton, K., 2011. How to motivate and retain knowledge workers in organizations: A review of
the literature. International Journal of Management, 28(2), p.459.
Chadwick, C., Super, J.F. and Kwon, K., 2015. Resource orchestration in practice: CEO
emphasis on SHRM, commitment‐based HR systems, and firm performance. Strategic
Management Journal, 36(3), pp.360-376.
Dickmann, M. and Baruch, Y., 2011. Global careers. Routledge.
Herzberg, F., Mausner, B. and Snyderman, B.B., 2011. The motivation to work (Vol. 1).
Transaction publishers.
Nestle.2018. About us[Online], Available from https://www.nestle.com/aboutus, [Accessed as on 19th
May 2018].
Nigam, A.K., Nongmaithem, S., Sharma, S. and Tripathi, N., 2011. The impact of strategic
human resource management on the performance of firms in India: A study of service sector
firms. Journal of Indian business research, 3(3), pp.148-167.
Quick, J.C., Wright, T.A., Adkins, J.A., Nelson, D.L. and Quick, J.D., 2013. Preventive stress
management in organizations. American Psychological Association.
Rummler, G.A. and Brache, A.P., 2012. Improving performance: How to manage the white
space on the organization chart. John Wiley & Sons.
Saha, N., Chatterjee, B., Gregar, A. and Sáha, P., 2016. The impact of SHRM on sustainable
organizational learning and performance development. International Journal of Organizational
Leadership, 5(1), p.63.
Talukder, A.M.H., 2013. Human resource consultancy and organizational growth: exploring the
relationship. KASBIT Journal of Management & Social Science, 6, pp.65-73.
9
References
Bagga, T. and Srivastava, S., 2014. SHRM: alignment of HR function with business
strategy. Strategic HR Review, 13(4/5).
Carleton, K., 2011. How to motivate and retain knowledge workers in organizations: A review of
the literature. International Journal of Management, 28(2), p.459.
Chadwick, C., Super, J.F. and Kwon, K., 2015. Resource orchestration in practice: CEO
emphasis on SHRM, commitment‐based HR systems, and firm performance. Strategic
Management Journal, 36(3), pp.360-376.
Dickmann, M. and Baruch, Y., 2011. Global careers. Routledge.
Herzberg, F., Mausner, B. and Snyderman, B.B., 2011. The motivation to work (Vol. 1).
Transaction publishers.
Nestle.2018. About us[Online], Available from https://www.nestle.com/aboutus, [Accessed as on 19th
May 2018].
Nigam, A.K., Nongmaithem, S., Sharma, S. and Tripathi, N., 2011. The impact of strategic
human resource management on the performance of firms in India: A study of service sector
firms. Journal of Indian business research, 3(3), pp.148-167.
Quick, J.C., Wright, T.A., Adkins, J.A., Nelson, D.L. and Quick, J.D., 2013. Preventive stress
management in organizations. American Psychological Association.
Rummler, G.A. and Brache, A.P., 2012. Improving performance: How to manage the white
space on the organization chart. John Wiley & Sons.
Saha, N., Chatterjee, B., Gregar, A. and Sáha, P., 2016. The impact of SHRM on sustainable
organizational learning and performance development. International Journal of Organizational
Leadership, 5(1), p.63.
Talukder, A.M.H., 2013. Human resource consultancy and organizational growth: exploring the
relationship. KASBIT Journal of Management & Social Science, 6, pp.65-73.
9
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Strategic human resource management
Van den Broeck, A., Lens, W., De Witte, H. and Van Coillie, H., 2013. Unraveling the
importance of the quantity and the quality of workers’ motivation for well-being: A person-
centered perspective. Journal of Vocational Behavior, 82(1), pp.69-78.
10
Van den Broeck, A., Lens, W., De Witte, H. and Van Coillie, H., 2013. Unraveling the
importance of the quantity and the quality of workers’ motivation for well-being: A person-
centered perspective. Journal of Vocational Behavior, 82(1), pp.69-78.
10
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