Strategic Human Resource Management Report: TNT and HR Theories

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This report provides a comprehensive analysis of strategic human resource management (HRM) within Thomas National Transport (TNT), a global B2B delivery services company. The report begins by examining trends impacting productivity, including workforce dynamics, demographics, technology, economic factors, and government regulations. It then explores the impact of HR policies across private, public, and third sectors. The core of the report delves into applicable HR theories, notably the David Ulrich Model, and illustrates them with diagrams. It also analyzes HRM concepts like flexible working, performance management, e-recruitment, and 540-degree appraisals, comparing TNT's practices to those of Carzippi. Furthermore, it explains theories like Kotter's change management model. The report concludes by discussing the contributions of 'best fit' and resource-based views to sustainable performance and competitive advantage, along with methods for measuring and improving performance. The assignment provides a detailed overview of strategic HRM practices, theories, and their practical application within a real-world business context.
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Strategic Human
Resource
Management
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Table of Contents
INTRODUCTION...........................................................................................................................3
ACTIVITY 1....................................................................................................................................3
Trends which have impact and effect on productivity...........................................................3
HR policies impact Private, Public and third sector...............................................................4
ACTIVITY 2....................................................................................................................................4
a. HR theories that are applied within TNT organisation.......................................................4
b. Concepts and their comparison with other company.........................................................6
ACTIVITY 3....................................................................................................................................7
a. Explain all the theories and illustrate those theory using a diagram .................................7
b. The use of models would help ensure positive changes within the Organisation..............9
ACTIVITY 4....................................................................................................................................9
a. Best Fits and resource based view contribution towards sustainable performance............9
b. Best Fit contribute towards competitive advantage...........................................................9
c. Ways to measure performance their contribution towards performance..........................10
CONCLUSION..............................................................................................................................11
.......................................................................................................................................................11
REFERENCES..............................................................................................................................12
.......................................................................................................................................................13
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INTRODUCTION
In every organisation HRM plays an essential role and it is important for them to perform
strategically. Strategic human resource management is an activity of attracting, processing,
appreciating and retaining workers for the benefits of employees as well as company (Engert,
Rauter and Baumgartner, 2016). For this report the chosen organisation is Thomas National wide
Transport(TNT) which is a leading global company providing B2B delivery services. It is
founded by Thomas in Australia. The purpose of this report is to explain trends which impacts
and effects the productivity. HR policies impact the private, public and third sector organisations.
HR theories that can be applied in chosen company. Concepts of HR are discussed and compared
with other firm. Also models are illustrated with diagram and their use help to ensure positive
changes. Along with this best fit and resource based view are defined and their contribution
towards sustainable performance as well as competitive advantages. Some ways are explained
and its contribution towards performance are mention in this report.
ACTIVITY 1
Trends which have impact and effect on productivity.
Productivity is the things that employers seeks for mostly into their present employees
and also in new workers. In today's dynamic environment trends are changing continuously and
it also impacts the productivity of business. Now a small businesses are also connected with
geographic and cultural edge. As a results all these trends are effecting and impacting the
productivity of TNT. Some trends are mentioned below:
Workforce: It is considered as a labour pool into employment and usually utilise to
explain those who are working for particular industry. It is also used for geographical
region. Workforce trends impacts and effects the TNT productivity as services are
provide on time and also reduces the expenses. As more works are done by the workers
but it more time taking because use of machinery are less.
Demography: This refers to the scientific studies about the populations of people
regarding their structure, developments and size (Slack and Brandon-Jones, 2018). There
are various demographics which effects the enterprises. These are many attributes which
can be utilise to ascertain the preferences of services or purchasing behaviours of clients.
Demographics trends impact and effects the productivity of TNT as it help them to target
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those customers having similar characteristics in their promotion and advertisements.
Targeting with same characteristics of demographics assist them to increase profitability
and sales of company.
Technology: It is considered as a knowledge of methods and techniques that can be used
to invent useful tools or resolve problems. Technology advancements can lead to enhance
the productivity of company as it reduce the wastages and labour costs (Cleaver, 2017).
Also standard quality of services are provided to the customers. This trends impact and
effects the productivity of TNT. Due to advance technology, it can serves good quality of
services to their clients as many new tool and techniques are invented for repairing and
maintaining the vehicles.
Economical: It means utilising things in best possible manner without any wastage.
maximised productivity forms the growth of economy. Changing conditions of economy
impact the product and services of TNT. Due to global competitions more competitors
are enforced into marketplace which affects their productivity.
Government: This is he system of governing an unionised community as well as states.
Various rules and regulations are formed and implemented by government impact the
productivity of company as changes rates, lower taxes. All these effects the productivity
of TNT.
HR policies impact Private, Public and third sector
HR policies is refers to the formal regulation and guidelines which are formed by
company's for employees in order to train, recruit and reward them (McGuire, 2014). In public,
private and third sectors have almost same HR policies such as recruitment, termination,
employee relations and so on. But in private and public sectors having different promotion
policies. In public sectors, promotion can be offered after a certain periods but in public no time
periods.
ACTIVITY 2
a. HR theories that are applied within TNT organisation.
HR theories relates the strategy, processes, objective, jobs and goals of HR into
operative model. This also explain some key responsibilities and roles of HR. Some theories are
mentioned below:
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David Ulrich Model: This was a revolutionary for HR at the time it introduced as they
first focus on individuals as well as their roles. Dave Ulrich is known to be strategist who
find out 4 key role of HR that form the company effectual and friendly to their workers.
He explained a new strategic agenda for HR and aim to change HR function framework
in order to modify model of human resource. Those 4 roles that can be used by TNT to
make good relation with their employees and also to become successful which are as
follows:
HR business partner: It is the task in which they has to communicate with
internal clients. This is contract point of HR for those people and also the channel
which is used by many internal members of company that will help to
communicate with HR department (Brymer, Molloy and Gilbert, 2014). It will
assist TNT to provide feedbacks , fulfil vacancies of jobs and also share
objectives of HR with workers. Also aids to boost their productivity and harmony.
Change agent: If organisation want to evolve, expand and modify their
objectives then it communicates the internal change of company. It arrange
training opportunities so that workers can learn compulsory skills that are
required for changing roles. This is assists to adopt the changes for their growth.
Administration Expert: This role is responsible for various kinds of work. It
obey the changes that occurs in regulations, legislation and so on. Also
accountable for managing personal data of workers. It help TNT to adapt modern,
policies for storing data, securing and sharing files in company.
Employees advocate: This is the role in charge of standardising satisfaction and
morale of worker by utilising data in order to become effective organisation
where every individuals want to work. Survey are done by employee advocate for
evaluating workers satisfaction, problem in workplace culture and assure that
managers are fair to all. It help TNT to develop experience and morale also assist
change agent in providing training opportunities.
The above explained theory can be applied in TNT company as this help them to
make effective organisation and create friendly relations with their employees with using
the 4 key roles of David Ulrich Model.
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b. Concepts and their comparison with other company.
Concepts of HR help company to manage the individuals at workplace. Some of of them
are mentioned below:
Flexible working: It is a manner in which different kinds of working pattern that are
distinguish from present one (Reynolds, 2017). Arrangement of flexible working consider:
changing the hours of part time, full time to part time work etc. this can be used in TNT as it is
cost effectiveness, improved competitiveness, work should be performed effectively. It impact
company positively as it benefits workers for example: flexible working results to employee
engagement, retention etc.
Performance management: This is the method of developing a work surroundings at
which individuals are allowed to do well according to their capabilities (Heraty, Michailova and
Morley, 2016). Performance management is the overall system of work which starts when is
considered as necessary.
E- recruitment: It is also known as online recruitment and a method of hiring
appropriate candidates for vacant position with the use of web based technology like social
media, job portal and so on.
540 Degree appraisal: Performance appraisal is a method through which manager
analyse and measure the work behaviour of workers by comparing it with predetermined
standards (Fulmer and Ployhart, 2014). It is considered to be similar like 360 degree but some
additional dimensions are added in it. For example: customer feedbacks and also subordinates,
superior, peer group are included in this appraisal. It should be used by TNT as it help them to
get feedbacks of their clients, peers and so on which is most important for company. Its impact
are positive as feedback provides an understanding and knowledge about their services as well as
their customers.
Comparison
TNT Carzippi
This company applied 540 degree appraisal as
it help them to do performance appraisal for
knowing as well as views and opinions of
superior, peers, clients through feedbacks.
This firm provides flexible working to their
employees that allow them to work effectively
in order to satisfy their clients.
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ACTIVITY 3
a. Explain all the theories and illustrate those theory using a diagram
Theories are essential for all organisations and some of them are mentioned below:
Kotter's Theory:
This theory basically focusing less in context of organisational change and more on
people who influences from the future implementation of changes. With the help of motivation
and inspiration to the potential employees and maintain that momentum, this theory termed as
more effective as ensure proper implementation of the changes by inspiring employees and
pertain 8 steps which are described below.
Create a sense of urgency:
This is a first step defines the creation of a situation of urgency for developing the change
in organization. Accordance with this theory, in order to implement change model, manager
requires to recognize the favourable threats and must formulate a case which depicts, what would
be occur in future business era. This help the human resource as the inspirational force and
formulating the strategies by identifying requirement of making changes in organisational
structure for achieving goals.
Develop a core coalition:
It is very critical as well as crucial to convince people about the implementation of
change needed in organisational structure (Rao, 2014). So it is the duty of the leader or the
manager to convince and motivate the employees for accepting and cooperating the
change(Godard, 2014). So as same as the managers of TNT requires to motivate and encourage
the employees for accepting the change.
Create a vision for change:
A clear vision is essential for making and implementing the change in structure of the
organisation. A vision acts as the guide for the rendering the direction to the employees. So it is
essential to develop the clear and specified vision as it acts as supportable force for the
employees.
Get everyone on board:
At this stage, idea for change should be spread to whole organisation. So the different
departments of organisation make strategy according to change management. To convincing
organisation people for adapting change is very difficult.
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Remove barriers and reduce friction:
The obstacles are those which make the change process more difficult in organisation.
These barriers can be removed by looking at organisational structures, job description and
performance and compensation systems to assure they are in line with vision.
Create short term wins:
As company should create short term goals. Because success motivates most to adapt
changes. TNT should create some short span of targets so staff will be feel motivated and adapt
changes(Harrison and Lock, 2017). As this goal can align with the human resource department in
order to support the strategy formulated by human resource department.
Build change:
At this step, change is implemented in organisation and company set goals in order to
continue building momentum.
Anchor change:
At this stage, this ensure that change is now becomes integral part for organisational
culture and visible in every organisational aspect.
Illustration 1: Kotter's Theory
Source: Kotter's Theory, 2019
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Lewins Three Step Change Model:
This model is introduced by Kurt Lewin. It represents a practical and simple model to
understand changing methods. This process form a conceptions that is changes are required after
that moving towards new behaviour levels and lastly considered change behaviour as a standards
(Ross, 2017). Its three stage are used by TNT to prepare them selves for upcoming changes and
create a plan for managing conversion are mentioned below:
Unfreeze: This is the method that involves a identifying process of creating it possible
for individuals as older one is moving. It is needed to get over from the strains of people action
and team cooperation. Unfreeze stage assist TNT to set up their business successfully also
prepare them for required changes.
Change: After some uncertainty that is created in above steps, in this stage individuals
initiate to solve their unpredictability and seek for innovative ways to perform things. This do not
changes occur overnight. It help TNT to facilitates which suspects planed changes and form a
new state of affairs.
Refreeze: Once the changes take places and individuals grasps to work in new manner.
The company is set to refreeze. This stage are required to assists people and firm to commit the
changes. This help TNT to incorporate the changes, forming and keeping a new system of
organisation.
Nudge Theory:
This theory is considered as modern and flexible change management concepts to help
individuals to develop their decisions, organise all sorts of changes, finding and modifying
present uselessness causes on human and know the decisions, behaviours as well as thought of
individuals (Nudge Theory, 2018). Nudge theory assists TNT to understand the people opinions
and improve their decisions accordingly.
b. The use of models would help ensure positive changes within the Organisation
After using all the above model it is seems that Kotter's Theory, Lewins Three Step
Change Model and Nudge theory help to assure some positive changes that are employees get
more encourage and motivated. Due to changes more proficiency of employees are to be seen.
Employees engagement increases and reduces the retention. Decisions are improved and get the
chance to understand the behaviours and thoughts of employee.
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ACTIVITY 4
a. Best Fits and resource based view contribution towards sustainable performance
Best fit are referred as a different from last most Harvard, York and Michigan also
known as the HRM matching model. This depends upon improving the policies of HRM as per
the strategy (Godard, 2014). It significances contingency fit among activities of HR and
development of company stages, also its internal framework and external surroundings such as
suppliers, clients etc. This help TNT to develop HR policies as well as strategy.
Resource based view is refer to as managerial structure which is utilise to ascertain
strategic resources with possibility to convey comparative benefits to a company. These
resources can be used by TNT to accomplished sustainable performance and competitive
advantages.
b. Best Fit contribute towards competitive advantage.
Best fit is also known as contingency model and it is calls for contingent relations of
business strategy with firms practices of HRM. It propose vertical consolidation at which control
can be attained with HR methods and practices that can be considered as key elements (Harrison
and Lock, 2017). The significance of training and development also learning as a beginning of
sustained competitive advantages because more effective skills are introduced of creating
training and development in some common areas.
c. Ways to measure performance their contribution towards performance.
The performance of employees can be measured by various ways. Some are mentioned
below:
Key Performance Indicator
In performing the task of the human resource, organisation will use key performance
indicators for evaluating employees performance and success of the business entity like TNT by
evaluating the employees performance, HRM perform the task of the performance appraisal for
workforce performance improvement (Harding, 2017). Employees performance's comparative
statements with their previous performance is prepared which shows overall progress of the
business period. Motivational force among workforce is created to improve their performance
and improve profitability of business(Birasnav, 2014). Employee working and operational
performance is improved, KPI befitted in maximisation of the revenue and betterment of the
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employees working and also for better financial performance of the entity. This all leads to
achieve the desired goals and target goals of the organisation.
Benchmarking
With the help of this method manager of company use standard to improve the
performance of their own operation. This techniques help in the measurement of the efficiency,
quality of firm internal product, polices techniques and procedures to prepare relative statements.
This is done because to measure the quality of actual standard with the only need to specify
approving or adverse reprobate for the betterment in order to develop and accommodate scheme
and plan of action with the organisation such as TNT. This help company to achieve the overall
objective of company and increase the entire performance during a particular time frame. This
also help the manager of TNT in order to create valuable plans and procedures that help to
improve the production of goods(McGuire, 2014). It also help for the betterment of the company
performance and achieve the objective.
10 C HRM Model:
This model based on pragmatic model and it was counsel by Alan price in the book of
human resource management. The book published in 1997 and in the context of business. This
book described about the role of human resource management as well as manager's role, need in
the context of business (Birasnav, 2014). With the help of this book know about ten c's model
like as credibility, creativity, competence, control, cost effectiveness, comprehensiveness,
change and communication. These all ten principles are important for human resource practices
and provide help to HR regarding to their employees.
CONCLUSION
From the above report it is concluded that human resource management plays crucial role
in company so that it can accomplish organisational objectives. Few trends such as workforce,
technology and so on that impact and effects productivity. Policies of HR that effects the private,
public and third sectors. David Ulrich Model applied that help TNT to become an effective
company. Some concepts like 540 degree appraisal and flexible working is applied for better
performance. Change management theory are discussed to know about the positive changes.
Apart from this best fit and resource based view contributes towards sustainable performance
and competitive advantages. KPI, benchmarking are used to measure the performance.
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REFERENCES
Books and Journals:
Engert, S., Rauter, R. and Baumgartner, R. J., 2016. Exploring the integration of corporate
sustainability into strategic management: a literature review. Journal of cleaner
production. 112. pp.2833-2850.
Slack, N. and Brandon-Jones, A., 2018. Operations and process management: principles and
practice for strategic impact. Pearson UK.
Cleaver, F., 2017. Development through bricolage: rethinking institutions for natural resource
management. Routledge.
Brymer, R. A., Molloy, J. C. and Gilbert, B. A., 2014. Human capital pipelines: Competitive
implications of repeated interorganizational hiring. Journal of Management. 40(2).
pp.483-508.
Fulmer, I. S. and Ployhart, R. E., 2014. “Our most important asset” a
multidisciplinary/multilevel review of human capital valuation for research and practice.
Journal of Management. 40(1). pp.161-192.
Rao, T. V., 2014. HRD audit: Evaluating the human resource function for business
improvement. SAGE Publications India.
Ross, J. E., 2017. Total quality management: Text, cases, and readings. Routledge.
Godard, J., 2014. The psychologisation of employment relations?. Human Resource
Management Journal. 24(1). pp.1-18.
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach.
Routledge.
Harding, S., 2017. MBA management models. Routledge.
Birasnav, M., 2014. Knowledge management and organizational performance in the service
industry: The role of transformational leadership beyond the effects of transactional
leadership. Journal of business research. 67(8). pp.1622-1629.
McGuire, D., 2014. Human resource development. Sage.
Reynolds, M., 2017. Organizing reflection. Routledge.
Heraty, N., Michailova, S. and Morley, M. J., 2016. Managing human resources in Central and
Eastern Europe. Routledge.
Van Der Vegt, G. S., Essens, P., Wahlström, M. and George, G., 2015. Managing risk and
resilience.
Online
Nudge Theory. 2018 [Online]. Available Theory <https://www.businessballs.com/improving-
workplace-performance/nudge-theory/>
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