Strategic Human Resource Management Report for Virgin Megastores

This report provides a comprehensive analysis of strategic human resource management (SHRM) within the context of Virgin Megastores. It begins by outlining current trends influencing HR strategy, such as recruitment, consumerization, globalization, workforce diversity, changing skill requirements, performance consulting, and team-based structures, discussing their impacts on HR practices. The report then examines both external and internal factors affecting HR strategy and practice, including economic conditions, government regulations, employee motivation, and organizational culture. Furthermore, it explores various theories and concepts relevant to organizational growth and development, along with change management models that support HR strategies. The report also addresses methods for measuring HR outcomes and assessing the effectiveness of HR management in fostering sustainable performance and growth within Virgin Megastores. Overall, the analysis provides insights into how Virgin Megastores can leverage SHRM to achieve its business objectives.

STRATEGIC HUMAN
RESOURCE MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Current trends and development that influence HR strategy in an organisation...................1
P2 External and internal factors that influence HR strategy and practice...................................2
TASK 2............................................................................................................................................4
P3 Theories and concepts for growth & development in an organisation...................................4
TASK 3............................................................................................................................................5
P4 Appropriate changed management models that supports in HR strategy for an organisation
.....................................................................................................................................................5
TASK 4............................................................................................................................................6
P5 Methods by which HR outcomes can be measured so that it can be applied in
organisational situation...............................................................................................................6
P6 Effectiveness of HR management and development for sustainable performance and
growth.........................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Strategic Human resource management is said to be one of the most important part of an
organisation that may make or break company's brand name in all over world (Wright, Coff and
Moliterno, 2014) There are many responsibilities that an HR manager have like recruiting,
making strategies, analysing performance of employees and many more. With the help of this,
retention of staff members can be improved in an appropriate manner. Virgin Megastores is look
forward to enhance their capacity which is related to shareholders has been chosen under this
report. Assignment will enclose current trends that are being adopted by firms in their strategies.
Along with this, External and internal factors that can affect working of an organisation. Lastly,
assessment will show many theories and concept HRM practices that may aid frim in hitting its
targets. All these elements are being enclosed under this report in order to under basic needs with
the aim of growth of shareholders of Virgin Megastores.
TASK 1
P1 Current trends and development that influence HR strategy in an organisation
In modern world, it has been located that every single firm is looks forward to have
effective human resource management at workplace so that business can get run in a successful
manner. Through this organisation can hit its targets in much more effective and efficient way.
Companies that are working or doing business at international level needs to have appropriate
HR manager because he/she is the one who continuously looks forward to make profit based
strategies so that to gain high competitive advantages at marketplace of United Kingdom.
Formulating HR strategies is fundamental for firms who are looking to gain good reputation at
marketplace in short period of time. On the other hand, many company's managers does try to
make effective strategies so that to better serve to employees in order to improve retention power
of firm. In this context some of current trends and their impact on HR strategies are given
beneath:
Recruiting new employees: HR manager of Virgin Megastores can be stated as the person
who stays responsible for this factor. Recruiting new employees at workplace brings many sort
of innovation and new ideas which may aid firm in gaining good competitive advantages at
marketplace of United Kingdom and in other countries too. Selecting right person for correct job
stays as the main aim of HR manager of an organisation (Tyson, 2014). This has raised
3

responsibilities of HR manager as it is necessarily vital for them to keep on filling vacant seats so
that company go through all the phases on a regular basis. Apart from this, it is also must for
them to develop policies for new employees so that retention of them can be maintained.
Cosumerisation: This factor do comes under new trends which every single organisation
in today's world adopts. It is required for Virgin Megastores to give all the information to
consumer of all products and services that they have launched or made some modification. This
element helps firm in in enhancing their sales which directly puts positive impact on profitability
of company. This has also impacted on HR strategies as Virgin Megastores needs to develop their
products and services and this can be done only if employees are having high talents. Therefore,
it is must for HR department to hire talented and highly skilled staff members so that consumers
can get good experiences.
Impact of globalisation: Globalisation can be considered as one of a crucial factor that
majorly affects HR strategies of Virgin Megastore. If organisation, expands its business in other
nation, than it is required to develop a whole new HR strategy or to make modifications in it as
working environment in both the countries cannot be safe. International companies require
international HRM system for building manpower that is competent to run the business at global
level. SHRM provides harmony in operations which influence the productivity of employees in a
positive way. It helps in maintaining a pace with changing trends in different labour markets.
Sustainability is gained through high competitive advantage through SHRM.
Workforce diversity: Within a company like Virgin Megastore or any other organisation
cannot have staff members with same mentality or thinking. This could directly impact upon HR
strategies made by HR manager of Virgin Megastore, as one will never feel positive about what
company is offering to them at workstation. This is why Virgin Megastore would require to make
alterations in its HR strategies. SHRM reduces cultural differences which can be a a major
barrier in implementing policies and procedures. The problem of communication is eliminated
through effective training. Also, every employee holds different ideas and perceptions which can
create situations of disputes which are resolved promptly through SHRM. This mitigate any
delay in operations and saves precious time which can be applied in other important decisions.
Changing skills requirements: Today's environment is carrying a rapid changing nature
because of updates in technology and more can easily be seen. Companies like Virgin Megastore
also keeps on updating themselves in order to gain competitive advantages. This requires proper
4

training for staff so that they could use updates and start working with the organisation's goals
and objectives. Here, it is may be possible that HR manager of Virgin Megastore would require
to make alterations as per the requirements. SHRM ensures available pool of employees exist so
that time and money can be saved. Furthermore, right person can be hired for the right jobs
which appreciated their efficiency in achieving individual as well as organizational goals.
Consulting the performance: It has been analysed that after making modifications in
operations firm may face some sort of issues like losses, decrease in sales and many more as
some times decisions that are being taken by HR manager of Virgin Megastores may get wrong
(Cooke, Saini and Wang, 2014). Therefore it is required for them to keep on analysing the
performance or monitoring it in order to improve market reputation. This sort of trend is also
influencing HR strategies as performance of employees directly affects goodwill of Virgin
Megastores. Therefore, it is very much required for HR managers to look into different aspects,
make effective policies and then hit their targets as well so that benefits can be gained right on
time.
Staff member to squad to network of teams: Employee relation plays an important role in
this context and along with combination. Selecting best candidates and merging them in a team
may aid firm in attaining all the goals and objectives right on time. Through this, organisation
can finish all the specialised task right on time without facing any sort of problems and issues. It
has also been analysed that employees work in a team then it is may be possible that firm may
attain goals and objectives in much effective and efficient manner. Training and development
programmes can be developed by HR departments and this may lead Virgin megastore in
grabbing good position at marketplace of UK in short period of time.
Man Machine Collaboration: Adopting tools and techniques at workplace brings so
many insecurities among employees. But this action which a firm takes brings growth in their
business which directly puts positive impact on their profitability. It is responsibility of HR
manager of Virgin megastore to give training to employees of this company on regular basis so
that they become able to deliver appropriate services to consumers and through this organisation
can maintain a long term relation with customers (Schuler, and Jackson, 2014). HR strategies
should also gets affected with the help of workers if policies are being developed in an
appropriate sense that may aid staff members in working at workstation of Virgin Megastores.
5

Henceforth, these are some key elements and current trends that may raise various
conflicts along with it can bring positivity as well in organisation. With the help of this, Virgin
Megastores may build up its image along with its products through which competitive
advantages can be gained.
P2 External and internal factors that influence HR strategy and practice
Both internal and external factors can put impact on HR strategy and on practices as well
and this has been discussed beneath:
External Environment: Notwithstanding created nations, it is additionally well known
in numerous creating nations. It goes about as the most normally utilized web index for analysts
and for the general inquisitive personality. The organization takes a shot at its adage to make
itself open to the worldwide level. In the event that all the more elderly individuals pick Virgin
Megastores, at that point it will be helpful for the organization. With the progression in
innovation, Virgin Megastores has ever neglected to fall behind. Since Virgin Megastores is
utilized comprehensively, no money related emergency in contemporary society has neglected to
upset the organization's fiscal strength. Because of a few pictures and data, Virgin Megastores
has needed to manage issues identified with copyright issues. Because of the nearness of
numerous authentic works, it has additionally confronted issues. The organization authorities
were requested to limit the accessible query items while seeking on a specific point. Virgin
Megastores makes it workable for individuals to peruse the web and they frequently utilize it to
discover close-by motion picture corridors, eateries to download more melodies to check the
score. Virgin Megastores has profited from a swelling in the economy as it has expanded the net
income of the organization. This could be understood with a good example where, government
of United Kingdom or of any other country brought changes among employee legislations.
Because of this, it is may be possible that HR manager of Virgin Megastores would require to
make alterations among human resource strategies or practices as well. External environment is
dynamic and changes occur very fast due to which HR strategy and practices should be modified
according to need. Factors in this environment increase competition which majorly impacts the
workforce. For example, a new legislation for employees has been enacted which is compulsory
for entities to comply immediately. Then in such case, it can force to make significant changes in
existing policy and process.
6

Internal Environment: The organization puts weight on the choice procedure of
representatives. They are keen, dedicated and exceptionally inventive. These staff individuals are
greatly dedicated to their work and are liberal towards their accomplices. They take after the
strategy of advancing people at consistent interims. Regularly extra projects help human
administration asset benefit keep up these profoundly qualified people in their organization.
Aside from this, extra preparing gave to the staff causes them enhance the nature of work. Virgin
Megastores enables its representatives to go and visit places by means of Virgin Megastores
Access Global and Virgin Megastores Access Local. Representatives visit the creating territories
and give help to little organizations and neighbourhood foundations. Social issues of instruction,
appetite, and sicknesses are tended to by these gatherings of representatives. The organization
welcomes specialists from different fields for classes and connection with its workers. Virgin
Megastores' HRM administrations employ people from everywhere throughout the world who
make worldwide associations. On the other hand, this can be understood with a good example
where staff members of Virgin Megastores felt less motivated with both compensation and
reward system of the company this raised high turnover ratio of employees which Virgin
Megastores cannot afford. Here, it was required to bring change among both HR strategy and
practices for motivating staff and to improve their loyalty towards Virgin Megastores. These are
the factors which are controllable by internal management. However, situations like conflicts
between employees or employers, resignation of an executive person, changes in policies which
do not favour majority of employees etc. can force HR department to alter its strategies and
practices. Furthermore, leaders should have a good hold over all the personnel so that they can be
motivated and influenced in a positive way which ultimately raise their productivity.
Guardians and maternity leave has dependably been a reason for concern in regards to
corporate houses everywhere throughout the world. Not at all like most other universal
organizations, Virgin Megastores has dependably been liberal for its representatives on account
of parental leave. It has expanded the quantity of offices despite its sexual orientation, by giving
paid leaves to the guardians. Ladies get a 18-month leave of installment and conveyance of the
kid one month before conveyance. Employers acknowledge the exertion made by their workers
and don't agree in the valuation for the representatives. One of the numerous advantages gave by
the organization is an on-spot reward that is certainly pulling in specialists. Workers assign each
other to get prizes and rewards in real money or sort frame. A few divisions began posting email
7

and appreciation notes on the divider to see everybody. Bosses are given the opportunity to pick
the type of rewards that they need to get. It can be a settled measure of money or any individual
blessing. An intriguing method for including specialists in nearly everything is through the
procedure of 'dogfooding'. This implies the organization gives the item to its workers which are
not yet propelled in the market. Changes are made in view of the input got from the
organization's workers. This procedure makes a feeling of organization and unwavering quality
between the business and the representatives, similar to a well-woven family. This open outside
and inward working environment makes Virgin Megastores extraordinary compared to other
managers around the globe.
TASK 2
P3 Theories and concepts for growth & development in an organisation
It has been analysed that Virgin megastores have embraced numerous speculations and
systems which are received by the organization to build the efficiency and deals. A portion of the
methodologies are specified underneath which are as per the following:
Resource based strategies: This sort of system is utilized as a part of request to make
techniques with the goal that organization can convey potential results for offering progression to
a firm. Fundamentally it utilizes inner assets so they can recognize resources, capacities and
ability (Collings, 2014). Therefore, it empower association to give better administrations and
offices all together than accomplish their objectives and destinations. This idea is helping
organizations in making both key administration and vital showcasing. Through this approach
Virgin megastore is endeavoring to distinguish and assess the variables which is giving
preferences and detriments to the association.
Key Fit: This hypothesis was significant by Wright and McMahan in the year 1992. he for
the most part characterized the idea into two sections i.e. vertically and on a level plane.
Essentially this recognize the assets and abilities which is required by the association for
satisfying the set targets and objectives. Key fit can be connected with asset based view since it
gives better routes by which they can embrace and pick up benefits and step by step improves
and keep up the situation in showcase territory for a drawn out stretch of time. For this it is
required that they use novel attributes as indicated by the capacities this will give upper hands.
Encourage more it can be characterized into two classes unmistakable that incorporates
8

budgetary and physical: other one is immaterial which includes innovation, human asset and
culture. SWOT, esteem chains, income and numerous more devices and systems can be utilized
to assess the assets and abilities in a superior way (Ellinger and Ellinger, 2014). Accordingly,
Virgin megastore is utilizing merger and acquisitions open doors for making arrangement of
activity.
Elite administration: This hypothesis empowers them to quantify and decide the execution
and profitability of an organization. In this manner, administrators and chiefs affect the efficiency
and deals in a specific unit or business tasks. Virgin megastores tries to convey the best quality
items to their clients with the goal that they can gain the devotion of their shoppers. This will
improve their image picture before their customers. For showing signs of improvement comes
about bosses are allocating undertaking such that it gives the best outcomes. Representatives
likewise assumes a vital part and for this organization is giving preparing programs so laborers
can improve their current aptitudes and information.
High duty administration: This essentially focusses on singular improvement as opposed to
focussing on higher power. High duty administration makes a man autonomous and engage so
he/she can play out the undertaking legitimately (Debroux, 2017). Essentially it is utilized to plan
and make structures which organization can take after for executing them in their business tasks.
TASK 3
P4 Management models support HR strategy
Change is necessary thing which develops negative as well as positive things. It is
essential that organisations must be ready in order to accept many changes for developing
business in the forward direction. Change is common which run by all business which are
concerned with an industry, age and size (Al Ariss, Cascio and Paauwe, 2014). In context to the
business direction, there are some rules which need to be followed through Megastores for
gaining the more advantages. Under this, there are some management models are given below as
above:
Lewin's change management model: This model was formulated change that including three
necessary steps and these are unfreezing, changing and also refreezing. Procedure of change
developing preparation that modification is necessary then moving towards any desired level of
behaviour. The three different of this model are given below as above:
9

Unfreeze- It is a first stage and under this includes preparation of company in order to
accept some alterations which are required and consists breaking down current status before
developing any new methods of operating. In addition to this, it includes make improvement
willingness and readiness of individuals to modify through fostering realization for move from
the current comfortlessness to transformed conditions. This step is helpful in aware about
requirements for change as well as increasing motivation level for accept the new working
methods in order to gain better results.
Change- It is a second stage and it is regarded as transition or execution of change. It
includes an acceptance of new methods for completing things in an effective for better manner.
At this stage, persons are unfrozen and execute the change for getting the positive result (Bal and
De Lange, 2015). In addition to this, there is a requirement of careful planning, encourage an
involvement of people for endorse change and better interaction. Because of many uncertainties,
transaction is not so easy. Staff members cannot learn about change easily they need some time
to understand and also accept change at workplace. In addition to this, it is a responsibility of
manager to understand advantages to change to employees so that they can motivate towards it.
Refreeze- When modifications are taken a shape and persons have embraced new working
methods then in this case firm are prepare to be refreezing. At this stage, persons move from
transition stage to stable or at the equilibrium. In order to more comfortable, people develop new
relationship with other people. This stage is ultimate and under which person internalizes as well
as accepts new methods of change as well as working. In order to reinforcing as well as
strengthen alteration as well as new behaviour of working, then staff members should be
rewarded, give positive reinforcements and also recognised them in an effective or better manner.
These all are the three different stages in this model but for executing this model, there are three
different ways which are given below as above:
 Change interpersonal, climate and culture of an organisation.
 Change in skills, behaviour and attitude of staff members which are working in
Megastores firm.
 Alteration in current structure, process and system of company.
McKinsey 7-S Model: It is an effective tool which analyse design or structure of company
through looking towards seven internal components in order to determine if they are allow
10

as well as aligned firm to accomplish aims and goals in an effective manner (Banfield, Kay
and Royles, 2018). The seven different components of this model are mention below as
above:
Strategy- It is a plan which developed to get competition and also reach to
objectives or goals. It consists productivity of step by steps process and also future plan.
Structure- It is concerned to way in which firm is segmented and also follow a
proper structure for ding its activities in systematic way.
System- In context to get activities completed method under which daily activities
or tasks are to be performed.
Shared values- These refer to main or core values of company on the basis of it
work as well as runs (Collings, 2014).
Style- Ways under which leadership and also changes are adopted and also executed
in an effective or systematic manner.
Staff- They refers to employees and also their working abilities.
Skills- Abilities as well as competencies which possesses through staff members
those working in Megastores organisation.
Apart from this, Kotter' 8 step change model is also used by business organization
to effectively implement the change within the business organisation to improve the
overall performance of the company and workers as well. As it includes 8 steps which can
be understood by following description: Create Urgency: It is happen if entire business organization really wants it. With
the help of this, company develop a sense of urgency in the need for the change. It
may improve the initiating motivation in order to get the things moving. This step
help in determining the potential threats and at the same time also develops
scenarios that could be happen in the future. Form a powerful Coalition: It is related with strong leadership and visible support
from workers within the organization. In this, managing changes is not enough for
the company but also have to lead it. For leading the change, company needs to
bring together a team and at the same time also influence the people to handle the
changes within the organization.
11

 Create a vision for change: This stage includes the ideas and solution. In this,
leader is responsible for creating a new and clear vision which help workers in
improving the activities accordingly. This will directly contribute in determining
the value that are required to the change. Along with this, by creating a strategy,
leader can easily execute the set vision within the organization. Communicate the vision: Under this, leader of the company communicate with
their workers about the set vision. For this leader also organise the meeting to
effectively communicate with the employees at workplace. With the assistance of
this, organization may improve the chances of resolving issues and problem occur
at workplaces due to changes. Remove obstacles: In this staff members of the company focus on the removing the
issues related with the changes process. By executing the vision, leader can easily
deliver the change by recognize as well as reward the people towards the making
changes. Create Short -term wins: Success is a element that motivate the organization to do
something well. For attaining the same, company needs to create short term goals
and target that may help them in easily attain. In this, leader motivate the workers
to put their best efforts to come up with the changes in an appropriate manner. Build on the change: In project and business organization, various changes are
occur that runs deep in which quick wins are the best way to effective implement
the changes and attain the positive outcomes. Along with this, it also provides the
opportunities to effectively build that what went right and what can company
improve within the business activities. Mainly, it includes the continuous
improvement that help in developing the positive performance of the company.
 Anchor the changes in corporate culture: To make changes stick, it is one of the
important of the business organisation that help in implementing day to day
activities of the company. In this regards, continuous efforts is play a significant
role in effectively managing the chances which directly contribute in improving
performance level of the company.
12