Strategic Human Resource Management Report: Intercontinental Hotel

This report provides a comprehensive analysis of strategic human resource management (SHRM) within the context of Intercontinental Hotel. It begins by identifying key current trends and developments impacting HR strategy, such as the rise of robots and smart hotels, followed by an analysis of both internal and external factors influencing HR practices. The report then applies relevant theories and concepts, including the Contingency approach, to the growth and development of strategic HRM, contrasting it with competitor practices. Furthermore, it evaluates the application of change management models, specifically Lewin's model, in supporting HR strategy within the organization. The report concludes by explaining how HR outcomes can be monitored and measured, utilizing Key Performance Indicators (KPIs), and assessing how effective HR management supports sustainable performance and growth. The analysis covers various aspects of workforce management, technological advancements, and the impact of external market forces on the hospitality industry.

Strategic Human
Resource
Management

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Determine key current trends and developments that influence an organisation’s HR
strategy........................................................................................................................................3
P2. Analyse how both external and internal factors influence HR strategy and practice...........5
TASK 2............................................................................................................................................6
P3. Apply relevant theories and concepts relating to the growth and development of strategic
HRM to organisational specific examples..................................................................................6
TASK 3............................................................................................................................................7
P4. Evaluate how appropriate change management models support HR strategy in application
to relevant organisational examples............................................................................................7
TASK 4............................................................................................................................................8
P5. Explain how HR outcomes can be monitored and measured and apply this to a specific
organisational situation...............................................................................................................8
P6. Discuss and evaluate how effective HR management and development can support
sustainable performance and growth to meet organisational objectives.....................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Human resource management is a task which involves several theories and techniques
that are utilised by managers in the organisation for efficient administration and support to the
workforce. HRM has to be strategically planned and performed by the managers according to the
current scenarios of market and other factors for effective performance and talent management
(Madera and et. al., 2017). Current assignment is developed on Intercontinental hotel, commonly
known as Intercontinental Hotel a British large hospitality company which was established in
1946, headquartered in Buckinghamshire, UK and servers to global population. The report
emphasis on the current trends along with internal and external factors which influences HR
strategy. Moreover, relevant models or theories are applied for growth and development of
strategic HRM and for change management. Furthermore, monitoring and measuring tools are
identified for evaluating HR performance along with identifying support provided to sustainable
performance and growth of organisation through effective HRM and development.
TASK 1
P1. Determine key current trends and developments that influence an organisation’s HR strategy.
Human resource management is a separate department in an organisation which is
responsible for developing methods and utilising techniques for maintaining and managing the
workforce. These HRM practices are than integrated and a systematic HR strategy is produced
through which all requirements of employees are company are managed.
The HR strategy and HRM decision making of Intercontinental Hotel is affected by key
current trends flourishing in the industry and leads it to the future growth and success. These
industry trends and developments taking place will be determined by the human resource
managers and team of Intercontinental Hotel and accordingly changes or improvements are made
in the strategic management of staff. Few industry trends and developments that are affecting the
HR strategy of Intercontinental Hotel are elaborated underneath:
 Robots- Emergence of robots is the most surprising and exciting trend of the industry,
which are machines that are designed and developed to carry out complex activities
according to the instruction fed in their systems. These robots are used in Smart Hotels
for conducting roles of many departments such as Housekeeping, Kitchen staff, Front
office department and others.

(Source:Technology is making hospitality smarter, 2020)
They are equipped with Artificial Intelligence (AI) enabling in better management of hotel and
generating speed, cost and accuracy improvisation. Introduction of Artificial Intelligence and
Robots have impaired existing HR strategy of Intercontinental Hotel. The human resource
department can bring in these robots for back and front office tasks where applicable reducing
workforce needs, cost involved in recruitment&selection and training&development of new or
existing staff (Bailey and et. al., 2018).
 Smart Hotels- A smart hotel is the result of efficient technologies and digital
advancement along with a innovative idea of business owners in hospitality industry
matching with the trends. A smart hotel is totally operated through internet where
internet enabled devices are used for all services and activities needs to be conducted in a
hotel for customer satisfaction.
These new invention have impacted the hospitality industry and HR strategy as now many back
office work can be completed through internet based devices. Intercontinental Hotel cannot
change into a Smart Hotel but can implement few devices which will automatically reduce
workforce need of the company and HR department have to re-evaluate their HR strategy.
Illustration 1: Technology is making hospitality
smarter, 2020

P2. Analyse how both external and internal factors influence HR strategy and practice.
Internal and external environment of organisations which exist in contemporary
surrounding of business are influential over several different aspects of entity. These internal an
external factors will be analysed and evaluated for making changes accordingly in the operations
of the company for efficient and smooth running. There are several factors which will affect the
HR strategy of Intercontinental Hotel as well. The industry trends which are identified will be
bring external influence and few operational and other aspect of internal surrounding of Hotel
will bring internal influences. Therefore, few internal and external components which are
affecting the HR strategy of Intercontinental Hotel are as follows:
INTERNAL ELEMENTS
 Organisational Needs- Intercontinental Hotel is a large hospitality service provider
which has its operational presence in several markets around the globe. It is very evident
that workforce needs of entity is regularly fluctuating, rising and demolishing very
frequently. This internal factor has huge influence over HR strategy as the HRM have
develop dynamic strategy for managing workforce requirements of the hotel.
 Corporate Objectives- A large organisation and its objectives are dynamic, long term
goals of business will remain constant but short term goals are regularly changing due to
social trends and influences. These changes in short term objectives of Intercontinental
Hotel also leads to evolving human resource needs and specifications. The HR strategy is
again influences and affected as now the needs of workforces changes, required level of
expertise also changed and HRM has to develop accordingly and fulfil their roles (ZENG
and Liu, 2017).
EXTERNAL ELEMENTS
 Labour Market Changes- The eternal business environment is dynamic, change is a
vital characteristic of business world. Such changes when takes place in labour market
directly affects the HR policy or organisation. Intercontinental Hotel's, HR strategy also
revolves around these modification in labour market for bringing current skilled taskforce
for running the organisational operations smoothly and with utmost sustainability.
 Technological Changes- Technology has great impact on several different industries
existing in the marketplace. The hospitality sector is also benefited due to it , bringing
robots and replacing human labour-force is the biggest example of it. Technologies are

providing ease to organisations and allowing their to reduce cost by reducing employees
and allocating advanced devices to work in exchange.
TASK 2
P3. Apply relevant theories and concepts relating to the growth and development of strategic
HRM to organisational specific examples.
HR strategy is defined as the policies and approaches used by HRM department of
company to manage staff and to look over all present and future workforce needs of company.
Organisational strategy refers to the overall plan and methods applied by management of
company to run their business smoothly and successively. The HR strategy is interrelated with
organisational strategy and developed in accordance to it. Organisational culture has huge
influence over HR strategy of company as it is a guide provided to employees about how to
work, behave and perform in the company.
The HRM policy of Intercontinental Hotel for developing strategic HR strategy is
Contingency approach. The approach of Contingency Theory of HR states that in order to be
effective and efficient the HRM department should be consistent and in effective communication
with other aspects or departments of organisation as well. That is the contingency decision of HR
should be largely dependent upon or developed in relation to external and internal factors. The
human resource team of Intercontinental Hotel make use of Contingency theory while
developing strategic HR policy in relation with growth and development of HRM (Boon and et.
al., 2018).
In relation with contingency theory of HR strategy development the team make sure that
they are developing deep understanding of all the internal and external factors that impacts the
workforce needs and growth of Hotel. Moreover, HR team also be consistent with other teams
and operational units of Intercontinental Hotel such as Kitchen, Front Office et. For making sure
they have collected thorough knowledge about it.
In contrast with Intercontinental Hotel's competitors they are on the other hand using the
Universalist approach. This theory of strategic HRM states that best practices of HRM is applied
to wide range of issues related to managing employees such as training and development,
recruitment and selection, talent management and many other. These practices are adopted and
applied in the organisation regardless of any other aspect of business such as internal-external

factors influence, other departments of organisation and so. This approach of Strategic HRM
known as “Best Practice” and contingency theory is known a “Best Fit” approach.
TASK 3
P4. Evaluate how appropriate change management models support HR strategy in application to
relevant organisational examples.
Change Management generally refers to the implementation of change in internal
operations and team according to organisational change. It is evident and significantly said that
change management is a ever-evolving process which affects every section of organisation and
every party associated with it. There are few models which are helpful in change management
but there are no ways or methods through which evolution and change can be mitigated or
ignored. Intercontinental Hotels deals in changing business environment as it operates through
several economies and markets. Therefore, HR strategy of company is also affected through and
a specific change management model is applied for balancing its operations and fulfilling
objectives.
Lewin’s change management model was developed in 1940's and very effective which
makes it applicable to several dynamic situations. The model is structured in three divisions that
is Unfreeze, Change and Refreeze. The model is explained in relevance with ice and changing
it into cone shape and applied to organisational change management. These three stages of
Lewin's change management model are elaborated below in relation with Intercontinental Hotel
when workforce needs are changing (Delery and Roumpi, 2017).
 Unfreeze- This is the first stage where teams are suggested to unfreeze their current
processes and perceptions and prepare for the upcoming change. This stage is performed
for providing people and team members a clear slate and work without any bias. The
HRM team of Intercontinental Hotel at this stage will develop new strategies according to
change took place and requirements of workforce changed. They will reduce or increase
their recruitment and selection process according to the evolution in staff numbers
identified.

Illustration 2: Change Management Models, 2020
(Source: Change Management Models, 2020)
 Change- Once old processes are evolved and perceptions are unfreeze now the next stage
is of applying those changes and working accordingly. The whole HR team of
Intercontinental Hotel makes sure that effective communication is flowing so that
efficient and most effective sources are used for bringing in new staff in small or higher
number then before. More aggressive communication will be taking place which is
informed and clear enough to reduce any misunderstandings and completing their task in
time so that requirement of workforce is fulfilled (Wright and Ulrich, M. D., 2017) .
 Refreeze- This is the ultimate and the last stage of change management process where
those changes which took placed with accurate feedback and on-going communication at
the change stage are now refreeze and locked into their places.
TASK 4
P5. Explain how HR outcomes can be monitored and measured and apply this to a specific
organisational situation.
For monitoring various activities heterogeneous tools are adopted by the HRM team of
Intercontinental Hotel which are elaborated as under:

 Key performance Indicator (KPI's)- KPI is defined as measuring performance in order
to recognise weaker section of the business in which improvements are needed. This is a
helpful tool for the business as in taking out effective outcomes so that prominent
position can be stored within global market (Wisconte and et. al., 2020). KPI is helping
business in finding out loopholes which may provide them access of upgrading the same
in order to attain high efficacy and prominence as well. In the context of Intercontinental
Hotel they are utilising the concept of KPI so as to analyse those factors which may have
positive implications in encouraging overall performance. Similarly KPI is a helpful
aspect in managing human capital within business in apt manner so that overall efficacy
can be achieved in attaining goals of the business.
 Benchmarking- Within this tool comparison of two different business organisation is
performed in order to intensify business performance (Reddy and Lakshmikeerthi, 2017).
This tool is helpful in measuring level of market competencies and the position held by
the company within market place. In the context of Intercontinental Hotel their
management is using this aspect in order to fill out loop areas and to improve the same so
as to achieve business objective of attaining prominent position within marketplace in
order to compete rivals in effective manner. For example performance of Intercontinental
Hotel is compared with Marriott as both of them are renowned hotels. By performing
comparison analysis of their processes and quality of service can be examined.
P6. Discuss and evaluate how effective HR management and development can support
sustainable performance and growth to meet organisational objectives.
Sustainable performance is defined as combination of various practices in which are
ozone friendly practices are adopted through which long term positive outputs can be attained.
For HR management incorporation of effective management is necessary so by which
sustainable performance can be boosted and overall goals of the business can be attained (Cheah,
Ho and Li, 2018). This is highly essential for the business that challenges can be handled in such
a manner that business can grow within sustainable practices in order to attain high benefits
within market competition.
Human resource department is having significant role within this as role of HR is directly
linked with boosting overall performance of business and to attain prominent position within
marketplace. It falls under the role and objectives of HRM department of Intercontinental Hotel

to manage performances of people and make them sustainable providing long term benefits to
the entity and enabling in attainment of organisational goals (Panari and et. al., 2016).
Sustainable performance is essential and relevant to retaining staff and expertise for
longer period in entity for which HRM department of Intercontinental Hotel make use of several
practices. These practices are as follows:
 Rewards- The workforce needs to be motivated and have to be kept satisfied with their
jobs. For which HR team make use of reward strategy where employee performances are
regularly evaluated in accordance with contribution made towards the organisational
goals and rewarded on the basis of sustainable performance.
 Other work related benefits- There are several other work related benefits attached as
well with the jobs. The HR department make sure that these benefits are rendered to staff
for keeping their encouraged to perform with their best potentials and developing balance
in their performances (Armstrong, 2016).
Both these strategies result in sustainable performances of employees along with
retaining expertise and essential staff for longer period in Intercontinental Hotel. Moreover,
several cost of recruitment&selection and training&development of new staff is saved and placed
in other resourceful actions.
CONCLUSION
From the above detailed report it can be concluded that human resource management of
the business is helpful for the business to increase organisational performance within global
periphery. This function is helpful for the business in increasing profitability ratio in order to
deal with competitive market. Vital role is executed by human resource as in managing
employees so that to enhance their retention and to meet their level of expectations. In the
process of framing HR strategies market trends are required to be handled so that these strategies
may align to organisational goals in direct manner. Similarly there are numerous theories and
approached which are used by business for major purpose to uplift overall performance.

REFERENCES
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competitive advantage: is the field going in circles?. Human Resource Management
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and tourism. International Journal of Contemporary Hospitality Management.
Panari, C. and et. al., 2016. The ambiguous role of healthcare providers: a new perspective in
Human Resources Management. Acta bio-medica: Atenei Parmensis. 87. pp.49-60.
Reddy, P.R. and Lakshmikeerthi, P., 2017. HR analytics-An effective evidence based HRM tool.
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Psychology and Organizational Behavior. 4. pp.45-65.
ZENG, Q. X. and Liu, H. U., 2017. A study on strategic human resource management and sports
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Change Management Models, 2020.[Online] Available Through:
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