Human Resource Management Report: Tesco's Practices and Analysis

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within Tesco, a multinational grocery store. It begins by introducing the core functions of HRM, emphasizing its role in workforce management, employee development, and fostering positive workplace relationships. The report then delves into the strengths and weaknesses of different recruitment methods, comparing internal and external selection processes. Furthermore, it explores the benefits of effective HRM practices for both employers and employees, highlighting the importance of a positive work environment, employee development, and a flexible workplace. The report also examines the significance of employee relations in decision-making and outlines key elements of employment legislation. Finally, it discusses the practical application of HRM practices in a work-related context, providing a well-rounded overview of HRM principles and their implementation within a real-world business setting.

HUMAN RESOURCE AND
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Purpose and functions of HRM.............................................................................................1
P2 Positives and negatives of distinct selection process.............................................................3
TASK 2............................................................................................................................................5
P3 Benefits of HRM practices for employer and employee.......................................................5
P4 Role of distinct HRM functions in raising the efficiency of business...................................6
TASK 3............................................................................................................................................7
P5 Importance of employee relations in HRM decision making................................................7
P6 Key elements of employment legislations.............................................................................1
P7 Application of HRM practices in work related context.........................................................2
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Human resource management is a concept through which workforce of an organisation is
maintained so that full capacity use of companies resource is done. There are a number of
activities which are involved in this process like recruitment of workforce, training and
development of employees and other related functions which are carried out with an aim of
expanding scale of business (Brewster and Hegewisch, 2017). The fundamental reasonability of
human resource department is to retain the potential employees and hire talented workforce
which has an ability to make better utilisation of the company’s resource. Tesco is a
multinational grocery store which has its departmental stores in different parts of the world. The
firm is chosen for the present report with reference to which many concepts associated with
HRM will be discussed. The following report will talk about the various functions which are
performed by the HRM department in this enterprise. Strength and weaknesses of distinct
selection process will also be highlighted which will further raise the understanding of user about
the refereed topic. Thereafter laws associated with employees will be discussed which has their
direct influence on the company.
TASK 1
P1. Purpose and functions of HRM
HRM process plays a great role in Tesco. Due to having large number of employees, the
responsibility to manage them also increases. The main function which is performed by the
concerned department is to plan and design activities that are essential to maintain continuity in
the operations of business (Guest, 2011). It also helps in developing effective relationships
among the workforce so that together as a team, they can increase the productivity of
organisation. In this way, the objective of HRM department can be concluded in the following
manner:
 Appropriate utilisation of company’s personnel
 Maintenance of good relation among distinct departments.
 Assure development of organisation as whole
 Providing training to raise the quality of final output
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In order to fulfil the above given objectives, there are different functions which are
performed by this department. Different utilities which are performed by HR department in
Tesco are as follows:
Job analysis – While performing this duty, the skills, knowledge, capabilities and other
areas are identified which are needed to be there in candidate to be placed at available vacancy. It
is an important function as it helps in recruiting the best suitable candidates for specific jobs. A
document is prepared by the human resource manager in which all specifications are made
available which act as a base for the recruitment team which further makes selection process less
complex.
Staffing – It is a process through which the vacant positions in business are fulfilled and
continuity in operations is maintained. Whole process of recruitment is carried out which is
complex and lengthy. Planning has to be done regarding what process will be followed to select
the candidates as different methods like internal and external system are available which has
their own positive and negatives. According to the suitability and availability of time, choice is
made regarding same.
Orientation – When new employees join company, it is important that they are made
aware about the work culture and values of business. It helps in making employees comfortable
with the workplace and develop a feeling of belongingness which is important to motivate them.
Training and development – To develop and enhance the potential of different
employees is crucial and beneficial for company. It helps in getting long term benefits from them
and also helps in receiving quality output supported with minimum cost of raw material.
Training makes employees acquainted with tools and techniques which further helps in reducing
the total risk of accidents that are possible in case of employees working in such a large number.
Performance Appraisal – When the workforce is provided with monitory or non-
monitory appraisals, they feel motivated and work with higher level of efficiency. It is due to the
fact that when employees know that their work is being monitored and they will get appreciation
on doing good then they compete with each other which results in attaining the best quality of
results from them (Meredith Belbin, 2011).
Compensation – Different jobs have distinct responsibilities associated with them and
accordingly, planning of pay scale is done. It is important that the right level of remuneration is
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maintained which is suitable for both organisation and employees. HRM analyses job
specifications and helps management in planning the pay scale for same.
Relations at distinct levels – There are different departments in Tesco and it is difficult
for each to maintain healthy relations among themselves due to lack of communication. HRM
ensures flow of quality information throughout the work place so that no work will get hampered
due to unavailability of data.
P2 Positives and negatives of distinct selection process
Recruitment is a process through which candidates are encouraged to apply for a
particular job in the company so that the available vacancies can be fulfilled. Since Tesco is big
brand and having a complex structure it adopts a variety of methods which has their own
strengths and weaknesses. The discussion of same is given in the following text:
Internal method of recruitment – It is a process through which candidates are
appointed within the boundaries of the business. It can be done in both formal and in informal
manner depending upon the job requirement and availability of candidates. It is mostly favoured
when the present employees are capable of being promoted or there is excess of staff at the work
station. Analysis of current employees skills is done which helps in determining potential of
different candidates (Chelladurai and Kerwin, 2017). There are different forms through which
employees are selected within the boundaries and each one of these methods has their own
positives and negatives which are given below:
 Promotion – It is a mode through which designation of a preset employee of an
organisation is raised. Those employees who are skilled and has capacity to develop are
given more responsibility to perform with making an increment in his pay scale.
 Transfers – This is another well known methods of making recruitments. In this when
the existing work force is in excess at one location they are transferred to another in the
same business. Since Tesco stores are spread in different areas this technique is widely
used specially to full fill the requirement of a particular time duration.
 Employee referrals – It is a process in which new recruits are done according to the
referrals given by current employees. It helps in avoiding time investment in selecting
critically skilled candidate for a specific job.
Strength Weaknesses
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 It is the best way to motivate the
current employees as when they know
that their efforts will be pay back in
business in form of appraisals than they
work with more dedication.
 Much time is saved through doing
selection in this manner as when
vacancies are fulfilled within the
boundaries no complex lengthy process
is need to be followed by the selection
panel.
 It also reduce the risk of companies
confidentiality as information remains
within the companies boundaries.
 The method of internal recruitment is
also favourable because it helps in
saving much cost of setting up a
selection panel (CHUANG and Liao,
2010).
 When placement of employees are done
within the boundaries of business it
minimise the degree of innovation
which is possible if a fresh talent is
welcomed in the boundaries.
 When from a group of employees any
specific person is being promoted than
it discourage the other colleagues and
they develop negativity in their minds
about the management.
 In case of employees referrals there are
chances that a wrong person is selected
who can effect the present growth of
business.
External source of recruitment – There are chances that the present employees of the firm are
not capable of being recruited or there is a requirement of fresh talent in business. In that case
this method is used. There are a number of ways through which placement can be done using this
technique in the business. Some of the most commonly used techniques of placement in this
business are as follows:
 Advertising in newspaper – Under this process advertisement in form of print media is
given in newspapers which includes the details of job requirements. It is an effective
mode of selection when employees are required in a huge amount.
 Labour contractors – When company does not have enough time to invest in the
process of selection than in that case use of contractors is made. They are provided with
the details of different job roles requirement of which is there in the company. These
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contractors does all the process of selection and present the best suitable candidates for
the company. A minimum amount is charged by the contract agency and commission is
paid on every recruitment made through them.
 Recruitment notice at factory gate - It is the simplest form of selecting employees in
which advertisement is about the vacancy is put on the outside area of business
boundaries which helps in attracting local people of a particular geographical area (Purce,
2014).
It again has different advantages and disadvantages which are discussed below:
Strength Weaknesses
 It is the most effective mode of
selecting employees as through this
innovation level is maintained in the
business.
 It helps in getting more skilled
employees who are capable of
performing the given job duties with
more efficiency and helps in getting
quality results.
 Since advertisement are costly the
process of attracting employees through
advertisements add further more cost to
the business which ultimately decreases
the profit margins.
 So much of time has to be invested in
the process of making selections of
different candidates at distinct job roles
which is a time consuming process.
Whole process has to be followed
which is lengthy.
TASK 2
P3 Benefits of HRM practices for employer and employee
Human resource department performs a number of functions in the given organisation
which are of great importance to the business as whole. It ensures a work atmosphere where
healthy relations are maintained between both employee and employer as both of them are
important assets of company. The benefits of this concepts to the employee and employer are
discussed below under different headings:
Benefits to employer
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Promoting positive behaviour – To work with a free mind it is required that in whole
organisation a positive working surroundings are maintained. It is due to the fact that influence
of external factors is much on the production capacity of business. HRM takes care that demands
of various employees are fulfilled so that they work with a positive attitude and give their
maximum contribution in the productivity of business.
Developing employees – When employees are provided with motivation they are able to
produce more and their skills get developed. Training is provided to them which does their
overall development and hence they become the long term asset of company. More skilled
employees are able to earn the competitive advantage and hence more revenues are generated.
Flexible workplace – In order to maintain business in the competitive world it is
important that new techniques are adopted so that competition present at the outside boundaries
are managed and expansion of market share is done. HRM encourage employees to adopt new
techniques which has potential of taking better utilisation of various resources (Marchington and
et.al., 2016).
Benefits to employee
Motivation – HRM plans different programs through which employees can be motivated
to work at their full capacity level. The demands and basic requirements of different personnel is
fulfilled which helps them in developing morale and liking of with the job.
Training – There are certain jobs which are new to employees. It is important that they
are provided with training regarding use of the advance code of conduct as it helps in developing
their knowledge and minimise he risk of accidents. This further raise the efficiency of output
produce as a trained person has more abilities to exploit the given resources.
Manage conflicts – Employees in a great numbers work together in Tesco which makes
it difficult to manage hem. It is due to the reason that they are from different programs and has
different expectation which leads to conflicts in the work place. HRM takes intervention in the
conflicts and help in reaching to the best solution. This way it also lowers the pressure of top
management who do not have to worry about the small issues and can concentrate on other
important issues of the organisation.
Performance appraisals – HRM is in direct contact with the operation staff and hence it
monitors performance of various employees which further helps in planning their development
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programs. According to the efforts of various employees planning regarding to the appraisals is
done which provides recognition to the work force (Anderson, 2013).
P4 Role of distinct HRM functions in raising the efficiency of business
To achieve success human resource management contribution is maximum as discussed
above it performs variety of functions and roles which favours growth. It assist management in
accomplishing short and long objectives of Tesco by maintaining effective working
surroundings. Variety of benefits that are associated with HRM practices are as below:
Skilled workforce – The process of selection is conducted by HRM which takes care that
most appropriate candidate is chosen for the job which increases the overall productivity of
business. Right person is made to work on the right work station which increases capacity and
profitability of business.
Availability of resource – In order to perform various jobs employees demand different
resource which are made available with the help of human resource department. It is assured by
this section that timely availability is made and in the right quantity. Close monitoring is done on
usage of resources which helps in reducing the loss of wastage and save much cost.
Facilitates communication – In an organisation it is very important that all the quality
information is transferred on time and to the write person. Since there are different departments
in the refereed organisation HRM takes the duty of transferring data to distinct users on time so
that no problem is faced during the course of action.
Reduction in turnovers – By fulfilling demands and maintaining good working
atmosphere at the work place employees are kept happy which further helps in reducing
turnovers form organisation which is important to save much cost of recruiting new employees
by following whole process of selection (Aswathappa, 2013).
TASK 3
P5 Importance of employee relations in HRM decision making
To work with concentration it is required that people working at a place have good
relation among themselves. Employees are the base for any organisation as without their
contribution no organisation can achieve success. Human resource department deals in various
activities and accordingly take decisions for various departments. Only if it shares a good
connection with the work force it can implement the judgements in the business. If employees
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has good connection with the present HRM department than they voluntary accept the changes
and facilitates innovation in business. To compete in the competitive surroundings changes are of
top most importance. By developing a senses of belongingness among the employees HRM
department can construct such judgements which are suitable and is capable of bringing growth
in the organisation. If there is not smooth connection in both the parties than the operation staff
will show resistance to the changes made by the management which will further hamper the
productivity of business (Scullion and Collings, 2011).
P6 Key elements of employment legislations
In an organisation, there are various laws and legislations that provide rights to the
employees and it must be followed by them. This will assist in satisfy employees for doing better
work in the company. TESCO manager required to follow these government made acts which
includes plans and policies that are basically develop at the time of recruitment process. These
are discussed as under: Employees Right Act- This states that act which provide appropriate rights to the
employees for safe their jobs by the company. The organisation should provide each
workers equal rights and gives them benefits which are useful for performing jobs. This
act will describe the rights and responsibility of the workers within an organisation. As
per this act, managers are finite to gives them required facilities to their employees. This
will includes allowances, holidays and compensation, security to health and care for the
environment. Disability Discrimination Act- It is that acts, organisation should provide equal rights to
each and every employees who are not able to do work in fast manner. Company can do
discrimination among disable people and normal. If a person has disability by physically
and mentally which have impact on individual at long time period. So organisation
provide them safety and security which reduces their problems and they are also actively
participated in business activities (Daley, 2012). Employee Equality Act- This act describes that each employee have an equal
opportunities for doing publicity and firm can not do bias among age, gender, race and
many other elements. Organisation should gives equal rights to their workers. In this act,
all the employees are stand within an enterprise at same position. So managers are
provide them equal rights and duties without making any discrimination.
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 Equal Wage Act- It states that equal salary act which provide similar salary to workers
who works in company at same position (Fulton and et.al., 2011). An enterprise can not
discriminate among employees which are totally based on caste, gender, race, age etc. As
per this act, organisation should gives equal wage to each employee who works for
company in the same department. Also they can provide them extra rewards or incentives
which are based on their capabilities and abilities. Working Time Deliver- It act states that employees working hours in the company are
approximately 8 hours. But if any worker can do extra work for gaining extra payment so
it is the responsibility of company is to provide them accurate wage for their doing work.
This act will describe the legal state of employment for this employees are responsible to
give them working facility to firm for a fixed time period. After this organisation can
force them for doing extra work. The ideal time of every company are 48 hours for a
week. If firm wants to do extra work so that they should make extra payment system or
policies which are given to the worker (Knowles, Holton and Swanson, 2014). Minimum Wages Act- In this act, authorities states the fixed employment rate services
that has to be paid by company to their workers. These rules and laws are useful for
organisation and by which workers are gives their best services in proper manner.
 Health and Safety Act- This act will states the organisation management who can take
care of their workers health and wealth and they are major key strengths of the company.
An organisation should provide a health insurance service to their employees which
protect them from any harm and danger. This act will help them for providing money at
the time of suffering from any disease.
P7 Application of HRM practices in work related context
In order to carry out the recruitment process effectively it is important that analysis of job
is done in an effective manner. For same job specification is required so that most suitable
candidate is selected (Cascio and Boudreau, 2010).
Job analysis – It is a process through which potential vacancy in the organisation are found out
so that as per them job description is made.
Job Description
Organisation Name
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Tesco Plc
Job Profile
HR executive
Place
UK
Report to
Human Resource Department official
Duties and function
 Helps in resource allocation
 Construction of various policies
 Aid in doing selection of different personnel
 Keep proper record of employees documents
 Growth of various employees through training programmes
Academic requirements
Post graduation in Business administration
Minimum experience
1 – 2 years
Remuneration
10 Lakh per annum for the first 1 year
Once this job specification is made available in the market different CV will be received
which match the given requirements of jobs. One for example is given below:
Curriculum Vitae (CV)
Name
Address
Contact number
E- mail
Current objective – To be part of growing organisation and cater my efforts for developing my
skills for development in future
Experience
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