Strategic Human Resource Management: TUI Airways Case Study Report

This report provides a comprehensive analysis of strategic human resource management (HRM) within TUI Airways. It begins by identifying key current trends influencing HR strategy, such as employee data analysis, workplace diversification, globalization, technology advancements, continuous improvement programs, and wearable technology. The report then analyzes both internal factors (policies, workforce environment) and external factors (government regulations, workforce demographics, economic conditions, employment pools, and growth levels) that shape TUI's HR practices. It applies relevant theories and concepts like the Universalistic approach, Contingency theories, Abraham Maslow's model, Frederick Herzberg's motivation theory, and Rensis Likert's participative decision-making theory to illustrate their impact on organizational growth and development. Furthermore, the report evaluates how appropriate change management models support HR strategy, and explains how HR outcomes can be monitored and measured within a specific organizational context. Finally, it discusses the role of effective HR management and development in supporting sustainable performance and growth to meet organizational objectives, offering insights into TUI Airways' strategic approach to HRM. The report is a contribution to Desklib, a platform offering AI-based study tools.

Strategic Human
Resource Management

Table of Contents
INTRODUCTION...........................................................................................................................3
LO 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
LO 2.................................................................................................................................................6
P3 Apply relevant theories and concepts relating to the growth and development of strategic
HRM to specific organisational examples..................................................................................6
LO 3.................................................................................................................................................8
P4 Evaluate how appropriate change management models support HR strategy in application
to relevant organisational examples............................................................................................8
LO 4.................................................................................................................................................9
P5 Explain how HR outcomes can be monitored and measured, and apply this to a specific
organisational situation...............................................................................................................9
P6 Discuss and evaluate how effective HR management and development can support
sustainable performance and growth to meet organisational objectives...................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Human resources management is described a formal system formalised for the
management of the employees in the organisation. The basic responsibilities of a human
resources manager are basically divided into three parts: Recruitment, Employees compensation
and providing them benefits, and defining the work in the organisation. HR team also build the
motivation in the existing and new employees in the organisation (Armstrong, 2019). For the
assignment of Strategic Human Resource Management the chosen company is TUI airways,
mainly known as TUI, is a British charter airlines, founded in 1961 as Euravia. It is the Fourth
largest tours and travel based company in UK. Company’s policies have shown that how they are
work in the market by evaluating; marinating the sophisticated environmental strategies,
reducing the use of water, development in the infrastructure, environmental friendly usage and
cosmopolitan visa policies for the travellers.
This report is basically based on for parts; which Analyses the external and contextual
developments which influence HR strategy, Applying the contemporary theoretical and practical
knowledge of HR development, by evaluating the appropriate change management models
support HR strategy and evaluating the contribution of HR management and development to
sustainable business performance and growth. All these points are covered in this assignment and
explained briefly.
LO 1
P1 Determine key current trends and developments that influence an organisation’s HR strategy
The current trends and development that can influence the respected company's HR
strategy are explained below. All the trends and development help in taking the decision of HR
and take the organisation one level ahead (Heizer, Render and Munson, 2017).
Current trend and development: Employees analysis for the decision making: Data analysis of the employees by HR, help
them to make their decisions regarding the organisation, as employees performance
analysis gives the fair view regarding the growth and performance of a employee and the
company also. This help in finding our how much new recruitment is going to be done
and how many staff get approval in this financial year. In the TUI the HR team always

coordinate with the existing employees and analysis their performance in the short
periods of intervals. Diversification in workplace: It means to change in the age, cultural, gender, policies etc.
and all these aspects are indirectly linked with the development of HR development
(Freedman, 2020). HRM must train and developed the employees of the organisation, for
diversifying the nature of rules and policies so that the employees can work easily and
effectively to the company. TUI's HR team gives the training related to the diversifying
nature in the environment of business. Globalization: Now-a-days, businesses are not run in the national boundaries but they run
globally. That rises in the businesses increase the dependence on the foreign market
rather than domestic market. The expansion of the territories in the companies like TUI,
will create the need of the HR. This new trend and development in the environment,
influence the decision of the HR related to the expansion of the business by
communication technologies and finding out the new talent. Updated technologies: Technology advancement and new uses of them are help to HR a
lot, as the new technologies help them to keep the confidential data safe and secure, and
these make the work of HR, simple and organised. These updated technologies help in
maintaining a communication with the customers and employees, in TUI. Technologies
advancement influence the decision of HR Of UTI, as it improve the internal staff
selection process, core competencies and relevant market details which affect the UTI
business environment. Continuous improvement programmes: UTI make the major improvements in the
company like becoming more customer oriented, make more relevant policies related to
the tour and travel, hiring the qualifies employees and paper less technologies. HRM
have to ensure that all the employees make improvement in their personal and
professional life for the growth of the company (Schermerhorn Jr, Bachrach and Wright,
2020). All the work changes and improvement decisions taken by the HRM, are done
with the clear and straight communication to make the expected change in the company
and to meet with the desired growth.
 Wearable Tech: Health of the employees are the major issues in the companies. These
tech makes a large amount of impact to the HRM team, as if the staff of the company is

not well and completing their work on time than they are not becoming the asset to the
company (Al Shobaki and Naser, 2016). These instruments are used to check the blood
pressure, heart rate, body temperature and so more. These help in realising the metal state
and deeper insight of an employees.
P2 Analyse how both external and internal factors influence HR strategy and practice
To become a successful Human Resource management, continuously monitoring on
internal as well as external factors gives the far view to the HR to strategies according to them.
All these internal and external factors affect the business of TUI airways, and influence the
strategies of HR. Internal factors like Policies, Workforce environment etc. And External factors
includes, laws & regulation, technological development, population changes etc. affect the
decision of HRM. These internal and external factors are explained further below: Government Regulation: Federal and laws related to the workplace are the external
factors which affect the human resource management and check the compliance nature of
the company. These external factors affect the internal factors like training regulation,
hiring process, and compensation laws and even how to discipline flow in the respected
company. It also includes the lawsuits files by the employees of the organisation,
vendors, suppliers and even the customers. In TUI Airlines, all the regulation which are
related to the government or legislation, are taken on priority. Workforce demographics: As the old generations retire, and new generation enter in the
organisation, they comes up with the new level of objectives and new ways to attract the
most of the customers and client. In TUI Airlines, young people get more opportunities to
come up with new ideas and techniques. And new HRM team gives the new
compensation policies or salary structure, all these factors affect the strategies of HRM,
in taking new decision policies (Laamanen and Skålén, 2015). Economics conditions: Biggest influencer in the external factors is shape of your home
economy i.e. Changes in economic conditions. To avoid the changes occur in economic
conditions, is to plan not only according to the current economy structure, but also
making in mind about the future changes that can be happened in the future. TUI airlines,
always planned for the future downturn in the economy and these types of companies can
easily make due in a worst economy period, as they have the funds or plan for the rainy
day period or harsh environment.

 Available employment pools: One of the important function of human resource
management is to employed adequate staff in the organisation at the right time, but this
work of HRM, can be influence by the one of the external factor is employment pools
(Arcos, 2016). Companies geographical areas is also affect the employment pool, because
company effort in out of region sector also, and here human resource team, pay more
relocation package or appropriate motivation in the employees for doing work outside the
company. So this is how external factor affect the internal recruitment factors in the
company like TUI airlines.
 Level of growth: Internal factor which affect the decisions of Human resource
management team is company and project growth. Companies like TUI, have to focus
more on the recruitment and selection of the staff because there are the major growth of
the projects and overall business.
After knowing the internal and external factors, the contemporary HR practices also help
the company to make a growth by providing flexible hours to the employees for work, evaluating
performance analysis on regular period of time and a proper feedback is prepared given by the
other employees of the company. As TUI provides the proper attention to the client as well as
their other employees which help the company to get more success. All these practices help the
company to achieve great company image in the context of other competitors like CYTS and
Norwegian Cruise line.
LO 2
P3 Apply relevant theories and concepts relating to the growth and development of strategic
HRM to specific organisational examples
There are lots of theories and concepts which are related to the growth and development
of the TUI organisational department. These theories includes, need theory, Universalistic
approach, Contingency theories and Herzberg motivators theories etc they help in focusing on
result, developing the employees competencies and make the strategic planning (Cebotari and
Budurina-Goreacii, 2019). Universalistic approach: This theory is also known as the Best Practice theory. It says
that there is a linear relationship in between the HR practices and organisational

performances. This theory is known as the best applicable theory as its name indicate
that, it is universal in nature with related to anywhere in the business department. Contingency theories: This theory is based on the relationship in between the
independent and dependent variable which varies from influences such as size, company
position, industry nature, ownership and location (Feigin, and et.al., 2016). In short here
the task is provided in the form of problems and there solutions are needed. If a leader
can solve the problem than h/she is a good leader. Abrham Maslow Model: In this there are five hierarchical needs that can be applied to
organisation and it's employees performance. These stages are; Physiological, Safety,
Belongingness, Esteem and self-actualization need. Here a employees doesn't jumb to
another need until the previous need is fulfilled. Federick Herzberg motivation and hygiene theory: It is a traditional theory as federick
belives that maslow show only one side of the coin, but in an organisation, both types of
motivations are important positive as well as negative. And these negative factors are
known as hygiene theory.
 Rensis likert's participative decision making theory: the supervisor's who defined the
work and set the target to the employees, they have to focus on solving the problems
during the team work and achieve the targets by solving the problems (Ustundag and
Cevikcan, 2017). Here the team leader must be employee centred and believe in effective
management work system.
There are many industries in the industry which are the major competitor of the TUI
Airlines, one of them is Norwegian Cruise Line- Third largest traveller company in the world
(Rivals bask in bright opportunities created by Thomas Cook’s departure, 2020).
In best fit approach, where best approaches which fits in organisation including culture,
internal and external environment. TUI choose the Herzberg motivation thoery while Norwegian
Cruise Line chooses the maslow theory in their respective companies.
In best practice approach, where main viewpoint is to determine the best practices which
help in achieving the targets of the company. TUI chooses the Universalistic approach while the
Norwegian Cruise Line chooses the contingency approach in their respective companies.

LO 3
P4 Evaluate how appropriate change management models support HR strategy in application to
relevant organisational examples
Change management is defined as utilising various approaches and models to prepare a
framework and to help individuals, teams and management in bringing organisational change. It
is focused on people, their capacity to adapt and grow with the change(Brand, 2016). HR plays
an important role of supporting function for motivating and influencing people to accept and
adapt the change in ease. It is done with the help of using various models and methods.
Consequently, they provide various benefits of incorporating change on individual, team and
organisation level. This helps in effective implementation of change in a company. Following are
the change management models appropriate for TUI in developing change in its services.
The ADKAR model- This model focuses on individuals to address the effectiveness of
the change with the help of five elements structure serving as feedback form. It helps in guiding
and assessing the performance of change with the aim to limit resistance. It includes 5 goals to
achieve change in an organisation. This theory help the TUI to achieve the goals and manage the
resistance which gives the sustainable growth of the company. Awareness- It is necessary to build the awareness about the initiative and its relevance in
their performances. It is important to communicate about the reason to change with clear
goals and its implications. This step help the TUI help to avoid the resistance in the
company which comes while taking some new actions and planning. Desire- In this step desire is build among the employees by connecting them with the
initiative. It can be achieved with the help of positioning change leaders. In TUI, this step
help by making some specific reason and guide them according to that. With the help of
physiological contract and evaluation of the nudge theory. Knowledge- In this coach leaders teach employees to build confidence and insights about
change. It can be achieved by describing roles and responsibilities they should carry out
(Brustbauer, 2016). This help by using the kotter's theory as the knowledge gives the
success in managing the change. Ability- In this leader builds right skill set to achieve the desired change. The ability can
be build up with trainings, workshops, seminars and hand on methods.

 Reinforcement- At this final stage the new ability may not work out due to employees
tend to go back to their old habits or forget the new process. To reinforce new habits and
processes, rewards must be declare for practising change.
Thus this is an appropriate model to implement change in an organisation. It helps
Human Resource strategies to implement effectively by these structured five goals or
stages. For implementing change it is require to use ADKAR model and bring change with
predetermined HR strategies successfully (Caldieraro and et.al., 2018). In TUI Travels company
has chosen this model for establishing change in the services to more focused on customer
support. Thus, this model has helped the company to bring change in the behaviour of its staff.
They have successfully achieved their HR strategies to improve the interactive services with
customer with the help of employee engagement, trainings and high motivation. They have
improved their employees work satisfaction with the help of effective incorporation of HR
strategies and brought change in the behaviour and attitude of employees. The KPI of the
company indicate the sustainable growth which actually show how TUI achieve the objective
and steps by which the company reach their target.
LO 4
P5 Explain how HR outcomes can be monitored and measured, and apply this to a specific
organisational situation
Human resource department is concerned with various goals such as employee
satisfaction, reducing absenteeism rate, improving company's brand, impact of training, attrition
rate etc. The success of an HR can be monitored with the effectiveness of its outcomes and
change in the previous to current performances.
HR help to manage the sustainable growth, by following the 10C's, of principles which
are; Comprehensives, communication, creativity, competence, change, credibility, Cost-
effectiveness, Coherence, control and commitment. With the implementation of these principles
A HR of the TUI can deal with the people and make their needs complete, make feel them
worthwhile and encourage them to increase their productivity at the highest level. And with the
help of these theories and practices management of the company TUI, support the lower team in
the development of the sustainable growth also help the to improve the skills, knowledge and
abilities of the employees.

Common standards for assessing HR performances: Return on investment- The HR performance can be measured with the return it has
generated on the investments. This includes recruitment of skilled and talented
candidates, effectiveness of employees trainings and development programmes, cultural
programmes, employee engagement and commitment (Goodman, 2019). The outcomes
of all the initiative it has undertaken results in the quality of performance HR has
contributed in a company. Recruitment channels- The involvement of varied recruitment channels and management
of sourcing candidates measures the effectiveness of HR department. These channels
helps in analysing personality traits, likes and dislikes, intelligence of candidates etc with
the help of AI developed platforms (Mawdsley and Somaya, 2016). Furthermore it helps
in recruiting and selecting right candidates in a company. The effectiveness of these
channels and the sourcing of candidates in adequate costs Quality of Trainings- The quality of training it has provided to the employees and its
impact on the performance of various functions. It is one of the quantitative measure
which reflects the result by various measurement techniques. The set standards for the
outcomes can be compared with the actual performance of employees. This helps in
assessing results and controlling them with appropriate actions. Benefit satisfaction- In this performance is measured with the help of work satisfaction it
has provided to the employees. Employee satisfaction is a qualitative measure used to
assess the contribution of HR in a company. It includes various initiatives such as
employee engagement, training and development, cultural programmes, rewards and
initiatives for good performance. Transformation in the work culture- In this HR department contributes in building
effective work culture in a company. This includes various cultural development
programmes and initiatives carried to transform work culture with the changing nature of
a company (Mone, London and Mone, 2018). HR performs an important role in bringing
change for achieving desired outcomes. Failure rate of new employees- The rate at which new employees leave an organisation
measures the overall success of HR recruitment efficiency. This helps in assessing the
recruitment process effectiveness undertaken by the HR of a company.

 Diversity rate- The diversity rate is the number of diversified people recruited by the HR
department. It helps in introducing differentiated talent and building productivity. It
provides new ideas in decision making process at different levels.
P6 Discuss and evaluate how effective HR management and development can support
sustainable performance and growth to meet organisational objectives
Human Resource Development plays broader role than Human resource management.
HRD is responsible for enhancing learning, skills, knowledge and development of programmes
which helps in fostering growth in an organisation (Schermerhorn Jr and Bachrach, 2017). Both
the department helps in improving employees performance and behaviour to ensure sustainable
growth. This is achieved by empowering employees and making them more competent. It deals
with procurement of talent, development, optimum utilisation of human resource and their timely
appraisal. It is needed for sustaining human development and growth to meet organisational
objectives. Following are the reasons for maintaining performance and growth with the help of
HR management- Improves performance- It helps in improving performance of various functions and
effectiveness in achieving tasks, reduction in costs, customer satisfaction, improved
quality of work, maintaining image etc. Thus, HR management provides competencies to
employees for performing tasks efficiently by tapping their inner potential. This helps an
organisation to have excellent workforce which further helps in sustainability of
performance and growth. Also, it brings competitive advantage due to developed and
skilled human resource. Sustains level of growth- HRD department helps in sustaining level of growth of an
organisation. It builds effective workforce with the help of incorporating various tools
and techniques for their performance appraisal. This helps in controlling the workforce
results and developing behaviour and attitudes of employees to achieve their objectives. Meeting Objectives- Employees needs competencies for achieving results. This requires
higher skills for achieving better results. This is achieved with the help of continuous
development of competencies in employees (Seidl and Werle, 2018). Further competent
and motivated employees helps in achieving commitment towards the growth of a
company.

 Enhancing work culture- HRD helps in creating healthy workplace environment which
helps to build team spirit and coordination among departments. This leads to employee
engagement and loyalty in a company. Thus helping in overall enhancement of an
organisation with the positive and congenial work culture.
HRD and HR management of an organisation works to bind the company's values and
beliefs with its contribution to overall long term stability of an organisation. The value system of
a company helps in guiding the spirit of management with experience(Soomro, Shah and
Ahmed, 2016). It helps in building a culture or environment where importance is given on the
development of people. It creates effective groups, problem solving attitude and effective
leadership style required in a company. It is an integral part of every organisation for achieving
growth and sustainability in the performance of a company. For example, TUI airlines focuses
more on the development of its workforce with the help of various methods and models to
enhance the overall growth and achieve sustainability in performance.
CONCLUSION
From the above assignment it is concluded that strategic Human resource management, is
important for the growth and development of a big growing organisation like TUI. In this
assignment the major focus is on the development strategies, trends, theories and models which
influence the HR decisions. That trends or development which are running in the environment
affect the human resource management decision like globalisation, technological trends and
diversifying atmosphere influences the HR decisions. Further more, the external and internal
factors also affect the business decision taken by human resource management. These factors
includes: government regulation, workforce diversification, economic conditions etc. all these
factors influences the HR decision, as all these external factor not affect externally only but
internally also, a minor change in the external environment effect the entire decision for the
organisation taken by HRM. And the different theories and models like Universalistic approach,
maslow theories and ADKAR model, these help in decision making to a team as these theorise
and models are pre-examined. All these outcomes are timely monitored by the HRM and take the
appropriate decision in the context of chosen organisation. All these management tools are also
help in managing the sustainable development and growth of the chosen company.