Evidence-Based Management Presentation: HRM at Woolworths Group

This presentation examines Woolworths Group, a leading Australian retail enterprise, and its human resource management (HRM) practices, specifically focusing on compensation management to address issues related to employee turnover and performance. The presentation highlights the relevance of compensation management in attracting top talent, rewarding and retaining staff, boosting motivation, ensuring compliance, and maximizing return on investment. It also discusses various compensation theories, including reinforcement, equity, and agency theories, recommending the application of reinforcement theory alongside motivational strategies to reduce turnover. Additionally, the presentation advises Woolworths to implement a structured performance management system to align employee performance with corporate goals, ensuring regular assessment and achievement of objectives. This resource is available on Desklib, a platform offering a wide array of study tools and solved assignments for students.

PROJECT 2: EVIDENCE-BASED
MANAGEMENT PRESENTATION

DESCRIPTION OF THE
ORGANISATION
 Woolworth Group as a leading Australian enterprise
operating in the retail industry has been chosen.
 It is also remarked as the 2nd largest organisation in
Australia in terms of its generated revenue.
 With a foundation year of 93 years, it is operating with
more than 202, 000 number of employees at 3 major
locations namely Australia, New Zealand and India and
hence depicts to be a large scale company.

ADOPTION OF HRM PRACTICE
 Despite of it, the quoted entity is currently facing certain
number of issues related to the performance management
of their workers with a high rate of turnover as well.
 This in turn is declining the quality of their products and
services to a great extent by negatively affecting the
business.
 Considering this, the human resource management
(HRM) practice of compensation has been selected over
here to carry out this study.

RELEVANCY OF THE PRACTICE
 The present report is based on an Australian company
named Woolworth Group that is currently facing some
HR related issues due to an increasing turnover rate of
their employees.
 It has therefore led to a concerning circumstances where
the HRM of the cited entity is unable to retain their
workers.
 For this purpose, compensation management is referred
to be one of the most effective tool for retaining the
employees by keeping them motivated at work.

CONT…
 A general idea of compensation management in the mind
of HR’s is to recompense adequate sum of payments to
the workers in exchange of the work assigned to them.
 In which, the set salaries and wages should be decided
within the company’s set budget.
 However, they hereby fail to understand some additional
objectives of compensation management that in turn
impact upon the enterprise and leads to higher the rate of
employee turnovers at the workplace.

CONT…
Some such objectives are-
To attract top talent at the workplace
To reward and retain the staff members
To boost up the motivation level of the
employees
To stay complaint
To maximize the ROI

TO ATTRACT TOP TALENT AT THE
WORKPLACE
 This is on considering a principal goal of
compensation management that leads to hire a
qualified set of employees at work.
 It is thus important for the HRM of Woolworth
to design a contending plan of compensation for
their workers.

TO REWARD AND RETAIN THE
STAFF MEMBERS
 This is referred to be yet another benefit of an effective
compensation management where the HRM of the
quoted firm is required to determine the existing market
value and accordingly consider paying the workers.
 Applying pay for performance model is also evident to
bring effective results where it will also result in
acquiring exceptional performance from the personnel.
 This way, the employees will be encouraged to reach to
their new goals and objectives and get rewarded for the
same.

TO BOOST UP THE MOTIVATION
LEVEL OF THE EMPLOYEES
 It is also with a similar consideration of retaining a large
set of employees and get quality work from them.
 For which, the HRM of the cited company is required to
build up a well-structured plan of compensation as a way
of driving a sense of motivation in the workers.
 This will also raise the job satisfaction level of the
workers where they will operate with a much more
productive as well as committed outlook towards the
work.

TO STAY COMPLAINT
 It is basically to discourse upon the compliance
of the designed compensation management plan
where it must abide by the federal rules and
regulations like the Fair Labour Standards Act.
 This is proven to protect Woolworth against any
legal proceedings by assuring equality all across
the board.

TO MAXIMIZE THE ROI
 This being one of the hardest job of HR’s needs
determination to design such a compensation plan that
not only stays within the set budget of the company but
also leads to drive a greater sense of productivity in the
workers.
 This is for instance to make an effective use of pay for
performance with several other motivational strategies
that presents an equitable agenda for both the firm as
well as the diligent employees at the workplace.

CONT…
 Beside this, there together exist various theories of
compensation management that can be applied by
Woolworth for a proper structuring of their existent
plan.
 This involves-
Reinforcement theory.
Equity theory
Agency theory.