Human Resource Management Report: Zara's HRM Practices and Theories

This report provides a comprehensive analysis of Human Resource Management (HRM) practices within Zara, a Spanish apparel retail organization. It explores internal and external factors influencing HRM planning, including growth, technology use, government regulations, and the available labor pool. The report compares Maslow's Need Hierarchy and Herzberg's Two-Factor theories to understand employee motivation and suggests methods to improve employee motivation and productivity, such as fostering a positive work environment and recognizing achievements. Additionally, it examines employee performance management techniques, including key performance indicators and feedback mechanisms, as well as strategies to enhance cooperation within the organization through employment contracts and managerial decisions. The conclusion emphasizes the critical role of the HRM department in achieving business objectives and the importance of analyzing factors and utilizing motivation theories to develop effective strategies and improve employee performance.

HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
1).............................................................................................................................................3
2).............................................................................................................................................4
3).............................................................................................................................................4
TASK 2 ...........................................................................................................................................5
1) ............................................................................................................................................5
2).............................................................................................................................................6
3).............................................................................................................................................6
TASK 3............................................................................................................................................7
1).............................................................................................................................................7
TASK 4 ...........................................................................................................................................7
1) ............................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Human Resource is basically a strategic approach which is used to effectively manage
people within an organisation in such a way that business gain competitive advantage and
attain desired business objective with full efficiency (Aladwan, Bhanugopan and D'Netto, 2015).
This report is based on ZARA which is Spanish apparel retail organisation. The respective
company is specialized in fast fashion and produces variety of products. The outcome of this
report is going to cover several aspects relating to HRM within an organisation. Internal and
external factors which are considered while planning HRM will be covered and identification will
be made in order to know importance of HR planning. Comparison between motivation theories
will also done in order to identify how employees are motivated and suggestion of several ways
through which improvement within an organisation shall be witnessed. Lastly, employee
performance as well as coordination within an organisation shall be analysed.
TASK 1
1)
There are several internal as well as external factors which are eventually considered
while planning human resource requirements within an organisation. Human resource
department within an organisation play a very critical role in areas which includes workforce
planning, employee and labour relationship, training, development ans several other similar
aspects. Following are major internal and external factors which influences human resource
planning:
Internal Factors:
 Level of Growth: This is an important internal factor which influences human resources
within an organisation (Albrecht and et. al., 2015). With regard to Zara, the respective
organisation is witnessing aggressive growth from last few years due to which rapid
expansion is required for workforce so that business objectives are achieved. So, while
planning, this factor needs to be taken into consideration.
 Use of technology: This is one of major key internal factors which highly affects human
resource planning within an organisation. For instance, firms which make greater use of
strategic tools like online management, proper training and development process and
several other recruitments methods are able to effectively manage all business related
activities properly. Zara needs to use best technology available in the market in order to
hire the best employees and accomplish their desired objective.

External Factors:
 Government Regulation: Rules as well as regulation led down by government highly
affects the planning of human resource within an organisation (Baum, 2015). With
regard to Zara, company's hiring as well as training process is enormously influenced by
regulations implemented by government. So, this factor should be taken into
consideration while planning HR requirements.
 Available Labour Pool: This is perhaps the main factor of human resource department
wherein adequate staffing levels through workforce planning is maintained. However,
this factors is highly impacted due to labour market availability. Zara needs to consider
this factor while planning HR requirements and conducts a proper analysis in order to
hire most productive workforce.
2)
Human Resource Department is one of the most essential department within an
organisation. This is basically because human resource department within an organisation is
responsible for developing strategies in such a way that organisation is able to match size as
well as skills of workforce. HR planning basically helps in assisting organisation to recruit as well
as retain the employees. It involves gathering of information, establishing goals and objectives
and enable an organisation to achieve them with full efficiency.
Through effective human resource planning, objectives are significantly achieved. This is
essentially because foundation of every business are in the hands of employees who are
primarily responsible for carrying out business related activities with full potential (Cascio, 2015).
Therefore, proper analysis is conducted before hiring a particular employee within an
organisation. With reference to Zara, the company conduct a proper research and effectively
plan human resource, so that the best talent available in the market can be hired.
3)
It is essential for a company to evaluate skills, abilities and capabilities of an individual
before hiring them at a particular job profile. This is so because if a person didn't have
appropriate skill then they not able to conduct their work properly which will also impact on
organization's outcome and productivity. Along with this, skills and capabilities of individual's are
identified through the responsibilities of a specific job roles. Seniors manager of a firm analyse
requirements of skills in an individual that aid them to carry roles and responsibilities of their
designation. For example ZARA wants to hire Finance manager then they need to evaluate

skills of candidate according to the role and responsibilities which he/ she have to perform at
respective place.
TASK 2
1)
There are various motivation theories which an organisation adopts in order to boost the
morale of employees and ensure that they work with full potential. These motivation theories
highly helps an organisation in accomplishing business objectives with full potential.
Basis for comparison Maslow's Need Hierarchy
Theory
Herzberg's Two Factor
Theory
Meaning Maslow's Theory is general
theory of motivation which
essentially focus on
satisfaction of needs and
states that satisfaction is one
of the most important factor
through which motivation is
witnessed. (Hecklau and et.al.,
2016).
Usage: The respective theory
is generally used by an
organisation manager in order
to motivate their employees by
focusing on their deficiency
requirement and growth.
This theory states that there
are several factors, existing at
workplace which potentially
causes job satisfaction or
dissatisfaction.
Usage: Herzberg's Two
Factor Theory is mainly used
by a company in order to
motivate as well as satisfy
their staffs by focusing on two
main factors i.e. hygiene and
motivation level.
Nature Maslow's Theory is descriptive
in nature.
Whereas Herzberg's two
factor theory is prescriptive in
nature.
Core Concept This theory states that
unsatisfied needs stimulate
individuals.
Herein, needs regulates
behaviour as well as
performance within an
organisation.
Division Focuses on growth as well as Focuses on Hygiene and

deficiency needs. motivator factors.
However, Zara can effectively make use of both these motivation theories in order to
carry out business operations with full efficiency and can significantly achieve objectives. This is
basically because motivation plays a key role in driving employees towards achieving their
goals, organisational goals. These theories eventually helps in influencing the overall outcome
of employee job satisfaction.
2)
There are several method which an organisation can adopts in order to motivate its
employees and aid to increase their overall productivity to work within an organisation (Jabbour
and de, 2016). Following are some ways through which employee at ZARA are motivated to
work with their full efficiency and enhance overall productivity.
 Friendly work environment: Employees spend huge amount of time while serving a
particular organisation. Therefore, ZARA can make sure that working environment
wherein employees are working shall be positive and friendly in nature.
 Acknowledge employee's achievement: Proper recognition to employees who serve
expectational well within an organisation must be done. ZARA can acknowledges its
employees through which they are motivated to work with their full potential.
 Positive communication is the key: Proper channel of communication from top to
bottom level within an organisation must be followed. Such activities creates positive
working environment and employees are motivated to work with their full potential.
However, there are many such activities which potentially motivates employees and
boast their morale to enhance their overall performance so that business objectives can be
accomplished.
3)
There are numerous ways which organisation can potentially implement in order to
significantly improve motivation of employees so that targetted business objective can be
achieved. However, following are some suggestions which ZARA can adopt in order to improve
ways through which motivation can be enhanced.
 Organisation must significantly set small as well as measurable goals which potentially
helps in providing real boast of motivation and they also need to make sure that their
team is going on right track (Shaukat, Ashraf and Ghafoor, 2015). Through this
employees at ZARA get effectively motivated and work toward attaining aim.

 Company must need to provide plenty of opportunities to celebrate team's hard work.
This is so because it is very crucial to encourage employees and let them know their
work within an organisation. Through this celebration employees get motivated which
leads to job satisfaction.
 Transparency within an organisation must be witnessed, every relationship, including
work relationships also need to built on trust. Furthermore, it also helps in working with
proper efficiency because each and employee provided with similar work.
Such activities highly helps an organisation to motivate its workforce and ensure that there are
able to perform allocated work with full efficiency and business objective are successfully
achieved.
TASK 3
1)
Measuring employee job performance to continually improve skills as well as outcome is
a fundamental part which is performed within an organisation. Employee performance
management essentially helps in identifying areas where improvement shall be adopted so that
business objective are critical achieved (Knies and et.al.,2016). There are various ways which
an organisation can adopt in order to significantly measure as well as manage employees
performance. With regard to ZARA, proper analysis is performed so as to ensure that
employees are working as per the requirement of job.
Furthermore, performance management and target-setting are two important growth
process. Some of the key tools as well as techniques which are utilized by ZARA in order to
measure and maintain performance of employees includes: key performance indicators,
performance appraisals, 360 degree feedback, reward and recognition programmes and
several other similar factors. These tools essentially helps in setting up goals which an
employee shall aim to accomplish.
TASK 4
1)
Proper co-operation within an organisation is must in order to significantly accomplish
business objectives effectively. However, there are several steps which an organisation adopt to
make sure that required co-operation is witnessed.
Contract of Employment is basically a oral or a written agreement which aims at
specifying terms as well as conditions through which person consents to perform certain duties

in return for agreed salary or wage (Mao and et.al., 2016). With reference to ZARA, contract of
employment enormously helps respective organisation to gain proper co-operation as well as
helps employees to identify their worth within the respective organisation. Furthermore, decision
making of manager on the feedback delivered by employees also affects in obtaining co-
operation within an organisation. Along with this respective company can develop or obtain co-
operation of their employees by adopting various ways such as appraising them with rewards
and increment, enhancing their responsibilities, providing additional benefits like travelling
facilities and many more.
CONCLUSION
From the above report it can be summarised that for business organisation, human
resource department plays a very vital role in accomplishing business related aspect with proper
efficiency. However, the prime responsible for HR department is to effectively look after all the
managerial as well as operative function properly. This is because there are some internal and
external factors which impact on company's performance so by analysing all activities properly
HRM can develop proper strategies. Along with this there are several theories of motivation
which help HR manager in developing proper decision such as Maslow's Need Hierarchy,
Herzberg's Two Factor and so on. By this HRM also able to motivate their staffs which leads to
enhancement in their quality of work in impressive manner.

REFERENCES
Books & Journals
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Cascio, W.F., 2015. Costing human resources. Wiley Encyclopedia of Management, pp.1-1.
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Mao, H. and et.al., 2016, November. Resource management with deep reinforcement learning.
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