Human Resource Management (HRM) can be described as collection of complete knowledge , talents, company's workforce , values and beliefs. It is the accumulation of aptitudes and talents of the employees in the company. In this report, HRM of Tesco is discussed. HRM of Tesco is distributive which represents the enterprise briefly. It is a result oriented company and follows rules but not strictly. Employees work here with full passion and zeal (Marchington, Wilkinson and Kynighou, 2016). They work rather individually or in groups. Their abilities, skills andknowledge are never ignored and they regularly share their views with the higher management. Jobs are assigned to the employees according to their work knowledge and experience to get better and impressive results.
P1 Purpose and functions of HRM according to workforce planning
Tesco follows a continuous and systematic form of attaining maximum use of its asset which is called Human Resource Management. The purpose of HRM lies in providing the best suitable job to the employee in its organisation avoiding manpower inadequacy. Recruitment of good and skilled employees is the main purpose of HRM. After recruitment, it provides proper management and guidelines to the workforce in the company. Explaining rules and properly following them should never be avoided by the manpower. It is mainly concerned with training, providing perks, compensation, incentives according to performance, wellness and hiring appropriate employees. Three main types of functions of HRM:
- Operative functions: This function involves recruitment, development and training, professional development, benefits, performance appraisal and giving surety of legal compliance (Brewster, Sparrow and Vernon, 2016). Recruitment involves various other functions too like posting the job, giving description of the job, selection of the right candidate, negotiating the salary structure and finally hiring candidates. After hiring, providing training to fresher is also very important. Performance appraisal helps the company to realise whether it can improve in other areas or not. HR also evaluates some plans for the upliftment of the employees who all are having the least requirement of occupation.
- Managerial functions: It involves planning, organising and allocating the employees, directing and finally controlling the plans and activities. Employees are positioned according to their functions. Various motivational methods are applied and amiable relations are maintained for the satisfaction of the employees. This is a continuous type of process to make the employee feel comfortable in the organisation (Gatewood, Feild and Barrick, 2015). Tesco always motivate their fresher and create a friendly environment with the existing ones.
- Advisory functions: Finally, this function includes the advice of top management and departmental head. Policies can be altered by the HR manager as HR is expert in these types of functions. To increase the morale of ground employee, high quality relations are maintained.
P2 Strengths and weaknesses of HRM
Every company has some strengths and weaknesses related to HRM. The strengths of HRM are as follows:
- Development of employee: Providing proper coaching, perfect mentoring and final training are some techniques which help HR manager to develop a successful workforce. Employees meet HR at their level while giving interview through which they come to know their skills and work experience. HR plays an important role in hiring the successful candidates who integrates their role in business (Iwu, 2016). In Tesco, HR departments advocate coaching sessions and organise mentorship that excels employee's engagement in organisational activities. HR is a resource of organisation structure which turns their talents to effective results.
- Advocacy: A link is built between an employee and an employer. Whatever problem arises, reaches directly to HR department. One can say that HR is employee's voice that is heard by the head of the company. All the conflicts, issues with leaders and co-workers are sorted this department in Tesco. In all the decisions, HR puts its own views and ideas. HR department is the way of communication with employees and other heads.
- Compliance: Employment law is the main part of this department. It includes benefits, perks and compensation of the employees. All the employees of Tesco are totally depended on HR professionals and make sure that the company is following the rules and regulations on time or not. HR team makes sure to the employees that company is completely transparent to the laws and is reaching the expectations.
While there are some weaknesses in HR department. These are discussed as follows:
- Financially not minded: A survey of 2016 suggests that almost 33% of financial leaders went over budget in HR department (Schmitt, 2014). It was a major concern with many dissimilarities. This was a negative point of HRM regarding finance and budget that usually goes for a regular interest. Unfortunately, both analytical and financial data affects the HR department and its decisions.
- Deficiency of strategic Foundation: HR is a post which is always slow to adopt various processes and strategic planning (Azeem and Yasmin, 2016). This department slows down in getting task completed on time. Internally, HR is strategic. Some business strategies are not directly connected to HR and therefore, it is highly opposed by the upper head. Collaboration of company’s team is benefited by HR department which can be agreed or disagreed. One of the important steps to associate with HR is to incorporate HR analytics and data. Data gives much knowledgeable strategy and has a common voice among all the employees and other departments especially at operational level.
- Low customer focussed: The gap reduces between external results and internal exercises. They sometimes don't emphasise on the wants or needs of the employee but just focus on their productivity through which they are negatively affected. Business success needs a good understanding of the outer environment. This team works totally for the workforce and is targeted on the internal practices and decisions. Some employees have better reports but don't leave any external impact which is unseen by the HR department. So, the HR department of Tesco only rotates on recruitment, productivity and retention of employees in which they distribute their focus on other calculation of the organisation affected by technological world and outside practices.
P3 Explain the benefits of different HRM practices in TESCO:
Human resource management is a process to link all the human resources with the objectives of the company in order to achieve success and improve performance. It includes recruiting, hiring, selecting and managing the employees. There are different human resource practices exist in the organization by which organization can effectively structure their business processes. These practices are as follows :
- Organizational culture : it is the construction of working rules, traditions and company visions that a business has adopted. Human resource management plays an important role in influencing the culture of an organization. There are various components of organizational culture such as signs and symbols, stories and rites. This culture helps the members in acknowledgment that how to work together and communicate with other employees. There are two different levels of this culture exist in the organization such as observable symbols and invisible aspects. These practices help in to improve the internal work efficiency and performance level of workers. company can get numerous advantages from organizational culture practices(Brewster, Chung and Sparrow, 2016.).
- Planning for change : company has to be prepared for the changes because the environment of the organization is rapidly changing. The main factor in this changing aspect is technological advancement. HR manager is responsible to make strategies for the changes. Company will lose the opportunities occurred due to changes. Planning for change means inform the employees about their task and responsibilities regarding to the changes. These practices help the organization in making higher profitability and increase work efficiency. These helps in develop a management plan as well in times of disaster changes
- Training and development : these practices are important in an organization structure to achieve success because if all the policies and procedures are not conveys among the employees than they do not know what to do. HR manager conduct training and development programmers in which all employees gathered and manger gives them information about the policies and also giving them training about the tasks which has to be accomplished(Brewster, Chung and Sparrow, 2016.). . Employee development programmers help the employees in develop their skills and knowledge about the internal and external factors too. These practices help the company in achieving better outcomes.
- Health and safety : these practices secure the health and safety aspects of the employees. HR manager has to be sure that their employees understood the risk level of certain activities. These practices giving the information's to the employees about their safety and health wizards. Health of the employees is the main and essential factor in every organization. Through this practice, HR can give warnings to the employees before using danger machines or tools. It minimizes the possibilities of accident and also eliminate consequences of legal action that might be taken by employees or their relatives against company(Cao and Hamori, 2016).
- Recruitment : it is the best practice of human resource management which recruit right people on the right job. Acquiring well-qualified individuals, keeping them included within the organization, grooming them correctly to successfully accomplished their task and inspiring them to undergo further educational activity, skills, rewarding them with advantages and compensation are all causes to structural attainment and should be continually on the minds of HR managers.
P4 Evaluate the effectiveness of human resource practices in the context of TESCO
Human resource management has different practices which has been effectively raising the profit and productivity of an organization. It can be evaluated through these following points :
- Innovative and high performance employees : practices of human resource promotes the creativity and innovations in the structure of an organization. These practices motivate the employees by rewarding or other functions which of course increase the productivity and the profitability margin of the company. Innovations and creativity is an essential component for an organization to attract more customers and increase the sale of its products and services. Innovation may be a new product or may be in the existing product by adding colours, changing designs, improve quality of materials and so on.
- Effective execution : HRM practices helps the organization by recruiting appropriate managers for the correct place because leaders play an essential role in setting goals and objectives, directions and priorities or roles of the employees. They metal the company to the super place with earnings and productivity.
- Effective communication : human resource management helps to attain the goals of individuals and the team. HRM provides the effective channels of communication with the adaptation of changes in communication modes.
- Effective performance : when a company gives the monetary rewards to the employees directly with their each goals and activities, then employees give their more time in the production and development process(Cao and Hamori, 2016).
- Collaboration : collaborate also helps the company to improve their productivity and profitability because when an organization freely share the best ideas tools with internal and external factors than automatically company will receive better outcomes.
- Increase productivity : in today's market where competition is on their higher level, maintain the productivity is very complex process. Competition environment create different types of opportunities which can help in increasing the current skills and knowledge level.
P5 Importance of employee relationship in the context of TESCO
There is requires of employee relationship to influence the decision making process of human resource management. As we all know that the important factor in an organisation is human resource. They are human being not machines who can work without collaborate and communicated. They require talking and discussing with all other employees to accomplish their activities. If the structure of a business has interactive environment then it will help in to motivate them. It is essential that all employees are comfortable and satisfied each other and work as a team not an individually. So, there is major importance of employee relationship in an organisation as follows :
- Easier work : strong employee relationship can overcome the work load on employees and increase the chances of productivity. As it is not possible for a person to do everything on his own. It is necessary to divided the work among all the employees to accomplish the work in positive manner within the allocated time. If all employers have a better relationship with others then their team members can assist each other to make the task easy(Homberg and Vogel, ). .
- Decreasing conflicts : better relationship also reduce the conflicts and issues among the workers. They have trust on each other that they will perform their best to accomplish the task and achieving the goals and objectives. All the employees consider their fellow workers as colleagues not as a rivalry. In result, performance and productivity will be increased which helps the organization to take better decisions.
- Increasing loyalty : interactive environment help to increase the loyalty among employees. Workers feel motivated to accomplish their work and task which are assigned to them by an industry or business. Due to motivated and influenced, they effort more in the productivity which leads better return to the organization. Hence there is less employee turnover rate by which company can overcome the expenses or cost of new recruiting employees(Homberg and Vogel, ).
- Effective communication : it helps to assure the workers that there are no differences across the business in any appearance. At the last, employees feel more oriented to perform their work and tasks to gain their wanted goals and objectives set by management level. Proper method of communication help the industry to take the proper and right decision in right time.
There are different methods of effective communication such as verbal communication and non verbal communication. There are different methods of verbal communication such as written communication, oral communication and face to face communication non verbal methods are physical, para language and visual communication.
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Employee relationship can be made only through better communication skills. Because without communication employees did not get knowledge to what to do to accomplish the task and gaining better outcomes.
P6 key elements of employment legislation and the impact it has upon HRM decision making:
Employee legislation when HR take decision regarding the jobs and entire company. Very first impact is on decision take HR in their employees. Legislation of employees in organization sex discrimination act, rights act, equal pay act, national minimum wage act and disability at etc. employment standard are the minimum standards of employment for workplaces required law. Employment including following area:
- Termination- HR responsible for termination for employees. HR duty to ensure proper environments in organizations. HR give termination for employees those not work properly and misbehave with other employees. They directly terminate to their organization with any notice. Only HR. have right to terminate employees form the organization. In Tecso their HR. responsible for take decision for any termination for employees. Tesco have big enterprise. It has several employees to work under HR if any employees working not according to rules HR has rights to terminate from the organization.
- Probationary periods- HR. take decision for the employees their probation periods of employees are well understood each work his/her doing properly then HR have right to inform their probation completion letter. Mainly organization give 3-2 month probation periods for the employees to understand their organization work and their rules. In Tesco HR rights to take decisions for the employee's probation . In probation period HR defines the all working of the organisation details about the products how to do marketing and other responsibilities.
- Week of rest- In any organization HR take decision for leaves and annual vacation. HR also manage all employees vacations details and other leaves which concerned with HR. for the employees HR have right to give rest leave in work load. In Tesco organisation HR have right to give leave for the rest.
- Meal breaks- In organization HR responsible for each and every activities because they have right to take decision of the organization and about the employment. HR responsible for gives meal break to their employees in working hour. Fr the meal breaks employees feel fresh and they do work freshly.
- Equal employment opportunity- In organization HR gives equal opportunity to all the employees for this employment maintained stability to between each of employees. HR set rules of each and every employees. Each level of employees have same ability to maintained their growth (Gruman and Saks, 2011). HR gives increment for each employees in one in year. They give opportunity for each employees and also take decisions of employees benefits areas.
- Affirmative actions- For employment legislation HR takes positive decisions for each employees they also responsible for employees growth, they give motivation for their employees to work hard and have growth in their work. Tesco HR. management have responsible for take affirmative decisions in the employment they give leave for emergency situation.
Employment legislation impacts social security plan of the company and special provisions depending on situation and job nature. Employees legislation HR some time takes major decision their action sometimes positive and some times negative as well.
P7 HRM practice:
HRM practises determines the responsibilities for employees. HRM takes several decisions for their employees. Organization HR department fully responsible for employees activities their recruitment and terminations and other activities. HR have right to appoint their employees to exact position. They have experience bout the employees categories. In organizations HRM department take various decision of the employees benefits. Tesco HRM takes decisions for their employees to equal benefits for each employees. HR gives leaves and other facilities to their employees. Some following practice of HRM in organizations-
- Performance Management- HR responsible for each employee's performance management they have right to developed their employees performance. They give 360 degree consultancy service, in this HR personally meet with their employees and ask about the problems and other issue related to work. They also give motivation to each employees to improve their work and knowledge and other skills related to work. Tesco HR department meet with their employees and take strategic decision for employees area. They ensure proper working of their employees and also motivate for their work.
- Work life balance- HRM also responsible for employees work life balance they provide those facilities so employees normly concentrate with their work, HRM provide their employees to saprate wash-room and evening sneaks facilities so employees relax doing their work (Guest, 2011). They also right of organize meeting to ask problems for the employees and their solutions they also responsible for entertainments activities which healed on one time in month. HR also gives rewards for their works. And other compensation for extra work and gives increment in their position they also have rights for appraisal of each employees for these organizations retain their employees to long time and also increasing company growth. In Tesco they give rewards to each employees for better performance and better work. They also give extra compensation money on work load.
- Compensation and Benefit- HRM have rights to give benefits for their employees for hard work. They give time to time rewards on their area and gives promotions. For these employees can work hard and they set aim for promotions and achieve goals in their life. In Tesco organizations they appreciate their employees to work hard and gives benefits for their work. Employees have promotion in Tesco organizations and also have benefits or there area (Jones, and et.al., 2016.).
- Learning and Development- HRM organize learning and development. Plans for the organizations. Where employees learn about the work and other additional study for the work. Employees take advantage attend those learning programs. HRM also organize training for those employees who are week and new in the organization (Kapp, 2013). HR gives training about the organisation work and their rules. In Tesco they also develop planes for employees training and other learning plans so their employees work hard and organizations increase better sales. They also motivate their employees for hard work and developed better skills work. For these Tesco retain their customers long time and attract new customers.
From the above report it can be concluded that human resource management is precise essential in TESCO administrations. Job description and person specification is the most important part for HRM process. There are various methods of selection process in an organisation. There are various laws which affect the structure of human resource management. There are different purpose and functions of HRM which are applicable to employees planning in an organisation. Scope of human resource management is very vital and broad. Addition to this, strengths and weaknesses are also described in this report. HRM practices provide various benefits to an organisation for both employees and employees. This report evaluates the effectiveness of these practices in terms of increasing profitability and productivity of TESCO . Foe achieving the success, it is necessary to develop employee relationship regarding to influencing decision making process. Employment legislation are also affects the decision making process of human resource management in different ways either in positive manner or negative manner. At the last, this report includes various example to define in broad way of human resource management process.
Unit 2 Organisational Behaviour Level 5
Developing Individual, Teams and Organizations in the context of Kingfisher plc
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- Daley, D. M., 2012. Strategic human resources management. Public Personnel Management. pp.120-125.