Pearson BTEC Level 4 Higher National Certificate in Business

Pearson BTEC Level 4 Higher National Certificate in Business

Centre name: CECOS College London

Centre Code: 01018

Unit 3: Management of Human Resources

Assignment Brief- Part A

Student name:			Assessor name:
Issue date:	2nd September 2024	Submission date:	2nd December 2024	Submitted on:
Programme:	Pearson BTEC Level 4 Higher National Certificate in Business
Unit:	Unit 3: Management of Human Resources

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Introduction

• HR professionals help to identify the skill gaps within the workplace (Charlwood and Guenole, 2022)

• It also has been important to design the training programme by implementing the career development initiative

• Training and development can help enhance the skills of the employees

As a Human Resource Administrator, it is the main duty and priority to implement the HRM practices with the help of stakeholders. HR practices and processes are important for strengthening and implementing the management strategy within the organisation. This presentation is focused on the company General Motors, which is a global car manufacturer with both centralised and decentralised functions. It also supports their function for increasing the sustainability and growth of the business. As a HR administrator, the main aim and goal is to get the impact of the role of HRM for creating and increasing sustainable business performance. On the other side, it is also necessary to achieve success in business by creating sustainable performance with different skills and knowledge. General Motors (GM) works with 165,000 employees to improve their engineering, and technology and get a bright future with this (gm, 2024).

LO1 Explain the impact of the role of HRM in creating sustainable organisational performance and contributing to business success

P1 Main HRM areas and their contribution towards sustainable performance

• The strategic function which is responsible to manage the people of an organisation is known as human resource management (Bratton et al., 2021).

• Important areas of HRM include strategic human resource planning along with selection and recruitment.

• Other areas include development and training and management of performance (Mahapatro, 2021).

It is important to have effective planning in human resources to align the workforce of an organisation with the objectives. The future requirements of talent must be anticipated by General Motors along with gaps in skills and trends of the industry for ensuring it is having the right people for meeting demands of customers and driving innovation. It can involve meeting the requirements of workforce, assessing talent along with developing of succession planning for identifying leads for the future. Moreover, it is important to select and attract top talent for staying ahead of the competition. Effective strategies of recruitment must be employed by General Motors which includes leveraging programs of employee referral along with leveraging social media. It will be allowing them in reaching to diverse candidate pool. Moreover, the process of selection is rigorous which involves interviews, assessments and checks of background for identifying the individuals possessing the required experience, cultural fit and skills. Development and continuous learning are important for the employees in staying updated with advancements in the industry along with enhancing the overall performance. Hence, companies like General Motors must be investing in programs of training for addressing both the soft skills and technical skills. It includes communication, leadership and solving problems. It is achieved through workshops, training on the job and courses online.

• The next important area of HRM is performance management (Dessler, 2020).

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• Other important aspects include benefits and compensation along with employee relations.

• Inclusion and diversity are important to create an equitable, inclusive and innovative workforce.

A robust system of performance management is important to drive engagement of employees, high performance and accountability. Companies like General Motors must be establishing clear expectations of performance, conduct reviews of performance for assessing the contributions of the employees Moreover, the information can be then analysed for identifying improvement areas, recognising the high performers and with making informed decisions in terms of development opportunities, promotions and rewards. Benefits packages and competitive compensation are important to retain and attract top talent. Hence, General Motors must be conducting research on the market for determining appropriate levels of salary along with offering packages of comprehensive benefits. It is in the form of retirement plans, health insurance and different perks (General Motors, 2024). The company can also be considering the implementation of components of variable pay like incentives and bonuses for rewarding performance along with aligning the interests of employees with the goals of the company. It is also critical to build strong relations with employees to promote a positive environment at work and minimise disputes in labour. Hence, the company can be establishing open channels of communication, encourage the participation of employees along with promptly addressing the concerns. It can be achieved through surveys of employees, procedures of grievance and programs of employee assistance. A theory which can be implemented for better understanding is the Human Capital Theory where employees are considered to be the most important assets for organisations.

Promotion of inclusion and diversity is important to create an equitable, inclusive and innovative workplace. Practices and policies can be implemented by General Motors which can be fostering workforce diversity. It can be including unconscious bias training and affirmative programs of action. The company can be benefiting from different perspectives when diversity is embraced, improving the reputation along with attracting top talent from backgrounds which are diverse. Corporate social responsibility and sustainability are the other important areas. Organisations in the modern day are expected in contributing to social responsibility and sustainable development. Sustainability must be integrated by General Motors into their practises of HRM and promote ethical sourcing, environmental stewardship and engagement in communities. It can be involving participation in the green initiatives, support of the social causes and can ensure fair practises of labour through the chain of supply,

Thus, by managing the important HRM areas, companies like General Motors can be creating an efficient workforce which can help in fostering a positive environment at work along with contributing to the sustainability in the long term of the company. Moreover, the company can be positioning itself as a brand which can retain and attract top talent along with driving innovation in the industry of automobiles.

M1 Comparing HRM areas to create sustainable organisational performance

• The first area of comparison is between strategic planning of human resources and reactive HRM (Anwar and Abdullah, 2021).

• The next important aspects which can be compared are traditional methods of appraisal and systems of performance management.

Strategic planning of human resources involves aligning the workforce of the organisation with the objectives. Organisations like General Motors can be developing strategies proactively for retaining, attracting and developing required talent by anticipating the future need for talent. On the contrary, reactive HRM has focus in the short-term team and the immediate needs are responded to. Reactive HRM is required for addressing the urgent issues and might not be sufficient to achieve performance which can be sustained. Systems of performance management are designed for driving the performance of employees, facilitating development and providing feedback. Moreover, the systems can be involving clear expectations of performance, conductive reviews of performance and providing feedback regularly. The traditional method of appraisal includes reviews of annual performance focuses on performance from the past and is not effective in terms of driving improvement on a contract basis.

• Other areas which can be compared are job satisfaction and employee engagement.

• Equal opportunity can also be compared with equal opportunities.

• It is also important to compare CSR with philanthropy.

The measure of emotional commitment of an employee towards their organisation is measured by employee engagement. On the contrary, the concept of job satisfaction refers to the feelings of an employee about their job conditions and their work. Employees who are engaged in highly will be innovative, loyal and productive to organisations like General Motors. Diversity states the presence of different backgrounds, perspectives and experiences in the overall workforce. However, the legal requirement focusing to ensure fair employee treatment for every employee is defined as equal opportunity.

P2 Effects of the changing nature of organisations on HR skills and knowledge

• Important factors of the changing environments include technological advancements (Volti and Croissant, 2024).

• Another important factor is cross-cultural competence and globalisation.

• There is also a shift in expectations of the customers.

• Flexible arrangements at work are another important factor.

The ways in which organisations are working have been transformed by technology proliferation. Artificial intelligence, automation along with digitalisation have been reshaping workforce which can lead to new role creation (Braduet al., 2022). Hence, the HR professional in the company like General Motors must be developing an understanding of the emerging technologies and their workforce implications. It can include assessing the impact of job automation, developing of strategies for reskilling and upskilling the employees and ensure organisations are having the required talent for implementing new technologies. However, there has been an increase in interconnectedness of the global economies and makes it important for companies like General Motors in operating in complex and diverse environments. The HR professionals of the company must be possessing strong competence cross-culturally for managing the workforce globally (Jain and Pareek, 2020). It can include an understanding of the different norms of culture, and styles of communication and developing strategies to manage inclusivity of culture.

The HRM must also be navigating international labor law complexities to enduring compliance along with avoiding the legal issues. It is important for the company to abide by the Equality Act 2010. There has been an increase in demand from the customers and personalised experiences are expected from them along with excellent service to the customers and products of high quality. Hence, it must be ensured by General Motors HRM professionals to develop cultures which are customer-centric and provide the employees with the required tools and training for delivering exceptional services to the customers along with fostering a mindset which is oriented to customers.

Additionally, there has been a rise in remote work and flexible schedules which has been challenging traditional work notions and relationships between employers and employees (Franken et al., 2021). Thus the HR professional must be adapting to changes in work arrangements and development procedures and policies which will be supporting remote work, effectively management the virtual teams and ensure employees are having access to the required support and resources. Implications of flexible arrangements at a workplace must be considered by HR at General Motors for productivity, engagement of employees along with balance between work and life. Other companies like Tesla are also doing the same. There have been a shift in societal expectations and organisations like General Motors are expected to contributing to corporate social responsibility and sustainable development. Thus, the HR professionals must be playing an important role to integrate these factors into the HR practises of the company. It can be including development of strategies for sustainable talent management and, promotion of inclusion and diversity (Rofcanin and Anand, 2020).

M2 Evaluating HRM in relation to the changing nature of the modern business organisation

• The human resource is involved with the management of the organisation with their employees

• It is included with the talent acquisition, onboarding, training, development and performance management (Armstrong and Taylor, 2023)

• HRM is focused on the administrative and strategic partner for increasing the contribution and success within the workplace

Strategic HRM is involved with the HR policies and practices to fulfil organisational objectives. It helps to develop the HR for supporting organisational mission, value and vision for contributing and to get a long-term success in business. Strategic HRM is involved with the forecasting and planning of the workforce need for identifying the critical skills and competencies (Edwards et al., 2024). Implementing talent management can help to create and get different initiatives for attracting, retaining and developing new talent in the business. Strategic HRM is included for fostering a positive organisational culture for encouraging employee engagement. Improving the workforce productivity and innovation helps to get a competitive advantage to achieve strategic goals with business strategy.

• In the General Motors, HRM is strong with the help of their employees

• Their main aim is to create a place with the meaningful business impact

• The human resource team is connected with the people for increasing recruitment and development within the business

It is required to continue with the human resources commitment to increasing innovation by achieving success with their employees. The HR professionals are also focused on the development and potential of their employees by managing a strategic change and to maintain the HR practices (De Alwiset al., 2022).The automotive strategies are useful and effective for managing the competitive change in business. GM also uses different types of technology with HR process and with different types of organisations. It is focused on different efforts to create and get accessibility within the workplace. The company increased its efforts with HR-related activities with the transformation. Their portal helps to achieve goals by developing a web-savvy workforce. Improving the ability is required to communicate and collaborate with others.

• The training programme also helped to improve opportunities with HR professionals

• Increasing management skills is also necessary with the organisational guide

• Improving communication is also beneficial for managing the change by interacting with other organisations

The use of organisational behavioural theory can help for recognising and monitoring the events with the HR and with the other employees (Wood et al., 2024). The other theories like human capital and resource-based theories can help with strategic positioning and get a competitive advantage in the business. Implementing these theories will be helpful in finding a solution for strengthening the strategy of talent management. The contribution of the HRM also helps to create a sustainable performance with the resource skill and knowledge.

LO2 Production of workforce action plan

P3 Create a workforce action plan that addresses skills needs, skills gaps and hard-to-fill vacancies for recruiting and retaining talent in an organisation

Areas of Improvement	Problem Definition	Proposed Solution	Success Measures	Owners	Estimated Timeline
Increase adaptability	Adaptability is important for collaborating with others	Practice working with others	After working with different new team members	Team member	3 to 4 months
Improve communication	Communication also helps to transfer information to others	Increase interaction by communicating with new people	After conducting successful communication with others	Employees and colleague	3 to 6 months
Improve Leadership	Leadership helps in managing and guiding all the team members	Practising to lead and managing the people	After guiding and managing the people	Hierarchy and the managers	4 to 5 months

Table 1: Workforce Action Plan

(Source: Created by Learner)

Skill Gaps skill need

The workforce action plan is effective and helpful for focusing on the areas of development. It is also required to get the solution with the success measures and to get the training with a specific timeline. In an organisation like General Motors, identifying and working on the skill gap is required for getting a competitive position with referencing and managing the difficulties in recruitment (Gerhart and Feng, 2021). Using a flexible work model can also help in mitigating the gaps among the team members and create a competitive method in the business. In an organisation, attracting and retaining talent is important with communication, collaboration, teamwork and with leadership skills (Yamauchi, 2021).

Recruitment and training

• Improving communication, adaptability and leadership highly helps for getting an innovative recruitment strategy

• Investing the recruitment is necessary for working with others by managing and reducing disabilities

• It is required to struggle with the workforce for managing the regulatory changes and use new technology

Achieving business growth is required for achieving and managing business goals by customising the team members. Using the talent acquisition strategy helps to ensure and align with the business goals (Schulze and Pinkow, 2020). In order to foster adaptability, communication, and leadership within an organisation, it is important to enhance individual performance. On the other side, strengthening the overall team dynamics is also essential for mitigating the issues and risks in the business. Implementing a targeted development strategy is also required for creating a resilient, collaborative, and motivated workforce environment. Increasing the capability can help for thriving huge growth in a rapidly changing environment. Promoting culture is important for education and skill development in the workplace. Using the workshops, online courses, and certifications can help to motivate and encourage all the team members to get a good future and business results (Karneli, 2023).

Getting an innovative recruitment strategy is required for increasing and offering with a flexible working arrangement and approach and to get an improved compensation and skill with others. Most of the organisations face different constant changes with the market trends, technology, and regulations. Increasing the adaptability with the employees is helpful for getting the effectively in the business. Adaptability helps to foster a creative problem-solving approach by allowing the teams to find effective and innovative solutions for removing the uncertainties and issues in the business (Dunn, 2020). In an automotive company, HR management practices can be improved by working in a positive and collaborative workplace. It can help to increase the productivity by motivating all the team members. It is required to encourage all the employees to get an idea about the different roles and responsibilities within the organisation. Promoting a culture with ongoing education is important for improving skill development through different types of work like online courses, workshops and certifications.

Using role-playing or simulation exercises is important for preparing all the employees and to get potential changes or challenges. An effective communication helps to foster a new collaboration for ensuring and aligning all the goals and tasks with the team members. A strong communication always helps in navigating and resolving conflicts and to create a more effective work environment (Brunetto and Beattie, 2020). Implementing regular feedback and sessions can help encourage all the team members and to improve and get their communication skills. The main duty and priority of effective leaders are to inspire and motivate all the employees by fostering a positive work environment by upgrading work performance. Investing in leadership development programs helps to focus on the essential skills of decision-making, emotional intelligence, and strategic thinking in the workplace (Renand Jackson, 2020). Empowering the employees is required by managing all the leadership roles within the business projects. It can help in fostering a sense of ownership and responsibility. The recruitment tactics and strategies can help increase the diversity with different new individuals.

M3 Devise a strategic workforce action plan for improving recruitment and retention in relation to the importance of the labour market.

Areas of Improvement	Problem Definition	Strategies	Success Measures	Owners	Estimated Timeline
Adaptability	Adaptability refers to the ability for adjusting with the new conditions and to learn from the experiences	Welcome and accept all the team members	It can get by working with diverse team members	Team member	3 to 4 months
Communication	Communication is considered as a process of exchanging information, thoughts, and feelings	Conducting meetings and conferences with others	It can be identified by conducting a successful communication	Team members	3 to 6 months
Leadership	Leadership is known as an important component for influencing the culture, direction and success.	Guiding and managing the team members by analysing their strength and weakness	Directing all the employees and managing their problems and issues	Hierarchy and the managers	4 to 5 months

Table 2: Strategic Workforce Action Plan

(Source: Created by Learner)

Strategic workforce action plan has been highly important for focusing and mitigating the issue and gap of the employees. These plans and strategies can help improve the competencies and develop the skills The Strategic Workforce Action Plan is focused on communication, leadership, and adaptability for enhancing organisational performance and to foster a positive workplace culture (Scully-Russ and Torraco, 2020). The implementation of these strategies is useful for evaluating the effectiveness and creating a resilient workforce capable of creating an ever-changing environment. Using an evaluating the employee surveys and performance metrics of the employees is important for assessing the improvements with the communication, leadership, and adaptability.

Conducting a quarterly review of the action plan is also important for stimulating and maximising progress and adapting different strategies based on feedback. In the changing environment, fulfilling and mitigating the needs are helpful for getting an effective initiative with the team members (Arief et al., 2021). It is required to identify all the high-potential employees for creating the development plans and to prepare them for managing the roles of the leadership. It is required to communicate with the strategic workforce and action plans for outlining all the objectives and to get an effective initiative for achieving the expected outcomes. It is required to get the implementation and training for focusing on communication and to get active listening for reducing the issue and problems with an effective solution (Nudurupati et al., 2021).

LO3Analyse how external and internal factors influence HRM decision-making in relation to organisational development

P4 Investigate the external and internal elements that influence HRM decision making in order to promote organisational development. SWOT Analysis of General Motors

Strengths

• General Motors (GM) has a strong brand image and a global presence, which draws a diversified workforce.

The employee retention rate of General Motors is 24% (zippia, 2024).

Weaknesses

• Despite its benefits, GM's HRM procedures are challenged.

The organisation has battled with worker diversity and inclusion, resulting in possible skill gaps. Furthermore, the company's hierarchical structure might stifle collaboration and innovation, making it difficult for employees to contribute ideas and efforts successfully.

Opportunities

By investing in staff training programs focused on these new disciplines, General Motors can improve its competitiveness and adaptability in a changing market. Furthermore, offering remote work choices might attract top talent looking for flexible job arrangements.

Threats

GM faces significant competition from both major automakers and new entrants into the electric vehicle industry. Tesla is a major competitor of the brand. This competitive environment may result in higher turnover rates as employees seek better possibilities elsewhere. Economic volatility and labour market shifts can potentially jeopardise General Motors' human resource management plans, hurting recruitment and retention efforts. Addressing these issues is critical for retaining GM's workforce and market position.

PESTEL Analysis

Political Factors

• It is observed that the Political stability of the United States is observed to be 90% (TradingEconomics, 2024).

This will be ensuring that General Motors will be operating in the country smoothly and the employees can abide by the HRM policies of the company.

Figure 1: Political Stability of the US

(Source: TradingEconomics, 2024)

Economic Factors

• The GDP of the United States is observed to be 27360.94 billion US dollars in 2023 (TradingEconomics, 2024).

This signifies that the brand shall be capable of fulfilling the financial requirement of the nation. It will also help the HRM of the brand to implement policies to retain the employees.

Figure 2: Corruption Index of the United States

(Source: TradingEconomics, 2024)

Social Factors

The population of the UK is observed to be 335.9 million in 2023 (TradingEconomics, 2024). This signifies that General Motors can expect to gain more employees from the region. The HRM policies of the US should be enhanced so that they can recruit eligible and talented candidates for the growth of the workplace.

Figure 3: Population of the United States

(Source: TradingEconomics, 2024)

Technological Factors

The e-commerce usage in the US is increasing and it has been observed that the e-commerce sales of the country have been increasing the country. In 2024 there has been a sale of 286000 million dollars in the region (TradingEconomics, 2024). General Motors should make sure to develop their web services and ensure to implement to promote their services and product to the e-commerce platform to attract a wide range of customers. The HRM policies of the company should be enhanced to make sure that proper training and development is provided to the employees so that they can utilise the e-commerce platform to achieve the goals and objectives of the company.

Figure 4: E-commerce Retail Sales of the US

(Source: TradingEconomics, 2024)

Environmental Factors

The environmental policies of the US show that they ensure the usage of the Eco-Friendly materials and contribute to the development of the environment friendly materials. This signifies the national environmental policy act or NEPA of United States (NEPA, 2024).

Legal Factors

The legal factors of the UK shows that every organisation follows the Civil Rights Act; the Americans with Disabilities Act; the Equal Pay Act; the Fair Labor Standards Act; the Family and Medical Leave Act (“FMLA”); the Immigration Reform and Control Act; the National Labor Relations Act (“NLRA”). This signifies that the HRM of General Motors should develop their policies to ensure that they can operate in the region (iclg, 2024).

M4 Examine the external and internal elements that impact HRM decision-making, using relevant examples to demonstrate how they assist organisational development.

Human Resource Management (HRM) decisions are influenced by various internal and external factors that shape an organisation's development and performance. These factors dictate how HR managers approach recruitment, retention, employee development, and overall workforce management.

External Factors

1. Economic Conditions

• Economic stability or downturns significantly affecting HR decisions.

For example, during an economic recession, organisations may be prioritising costing-cutting measuring, leading to hiring freezing or layoffs. Conversely, in timing of economic growth, companies may be investing in expanding their work forcing and enhancing employee benefits.

2. Technological Advancements

• Technological progressing often requiring organisations to evolving their HR strategies.

As industries digitising, the needing is for skilling workers in technology and digital skilling growing. Companies like Mercedes, for example, have integrating automation and AI into their operations, necessitating the hiring of tech-savvy professionals and the reskilling of existing employees.

3. Legal and Regulatory Compliance

Adherence to labour laws and regulations and is influencing HR deciding. Companies must be aligning their policies with legal requirements to avoiding penalties and fostering a fair working environment.

Internal Factors

1. Organisational Culture

An organisation’s culture is playing a crucial rolling in shaping HR decisions. A positive, inclusive culture is attracting and retaining top talent, while a toxic working environment may be leading to high turnover rating. BMW is known for its innovating and inclusive culture, emphasising employee well-being, offering flexible working arranging and promoting diversity.

Figure 5: Positive Employee Review

(Source: GlassDoor, 2024)

2. Leadership and Management Style

Leadership styles influencing HR policies and employee managing. For example, transactional leaders may be focusing on clearing rules and rewarding, aligning with organisations that requiring structuring environments. Tesla’s leadership, characterising by a transformational approaching, is prioritising employee innovation and developing, encouraging creativity and adaptability. This leadership styling is promoting employee engaging, directly affecting organisational succession and growing.

3. Workforce Demographics

This approach not only fosters professional growth but also supports organisational development by maintaining a competitive and skilled workforce. In summary, both external and internal factors are critical in shaping HRM decisions. Organisations that effectively respond to these factors, like GM, BMW, Mercedes and Tesla, demonstrate how strategic HR management supports organisational development and long-term success.

Conclusion

• Using digital transformation and globalisation can help with the predictive analysis for the entire workforce

• In the company General Motor, HRM practices need to be transformed to mitigate the issue challenges and to get new opportunities

• HR professionals can increase and utilise AI and data analytics for talent acquisition

Using predictive analytics is required for workforce planning and to use HR software for streamlining the work processes. HRM need to be focused on virtual collaboration tools for managing flexible work arrangements and to increase employee engagement with others. Using the global talent market helps to allow businesses to access the target candidates. It helps to increase the competition with the help of skilled employees. HRM need to prioritise all their employees with the wellness program and to get ideas with the mental health resources. Using different new initiatives is also important for promoting a positive organisational culture. HRM need to cultivate and promote a strong organisational culture to emphasise value and purpose. It is required to integrate with CSR initiatives for evaluating talent acquisition and to retain all the strategies. In a company like General Motors, HRM should implement a robust training program for managing and getting mentorship initiatives with personalised career development plans to fulfil all the expectations. Using different human resource skills and knowledge is also required for changing the workplace environment and getting an effective idea for motivating all the team members in the workplace.

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