This is solution of BTEC HND Human Resource Management Assignment, it is about the job roles of HR management for an organization.
P1.1 As new internship HR Assistant at Tesco, your new manager want you to distinguish between personnel management in organisation such as NHS UK and human resource management at Tesco.
The well-defined human resource management of the Tesco is considered as a backbone for the company. Tesco is basically a customer-focused company being a retail service organization. The company is highly dependent on the functions of human resource for its success. The effectiveness of the operations, services and marketing of the organization is mainly controlled by the functions of human resource (Ahmad & Schroeder, 2003).
The above-described characteristics of the organization need a human resource management in the company which involves inline managers majorly to function in effective and efficient manner. It is well known that the functions of HRM are proactive in nature while personnel management is considered as reactive system. The continuous analysis of the human resource of the organization according to the needs and requirements of the organization and the employees is the main task of human resource management. Human resource department of Tesco ensures that the employees of organization are aligned properly with the goals and objectives of the company in order to bear their responsibilities in efficient manner (Mondy, et al, 2005).
NHS being a public sector organization involves personnel management which is reactive system in nature. NHS is driven by the government rules which are less flexible for the management of employees as compared to that of Tesco. Personnel management deals with the reaction of the company in response of the trade unions working within the organization (NHS.uk, 2013).
P1.2 Assess the function of the human resource management in contributing to Tesco’s purposes.
The company ensures that employees work according to the demands from the customers for which human resource management of the company has to make sure that the employees working at different positions are according to the requirement of that position. Company also provide trainings for the employees according to the changing demands from the customers. It ensures that the employees are trained for any type of change happening in the working environment. Company also promotes the talents and employees to senior levels by providing inhouse training to its employees (Ahmad & Schroeder, 2003).
P1.3 Evaluate the role and responsibilities of line managers in the human resource management department at Tesco
The main roles and responsibilities handled by the line managers of Tesco are related to the company’s operations. The managers which can be described as line managers of the company are at work level 2, 3 and 4. The front line level managers are level 2 managers while the managers at level 3 and 4 dealt with the operations of a unit and the strategy making within the unit.
The main functions of line managers in the organization are as follows:
- Ensuring that the work is allocated to the base level employees according to the requirement and the efficiency level of employee.
- Line managers ensure that the best performing talents of the organization are given more chances to showcase their capabilities and the underperforming employees can work for the betterment of their abilities.
- Keeping an eye on the way employees in his team working to meet the different demands of the company.
- Line manager also inform the higher authorities about the excess or shortfall in the number of employees in his unit according to the required capabilities.
The nature of the functions performed by the line managers is supportive and extensive for the functions of human resource management. It also acts as the base for the decisions taken at higher level in the context of human resources.
P1.4 Analyse the impact of legal and regulatory framework in Tesco human resource management.
Legal and regulatory frameworks of an organization act in the form of control according to which employees’ work and their rights are defined within the organization. These frameworks are basically the basis for the way in which employees will act and behave within the organization and the ways organization can treat its employees.
In Tesco, these frameworks are used to clarify the ways according to which employees working at various levels should act in the organization. These frameworks also define the unacceptable behaviours and activities of the organization. The behaviour of the employees which is not expected from them outside of the organization also is defined under these frameworks. It also lays down the basis for the fulfillment of the ethical principles within the organization and the protections of employees from their colleagues. (Ahmad & Schroeder, 2003).
These frameworks define the terms and conditions for the employees’ services. It defines the power of the company with regard to the services of employee provided to the company. Any additional characteristics to be provided to the senior employees are also defined. The complete analysis of the functions of human resource within the organization clears that the human resource management of the company is its backbone. There is a defined difference in the personnel management like in organization such as NHS and in the human resource management in companies like Tesco. These differences can be found in the factors like employee allocation, their training and motivating employees in HRM and reactive nature of functions in personnel management (Mondy, et al, 2005).
The regulatory and legal frameworks define the way organization and its employees are governed. It is necessary to revise the overall framework on a regular basis to discard any loophole, if any and to combine any more points for the protection of the employees and the company. Such changes can be done on the basis of the research that can be carried in the field of legal and regulatory framework for managing human resource to provide an efficient working environment (Mondy, et al, 2005).
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P2.1 Analyse the reasons for human resource planning at Tesco. Outline the stages Tesco can adapt in planning human resource Requirements.
The organized human resource within Tesco is mainly due to the human resource planning efforts of the company. As we already talked about the size of the company, it is a large company in terms of number of customers, number of outlets, spread of the organization and the number of employees as well. The company has diverse spread across various other countries so all these factors result in a huge strategic divisions within the company. To ensure that all the requirements related to human resources are met at the correct time, human resource planning within the company is much important. It is necessary to identify the estimated number of resources required by the organization during the seasonal periods. Tesco performs all these tasks related to planning of human resource of the company in the month of February to avoid the hindrance in the execution of plan at the time of new year or Christmas.
The needs of the employees should be calculated on this basis to keep up with the strategic needs of the organization so that proper training can be provided to the new people coming to the organization in an effective way. Human resource planning aids in considering and engaging experienced human resource. It centres on the optimal employment of human resource to curtail the in general cost of manufacturing. This is associated with decreasing the effect of improbability which are fetched by expected modifications in procedures and practices of human resource management in the business.
P2.2 outline the stages involved in planning human resource requirements
Human resource planning plans at satisfying the purposes of manpower constraint. It assists to assemble the employed assets for the creative activities. The human resource planning is an imperative method intending to connect business approach and its function. To control income further resourcefully, there is a need for financial planning. The cash and need study and revenue expenses budgeting will demonstrate the preeminent technique feasible in management of income. In spite of of the sum of income received, element of the earning will set out for tax imbursement, expenses and whatever remains would be the saving. As a result, proper managing of returns is compulsory in growing cash flow. The Finance planning function also estimates the expenses necessary for the most imperative resources of the business i.e. the human resource.
The stages involved in the human resource planning are:
- Collecting the data
Data is required related to employees from line managers along with the prioritization of major issues.
- Segregation of data
This collected data need to be divided according to the defined metrics as per the stores and stores’ geography since geography and the main problems are mostly correlated with each other.
- Accumulating the needs of the employees
These are to be accumulated according to the responsibilities handled by them.
- Analysis of data
The next step will involve analysing the collected data on the basis of employees’ performance and the various available metrics like number of employees and sales in a unit.
- Comparison of performances
It is the last stage that will also involve the comparison of performance with previous years according to the environmental factors.
The human resources planning aims to employ and choose the most competent employees to fill up employment vacancies.It establishes human resource requirements, considers the on hand HR inventory intensity and at last employs the workers wanted to carry out the work. It also determines that the business obtains and uses the manpower efficiently to attain goals.
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P2.3 Compare the recruitment and selection process of Tesco with another organisation such as M&S or Sainsbury etc.
In order to discuss the recruitment and selection process of two organizations, we will consider the example of Sainsbury which is Tesco’s major competitor in UK retail industry. As both companies have same offerings so they follow similar market cycles. They recruit the people of similar nature. The differences and similarities in the recruitment and selection process of both the companies can be discussed in following manner:
- An initial screening of the candidates is performed by both the organisations in order to screen the candidates on the basis of compatibility of the acquired skills with the required sills for applied position (Sainsbury.co.uk, 2013).
- Curriculum vitae is the main source to be used for screening process as it possess all required information related to candidate.
- Sainsbury’s recruitment process differs from that of Tesco’s mainly in terms that Sainsbury assess the candidates’ skills with the help of attitude and mathematical aptitude questions to ensure the suitability of candidate with the job (Sainsbury.co.uk, 2013).
- Tesco mainly uses online process for the screening of the candidates while on the other side, Sainsbury uses both modes for accepting application from candidates.
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P2.4 Evaluate the effectiveness of the recruitment and selection techniques in Tesco and another organisation such as Sainsbury.
If we analyze the information discussed in the above section regarding recruitment process, we can easily say that selection process of Sainsbury is more effective and concentrated as compared to that of Tesco. Their process allows large number of application so that best candidates can be selected for the similar tasks. This helps Sainsbury in selecting the best suitable candidate for the organization. Tesco should alter it recruitment process so that it can be more effective and organized.
The selection process of Sainsbury is more integrated and effective. Tesco uses less technology for its selection process which can make the process much easier, so it is required for Tesco to use technology in effective manner so that tests can be implemented in the selection process while Sainsbury uses these technologies in a much effective manner. It is well known that curriculum vitae has all the necessary details related to the individual’s qualification, characteristics, experiences etc but it can’t measure the person’s capabilities in effective manner as the misleading information can also be provided by the candidates , so such tests help the organization in measuring the candidates’ capabilities in more effective manner.
So, we can conclude that there is a need of change in the recruitment process of Tesco to make it more effective and transparent. Company may be missing the best suitable candidates due to its dependency on the curriculum vitae which is their main base for the selection. So, it is recommended to the company that they should allow for some tests along with wider acceptance of the CVs from the candidates. It will help the organization in recruiting from a large number of applications through a tougher and more effective recruitment and selection process (Mondy, et al, 2005).
So after the complete analysis of the planning process of human resource department of the company, we can say that there is a need for making changes in the recruitment process of the company. The recruitment process of its competitor is more effective than Tesco, so they easily get better talent for the same job profile from the available resources in the market. Their highly dependency on CV make their process less effective and does not allow them to select the best suited candidates from the available pool of candidates. They should use the technology to allow the use of some tests so that the candidates’ capabilities can be measured in better ways. Such tests will help in measuring the qualitative and quantitative characteristics of candidates in effective ways (Mondy, et al, 2005).
P3.1 Assess the employee motivation theory and its reward structure at Tesco’s.
The job satisfaction of employees working within an organization is directly related to the motivation level of the employees. It is well known fact that employees get motivated to work higher or beyond their roles and responsibilities due to three main factors i.e. recognition, rewards such as gifts or money and promotion with increased salary (Boxall& Purcell, 2003).
Money and gifts form of reward is not a major contributor in the motivation for long term. However the techniques of giving appraisal to the employee for their efforts play an important role in the long term motivation of the employees. An organization with weak appraisal system can’t motivate its employees to work effectively, to develop and to learn by themselves due to the weal motivation factor active in the organization (Tesco.com, 2013).
Tesco uses the promotional policy on internal basis and is highly dependent on this policy for motivating its employees. As it was discussed in the above section related to the recruitment and selection process, the company looks for internally available resources before going into the market for external resources. If company is able to find employees with the required talent within the organization itself, the training to perform the new job according to the profile is provided to the employees. The company is open for all types of development and training process for its employees. The appraisal system of the company is designed in such a way that the appraisal of all employees is done by their immediate senior according to their reporting head. In such a system employees are appraised more efficiently. The company promotes its employees to have a long term relationship with the employees (Bowin & Harvey, 2001).
The promotion process used by the organization is the main motivating factor for its employees. The company is large in size so it offers a wide range of opportunities to its employees. The other factors that motivate the employees are the revised salary and the rewards in form of gifts given to them on seasonal basis (Tesco.com, 2013).
P3.2 Evaluate the process of job evaluation and other factors determining pay.
The company performs the process of job evaluation on the basis of the employee’s past within the company. The company provides training of different types to its employees and it can include off the job and on the job training both. The skills that are not directly related to the current job responsibilities of the employees are provided to the employees with the help of off the job training while on the job training ensures that the employee is able to handle the new responsibilities when got new ones. For the development and training of the employees, both of these processes are necessary to be provided to the employees (Storey, 2007).
Employee appraisal gets affected majorly from these training. The employees who are working at the same position for a long time have more expectations as they become habitual and so called experts in their job responsibilities while the employees working in new roles are evaluated on the basis of their acceptance to the changes environment and on the basis of their performance in the new responsibilities provided to them (Storey, 2007).
The company also considers the factors related to the attitude and behaviour of the employees towards company, customers and other employees. The main factors used to capture the performance of the employees are the targets achieved by employees, the amount of sales done by them as per their responsibilities, success while handling the customers, the overall work commitment, abilities possessed by the employees as per the requirement of the company (Tesco.com, 2013).
P3.3 Assess the effectiveness of reward systems in different contexts in Tesco.
We can analyze the effectiveness of reward system applicable in Tesco in following manner:
- A concrete rewarding system is active within the organization in the context of long term motivation of the employees. Tesco prefers the development and training process or its existing employees than recruiting new employees which promotes employment for long term by the employees.
- The organization possesses some positions which do not require highly qualified personnel and such employees can’t be fitted at other positions in the organization. The example of such position includes front end operator at retail outlet. The reward system of company is not conducive for such employees.
- Company is mainly dependent on many external factors including on the needs of the company to reward new employees in long run which can be considered as a limiting way for rewarding its employees. There is a need of more impressive reward system for new employees so that they are rewarded in effective manner.
- Company has a short term reward system which is not well defined in nature since it is highly dependent on the gifts and increment in the salary for employees who are performing as per standard or beyond that. There is a need to focus more on changing this short term reward system of the company so that employees get motivated in better manner. This can be done in form of recognition so those employees are getting motivated for their day to day activities (Bowin & Harvey, 2001).
As we have stated earlier as well, the Human resources are the most important resources of the business. For these investments the business can employ the methods of investment appraisal i.e. resources appraisal. These methods are:
- Payback period method
- Net present value method
Payback period: This method shows the time engaged to recover the new discharge of the investments. By this method, the resource that guarantees a quick reinforcement of initial cost is calculated beneficial. If the payback period of Human resource is calculated, it would show how efficiently the cost of employees can be recovered by their productivity.
IRR also known as financial rate of return is the rate of expected growth to be generated by the project. It is a return which can be expected from a resource in the course of business, the venture or option providing with the maximum rate of return has the highest chances of being chosen.
Net present Value: It is the supreme process for the theory of evaluation structuring the human resources understanding. This is decision the inflow of services and groundwork of the likelihood on genuine point of view by the suitable discount rate by the recognition to reduce the estimated resource flows.
P3.4 Examine the methods at Tesco that is using to monitor employee performance.
The company monitors the performance of its employees on the basis of the feedback from their managers in the form of direct observation due to the job nature. So the effectiveness of employees has direct impact on their appraisal. So the employees’ performance is measured in correct way. Apart from the effectiveness of the employees, other contributions from the employees within their operating unit are also considered for the appraisal. The contribution of employees can be in the form of sales or the amount of work performed by the employees. Both of the above mentioned methods are used to monitor the performance of the employees in more effective manner (Beardwell & Claydon, 2007).
It can easily be mentioned that the company is having a good long term motivation plan for its employees however they lack in their short term motivation plan for their employees. There is a need for the company to take some steps for motivating the employees in short run so that the entire reward system of the company is effective in short and long run both. The short term motivation can be non monetary or non-promoting like applauding the good performing employees within the unit on weekly or monthly basis which will motivate the employees to work in more efficient manner to get applauded in week or in month (Beardwell & Claydon, 2007).
P4.1 Identify the reasons for cessation of employment with an organisation in General.
A company can cess its employees from employment due to following reasons (Armstrong, 2003):
- Voluntarily termination by the employee himself by resigning from the company. This can be done by the employee due to his personal reasons like finding a better suited job, getting higher paying job, getting better position in another company, family issues or the health issues etc. The other reason that can force an employee to resign can be the conflict in the personal and organizational goals.
- The employee is taking voluntary retirement or has reached the retirement age. Most of the government organizations have defined retirement age while private organizations can also define a retirement age for its employees.
- The company has asked the employee to leave the company due to various reasons. These reasons can include the non performance, non adherence to the rules and regulations, unfavourable financial position of the company, unacceptable behaviour of the employee and more absenteeism etc.
P4.2 Describe the employment exit procedures by research in general.
An organization can follow any of the following exit procedures for its employees:
- There is a provision of notice period by the company which needed to be served by its employees before terminating the services with the organization. This notice period can be given by the company or by the employees according to the type of resignation given or taken from the employee. This notice period is basically followed by the intimation of leaving the company either by the employee or by the company. This procedure is followed by most of the organization and is widely acceptable procedure.
- There can be some cases where employee can’t work anymore with the company due to various reasons, in such cases the negotiation is done which involve the payment of one month salary either by the company or by the employee whoever is not serving notice period.
- Employee may be asked to leave the organization immediately in case of violation of any regulatory and legal framework without any compensation.
- The companies also have provision of the bond period and in such provisions employee is not allowed to leave the organization before serving the bond period and in case of violation, a fixed amount is paid by the employee.
P4.3 Consider the impact of the legal and regulatory framework on employment cessation arrangements by research in general.
Basically all legal and regulatory frameworks defined for human resource are mostly related to the cessation of the employees. Notice period is being laid down by these frameworks only. It lays down the rules that should be followed for the notice period and the actions that should be taken in case of violation of such rules. The reasons which can force an organization to ask its employees to leave the company are also defined by these frameworks. (Armstrong, 2003).
Legal and regulatory frameworks work as governing framework for both the company and the employees as they feel secure from each other while following these frameworks. These frameworks provide job security and safety to the employees by defining various rules related to the work environment of the company, the facilities to be provided to the employees, the termination of employment etc.