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The Human Resource Management assignment primarily emphasizes over various aspects of human resource management practices of small scale organization considering Posh Nosh Limited as a case study. In this assignment we get to know about different aspects of personnel management, significance of human resource planning, employee reward system, motivational techniques and various aspects regarding the cessation of the employees (Armstrong, 2006). The assignment also discuses about the impact of legal and regulatory framework over the human resource practice of small scale organization.
Posh Nosh Limited is a small scale enterprise and the prime motive of the organization is to expand its growth in the market. Initially the organization emphasizes over personnel management while dealing with its human resources but with the advent of time the significance of implementing HRM practices forms to be the prime necessity of the organization for its growth (Armstrong & Taylor, 2014). The scope of personnel management is small and is thoroughly centered on the employees emphasizing on recruitment of the employees, employees training and development, fixing remuneration of the employees and the maintenance of the prevailing human resource of the organization. Posh Nosh Limited has found that the evaluation of the future necessities of the human resource is highly significant for the organization in order to reduce the cost of employee turnover by retaining the existing employees so the organization emphasizes over implementation of HRM practice in the organization. Unlike personnel management the nature of HRM is highly proactive emphasizes on aspects of the management where the responsibilities of HRM are delegated to the line authorities for the betterment of the management. The employment contract and collective bargaining is the prime emphasis of personnel management where the defined rules, contracts and procedures are being strictly observed by the management in order to manage the bonding between the employees and the management. HRM practices on the other hand focuses on the development of the open minded contract in accordance to the requirements of the business (Avey et al, 2009). HRM practices intends to link better performance with the job satisfaction of the employees where various sorts of motivational approaches are undertaken by the management for the development of the employees in order to boost the morale of employees to perform their best in the organization.
The HRM practices have huge significance over Posh Nosh Limited in fulfilling its various sorts of business goals. Initially it enables the organization to recruit suitable candidate for the organization on the basis of skill, aptitude, education and past experience. Recruitment procedure is based on the HR planning where the core capability of the individual candidate is evaluated by the management in order to determine whether the candidate proves to be beneficial for the organization in future (Beardwell, & Claydon, 2007). Secondly it forms the prime responsibility of the HRM department to adequately train the individual so that he can get equipped with the organizational culture and develop himself in the organization with the advent of time. The generation of the employee’s motivation in work is the third significant function of the HRM department which is conducted by the HRM department by making arrangement of various kinds of rewards system. Both financial and non financial reward system proves to be highly beneficial for Posh Nosh Limited in enhancing the performance level of the employees and retaining the existing employees for longer period thus reducing the cost of employee turnover at maximum level (Storey, 2007). HRM practices prove to be highly beneficial for the organization in building good relationship between the management and the employees by the implementation of good leadership style. It has very positive impact over the quality of performance of the employees.
Posh Nosh Limited is a small scale organization so the roles and responsibilities of line managers are highly significant in order to carry out day to day operation of the organization for the regular development of its workforce (Boxall & Purcell, 2011). The frequent and rapid changes in the business environment insist the line managers to adopt challenging steps for the betterment of the organization since they form to be the intermediary between the management and the employees. Employee engagement is one of the crucial management of the line managers since it enables them to capitalize the maximum potential of the employees in order to accomplish various objectives of the organization. It is highly significant for the line manager to maximize the output of the organization with fewer human resources since Posh Nosh Limited is a small scale enterprise. The various theories of motivation and slimming down at certain situation prove to be highly beneficial for the line managers in maximizing the quality of output of the employees (Bratton & Gold, 2012). Work load management is one of the most significant responsibilities of the line managers where the line managers with a very efficient leadership style engage the employees in their work and derive maximum output from them by the application of various motivational techniques. The line managers also form to be accountable to the higher management for removal of various sorts of conflicts among the employees in the workplace.
Posh Nosh Limited is a small scale organization in UK so the employees may have to face various sorts of problems while carrying out their professional activities in the organization. The legal and regulatory framework plays very significant role for the management of the organization to reduce any sorts of conflicts that arises from the employees or external factors. Sex Discrimination Act (1975/1995/1997), Employment Equality Act (Sexual Orientation, Religion and Belief) (2003; Equality Act - 2010) and Race Relations Act (1992 – amended 2000) enforced by the laws of UK government proves to be highly beneficial for HRM department of Posh Nosh Limited to reduce any sorts of conflicts arises from discrimination regarding marital status, gender, nationality, cast, color, and national origin in the workplace. Equal Pay Act (1970) enables Posh Nosh Limited to remove discrimination regarding payment of wages and to fix proper payment structure for the individual employees in accordance to their credibility (Chelladurai, 2006). Disability Discrimination Act (1995 – amended 2005) provides huge scope and opportunities for the employees to work in a workplace who are suffering from any sorts of serious disease and are physically challenged. This act enabled the physically challenged individuals to get rid of any sorts of discrimination in workplace. The various guidelines of the Employment Act (2008) enables the organization to solve any sort of tussles arises between the employees and the management.
Human resource planning is defined as a procedure that enables an organization to employee proper number of deserving employees at right place in right time enabling an organization to accomplish its various goals for the proper growth and development of the organization. Posh Nosh Limited is a small scale fast food organization in UK having a chain of 10 outlets in London and also has a catering department so a proper human resource planning is highly required for the organization for the expansion of its business in the market (Daley, 2006). A proper human resource planning enables Posh Nosh Limited to recruit deserving candidate in the organization having adequate skill and talent. Job analysis is the fundamental component of the human resource planning which enables the organization to recruit a candidate for a post by analyzing his skills and competencies that is highly required for the post. It enables the organization to adopt necessary steps regarding replacement of the candidate by a new candidate when it is found that the existing candidate has reached retirement age or found to be getting involved in any sorts of unethical activities. It enables the organization to reduce the cost of employee turnover by employing various sorts of motivational approach in workplace and engaging the employees in their respected work (Dowling, 2008). It enables the organization to frame strategies regarding human resource like recruitment or termination of the employees in accordance to the market situation and strategic growth of the organization.
By the advent of time with the huge expansion of competition in the food market it has form very critical for Posh Nosh Limited to innovate its business strategy at rapid scale. The planning of human resource requirement as a part of business strategy proves to be highly beneficial for the organization in maximizing the potential of its workforce in carrying out its business activities. The HR planning involves the evaluation of different goals of the organization including production, sales, market expansion and different other factors. Generating proper information about the demand and supply of the labour market forms to be the prime responsibility of the human resource planning since it enables the organization to economize the procedure of recruitment and selection and higher deserve candidate at reasonable rate (Foster, 2014). Human resource planning involves recruitment of new employees during deficit and termination of the unproductive and aged employees when there are surplus employees in the organization. It is highly significant for Posh Nosh Limited to evaluate the man power gap and to economize the cost of production since it is a small scale organization. Human resource planning also emphasizes on increasing the true potential of the individual employees by carrying out training and development programs at regular intervals.
Posh Nosh Limited initially carries out preliminary interviews in order to eliminate the candidate who do not deserve for the organization (Guest, 2011). The second phase is the selection test that is undertaken by the recruitment team of the organization in order to determine the skill, personality and aptitude of the candidate. The organization carries out employment interview which forms to be the part of the selection process. The organization emphasizes on scrutinizing the background and references of the candidate since it enables the organization to evaluate a true picture about the profile of the candidate. Selection decision is one of the most significant phases of the selection process since it is the final phase where decision has to be undertaken by the organization regarding selection of the candidate. After that job offer and contract of employment is provided to the employee that has to be signed by him (Harzing & Pinnington, 2010). The selection process of The Chicken Master is more or less same as Posh Nosh Limited but The Chicken Master while selecting new candidate emphasizes on the background and references of the candidate since the organization has to face various sort of serious problems regarding selecting candidates who proves to be highly unworthy for the organization. The organization also emphasizes over the probationary period and the aptitude of the candidate in his work after the candidate is selected for the job (Jackson et al, 2011). If the candidate is found undeserving he is terminated by the organization.
Both Posh Nosh Limited and The Chicken Master emphasizes over their individual growth in the food market so both the organization are highly conscious about their recruitment and selection procedure. It forms very critical for the small scale organization to carry out such activities since this sort of organization focuses on minimize the cost of production and maximize the volume of output. The recruitment and selection procedures of both the organization is highly effective in recruiting deserving candidates at reasonable rates (Lepak et al, 2006). The recruitment and selection procedure of the organizations are highly beneficial in scrutinizing the background profile of the candidates which enables the organizations to determine whether the candidate will be effective for the organization in future or not. The recruitment and selection procedure enables both the organization to come across various sorts of candidates with different skills and credibility which enables the organization to derive true picture about the demand and supply of the labour market. The selection procedure enables both the organization to appoint deserving candidate for the fittest post which is carried out by the process of job analysis (Price, 2007).
There is an intense connection between motivational theories and system of reward as observed by Posh Nosh Limited since each of the motivational techniques boosts the morale of its employees in their work in the form of reward. Maslow describes motivational theories in the form of pyramid which emphasizes over both the lower and higher needs of the employees. According to him psychological motivation is the prime requirement of the employees along with social requirements, safety needs, elements that motivate the individuals at maximum extent and self actualization (Rynes et al, 2007). The non financial reward like social recognition proves to be highly beneficial for Posh Nosh Limited in bringing a feeling of self actualization among the employees which have a positive impact over their performance level. Most of the employees get psychologically motivated in their work by financial rewards and incentive system. In the motivation hygiene theory Frederick Herzberg describes motivating factors and the hygiene factors as the prime components of employee’s motivation. The reward system is highly beneficial for the employees in assessing their individual achievement, recognition in the organization and the society and their individual growth and advancement. It also enables the employees to understand their responsibility and work (Schuler & Jackson, 2008). The hygiene factors that motivate the employees include the policy of the organization, work culture, remuneration and relationship with the manager and subordinate college.
The prime emphasis of job evaluation is to determine the relative value of a job in order to fix a proper remuneration for the job. The assessment of job is the prime component of job evaluation which is carried out by the process of job analysis. Job analysis enables Posh Nosh Limited to determine proper information about any specific job .Job evaluation is generally conducted by an experienced team of the management in order to determine the actual worth of the job. Job evaluation is generally done on the basis of ranking method, factor comparison method, classification method and point method. In ranking method various jobs in an organization is arranged in accordance to their values and merits to the organization in order to estimate the true value of the job. In the classification method job evaluation is made on the basis of classification of management and different groups of the employees (Storey, 2007). Factor comparison method includes the assessment of job on the basis of various factors like requirement of skill, mental effort, responsibility, physical labour and various other factors in workplace. Point method evaluates a job by signifying a point to a job on the basis of its priority. The payment structure of the organization is generally determined by the key merits, skills, ability and aptitude of the candidates. Job evaluation and job analyzing also plays very significant role in fixing of payment structure of the candidates.
Posh Nosh Limited gets highly benefitted by its efficient reward system in motivating its employees at its maximum level and deriving maximum output from them. It enables the organization to identify the true potential of the groups and the individual employees working in the organization. The reward system proves to be highly efficient for the organization in the reinforcement of the positive behaviors among the employees in the field of their work (Thornton III & Rupp, 2006). The working culture and environment of the organization shows a very positive move by the implementation of the reward system. The reward system proves to be highly beneficial for the organization in the retention of the existing employees which reduces the cost of employee turnover and attrition rate. The reward system has very positive impact over the quality of the performance of the individual employees.
The performance of the employees is the most significant criteria that are highly required for Posh Nosh Limited to scrutinize and monitor in order to enhance the quality of performance of each of the employees. Posh Nosh Limited is a food based organization and has to deal with various sorts of customers so the organization emphasizes on the feedbacks of the individual customer in order to evaluate the performance of its employees (Armstrong, 2006). The punctuality of the individual employees is consider as one of the most significant attribute that is highly essential for the organization in monitoring the performance of the employees. Scrutinizing the quality of output of the individual employees is one of the most significant factors that are highly beneficial for the organization in monitoring employee’s performance. The aptitude and the personal behavior of the employees with the customers and the other employees is consider as one of the most significant steps adopted by Posh Nosh Limited in monitoring the performance level of the individual employees (Avey et al, 2009).
Cessation of employees is generally described as the termination of an employee on any particular ground or any candidate resigning from an organization on his personal reason. Posh Nosh Limited generally terminate its employees when an employee is found getting involved in unethical practices during his office hours and is found harmful for the organization in future. Secondly an employee is terminated from the organization when he is found unable to accomplish his regular activities and found unworthy for the organization (Armstrong & Taylor, 2014). Thirdly the unethical behavior of the employee with the other co worker, failing to carry on commitments and unable to maintain the code of conduct of the organization are identified as the most fundamental grounds on the basis of which an employee is terminated from the organization. There are various personal reasons, for which the employees prefer to resign from the organization which includes the relationship of the employee with the management, relationship of the employees with the co-workers, tedious work and boring work culture of the organization, better opportunity, lack of financial stability, social recognition and various other factors. It has been observed that Posh Nosh Limited mainly ceases its employees on the ground of misconduct of the employees in the profession that proves to be highly fatal for the organization in future.
Posh Nosh Limited during the termination of an employee carries out an exit interview which is conducted by the HRM service team of the organization (Beardwell & Claydon, 2007). Secondly the organization cancels the official email account of the employee and takes away the official employee ID of the candidate. Thirdly the organization evaluates and communicates the residual leave time and the date of leave to the employee. The organization evaluates the remaining payment of the employee which is handed over to the employee during the time of his termination from the organization. In the exit interview the candidate is elucidate various benefits of retirement and those benefits are cancelled by the termination of the employee. The organization closes the personal file of the employee after his termination. The employment exit procedure of The Chicken Master is quite similar to that of Posh Nosh Limited. In this organization the exit interview is highly significant where a strong discussion is carried out between the management and the terminated employee on the ground of various reasons for which the employee is terminated from the organization (Boxall & Purcell, 2011). The organization pays all the dues of the employees before his termination. The organization also reimburses various facilities like incentives, rewards that are due to the candidate before his termination from the job.
The laws and jurisdiction of UK specified that no employees can be ceased from the job on the basis of any sorts of discrimination like gender, cast, creed, color and physical disability. It enforce the organization to work in accordance to the equal pay act (1970) and Disability Discrimination Act (1995 – amended 2005) in maintaining equality for all the employees in the process of termination of the employees (Chelladurai, 2006). Sex Discrimination Act (1975/1995/1997) restricts the organization from terminating an employee on the ground of different gender. Employment Equality Act (Sexual Orientation, Religion and Belief) (2003; Equality Act - 2010) restricts the organization from terminating an employee on the basis of harsh relation between the management and the employee. Various laws of punishment have been also framed by UK jurisdiction regarding penalizing a candidate getting involved in corrupt and unethical practices harmful for the organization.
The assignment generates clear picture about the huge significance of HRM practices in small scale organization. The assignment provides a concrete idea about the contrast between the HRM and personnel management in the real scenario of the business environment (Daley, 2006). The assignment discusses about the recruitment and selection procedure of Posh Nosh Limited and The Chicken Master. In this assignment we get to know about the significance of reward system and motivational theories that are highly significant for the growth of the employee. Lastly we get a clear picture about the procedures of cessation of the employees from this assignment.
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