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Unit 22 Practical Issues in the World of HRM Assignment
HRM in general is a key function of management that revolves around recruitment, employee motivation and maintaining of employees within an organization. HRM relatively deals with employees’ related issues like their training and development, communication, compensation and administration and further ensures establishing of employees satisfaction and maximizing their contribution in attaining the objectives of the organization. This Unit 22 Practical Issues in the World of HRM Assignment has been executed with a motive to analyse the numerous aspects related to human resource management and the role of human resource management in achieving the objectives of an organisation. It is a proven fact that an organization cannot establish and build a good team in the absence of competent human resource. An organization’s most invaluable and unique asset is the human resources. Establishing a successful human resource is a dynamic and challenging task that too in a time when the global economies are in a state of unrest. Moreover, with the shortage of skilled human resources management and constant thrive in the employees expectations has raised more complexities in the functions of HRM.
1.1. Differentiate between personnel management and human resource management giving examples in two suitable organizations
Human Resource Management
The nature of Personnel management is administrative and basically deals with the employees and payroll and employment laws. In a small organization like Cloudreach, one can see the practice of PM where the owner has the central power of taking decisions related to business.
Personnel management is reactive as it presents the employee concerns and demands in a way they are been conferred. Moreover, it is independent from Cloudreach. (CHUANG and Liao, 2010)
At Cloudreach, use of personnel management has been helpful in motivating the employees through compensations, rewards and bonuses.
Use of personnel management in Cloudreach has helped the management to focus on administrating the employees
In Cloudreach, practicing of PM has allowed the employees to function independently with limited involvement of the line manager and no link with the company’s core process
(CHUANG and Liao, 2010)
The key role of HRM is to managing the employees and contributes to the success of the company. HRM integrates and evolves the skills of personnel management and eventually helps in developing a team within an organization. At McDonalds, HRM is practiced. (CHUANG and Liao, 2010)
HRM is proactive referring to the endless evolution in company’s policies and functions for in order to develop the employees. HRM is considered as an indispensible part of McDonalds.
At McDonalds, practice of HRM has provided employee motivation through human resources, designing adequate strategies to face the unpredictable challenges at work, groups and creativity in job.
At McDonalds, the key focus of HRM is on building a dynamic workplace culture.
McDonald’s use of HRM integrates with the core strategy and functions of the food chain giant and in a massive proportion involves both the line management and operations staff. (CHUANG and Liao, 2010)
1.2. Assess how human resource management functions help your chosen organization in achieving its purpose
McDonalds organizational goals comprises of its aim to gain and eventually maintain its No. 1 position in the global market of fast food chains. With the help of this kind of an objective McDonalds has easily expanded its business in various new markets which in turn has allowed the fast food giant to acquire more exposure and ample business opportunities for diversifying and simultaneously strengthening the business in the international platform. (Armstrong and Taylor, 2014). The prime purpose of McDonalds is increasing each employees individual performances further driving the company in achieving its business goals. The process of HRM practiced in McDonalds is responsible in certain aspects in providing the company a powerful way in achieving the goals of the fast food chain. The various aspects of HRM are depicted in the diagram. (Armstrong and Taylor, 2014)
- Efficient utilization of resources: McDonald’s main purpose is to make an effective use of the available human resources in a way that is both productive and decisive for ensuring high performance of every employee either as an individual or in a team in workplace. Use of HRM process in McDonald’s has further allowed the management in adopting a productive approach in monitoring the employees’ performances.
- Training and Development: one of the most compelling modules of McDonald’s HRM process is the activities revolving around training and development further allowing the management to organize adequate training programs for the employees for enhancing their existing skills apart from learning new skills needed for their professional growth. This allows the individual performances of the employees to escalate further contributing in the fulfilment of McDonald’s purposes towards the goals of the fast food chain. (Armstrong and Taylor, 2014)
- Selection and Recruitment: In HRM, the process of selection and recruitment has further allowed the management in ensuring that the activities of the business in the outlets is been carried out by the best suited employee which in turn contributes to McDonald’s purposes of instilling a better employee performance at work, thereby, attaining the goals of the company.
1.3. Evaluate the role and responsibilities of line managers in your organization and how it supports human resource management functions
One can observe that in McDonald’s the HRM process provides the employees with a structured organizational hierarchy allowing them to be promoted to the higher levels. Moreover, the hierarchy is also responsible for the business operations effective distribution and accomplishing the corresponding tasks involved in the business. Line managers in McDonald’s are in the lowest level in the organizational hierarchy and are considered of being the closest to the employees working on the various tasks allotted to them. (Garavan and McGuire, 2010)
At McDonald’s, the line managers are considered as a very important part of the fast food chains business model in accordance to the company’s HRM process. By playing the role of a line manager further allows them to communicate with the employees who work on various operations the outlets undergoes in a close and effective way. Apart from this, the line managers are also responsible for monitoring every employee at the outlet. (Garavan and McGuire, 2010)
- Key responsibilities of the line manager: One of the key responsibilities of the line manager in McDonald’s HRM process involves around their activities of guiding the employees and providing them with a direction for reaching their individual professional goals with that of brining an improvement in their performance at work.
McDonald’s line managers also need to play the responsibility for the assignment of every employee’s individual goals at the workplace and further establish communication with them for ensuring motivation and improved employee performance at work. It has been observed that the communication approach undertaken by the line managers are very effective in retaining employee motivation at work. (Garavan and McGuire, 2010). Also it is the utmost responsibility of the line managers to ensure that the every employee is clear about the assigned business tasks and other activities in the outlet.
1.4. Analyze how legal and regulatory framework impact on human resource management
Most of the industries across the globe adhere to the various legal and regulatory frameworks that are needed to involve in order to properly managing the numerous process and activities involved in running the business. The legal and regulatory frameworks are further considered as a guideline set and practices that McDonald’s needs to make the best use of while operating in the corresponding sectors while simultaneously managing the numerous resources the company avails. (Stevis and Creation, 2010)
Legal and regulatory frameworks affecting the process of HRM
- Equal Employment Opportunity Act: working under this act it is mandatory for the HRM process at McDonald has to provide equal amount of opportunities in a job to every employee that must be further based on their individual skills experiences and level of organizational hierarchy.
- Civil Rights Act: being adherent to this act, it is important that McDonald’s HRM process preserve and defend the employees’ rights in the organization. These employee rights are provided by the business contract law enforced by the UK government and the contract of employment provided by McDonald. (Stevis and Creation, 2010)
- Equal Pay Act: this act is enforced by the government bodies where McDonald operates in the global markets forces the HRM process practiced in the organization in determining the employees payment who work in the various business process adopted by the operational model of the fast food giant.
2.1 Analyze the reasons for human resource planning
One can observe that the HRM process in McDonald’s is related with the process of human resource planning further allowing the management in evolving and simultaneously implementing a plan for human resource that is both efficient and effective at the same time. Moreover, the HRP planning process allows the management to effectively manage the entire business. In this section, reasons behind having the effective human resource planning in McDonald’s will be discussed. (Harzing and Pinnington, 2010)
The process of HRP further allows communicating the importance of the process within McDonald’s business model.
- Supply and Demand: supply and demand of human resources both the labour market and McDonald’s business model can be considered as the most symbolic reason behind the implementation of human resource planning. Moreover, the process of human resource planning in McDonald’s ensures that the company has the abundant supply of human resources when there is a rise in their demand as a result of change in the markets trends and preferences where McDonald’s operates. By implementing an effective and efficient process of human resource planning has further allowed the management is successfully satisfying the customers demand in the market at any time and any point. An increase in the customers’ demands for the food severed in the various outlets of McDonald’s has further forced the management to hire more number of employees in most of the outlets to manage the demands of the customers. Increase in customers’ requirements or a sudden change in the market trends needs the management to plan the process of human resource planning for outlining the actual availability of human resources in the all its outlets across the globe. (Harzing and Pinnington, 2010)
- Holidays: it has been observed that during festive holidays like at Christmas Eve, an increased number of employees have the tendency to apply for leaves on personal grounds. Hence, at these peak seasons when McDonald’s outlets see an outflow of customers, the implementation of the process of human resource planning further ensures that the quality of the food served and other services provided to the customers is not debased. At McDonald’s this is done by making it sure that the required number of employees in running a smooth operation in the outlets is always maintained.
- Personal Paid leaves: At McDonald’s, the employees are provided with a fixed number of both maternal and paternal leaves that are counted as paid by the company. Employees can avail these leaves by citing a genuine and valid reason. McDonald’s process of human resource planning further allows the management to be prepared well in advance to fulfil the gap that rises at work when employees avail such paid leaves. (Harzing and Pinnington, 2010)
- Retirement: McDonald’s process of human resources planning allows the management to keep the replacements in hand in case an employee is near about to reach the age of retirement.
2.2 Outline the stages involved in planning human resource requirements
The process of human resource planning ensures that a right employee or candidate is been chosen for a right job. In order to successfully conduct a process, the task that is most essential is developing of the objectives of the organization that is needed to be attained for organizing the human resource planning. (Noe, 2010)
- Analyzing Organizational Objectives: these are the future objectives that a company like for example McDonald’s might need to attain in numerous areas like food production, marketing, finance, business expansion and sales further giving the management with an idea of kind of work is about to be done in the outlets. (Noe, 2010)
- Inventory of existing human resources: information provided from an updated system for storing the information about the existing human resources, the management of any organization, say McDonald’s can easily analyse their current capacities, performances and potentials. Moreover, for filing in the gaps of various job requirements that rise time and again, the management can easily get the estimation from the internal sources like employees from within the organization along with that of external sources like candidates from third party placement agencies
- Foreseeing Demand and Supply of Human Resource: it is important to have an actual estimation of the exact number of human resources that are needed for various positions in accordance to their respective job profiles. Apart from these, the exact availability of both internal and external sources needed for fulfilling the requirements must also be measured. A proper match of a particular tasks job description and job specification must be done for finding out an employee with a profile that suits the job. (Noe, 2010)
- Estimating gaps in workforce: by making a comparison between the demand and supply of human resources will help the management of any organization, for example McDonald’s, in determining the surplus or deficit of human resource. Here, the deficit means the number of people McDonald’s will employ in nearby future whereas surplus represents the number of employees terminated. Moreover, McDonald’s can also make use of protracted program of employee training and development in order for enhancing the existing skills of the employees.
- Devising action plan for human resources: one can easily see that human resource plan relies on the fact whether or not the organization, for example McDonald’s is deficit or surplus human resources. In accordance to the situation, the plan needs to be decided that can be either for new hiring, training, transfers with the departments in case of deficit of termination or schemes for voluntary retirement and redeployment in case of surplus. (Noe, 2010)
- Monitoring, Control and Feedback: at this stage mainly the action plan made for human resource is effectively implemented. Human resources are allotted in accordance to the requirements and over a period the inventories are updated. The plan that is implemented is further been monitored rigorously in order to easily determine the flaws and removing the same. One can see that the comparison between the human resource plan and its implementation in actual is generally done for ensuring the relevancy of the actions and availability of the exact number of employees required for various jobs
2.3 Compare the current recruitment and selection process in the organization with another organization you recommending
One can observe that McDonald’s recruitment and selection process in HRM has helped the global fast food giant in finding out the best suitable prospective employees and hire them in the relevant job position. The recruitment and selection process adopted by the fast food chain helps the management in getting ensured that employees associated with McDonald’s are good enough in driving the company towards the achievement of the goals of the organization further leading into establishing an overall improvement and growth in the business. McDonald’s recruitment and selection process is completely varied from the other competitors in the similar industry. In this section a comparison of the recruitment and selection process in the HRM system that has been implemented in the workplace of McDonald’s and Cloudreach will be discussed. (Reddy, Estrin and Srivastava, 2010). Under the recruitment and selection policy of McDonald's, every outlet across the globe should aim of filling hourly-paid positions. The HR Manager coordinates with the hiring executives and uses several avenues for in order to engage the hourly-paid employees. The vacant positions in general are advertised in the restaurant. McDonald's history shows that this is best way of hiring quality employees who more or less belong to the local surroundings or are referred through the existing employees. In addition, McDonald's makes the best possible use of third party job placement agencies, career fairs etc. which is effective in using an implementing an effective hiring material further conveying a clear message that is been targeted to the right candidate.
It has been observed that a recruitment exercise usually generates more applications in reality than the exact number of available positions. More than 60% of McDonald's restaurant crew members belong t o the age group of 20 and for a great number of applicants, getting employed in McDonald's would be their first employment experience. McDonald's is considered as a bright career opportunity for many youngsters and by running a fully fledged interview process helps McDonald's in identifying the potentials of the applicants. McDonald's further has scripted a guide for interview for locating the applicants who will be committed in excelling in the delivery of eminent services to customers and the company. This has also helpful in predicting how a candidates past behavior will leave an impact on their future performance. The interviewers further bring into use a fact-based decision-making process where the behavioral signs of the candidate’s past life history fitting with the job ‘s requirements is looked into. The candidates are rated on the ground of their response. (Reddy, Estrin and Srivastava, 2010)
McDonald's directs applicants towards applying through its corporate website www.mcdonalds.co.uk., wherever possible and for the applicants who cannot get access to the internet can directly call at the McDonald's Recruitment Hotline or pick up a pre-paid Business Reply Card from any of McDonald's outlets. The initial selection process comprises an online psychometric test which helpful in producing the initial score and the applicant who pass the test are called up for attending the first round of interview and is offered an On Job Experience which involves a 2-day assessment process. Successful OJE candidates are then lead to a final interview where the manager decides whether or not applicant must be hired. In the final interview the manager will rate the responses of the applicant's who then are asked to produce the original documents showing their eligibility to work in UK under the Asylum and Immigration Act 1996. McDonald's notifies all unsuccessful applicants through emails and inducts the newly recruits into the company through a Welcome Meeting where an orientation is given of job role, food, hygiene and safety training, company policies and procedures, administration, benefits and training and development. The newly recruits undergo a probationary period of 3-weeks after which they performances are rated and are either retained or are terminated. (Reddy, Estrin and Srivastava, 2010)
Recruitment and selection process in Cloudreach: The recruitment and selection process in Cloudreach is highly dependent on external sources like job portals apart from the internal pool of resources for getting information related to suitable candidates for a particular vacant position in the workplace. In the process of initial screening, the HR Manager excludes the applications of the unsuitable candidates who either do not have the eligibility or the job experience needed to play the role. In the last stage an interview process is organized where the HR Manager evaluates the shortlisted candidates based on their performances under a stimulated real-time scenario. (Reddy, Estrin and Srivastava, 2010)
2.4 Evaluate the effectiveness of the organization recruitment and selection techniques with another organization you recommending
The effectiveness of the techniques of recruitment and selection process that is been used in the HRM system of an organization eventually is based on a number of factors. In this section, the effectiveness of the recruitment and selection process of McDonald's and Cloudreach will be evaluated.
- Source: one can easily see that McDonald's way of sourcing in the process of HRM system has proved to be much more effective in the term of its dependency on the third party job placement agencies whereas the source of recruitment and selection process in Cloudreach is quite effective but it can be improved by further broadening the prospects of the external sources adopted. (Lin, 2010)
- Initial screening: it has been observed that the McDonald's process of recruitment and selection involves the process of initial screening that eventually is based on the information or details the prospective candidates provide in their profiles and mention in the resumes. This has proven to be much more effective under a real-time scenario.
- Interview: it has been observed that in the interview process of both McDonald's and Cloudreach the prospective candidates are allowed to showcase their capabilities and performance under a stimulated real-time scenario further allowing the management to be unfair and evaluate them in a more effective and accurate manner. (Lin, 2010)
3.1 Assess the link between motivational theory and reward at Virgin Media
The term motivation can be represented by the needs and wants of an individual’s actions and further can also be considered as an individual’s common deed that eventually is influenced by the others. It is a proven fact that a person either as an individual or an employee when is motivated has the tendency of taking every necessary actions in order to achieve his/her personal and professional goals. One can see that motivation grows stronger with a clear vision and focus on the achievement along with a robust passion to manifest the same. There are many motivational theories that can be implemented at workplace for keeping the employees morale high. (Schultz, 2010). Virgin Media can identify the motivational theories that best suit its workplace environment and implement it in the various outlets. Discussed below are the most popular theories of motivation linking then to the rewards at the premises of Virgin Media
Motivation theory of Maslow
The motivational theory presented by Maslow emphasizes on considering rewards and including it in any certain level of need. Fulfillment of these materialistic needs in the form rewards further allows the Virgin Media’s employees to be escalated up in the organizational hierarchy with higher amount of motivation. (Schultz, 2010)
- Herzberg’s motivational theory: Implementing the Herzberg’s 2 factor theory of motivation at Virgin, the rewards management provides time and again to the employees are considered as one of the factor of motivator. It has been observed that the presence of these motivators has allowed the employees in being more motivated in accomplishing their roles and responsibilities in the various business process.
- Alderfer's erg theory: This theory of motivation also emphasizes on the need of involving the rewards that are been offered in Virgin Media to be further included in the existence needs simultaneously allowing the motivation of the employees to be highly maintained in the various business process. (Schultz, 2010)
There is a very fine relationship between motivation and reward. With the help of open communication, Virgin can leave a positive impact on the employees. When these factors continue in the end as motivational factor and are further maintained by the employees in a well manner, the management rewards them. It defines that motivation is based on the reward system and in Virgin Media, the HRM system follows one of the discussed motivational theories for encouraging the employees and rewarding them accordingly.
3.2 Evaluate the process of job evaluation and other factors determining pay at Virgin Media
One can see that with the help of the process of job evaluation, Virgin Media’s management has been allowed in weighing the significance of the corresponding job in the company’s business model. Moreover, the process of job evaluation allows Virgin in considering a number of other factors for determining the salary it provides to the employees who work in the corresponding process of business. (Snell and Bohlander, 2010)
The process of evaluating a certain job opening in Virgin Media’s is been carried out on the basis of a number of factors like impact of certain job on the performance of the company as a whole, skills and efforts needed in completing the responsibilities of the job and various other factors related with the job. Based on these factors, the management evolves the structure of the job further allowing the efficient and effective evaluation of the job’s importance in Virgin Media. The outcome derived from the job evaluation process further allows the management in determining whether or not the payment provided to the employees is in accordance to the industry standard for a similar position available with the competitors. (Snell and Bohlander, 2010)
3.3 Assess in different contexts how effective is the reward systems at Virgin Media
As already discussed, one can easily link reward with motivation by a certain number of aspects. The process of HRM that is been implemented at Virgin Media considers rewards as one the most suitable and significant motivator at workplace. Presence of various rewarding structure allows the employees to feel the sense of gaining achievement at work which in turn allows them in getting more motivated while completing a certain task given. The effect of the rewards Virgin Media provides to the employees has been helpful in satisfying and fulfilling their materialistic needs that are emphasized in the various motivational theories. Fulfilment of these needs allows the employees in being focused on achieving the next level of need stated in the Maslow’ hierarchy of needs. (Schneider and Bowen, 2010)
3.4 Examine the methods Virgin Media or your chosen organization use to monitor employee performance
Monitoring an employee’s performance that without being too intrusive or controlling, is the most vigorous challenge the management of Virgin Media faces. According to the HR expert Mark Dorio who has also authored The Complete Idiot’s Guide to Boosting Employee Performance there are 6 tested methods for monitoring employees performance (Eckerson, 2010)
- Check in regularly: the manager must often casually drop in on team members in order to monitor their performances and in parallel evolving a healthier manager- employee relations. Checking on team members will help the manager in staying in touch with their everyday works and will assist in anticipating the forthcoming problems.
- Use whiteboards: although it sounds very simple, author and HR Expert Dorio says that whiteboards displaying the goals and achievements of employees are very helpful in for monitoring their performances specifically when the manager needs to deal with goals and results that are measurable. Apart from goals and achievements needed to be achieved, whiteboards might also be used in celebrating the success of an employee who outperformed and exceeded the targets. (Eckerson, 2010)
- Using formal milestones and measurements: by setting up milestones, deadlines and interim targets is helpful in not only monitoring the employees performances but in turn also helps the employees in achieving their professional goals further making the projects more feasible.
4.1 Identify the reasons for termination of Faisal’s employment contract with The Chicken Master and generally explain other reasons for cessation of employment
One can see that Bob Jones the owner of Chicken Master considers varied number of reasons before going ahead with the termination of an employee. This aids the restaurant in maintaining a safe and secure position further armed with a valid reason behind laying off an employee. Bob Jones personally sees that the restaurant never indulges into a wrongful practice of employee termination and works by adhering to the employment laws enforced by the government of UK. Faisal who was recently appointed as the restaurant manager at Chicken Master was terminated on the grounds of his poor performance. Despite of having a 15 years of working experience, Faisal miserably failed in maintain cleanliness in the restaurant’s kitchen and never kept the store stocked. Bob also found that Faisal would often use the restaurant’s equipment for his personal use despite of accepting the employee handbook which clearly mentioned that an employee cannot use store’s equipment for personal purpose. Bob also discovered that Faisal would watch pornography on a regular basis which was a serious misconduct and violation of Chicken Master’s policies. All these lead to Faisal’s termination based on unethical behavior. (Arnow-Richman, 2010)
Reasons for cessation of employment
- Redundancy: in absence of work or in case the company is undergoing a financial crisis or there is no longer the need of a certain job, employees might get redundant. In case of redundancy, the company must ensure that the lay-off is done in a fair and legal practice. Also the employees in question must be informed well in advance so that they can adjust to the difficult time
- Unprofessional behavior: a company can terminate an employee if he/she is found violating the company's policies or have own a kind of behavior that threaten the coworkers.
- Poor performance: an employee can be terminated in case he/she constantly fails in meeting the given targets despite of giving a reasonable amount of time for improving themselves
4.2 Describe the employment exit procedures used by The Chicken Master and another organization of your choice
In this section the employment exit procedures of Chicken Master and Tesco will be disused. One can see that both the organizations practice the process of standard HRM in most of the cases and pursue a distinct exit procedures. The exit procedure at Tesco allows the employees to face a survey and questionnaire focusing on gathering information about the employees experience with the company whereas in the exit procedure at Chicken Master, the owner has a face to face discussion with the concerned employee ahead of the cessation of their employment. Tesco’s exit procedure allows the employees in giving their feedbacks on the various modules applied in the company’s business model whereas at Chicken Master, employees are not given the opportunity of giving their feedbacks. Apart from these, activities like revocation of both physical and electronic accesses are similar in the employment exit procedures of both Chicken Master and Tesco. (Davis, Faberman, Haltiwanger, Jarmin and Miranda, 2010)
4.3 Consider the impact of the legal and regulatory framework on employment cessation arrangements with an organization such as The Chicken Master if Faisal’s claim was proven to be true
There are various legal and regulatory frameworks that are responsible in leaving an impact on the exit procedures of an organization. Legal and regulatory frameworks enforced by the UK government restrains Bob Jones from ignoring or erasing the any of the civil rights of the employees. Legal and regulatory frameworks like Employment Protection Act forbids Chicken Master from practicing cessation of employment without a valid reason and in case the restaurant practices it, the victim can drag the owner to the tribunal. Under Employment Protection Act, Chicken Master can terminate an employee failing to adhere to the company’s code of conduct, low performance and unprofessional behavior. (Rubery, 2010)
At the end of this Unit 22 Practical Issues in the World of HRM Assignment we conclude that with the help of a strong organizational structure and culture any organization can surpass the toughest of market and business situations and can gain competitive advantage over the competitors. We have understood the role HRM plays in the efficiency and overall growth of an organization. For gaining the maximum benefit from HRM, an organization must necessarily follow every section of HRM.
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Eckerson, W.W., 2010. Performance dashboards: measuring, monitoring, and managing your business. John Wiley & Sons.
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This Unit 22 Practical Issues in the World of HRM Assignment has been executed with a motive to analyse the numerous aspects related to hrm and the role of hrm in achieving the objectives of an organisation, We are posting Locus units solutions so scholars can explore the our Assignment Help in UK and get review the quality of our work.