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Unit 3 HRM Planning Assignment
Unit 3 HRM planning assignment report introduces different concepts about Human Resources Management which are used in the organisations in the practical world. The Laws and regulations of United Kingdom regarding the recruitment selection, management and cessation has been discussed which will introduce the learners with different practices and concepts. Human Resource planning and its importance has been discussed which helps the company in various ways. The third task is regarding the motivational theories which provide motivation to the workers and it helps in rewarding and retaining the employees. The report also contains the details about the types of cessation of employment with the help of the case study (Storey, 2014).
1.1 Differentiate between personnel management and human resource management giving examples in two suitable organisations.
Human resource management is the function of the management of organisations which is mainly focussed on the human resources and their management in the organisation. It initiates from the planning of the human resources and ends when the employee leaves the organisation. Personnel management (PM) is the traditional concept which is slightly different from HRM. The main points of differences between the two are given below which has been done keeping in view the IT giant Infosys which is a multinational and provider of IT services, consulting and outsourcing services and it is headquartered in Karnataka, India (Gilbert,et. al., 2015)
Human Resources Management
The points of differences between HRM and PM are given below:
- Meaning: HRM manages the human resources of the organisation so that the objectives of the company can be fulfilled as specified whereas PM manages human resources to make them satisfied. Infosys have a human resources department which manages human resources by recruiting, selecting, training and motivating employees (Gilbert,et. al., 2015)
- Approach: HRM is a modern concept whereas PM is the traditional concept. The modern approach is utilizing the human resources in the best way so as to achieve the objectives of the company and traditional approach is just providing satisfaction to employees.
- Main Aim: The main aim of HRM is to plan, direct, motivate and guide human resources so that they provide their best efforts to the organisation and PM has the main motive of providing full support to the employees to make them satisfied with the job (Mariappanadar & Kramar, 2014)
- Function: HRM is the management function whereas PM is an administrative function.
1.2 Assess how human resource management functions help your chosen organisation in achieving its purpose.
Human resource management is already discussed above and it has various functions which has an objective of accomplishment of the goals and objectives of an organisation. Infosys uses these functions to manage the human resources in its firm in the best possible manner.
Various functions of HRM are:
- Planning: This is the initial function of HRM when human resources and then demand and supply are determined according to the needs of Infosys. The methods of recruiting and selecting resources are determined with an objective to have an optimum level of human resources in the company (Mariappanadar & Kramar, 2014)
- Professional and personal development: HRM has the main function of developing the human capital of the company not only professionally but also personally for which it conducts various programs and provides training to them.
- Motivation: HRM involves motivation to the human resources so that their morale boosts up and they get encouraged to perform better. This can be done by providing monetary or non monetary rewards to the employees by Infosys.
- Communication: HRM has the function to maintain proper cooperation and communication wrong the members of the team so that the relationships between the management of Infosys and the workers of the team can be maintained at good level (Dessler, 2015).
1.3 Evaluate the role and responsibilities of line managers in your organisation or familiar organisation and how it supports human resource management functions.
Line managers are the mangers which have the main responsibility to establish a link between the management and the employees. They take report from the workers and report to the senior management about it.
The line managers of Infosys perform several roles and responsibilities:
- Managing the workers:The main responsibility of line managers is to manage the workers in the team. By managing, we mean maintaining the discipline among the team members, managing the coordination, making them follow the code of conduct, etc (Beardwell and Thompson, 2015).
- Employee engagement: The line managers of Infosys also have the responsibility to make the employees involved in the activities of the organisation by building up and maintaining their interest in the work.
- Dividing and allocating the work: the line manager in Infosys also has the responsibility to divide the whole work in parts and then allocating them to the person who can perform the work in the best way.
- Problem solving: Line manager also have to be available for the workers in case of any problem they face in Infosys. He plays the main role in making them comfortable in the organisation so that they give their best to the organisation (Beardwell and Thompson, 2015).
1.4 Analyse how legal and regulatory framework impact on human resource management.
The legal and regulatory framework of UK has many impacts on the human resource management of Infosys, UK. These are made to protect the interest and rights of the workers in the company.
Following are the acts and laws which are made and included in the legal and regulatory framework of UK:
- Sex Discrimination Act 1995/97: This is the act which saves the workers: men or women from the discrimination on the grounds of sex or gender. All the facilities and chances of development should be equally provided to the men and women both (Ariss, 2012).
Men and Women should be treated equally
- The Equal pay Act 1970: This act says that equal pay should be provided to both men and women and to everyone belonging to same level of status and post in the company.
- The Disability Discrimination Act 1995: There should be no discrimination with the employee who is disable and all the provisions and facilities should be provided to him/ her in the company.
- Employee Relations Act 2003: This act states that the employees should get fair treatment from the employers, they should be safe from any kind of harassment and discrimination on any ground (Legislative background on pay equity: recent action by congress to amend the Equal Pay Act", 2014)
In the present business scenario the organisations focuses on overall development. The perspective of the corporate have changed towards the growth aspect of the companies as in profit earning is not a tool to measure the effectiveness of the company. Human resource management is very effective and useful to manage the human resource of the company. For the success of human resource management it is essential to execute process of human resource planning. In this report we will study about the role and importance of human resource planning in the process of human resource management. The process, requirement and effectiveness of human resource planning are explained in this study relating to the given case study (Saini, 2013).
2.1 Analysing the reasons for human resource planning.
In the process of human resource management the initial stage is planning. Human resource planning is a tool of strategic management in organisation which helps to make effective decisions for all the activities in the company. Being the HR manager of the organisation we will execute human resource planning. Reasons behind making planning can be explained by following points.
- Forecasting: Human resource planning is a futuristic approach and forecasts all the factors which are important to human resource management. The future requirements are predicted by the process of human resource planning. By decision making these forecasts stability can be maintained in the organisation and uncertainty can be reduced. Future requirement of resources and man power is the basic predictions made by human resource planning (Saini, 2013).
- Planning of inventory: It is very important to plan inventory required in the process of human resource management. While developing plan for the management of workforce in the organisation, there are required material to be utilised which must be effectively utilised and human resource planning process does that efficiently.
- Budgeting: Human resource planning helps to prepare budget for all the activities required in the process of human resource management. Budget defines guideline and benchmark for all the activities involved in the process of human resource management. Budgeting is a process to control the financial resources and increases their effective utilisation (Sundar, 2013)
- Recruitment and Selection: Human resource planning is a process to select the effective recruitment technique and sources to meet the requirement of workforce in the organisation. Recruitment and selection are the backbone for maintaining efficient workforce in the organisation to ensure the growth of the company. Human resource planning process ensures that the right job is given to right person.
- Developing human resource Human resource planning ensures that the process of human resource management is focused on over all development of human resource in the company. To increase the capacity of workforce there are organised training and development programs and conferences on a regular basis. These trainings help to improve the capabilities of the manpower and ultimately increase the level of performance. There are provided legal, technological and academic trainings etc. to meet the changing environment (Storey, 2014)
- Incentives: Human resource planning also helps to select the effective tool or strategy to distribute compensation and incentives to the human resource. These compensation and incentives are the value of their work and must be justifiable.
2.2 Outlining the stages involved in planning human resource requirements.
Human resource is the key element in developing the growth of the organisation. Human resource management process starts with the planning process which works as framework for the further process of human resource management. The main steps involved in planning human resource requirement of the Infosys must be as follows.
- Analysing objectives and goals: For planning human resource requirements the objectives and goals should analysed in the initial stage which are the key factors making impact on the human resource management. Objectives and goals help to forecast the future demand of human resource to meet the requirement to achieve them appropriately (Storey, 2014)
- Existing human resource: In this stage the existing situation of human resource in the organisation is analysed. This calculation helps to compare with the estimate made by forecasting. This helps to fill the gap and reduced any shortfall of the manpower in the company.
- Equilibrium between demand and supply: In this stage of human resource planning the demand is forecasted according to different market situations. This forecast of demand enables the organization to prepare for the supply to meet the demand. Internal and external sources are filled to provide appropriate supply and make equilibrium between demand and supply. Recruitment and selection process is crucial for making this equilibrium (Ariss, 2012)
- Formulating human resource action plan: Human resource action plan is formulated to make all the requirements fulfilled and make an effective action plan for effective human resource planning. Infosys is working all over the globe so and human resource management must be adopted by the company to increase its performance which can be effectively done by making action plan and implementing that to fill the gap of human resources in the company.
- Monitoring and controlling the process In this stage of human resource planning effective implementation of action plan is ensured. Allocation of resources and effective utilisation of human resources are monitored. All the deficiencies are identified and removed by control process (Ariss, 2012).
2.3 Compare the current recruitment and selection process in the organisation with another organisation you recommending.
Importance of the process of selection and recruitments crucial in the human resource management. Recruitment process works as magnate for attracting the number of applicants and candidates and process of selection chooses the best out of all the candidates. As given in the scenario the most organisation’s recruitment and selection process is not effective as in there is planning for human resource and the company is facing high turnover. The selection process and techniques used in the process are not choosing the most suitable candidates. There is no defined process for recruitment and selection in the organisation. Company’s recruitment and selection policies includes telephonic interview to short list the candidates and then face to face interview in which there is no effective tools are used to evaluate the performance of the candidates (Dessler, 2015).
Infosys is working on a huge level all around the world and having effective process of selection and recruitment. The process is well planned and managed by efficient HR managers. The company is providing services by its efficient employees and it is important to have effective procedure and policies to employ the most suitable applicant for a job profile. Company forecast its needs according to the job profiles and then effectively recruit the candidates by taking group discussions, aptitude tests, and personal interviews, this helps to maintain low employee turnover in the company (Dessler, 2015).
2.4 Evaluating how effectiveness is the organisation recruitment and selection techniques with another organisation you recommending.
The recruitment process of the company given in the scenario is ineffective which leads to high turnover and decrease in the performance of the company. There recruitment and selection process of the company is very basic in which the candidates are shortlisted on the basis of telephonic interview and then personal interview is conducted. And then personal interview and after that they are asked for aptitude and psychometric test. There is lack of proper planning and management in the process. But in case of Infosys the techniques and tools used by the company is very effective and are properly planned and managed. These techniques make an impact on the performance of the company and increases employee retention and their loyalty toward the company. So now we can say that the Infosys has effective recruitment and selection process and techniques (Sundar, 2013)
In this report we have studied about the importance and procedure of human resource planning in any organisation. A comparative study of two companies has done to evaluate different tools and techniques of recruitment and selection and their effectiveness in the growth of the company. And now we can conclude that human resource planning process is the backbone of human resource management in organisation and set a path to be followed to increase the performance and growth of the company.
3.1 Assess the link between motivational theory and reward at Virgin Media or your chosen organization. Your answer must show if you think there is a link, what connects the two?
Virgin media being the international player in the market has established a different set of motivational theory for its employees. Top management and other policy maker have also made different set of activities for the employees so that they can fee motivated at the work place. In today era different level of motivation theory has been given by the different economist such as Maslow, Herzberg and other well-known persons. In different motivational theory there is find different level of factors which are interchangeable to each other. Reward is the strongest pillar in deciding the motivational level of the employee in their working performance. Virgin media and their top business management have understood the value of reward system in motivational process for the employees (Vicente&J.M. 2014).
In today’s era in order to cater the need of different people money is the only medium which provides aide in buying different product and services. In virgin media it was seen that employees are given different offers and reward for their working performance. Different reward system includes such as employee stock option scheme, DIP and other incentives program. These are all the value driven reward which enables employees to put their best in the working process value chain activities (Saini, D.S. 2013).
Reward is the strongest pillar in the different motivational theories by the well-known economist as it is understand that mostly reward is covered with the monetary term which provides the utmost help in cater the different need. This is the valuable thing to notice in virgin media that all the employees are ready to do overtime and also shows the effective working performance at every time. Virgin media is comprised of different set of activities and it put emphasis over all the process function. Different new reward system and different set of motivational program is injected at different quarter of time. Company has also shown that it has developed core competency in their key functional channel. Furthermore effective reward motivational program has also given less employee turnover ratio. With the help of different motivational theories given by F Taylor, E Mayo, A Maslow, F Herzberg, D McGregor, D McClelland, V Vroom Virgin media has come up with different motivational theory which has helped organization to achieve a big level of achievement in the employee satisfaction program (Pardon, 2014).
3.2 Evaluate the process of job evaluation and other factors determining pay at Virgin Media or your chosen organization?
There are various job evaluation processes which are used by different organization but virgin media has used different job evaluation process and other points which help in determining the other pay factors at virgin media.
- Creating of job evaluation of committee- Virgin media has created different job evaluation committee for assessing the different jobs of the employee. They help in finding out the actual effectiveness of the work done by different employees in various working process (Pardon, 2014).
- Appraisal of job- Appointed committee in the organization performs the work of appraisal of the effectiveness and productivity of the organization process. This provides the simple guidance of the employees work performance.
- Follow up- it is the process in which committee makes a complete decision regarding how employees works give effectiveness toward the assigned works. Different cross checks functions and effective appraisal process are put into implementation in order to make a good follow up of the particular task.
- Other factors in determining the pay- There are other factors which are also considered while deciding the pay at virgin media such as – the effectiveness of the work, how the work is productive for the time being in force, employees dedicated efforts and their priority to perform task within the specified dead line. Some other factors are their behaviour, their corporation level with other employees (Sunder, K.R.S. 2013)
3.3 Assess in different contexts (for e.g. attracting talent, retention, and motivation) how effective is the reward systems at Virgin Media or your chosen organization?
There are different context which could be used by the virgin media in deciding the good reward system to their employees
- Attraction talent- This is the term which is used to define the level of employees attraction form the outside world. Reward system is the best method in developing a good motivational program in the company. Reward system has provided a next level of attraction to the people outside world. Various experts and other rank holders have got attracted to join the organization. Virgin media provides different rewards in order to boost the employees economically conditions and their life style.
- Retention of the employees in the organization- Virgin media has offered different set of rewards such as Incentives and share options in order to make a good relation with their employees. With the duration of the time it is seen that Employees turnover has decreased very drastically. This retention of the employee by the time has also shown eventual downfall in the cost of the products and services (Pardon, 2014).
- Motivation- This is the universal truth and other economists have also shown that reward is the best motivational factor in the employees. There are different reward system comprised of incentives, dips and other points which motivated employees to perform task effectively. Motivation of the employees in the virgin media has shown that reward system is the most appropriate system in deciding or caters the different need of the employees (Jang, et. al., 2015).
The methods Virgin Media or your chosen organization use to monitor employee performance?
The virgin media in order to make a good appraisal or monitor the employee performance has used different tools which are as fellows-
- Cross check– This is the self-appraisal or cross checking of own work in this program each and every employee check their action plan and after completion of the task they again make cross check with the given work.
- Committee checks the work of different process- In this tool a separate set of committee is incorporated who perform the task of checking works of different process and they eventually decides the level of performance as per the quality and effectiveness of the work (Demirtas, 2015).
- Monitoring process- there is making an arrangement in which each and every process team members will check each other’s work and help others to mitigate the problems if arise. It provides aid in generating the synergy in the working performance.
- Ad hoc check of the process- It is the different kind of tool in which top management makes the sudden visit in the process in order to check the efficiency in the working style of the employees (Aktar.et., al., 2015)
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?
There are following reasons which is used by the Bob in Faisal’s termination
- Faisal was not following proper work standard nor was even he good in providing the administrative services in the restaurant.
- Faisal was found to be doing mischievous activities such as he was caught watching porn movies at the work places which is the crime of serious nature
- Faisal was using offices premises and property for his personal use and his family members are taking advantage of the official assets (Hawkins, D. 2016)
- Faisal was not following the terms and conditions of the employment contract which was signed by him at the time of his hiring.
- Faisal was showing the negligent behaviour with his duties and also showing the bad impact over other employees
- Faisal was not following the proper rules and regulation of the professional code of conduct
- He was allowing family members to enter into the office premises without any permission
- He was rendering the impact of No proper administrative activities and other assigned functions in the organization.
4.2 Describe the employment exit procedures used by The Chicken Master and another organization of your choice?
There are number of employment exit procedure which could be used by the Chicken Master in order to terminate the Faisal.
Constructive dismissal-It is the dismissal procedure which could be used by Bob with a view to terminate the Faisal job upfront. In this process with a help of legal laws and statute of the law and agreement Bob could through Faisal out from the office premises as he has shown the negligent behaviour at the work place.
But the Bob has asked Faisal to give a clear resignation so that there would not be any legal issue between Bob and Faisal. It is the clear fact that lengthy procedure to handle the case in court gives the impaired impact on the goodwill of business. Furthermore Faisal also has to face a very bad impact on its working profile (Hawkins, 2016).
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 could be seen the real regulatory impact upon the business of the Bob. Faisal has raised the following allegation against the Bob which could malign the brand image of its business in the real world.
Faisal has raised the allegation of getting discriminated at the workplace in terms of age and gender. This allegation is of serious nature and could render the Bob to face imprisonment for the considered time span.
Equal pay act 1988 has given the clear instruction regarding with the fact that no employees could be discriminated on the basis of race, cast, gender, age and other terms otherwise employer has to face legal action for such illegal acts (Duncan & Hill 2014)
This has given me the wide range of knowledge in understood the real impact of human resource management on the business and its success. With the help of different level of human resources management of the employees has shown me the real colour of efficiency and productivity for the sustainable development of the organization. HRM is the collective set of activities which helps company in various terms such as employee reduction, development of synergy, creation of new set of ideas and plans helps in achievement of goals and objectives. Now I would like to conclude up my worlds by saying that human resource management is the s most effective tool in managing the organization human asset in the best manner.
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