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Unit 3 Human Resource Management Assignment - Virgin Media
The report is about the management of human resource by adopting the human resource management process in an organisation. Policies and procedures used by the companies of United Kingdom are given in the case study and an analysis is done to make it effective by improving them by different aspects. This human resource management assignment virgin media will enable to identify the difference between personnel management and human resource management. Different theories and methods of human resource management are defined in the report with their different attributes and perspectives. Role and importance of human resource planning is also defined in the study with the most appropriate process and requirements. The process of human resource management cannot be executed without the role of human resource manager who is the responsible person for the overall process and its effectiveness.Human resource management is a tool of strategic management in the organisation which focuses on the strategic and scientific decision making in the organisation.The approach is used to empower the human resource in the company by providing the opportunities to innovate and scientific training programs which ultimately increases the performance of the company by motivating the manpower in the company. This unit 3 human resource management assignment virgin media is a detailed study of the cessation of employment and its different reasonsand consequences.An analysis of different organisations will be done to compare and evaluate the effectiveness of the policies and procedure adopted by the companies for human resource management.
1.1. Differentiate between personnel management and human resource management giving examples in two suitable organisations.
In today’s business world the organisations are not only focused on the maximisation of their profits and productivity. Growth factor has taken a different perspective which explained as the overall growth of the company. The overall growth can be defined as improving the performance of the employees. Organisations adopt personnel management and human resource management to achieve the goals and objectives of the organisation with considering effective employee management. Personnel management is traditional approach and administrative in nature whereas the human resource management is modern and responsible process towards the employees management. The following points can explain the difference between personnel management and human resource management (Bach & Edwards et. al 2013).
- Personal management is a traditional and administrative approach for employee welfare and labour relations. Whereas human resource management is modern approach and responsible for human resource development, maintenance and motivation of the employees.
- Personnel management takes employees as an input in the process of achieving goals whereas role of employee’s is very important and essential for the growth of the company.
- Employee satisfaction is the key element in the personnel management whereas the functions of human resource management are in the direction to the objectives of the company.
- There are low numbers of training and development programs in personnel management whereas human resource management provides a wide range of training and development programs for empowering the employees (Bach & Edwards et. al 2013).
CAPCO is a UK based company providing financial services all around the world.The company has a huge number of employees working around the world. The company is growing by developing and managing the employees effectively. Company is adopting the scientific and effective techniques to recruitment and selection of employees, compensation and incentives, effective leadership and motivation theories.
General electric is adopting personnel management for managing its human resource. The company is focused on the relationship as a mediator between the manager and staff for the handling the entire task related to the compensation and incentives, allocation of tasks, resolving conflicts and other relates activities. This is a work force centric process where the employees are treated as input for the process and the employee satisfaction is the key element of the process (Research in Personnel and Human Resources Management: Research In Personnel And Human Resources Management, 2011).
1.2. Assess how human resource management functions help your chosen organisation in achieving its purpose.
Human resource management process is an effective process of employee management for the growth of the company.Human resource management helpsto improve the performance of the employees which tends to increase in the productivity of the company. Accenture is one of the leading companies in the world providing quality services all around the world.The human resource management is effectively used in the company which focuses on empowering the employees and leading their activities in a way that it influences the growth of the company (Bourne & Mura et. al 2013).
Following are the human resource management functions helping in achieving the objectives of the Accenture.
- Human resource planning: Human resource management cannot be done without effective planning. Human resource planning is essential and initial function to manage the human resource. Planning is theway to execute the activities in a systematic manner. Human resource planning helps to identify the requirement of human resource in the future to effectively achieve the goals and objectives of the company. Planning set benchmark for the execution of activities by making budgets and deadlines to meet the effective results and reduces miscommunication and misconceptions in the organisation. Accenture has effective human resource planning to meet its requirement.
- Recruitment and selection: This is the most important function of human resource management which provides the best employees to the company and increases the productivity of the company. This is a technique to make equilibrium between the demand and supply of the human resource or workforce in the company. Recruitment function attracts applicants according to the job profile by different sources and then selection techniques are used to extract the most suitable and efficient candidates from them.Accenture is using the most effective technique for the recruitment and selection function of human resource management (Bourne & Mura et. al 2013).
- Employee training: Employee training is the function of the human resource management to enhance the performance of the employees by empowering them.Different training and development which can be technical and non-technical are provided by Accenture to improve performance and motivation of the employees.
- Compensation and rewards: Different techniques and methods are used to decide the pay rolls and incentives of the employees which are the value of work and efforts of the employee. Accenture is effectively satisfying its employees by givingrewards and incentives to motivate them.
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 key person in the process of human resource management process. They have a wide scope of roles and responsibilities towards effective management of workforce by using different human resource management functions in the company.Organisational structures are complex and difficult to understand, and line managers make them easy by effectively create a communication channel which increases the appropriateness of the activities in the HRM process. Accenture have line managers which are supporting the all the activities in HRM (Evans, S. 2015).
- Line managers work as leader which leads the activities in the direction of the goals of company and motivates employees to increase their performance level.
- Allocation of tasks is done by taking benefit of specialisation and increases the productivity of the company.
- Monitor and control is done by line managers of the performance of employees and effectiveness of application of HRM policies and procedures.
1.4. Analyse how legal and regulatory framework impact on human resource management.
In today’s business environment employees are just not an input for the organisations. They plays important role and are the key person in the organisational performance. The legal and regulatory framework makes impact on the empowerment of employees. There are several acts and laws which ensures the welfare and interest of the employees in organisation like Accenture. Any kind of harassment or unethical act within the work place can lead to the consequences from these acts.Legal and regulatory framework gives protection to the employees in the company.There are some acts which gives protection to the employees is as follows (Harrison & Rainey et. al 2013).
- Sex Discrimination Act
- Equal Pay Act
- Disability Discrimination Act
- Minimum wages Act
- Data Protection Act
There are different prosecutionsunder these acts. These acts help to protect employees and retain them for long and increase the goodwill of the company. Accenture ensuresits legal and regulatory framework for employee protection.
Human resource management is a process to manage the workforce in a manner that it ultimately increases the performance of the company.Human resource planning is the initial and crucial phase in which all necessary decisions are taken for effectively execute the human resource management. Reasons for human resource planning and its process are explained in the task.Process of recruitment and selection and its evaluation within different organisations are explained in the report.
2.1 Analyse the reasons for human resource planning.
Human resource management is a process to manage the human resource.Planning is the initial stage which provides an effective and scientificway to execute any process.Every organisation focuses on its human resource to meet the requirement to effectively and efficiently achieve the goals and objectives.Company like Accenture keeps it focus on the effective human resource planning that enables the company to make equilibrium between future demand and supply.This is a process to extract employees with the necessary skills for the company and earn high employee retention and loyalty. HR planning in an organisation is to select the most appropriate sources to attract the applicants for recruitment process and then effective techniques to select the best among them. HR planning defines budget for every activity in the human resource management.Budget and deadlines works as tools for monitoring and controlling. HR planning collects information and then utilises it in the human resource management process. The HR planning process helps to define the current position and future requirements of the company on estimated bases which makes it a futuristic process. This helps to make stability and reduces uncertainty in the organisation. The planning process improves the quality and quantity of the employee performance and accelerates the growth by providing training and development programs to the employees. Employees are retained with their loyalty by satisfying them effectively.So now we can say that the human resource planning is the foundation for human resource management process and its effectiveness in the company. Ultimately it makes impact on the growth, profitability and stability of the organisation (Mostaghim & Zaman 2013).
2.2 Outline the stages involved in planning human resource requirements.
The planning process of human resource requirement is the process to fulfil the gap of the human resource in the organisation.There include some steps in the process of the human resource planning requirement. The steps included in the planning process which are essential for human resource management are as follows.
- Data collection: The first step is to collect data from different sources which will be the base for identifying and estimating the human resource planning requirement.The data is influenced with the vision, mission statement and goal and objectives of the company which stats that where the company want to go and the perspective of the company for the success (Hafeez & Aburawi et. al 2013).
- Stocking the employees: This step is to estimate the number of employees available in the company. Data related to this estimation is collected and a categorisation is done according to the age, skills, experience and capability.
- Auditing: In this step strategic analysis of the environment is done by considering the organisational objectives. The analysis is done to identify the past experience and record related to the employee performance and turnover, cost of employee management and development. This helps to maintain stability and certainty in the company.
- Forecasting demand and supply: Planning process is done to forecast the demand and supply of human resource in the coming period. This forecast is done by considering the goals, objectives and vision of the company. This is done to fill the gap between demand and supply of human resource in the company. Organisational growth is depends on the equilibrium of the demand and supply of human resource.
- Action plan: The next step is to make action plan for the human resource planning which is the systematic order to execute the activities of the human resource management.The effectiveness of the action plan is the parameter toincrease the performance of the company by optimum utilisation of resources (Hafeez & Aburawi et. al 2013).
- Monitoring and control: This is the final stage of human resource planning process which controls and evaluates the whole process and ensures the effectiveness execution of activities in the company.
2.3 Compare the current recruitment and selection process in the organisation with another organisation you recommending.
The process of recruitment and selection is the most important part of the human resource management as in all success of the activities depends on the effectiveness of this process. Recruitment is to attract the interested and efficient candidates for the company.And selection is done by choosing the most suitable and appropriate candidate for the specific job profile. Effectiveness of recruitment and selection process leads to most profitable results in the organisation.The company given in scenario is assumed as the Infosys (O'Meara & Petzall et. al 2013).
The company is going through a high staff turnover which is a result of ineffective recruitment and selection process.
The company is having effective process of recruitment and selection.Thishelp to retain the employees in the company.
The human resource planning process is ineffective which fails in estimating and forecasting the demand of human resource.
The HR planning is effectively estimating the demand and requirement of human resource which helps to fill the gap of human resource in the company.
The recruitment and selection process of the company includes telephonic interview to shortlist the candidates and then face to face interviews where the candidates are asked some questions related to their personality and experience. Then they are asked to give psychometric and aptitude test.
In the initial stage of this process company selects the sources to be taken for taking the applicants for recruitment process. CV’s of the applicants are sorted and candidates are selected and group discussion and personal interview are conducted. After that the other related tests are taken and different techniques of selection are used for choosing the most suitable candidate.
2.4 Evaluate the effectiveness of the organisation recruitment and selection techniques with another organisation you recommending.
Recruitment and selection of employees is the essential and important for improving the productivity of the company. This is a process to provide the right person right job. Effectiveness of the recruitment and selection process can be evaluated by the following.
The HR planning is not effective of the company which is ineffective in estimating the demand or requirement of human resource in the company. This makes the recruitment and selection process ineffective.
The HR planning of the company effectively analyses the demand of the employees requiredto fill the gap of the human resource in the company. And it helps to choosethe techniques for recruitment and selection process.
The company is facing high employee turnover due to ineffective techniques of recruitment and selection.
The employee retention ratio of the company is high and the level of engagement and loyalty of employees in the company is high.
There is disequilibrium between the demand and supply of the human resource to meet the objectives of the company.
There is equilibrium between the demand and supply of the human resource and this helps to effectively execute the activities of the company (Pit & Pyakurel et.al 2014).
The study is about the human resource planning and its role and importance in the human resource management. The recruitment and selection process and its importance and different techniques are evaluated in the report.
3.1 Assess the link between motivational theory and reward at Virgin Media or your chosen organisation. Your answer must show if you think there is a link, what connects the two.
In the human resource management it is very important to motivate the employees to increase the level of performance and capability.Motivation is a tool to enhance the engagement of the employees in the company which reduces the rate of employee turnover. There are various motivational theories which have different perspectives and aspects. These theories provide satisfaction to the employees and maintain their interest. Leader is the responsible person for the employee motivation. And he must choose the most effective motivational theory. The link between motivational theory and reward is positive and very well adopted in the present business environment.There are different motivational theories which use rewards as a high motivational factor. Virgin media takes rewards as effective and highly motivational factor.The company is using two types of motivational theory which is Maslow’s hierarchy of needs theory and Herzberg’s two factors theory. Both the motivational theories focus on the reward system. Rewards can be monetary and non-monetary.Both types of rewards are used in the Virgin media to motivate its employees (Debanne & Laffaye et. al 2015).
Maslow’s hierarchy of need theory has a diversification of need on a prioritised basis in which the monetary and non-monetary rewards are effectively using by the Virgin media at work place. Monetary rewards like compensation, benefits, incentives and pay rolls satisfies the basic needs in the hierarchy level. Non-monetary rewards like promotions, power to making decisions, life insurance, health care, company pension scheme satisfies the upper needs in the need hierarchy.
The second motivational theory used by Virgin media is Herzberg’s two factor theory. This motivational theory defines two factors which work as motivator for the employees and reward system makes an impact on this theory.The two factors are hygiene and motivational factors. Hygiene factors are the satisfiers like compensation and incentives. Motivators are the factors like promotion, recognition, achievement and opportunities. Monetary rewards give intrinsic satisfaction to the employees by satisfying hygiene factors, whereas non-monetary rewards provide extrinsic satisfaction by satisfying motivator factors.Virgin media is running variety of programs for the effectiveness of this theory. The company is creating positive and creative working environment, providing training and development programs to motivate the employees by giving them extrinsic satisfaction (Debanne & Laffaye et. al 2015).
3.2 Evaluate the process of job evaluation and other factors determining pay at Virgin Media or your chosen organisation.
Job evaluation is the process to identify the value of the job in monetary terms. This is done to calculate the quantity and level of compensation and bonus to be distributed for doing a job for the employee satisfaction. It facilitates the grading in jobs, pay structure and managing jobs in the organisation. Virgin media is focusing on the effective job evaluation which is a systematic approach towards the intrinsic value of the efforts made by the employees. The process of job evaluation using in the Virgin media is as follows.
- The first step for job evaluation is to make the objectives of the study of job to the staff and employees to communicate the importance of the process.
- In the next stage a team or committee is formed for evaluation of job by taking human resource specialist and other experts from different departments. They evaluate the job by analysing all the aspects (Munir & Rahman et.al 2016).
- Methods and techniques are selected by the experts by making strategic decision making and required data collected from different sources. There are two types of methods analytical- point rating, factor comparison, and non-analytical- job ranking and classification.
- In this step an action plan is made by the committee to be followed for evaluation of job effectively by the experts. This helps to monitor the performance.
Other factors determining pay-
The pay is the value of the effort and work done by employees in the company. Virgin mediaconsiders the following factors while determining pay.
- The organisational structure and size of the business and its goodwill is the key factor for determining the pay of employee.
- Employee position and role in the organisation also considered while determining the pay.
- Skills and experience of the employee is an important factor which is a base to calculate the most suitable compensation.
- Sector in which the industry is working and profitability level of the company also influences the pay determination (Munir & Rahman et.al 2016).
- Performance of employee is the considered while determining the pay.
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 organisation.
The reward system in Virgin media is effectively adopted. Reward system is an effective way to satisfy employees and motivates them which lead to enhanced performance of the employees. Reward can be defined in two aspects intrinsic rewards and extrinsic rewards. Reward system and its policies, procedures and administrative framework id defined in the human resource management strategies of Virgin media. Intrinsic rewards are the non-tangiblerewards which satisfy theintrinsic needs of employees. Personal satisfaction by promotion, feedback, recognition, trust and relationships these all are the aspects of intrinsic rewards. Extrinsic rewards are the tangible factors which the employees are awarded because of its good performance. Bonus, incentives, compensation, and commission are the extrinsic awards.
Virgin media has an approach which defines that rewards always works as a motivator and retain the employees in the organisation.Giving effective rewards to employees make the company desired in the eyes of the new applicants and attracts the most talented and suitable employees in the company.Rewards motivate the employees by ensuring them their importance in the productivity and company. This level of engagement of employees in the company retains them for long and increases their loyalty in the company (Zuckerman & Gal-Oz et. al 2014).
3.4 Examine the methods Virgin Media or your chosen organisation use to monitor employee performance.
Employee performance should be monitored and controlled in the organisation. This is a control process which identifies any variances in the employee performance and then can be resolves. There are various methods to monitor employee performance; Virgin media uses the following methods.
Virgin media uses performance standardsto monitor the employee performance. These standards work as benchmarks for the comparison of actual performance.Supervisorsmonitor employee performance as in employees have to report to their supervisor. The company has adopted 360 degree appraisal system in which performance of the employee is evaluated and feedbacksare given by the stakeholders of the company and employees or managers of different departments (Venclová & Kolácková et.al 2013).
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.
Cessation of employment can be taken place in an organisation because of the following reasons.
The chicken master is a quick serve chicken and chips restaurant owned by Bob Jones.The cessation of employment of Faisal in the company was an example of fair dismissal. The reasons behind this dismissal are explained as follows (Luzzi & Sasson 2016).
- Faisal was not doing its work effectively and efficiently and giving poor performance. He was not satisfying his employee by his performance.
- Faisal was not working hard even after training given by the employer.
- He was involved in the unethical activities at work place.
- There was an employee handbook which defines all the rules and policies to be followed by the employees. Handbook restricts employees to use the company assets for the personal use of employees. Faisal was using the assets for fulfilling his personal needs.
4.2 Describe the employment exit procedures used by The Chicken Master and another organisation of your choice.
The exit procedure of the company must be fair and reasonable. The procedure must be in a way that it can identify the reasons of employee’s termination and resignation. There is a systematic way to be followed while employee’s resignation, termination, dismissal, redundancy and retirement. The exit procedure which must be followed by the Chicken master or any other organisation must be as follows.
- In this stage of exit procedure the resignation letter is provided by the employee to the employer and its superior whocommunicates the application to the upper level.
- After communicating about the resignation of employee the next step is to execute an exit interview. In this interview the HR manager inquires the reasons for the resignation by the employee and tries to resolve them to collect the information for further improvement in the company (Manzella, P. 2012).
- The employee has to serve for 1 month of notice period before leaving the organisation.
- Settlements of account and work of the employees is done and any references of the managers and superiors are provided to the employee.
- At last views and feedbacks of the employees taken which helps to review the organisation and improve where it needs.
4.3 Consider the impact of the legal and regulatory framework on employment cessation arrangements with an organisation such as The Chicken Master if Faisal’s claim was proven to be true.
The legal and regulatory framework makes a positive impact on the employment cessation in organisations. This framework helps to protect the employees from any kind of unfair action by their employers. There are acts and laws which must be considered while employment cessation in company. Employment rights act 1996, Sex Discrimination Act, Equal Pay Act, Disability Discrimination Act, Minimum wages Act, Data Protection Act etc. These acts defines the rights and regulations related to the employment and make impact on the cessation procedure. ACAS (Action, Conciliation and Arbitration services) code of practice is also used by the companies which is not legally bound to be followed but is effective towards the cessation procedure.
This framework ensures that no employee will cease for unfair reasons. In case Faisal’s claim was proven to be true then the employer will be prosecuted under the unfair dismissal. The following penalties will be fulfilled by the employer (Hallman & Parsons et.al 2011).
- The employer has to give employee his job back or any other job of his level.
- Compensation depending on the age, pay and service period of employee must be given by the employer to the employee.
- Different awards for unfair dismissal can begiven by the tribunal like health and safety, extra compensation etc. (Vosko & Thomas et. al 2014).
The report is a detailed study of the core elements of the human resource management in the organization. From differentiating betweenpersonnel management and human resource management to cessation of employment and its procedure all the activities are explained in the report. The role and importance of human resource planning in the process of human resource management and stages involved in the HR planning which ensures the effective management of human resource of the company.To understand the policies and procedures used in UK for effective human resource management we have analysed and compared two organisations and their policies for human resource management. And now we can conclude that the human resource planning and its elements play vital role in the growth of the organisation.
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