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Unit 3 Human Resource Management Planning Assignment
Human resource management (HRM) is related to achieve the organizational objective with optimum uses of human resources in workplace. An organization needs to implement HRM practices in order to attain objectives within the time, quality and performance. This Unit 3 Human Resource Management Planning Assignment will describe the differences between human resource management and personnel management along with the role of line managers and legal frameworks in HRM practices. The various stages in planning of human resource management and their effectiveness will be studied in comparative manner. This human resource management planning assignmentt will use the case study to understand the link between motivational theories and reward system. Also, various methods of reward system will be studied along with the process of job evaluation. Later section of the report will identified the common reasons of cessation of employment contracts and impact of legal and regulatory frameworks on termination of employees from workplace. The whole report will try to concentrate on the functionality of Landmark Hotel in human resource management so that better understanding can be developed with subject. For instance, Landmark Hotel is a United Kingdom based organization well famous for up growing improvements in services and brand image.
1.1 Difference between personnel and human resource management
Human resources management and Personnel management both are different managing concepts that help the organisation to achieve its objective. (Armstrong and Taylor 2014) Both of the managing concepts are differentiated on the basis of various aspects. Following are the points on the basis of which both are differentiated:
Table 1: Difference between Personnel management and Human resource management
Points of Differences
Human Resource Management
HRM mainly focuses on the most efficient utilization of human resources in an organisation to achieve desired goals.
Personnel Management mainly focuses on manpower and relationship with the organisation.
Human Resource Management is the modern approach for managing the employees.
Personnel Management uses traditional approach for managing the employees.
Consideration of workforce
HRM values human resource by considering them as assets
Personnel Management consider employees as machines or tools.
Management of Labour
It gets involve into contract with an individual
It involves collective bargaining contract.
Design of job
In HRM, different groups and teams are organised.
In Personnel Management, division of labour is performed.
It consists transformational management roles
It consists of transactional management role.
In HRM, pay is decided on the basis of performance evaluation
In Personnel Management, pay is decided on the basis of job evaluation.
It follows strategic function.
It follows routine function.
It has been noticed that Hotel Landmark follows HRM concept to achieve its objective.
It has been noticed that Hotel
Hilton follows Personnel Management.
1.2 Functions of Human Resource Management in achieving its purposes
Human resource management plays the crucial role in achievement of the organisational goals and objectives. It is mainly focused on planning strategies and policies which helps the organization to acquire, motivate and also helps in gaining the commitments of the resources of the organisation that is all those who are working in the organisation and working for the organisation (Purce, 2014). There are various functions in the organisation which are performed by Human resource management to achieve the desired goals. In Landmark Hotel, HRM functions are mainly classified into two major categories that are Managerial functions and operative functions:
- Managerial Functions:All the managerial functions in the organisation are performed by human resource manager who act as a main component of HRM. Managerial functions of the Landmark hotel mainly includes the five major functions that is planning, organising, staffing, directing and controlling of various managerial activities (Lengnick-Hall.et.al.2009). These major functions help in managing the employees and also coordinating the activities of various departments to achieve organisational goals efficiently and effectively.
- Operative functions:The operative functions involve all the duties performed and all the tasks which are carried out by human resource department. The major operative functions are recruitment and selection of candidate, training and development of employees, providing rewards and maintaining personnel in an organisation. These are the various operative functions performed by the Human resource management in Landmark hotel, in order to achieve organisational goals. This is how the Human resource management in Landmark Hotel performs different functions and works systematically to achieve goals.
1.3 Roles and Responsibilities of line manager in HRM
The line manager plays an important role in managing the employees and supervising their activities. It is the duty of line manger to report superiors further in case of any inconvenience so as to continue the smooth functioning of the organisation. The manger in the Landmark hotel manages the department very well which leads to increase in the profits at high level. Also the line manger is responsible to achieve the set standards of business by the execution of pre- determined plans and policies. The important roles and responsibilities that line manager performs in the Landmark Hotel are management of operating cost, assuring expertise at the workplace, checking on quality standards so as to meet up the parameters efficiently, dealing with the customers, evaluating the performance of employees and optimum utilization of human, and all the resources available in the organisation so as to achieve the set standards (Hutchinson and Purcell 2010). Moreover the line manager is responsible for carrying out various other activities such as training and development, allocation of work, performance appraisal, easy communication, involving staff in various plans and policies, ensuring a balance in work life of employees, obedience and grievances of employees. The line manger in Landmark Hotel plays an important role in achievement of goals and objectives of the organisation to great extent and also helps in achieving the set standards
1.4 Impact of legal and regulatory framework on human resource management
Legal and regulatory framework helps an organization to manage the operational activities in a lawful manner so that rights of employees can be treated well with accomplishment of organizational goals. This is required to establish a acceptable form of organizational operations and structure so that individual’s rights can be protected in workplace. Human resource management needs to apply several legal and regulatory acts so standardize the working of organization. Some of the acts are: employment right act 2003, age discrimination act 1975, minimum wage act 1998, health and safety act etc. management of hotel Landmark got the following impact of regulations:
- Health and safety act:To regulate the health and safety act, organization is investing a lot time to train the employees for standard practices in risky workplace (Williams.et.al.2011). Organization is offering well designed and tested dress, equipments, medical aids, protecting covers and glasses to employees as according to their job profile so that security and health of the employees can be ensure. Addition to it, organization is also providing fresh air spaces and pure drinking water to ensure the improvement in health of employees. Health and safety act is preventing employees to driven into bad environment to fulfil the organizational objectives.
- Equal pay act:This act specifies the equal salary for equal work so that organization is offering the same and effective amount for the job in workplace. As a result, cases of discriminations for payments are being reduced and employees are receiving right amount for work done by them (Shields.et.al.2015).
2.1 Reason of human resource planning
In order to run the organizational operations into the effective and smooth manner, management of hotel Landmark is liable to make analysis on number of employees required to accomplish the work. This is necessary to find the right number of talented employees for a task so that more employees can be hired or existing may be fired legally to save the cost per task. Landmark needs the human resource planning for the following reasons:
- Qualities in personnel: To get the better results, Landmark needs the employees those are talented and experienced to manage the activities in organization so that more satisfaction and quality can be delivered at customer end. Personnel of the organization need to be populated with the required talents to motivate and lead underlying employees towards the productivity and performance (Monk and Wagner, 2012).
- Future demands: Planning of human resource will help to identify the need of the organization in term of number of employees so that upcoming requirements of organization can be accomplished easily. For that organization needs to indentify the available talent and market demands.
- Reduction in uncertainty: Employees are being uncertain and moving in search of more benefits so that organization needs to create the panel of employees those are dynamic in nature to accomplish multi task so that operations of business can be regulated smoothly until the arrangement of new resources in workplace. Human resource planning is also necessary to reduce the employee turnover by fulfilling their expectations with organization (Ulrich, 2013).
2.2 The stages involved in planning human resource requirements
Human resource planning is required to maintain the sufficient number of human resource in organization so that smooth operations and future demands can be carried out. Landmark hotel uses the following stages in human resource planning requirements:
- Analysis of human resource: Management of Landmark is liable to manage employees in numbers and talents so that current requirements of the organization can be accomplished. This is necessary to deliver the services and products within time and quality.
- Prediction of production and consumption: Landmark Hotel needs to identify the future changes in demands and requirements in organization so that new talents can be employed to deliver more production and services or some may be fired to sustain. Also, the prediction is helpful to prevent the organization from being drown into critical situations (Armstrong and Taylor, 2014).
- Manpower gaps: It is possible that organization has sufficient employees but not capable to provide quality work. In such situation organization can determine the number of employees in term of talents so that manpower gaps can be reduced in order to get more accurate results together.
- Action plan: Planning of human resource management is also necessary to determine the effectiveness of action plans on employees. Analysis of human resource is required to enforce the progress and benefits of Landmark hotel (Ulrich, 2013).
- Supervising: Landmark can manage or control the employees and their activities in workplace in more appropriate manner to achieve dynamic functionality and more profit.
2.3 Recruitment and selection process in Jupiter Hotel and Landmark hotel
Recruitment is the process to attract the talented candidates towards the job vacancy and selection process is the choice of right candidates in workplace. Hotel Jupiter which is an inbound hotel of United Kingdom uses the advertisement in local papers and posters to advertise the vacancy in organization. However, advertisement is effective in content and design, Jupiter only receives the employees from locality. In compare to this, Landmark needs to recruit the employees from worldwide because to maintain culture and diversity in workplace. Landmark has large service area so needs employees from different locations to provide native language and climate in hotels at various locations (Bratton and Gold, 2012). Also Landmark provides equal opportunities to candidates to prove their skills.
At selection time, candidate in Landmark needs to clear the written test which examines the theoretical as well as practical knowledge. Jupiter Hotel only tests the knowledge with some interview questions and includes the general questions in written exams. Also Hotel Landmark follows the modern approaches like digital advertising and referral system to collects the candidates from overseas. The online recruitment and selection process of Landmark is much better than traditional recruitment process of Jupiter Hotel. Also the selection process at Landmark is transparent from biasing and partially. Organization saves a lot business time and effort in selection process due to the digitalization of organization. Landmark organization prefers the candidates’ knowledge but Jupiter assumes the documents as the qualification in candidate (Caers and Castelyns, 2010). Jupiter is seeking for the candidates those have nice experience in similar field but Landmark encourages the candidates to transform knowledge into business requirements so that more trustworthy relations can be managed.
2.4 Effectiveness of the recruitment and selection techniques of Landmark and Jupiter Hotel
Recruitment and selection process at Landmark organization is more effective than Jupiter hotel because of its digitalized process and modern approaches. Landmark hotel uses the internet based advertising to reach the target candidates on various job portals. Also the subscriptions made on official website helps to inform the candidates to appear in interviews at Landmarks. Jupiter is inbound organization so the use of templates and banners are effective to promote the business and to advertise the vacancies. Also, Jupiter is mainly centred at local business so employs only local candidates to reduce the burden of visas and over country permissions (Snell and Bohlander, 2010). The recruitment process of the Landmarks provide an opportunities to candidates based on their skills and not on the race and original factors whereas Jupiter most of time describe the experience in number of years and type of candidates in advertisements to reduce the mass at written test.
In selection process, Landmark does most of test online so management saves time and cost for basic selection process. Employees from overseas can appear in test as according to their desire time. But in hotel Jupiter, candidate needs to visit nearby site location to appear in selection process. Also Landmark prefers the knowledge based interview process rather than to trust on the experience certificates so that right candidates can be recruited in workplace. Landmark is seeking for the candidates those are dynamic in nature so that more functionality can be achieved with them whereas Jupiter is demanding the candidates specialized to perform a task perfectly (Townley, 2014).
3.1 Link between motivational theory and the reward system at Hotel Four Season
The objective behind the motivational theories and reward system is same: to motivate the employees towards the high productivity and quality in work. Motivation theories suggest the standard practices of human resource management as lesson from years of organizational operations and relations with employees. For instance, motivation theories of Herzberg and Maslow are given to understand the employees’ basic needs and demands within an organization. The specification on possible requirements and expectations of employees in workplace is helpful for an organization like Landmark Hotel to motivate the employees towards the incremental growth in organization as well as personal (Arthur, 2012). Hotel Landmark suggest the management to understand the needs of the employees with the help of motivational theories so that a progressive reward system can be developed to keep the employees engagement and their interest in workplace. A good reward system consists of motivational theories to deliver the motivation as well as compensation for basic needs.
Hotel Landmark provides the intramural facilities like pure drinking water, fresh air space and internet facilities to employees as it motivates the employees towards the productive and positive culture (Riggio, 2015). Hotel Landmark also considers the performance and presence of employees in workplace to make decision on the rewards associated with them. Employees are rewarded with the fair price shops, extra vacations, trips, living accommodations and gadgets so that they can be motivated towards the high productivity and performance to get continuous benefits. This system also motivates other employees to achieve same benefits (Shafritz.et.al.2015).
3.2 Job evaluation process and other factors determining pay at Hotel Landmark
Job evaluation process is required to identify the right contribution of the resources in overall performance so that more appropriate distributions of the benefits can be made to motivate them. Management of Hotel Landmark evaluates the job of employee in following terms:
- Performance: It includes the work done and approaches used by employee to complete the task.
- Quality: The quality achieved in work in comparison of standards defined by organization. It includes accuracy, cleanness and utility of work.
- Behaviour: it includes the punctuality, presents, participation in organization activities and behaviour with other members (Stellar, 2012).
All the above facts are considered to rate the employees to measure the job done by them. Besides to it, several other factors work to determine the payment of employee. Management of landmark considered the following points while deciding the payment of employee in workplace:
- Skills and experience: Individual’s skill set and experience is counted at employment time to decide the compensated salary. This is obvious that high skilled and experienced candidate has more values for organization and thus organization can pay more.
- Profitability of organization: Payment of employees in workplace may vary with profitability of organization. In down going conditions, equal portion of salary can be deducted from all employees so that organization can be pushed towards the profitable management (Danish and Usman, 2010).
- Employee performance: Besides the fixed payment, performance of employees is evaluated per month in Landmark hotel to determine their actual work and contribution in organization.
3.3 Effectiveness of Reward system in Hotel landmark
Hotel Landmark invests a portion of business time to know how motivations can be included in rewards. Thus the resultant reward system is capable to motivate the employees towards the productivity, innovations and quality. Organization is offering a well managed culture at workplace to keep the engagement of employees in competitive environment. Rewards are designed as according to levels of organization so that higher levels of structure are getting more benefits than lowers. It is necessary to motivate the lower levels towards the more benefits at higher level (Phillips and Phillips, 2016). Also, impartial behaviour and transparent decisions of management are helpful to generate the trust of employees towards the rewards.
- Motivation:Hierarchical distribution of rewards helps the employees to vision the growth of personal objectives. Thus, rewards are effective to lead the employees by self-motivation and moral values.
- Attraction for talents:Transparent reward system and benefits in Landmark Hotel is attraction for skilled and experienced talents in industry. Thus, candidates always try to join the team at Landmark. In this manner, organization also gets high talented employees in workplace so that operations and objectives can be accomplished more efficiently.
- Employment retention:Reward system of Landmark is capable to fulfil the requirements of employees either in term of money or social status so that talents can be retain in organization for more benefits with time.
3.4 Methods to monitor the performance of the employees
Employee’s performance is monitored to make possible enhancement in working strategies and knowledge used in workplace. This is necessary to add values in skill set of employees so that more productive results can be achieved in Landmark Hotel. Organization uses the following methods as performance monitoring tools:
- Benchmark: It means that organization set some expectations as standards to meet in work and employees work is compared with the standards defined by organization to decide the performance of employees. Also, previous performances of employees are compared with recent one to monitor the percent raise in performance of employee. Bench marks are defined on the standard practices and well tested with given time and resources to employees (Dunlop, J. and Segrave, 2016).
- 360 degree feedback: Landmark also uses the 360 degree feedback to evaluate the performance of employee in workplace. For that, organization gathers the data from all sources nearby the employee like co-workers, covered clients’ reviews and management member. The collected data is then used to measure the performance and behavioural points of the employees in workplace (Wilkinson, 2013). This is more effective but needs more time to collect the data from different sources and there are chances that personal reasons of employee may affect the results.
4.1 Reasons for termination of Faisal’s employment contract with The Chicken Master
An employment contract can be broken mainly for the retirement, resignation and dismissal process. Terminal of Faisal’s contract with Chicken Master occurred due to the unethical behaviour and poor performance in workplace. Faisal was hired as manager for organization but he used most of business time and resources for the personal use. Also, the activities done by Faisal was against the policies and rules of the organization. Unethical activities as pornography, poor performance like improper management in kitchen and front store and unsatisfactory behaviour with customers and their orders are not improved over the number of instruction (Cummings and Worley, 2014). Thus the degrading quality in services and management are also concluded in reason of cessation with Faisal.
The continuous poor performance, unethical behaviour and violation of organizational rules and policies are at core to terminate the employment contract. Chicken Master needs to have the efficient evidence in order to prove that Faisal was inappropriate selection for the organization. When an employee does not meet the organizational demands and perform less than the capabilities on which basis hiring was done, dismissal or termination of employee can be occurs. For instance, in an organization, employees can be terminated for the regular absenteeism, bad manners and improper behaviour with organization members, negative thoughts towards the system procedure, improper use of resources, wastage of business time, continuous poor performance and low participation (Mowday.et.al.2013).
4.2 Employment exit procedures used by The Chicken Master and Landmark hotel
Employment exit procedure is a set of activities followed to exit the employee from the organization so that future conflict between employer and employee can be removed and business secrets can be closed legally. Chicken Master uses the following procedures in employment exit procedure:
- Written notice to management for the resignation from service.
- Manager of the organization personally try to know the resignation reasons and try to convey the employees to stay.
- If employee is sure to exit, final approval is made to proceed to next activity.
- Submission of assets like laptops, electronic gadgets, ID cards, files and documents (Eckerson, 2010).
- Return of employees’ assets in which salary dues are cleared, submitted documents of employee are return along with the certificate of experience with organization.
- Document signing stating that all transactions are cleared with organization and employee will not disclose the organizational secrets to others.
In contrast to Chicken Master, hotel Landmark’s exit procedure is lengthy but effective for organization. It includes:
- At least 15 days prior notice to management for resignation.
- Personal discussion between manager and employee to identify the reason.
- Discussion on employee’s request to negotiate the demands so that employee can be retained.
- Handover of documents from employee like Cards, identity proofs and electronic and mechanical equipments issued to employee.
- Cancellation of authorization with organization. For instance, removal of fingerprints from database for access to resources, closing of mail accounts verifications and removal of power to sign the documents in organization (Altman.et.al.2013).
- Clearance of salary dues and retaining conditions.
- Legal documentation for closure of business secrets and policies outside the organization.
- Return for documents submitted at employment time.
- Formal and informal activities to know from the employees about the resignation decision.
4.3 The impact of the legal and regulatory framework on employment cessation arrangements
Legal and regulatory framework helps the employees to stand against the biasing and discrimination with them in organization whereas organization uses legal framework to manage the organization safely with future activities of ceased employees with organization. Legal documents protect the employee rights from being discriminated on age, sex, race, origin and beliefs so that proper treatment with employees can be assured within organizational workplace (Countouris, 2016). Legal and regulations like discrimination act and equal wage act sets the boundaries for the management to terminate the employees for the personal and biasing purpose. Thus, an organization needs to prove the sufficient evidence against an employee as the reason of cessation from duty in workplace. Also the legal framework helps to manage the relation between employer and employee so that employer cannot make illegal use of employee’s rights for organizational objectives and employees cannot drop the organization into unpredicted conditions (Freedland and Kountouris, 2011). Regulations and laws help the organization to save the business secrets from being disclosed by the terminated employees. In this manner, a legal framework affects the organizational activities towards the cessation of employees from the service in workplace.
The report has been concluded the difference betweenhuman resource management and personnel management in an organization along with the role of managers and legal framework on HRM practices. Also the planning stages of human resource management has been determined and compared for two organizations. In later section, report has been found the role of motivational theories and reward systems in workplace. Also the practices to measure and rate the performance of employees are described. The report has been identified the reasons of termination of employment contract with a case study. Impact of legal and regulatory framework has been concluded on the cessation of employment contract.
Books and Journals
Altman, S., Valenzi, E. and Hodgetts, R.M., 2013. Organizational behavior: Theory and practice. Elsevier.
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management practice. Kogan Page Publishers.
Arthur, D., 2012. Recruiting, interviewing, selecting & orienting new employees. AMACOM Div American Mgmt Assn.
Bratton, J. and Gold, J., 2012. Human resource management: theory and practice. Palgrave Macmillan.
Caers, R. and Castelyns, V., 2010. LinkedIn and Facebook in Belgium: The influences and biases of social network sites in recruitment and selection procedures. Social Science Computer Review, p.0894439310386567.
Countouris, N., 2016. The changing law of the employment relationship: comparative analyses in the European context. Routledge.
Cummings, T.G. and Worley, C.G., 2014. Organization development and change. Cengage learning.