This unit provides an introduction to the concepts and practices of human resource management within the United Kingdom and focuses on the management of recruitment, retention and employment cessation.
Recruiting and retaining staff of the right calibre contributes to the achievement of organisational purposes. Staff must make a valued contribution to the work of the organisation. Eventually they will leave, more often than not because they find alternative employment or retire. Occasionally, however, employment has to be terminated.
This unit considers how human resource management deals with these aspects of working. However, the focus of human resource management has moved beyond personnel management towards a more proactive approach that, in addition to the traditional roles associated with staff management, also considers how to get the best people and the best out of people so that they work in roles and ways that are closely aligned to organisational objectives. This often leads to the assertion by many senior managers that ‘Our employees are our most valuable resource’.
Human resource management takes place against a background of organisational needs, policies and procedures that are themselves shaped by legal and regulatory requirements. The unit therefore gives consideration to the national and European legislation that has, for example, seen the introduction of a range of anti-discriminatory legislation, the significance of which can be seen regularly in high profile and often very expensive court cases. Organisations with effective human resource management policies, processes and practices will have committed, skilled employees who contribute effectively to the organisation. In competitive business contexts this is a significant contribution to maintaining a competitive advantage
Part 2 Assignment Brief
Write a report of 5000 words showing that you understand all of the learning outcomes.
The questions require that you consider the instruction verb when writing. Some questions require that you write about organizations. When writing about organizations ensure that you use companies recognized in the UK.
On Successful completion of this module, students will be able to:
1 Understand the difference between personnel management and HRM
2 Understand how to recruit employees
3 Understand how to reward employees in order to motivate and retain them
4 Know the mechanisms for the cessation of employment.
Learning outcomes and assessment criteria
LO1 Understand the difference between personnel management and human resource management
1.1 distinguish between personnel management and human resource management
1.2 assess the function of the human resource management in contributing to organisational purposes
1.3 evaluate the role and responsibilities of line managers in human resource management
1.4 analyse the impact of the legal and regulatory framework on human resource management
LO2 Understand how to recruit employees
2.1 analyse the reasons for human resource planning in organisations
2.2 outline the stages involved in planning human resource requirements
2.3 compare the recruitment and selection process in two organisations
2.4 evaluate the effectiveness of the recruitment and selection techniques in two organisations
LO3 Understand how to reward employees in order to motivate and retain them
3.1 assess the link between motivational theory and reward
3.2 evaluate the process of job evaluation and other factors determining pay
3.3 assess the effectiveness of reward systems in different contexts
3.4 examine the methods organisations use to monitor employee performance
LO4 Know the mechanisms for the cessation of employment
4.1 identify the reasons for cessation of employment with an organisation
4.2 describe the employment exit procedures used by two organisations
4.3 consider the impact of the legal and regulatory framework on employment cessation arrangements.
HUMAN RESOURCE MANAGEMENT
In this era of competition, effective HRM is mandatory for the achievement of the competitive advantage as well as sustainability. HRM is mandatory for the success because it helps any company to manage their people along with workplace environment and the workplace culture. Along with that, HRM also effectively contributes to provide direction to the company so that the business can achieve their organizational objective as well as goals. Human resource management mainly aligns the human resource with the objective of the company so that organizational performances can be boosted. Human resource management conducts several tasks such as training, selection, recruitment, performance measurements, workforce planning etcetera. This assignment is intended to describe different aspects of the human resource management for the Hilton hotel.
Task 1:1.1 Analysis of the purposes and roles of the HRM:
HRM helps the Hilton hotel to increase the employee commitment for the companies. Along with that, a good and strong HRM helps the managers as well as the HR managers to develop the experience and skills of the employees. Moreover, effective HRM helps the management team to manage the employees with effectiveness and effectively align those employees with organizational objective. Along with that, a good HRM also helps Hilton hotel to achieve the competitive advantage. Moreover, a good HRM also secure a good employee performance by motivating them through proper remuneration as well as extra facilities. As per the viewpoint of Simonin and Ozsomer (2011), a good HRM strategy also assesses the performance level of the employees so that Hilton hotel can assess the weaknesses of the employees and improve the employee performance through proper training. HRM in the Hilton hotel also attract great talent for the company, hire resources for the hotel along with that HR department also provide career development opportunities and training opportunities to the employees. Hilton hotel has a good professional culture that is maintained by the HR department of the organizations.
The main purpose of the HRM in the Hilton hotel are hiring, developing and training employees whenever required. HRM is also associated with the providing effective training and development opportunities to the employees for the achievement of the promotion inside the organization so that the company can achieve the full potential of the company (Wehling et al. 2012). HRM of the Hilton hotel is also associated with the reduction of the recruitment from different external sources by utilizing the existing employees of the company. HRM helps employees of Hilton hotel to recruit and manage staff in a cost effective ways (Skift.com, 2017). HRM function of the Hilton hotel is not only manages the existing staff of the company but it also affect the future needs related to staffing of the company, which is called as the workforce planning. HRM also monitors different external changes in case of the labor market so that they can grab the best talent from the market whenever required basis. The most basic purposes of the HRM of the staffing is retaining, developing and acquiring talents (Coda et al. 2013). HRM also maximizes the organizational productivity by increasing the employee effectiveness.
Therefore, from the above discussion it can be said that HRM helps staffing to achieve huge productivity by aligning the effective talent of the company with the organizational objective. Moreover, effective human resource management also helps Hilton hotel to reduce recruitment related costs that helps them to reduce the overall operational costs. Effective HRM also helps the company to achieve a good set of employees who have a great set of knowledge as well as expertise in the field.
1.2 Justification regarding the human resource plan based on the supply and demand analysis:
According to Schuler and Jackson (2012), human resource planning is one of the processes that evaluates as well as understand the organizational need and implements necessary changes so that objectives and goals of any company can be met. Human resource planning mainly fulfils the requirement of the company regarding the workforce requirements. Human resource planning are required in the Hilton hotel because of the following reasons:
As stated by Huselid (2013), human resource planning mainly ensures that sufficient amount of workforce are always available there so that the company can maintain their smooth operation. It is seen that labour market is not constant and with the time different globalised factors such as inflation and economic downturn affect the work market. Therefore, for this reason the demand and supply may be differed. Sometimes, supply may exceed the demand and sometimes demand may exceed the supply. However, there is always some deficiencies for the skilled labour so that maximum time demand is more than the supply. However, there is some exceptional condition such as inflation when supply of labour exceeds the demand. Therefore, to avoid any kind of conflicting situations, human resource planning is mandatory because this tool assures the future delivery of the product. Different services based organization such as Hilton hotel apply frequent changes (Ulrich et al. 2015). Therefore, human resource planning helps the company to assure that their employee can cope with the changes. Human resource planning assesses the existing human resource and suggests different strategy that helps the company to make their employee cope with economic, socio-cultural and technological changes.
Another reason for which Hilton hotel requires the human resource plan is the recruitment of the talented professional. Due to the standard of the education and the rate of education there are always some deficiencies of experienced employees, so that in this case demand is always more. Therefore, in this market, effective human resource planning helps to find and recruit the talented professionals (Ulrich et al. 2015). Moreover, it also decreases the employee turnover. Along with that, human resource planning is required in the Hilton hotel because it utilizes the existing human resources properly. Utilization of the human resources according to the demand and supply can help Hilton hotel to run their business operation without any problem. Moreover, an effective human resource planning can reduce the uncertainty to get talented human resources. However, during facilitate human resource planning, Hilton hotel must considers different factors such as different external and internal factors that affect the human resource planning, supply and demand in the market and the changing job environment in the near future.
Task 2:2.1 Assessment of current employment relations:
As stated by Rogowski and Wilthagen (2014), employment relations can be defined as the legal link that is formed among the employees and employers. This kind of relationships mainly forms when any person works under certain condition in the exchange of the remuneration. Therefore, maintenance of the strong employment relationship is mandatory to create a collaborative work environment that is effective to generate a great level of performances. Different parties involved in the employment relations of the Hilton hotels are the employees, employers, government, employers association and trade union.
The current organisational structure of the Hilton hotel is mainly hierarchical because this hotel is one of the big leisure companies that comprises of the 13 brands. The business is divided into different segments such as management as well as franchise division, timeshare divisions and the ownership divisions. Therefore, in this company a several layer organisational structure are present where the low level employees can contact their immediate higher level boss. There is no scope to contact the top level boss ignoring the hierarchical structures. Both the lower level and the higher level employees of Hilton hotel maintain professionalism while establishing a communication among them. However, not all the employees are hired by the Hilton hotel some of the employees are also hired by the third party vendors but all of them follow same organisational culture like the employees of the company. However, the management involves employees at the collective bargaining process to reach the agreement and control the condition of working. In this case, employers encourage their employees to provide their views so that they can evaluate the best strategy (Locke et al. 2015). For the enhancements of the negotiation with the employees they involve the trade union so that they can secure the right of employees for protecting from any kind of conflicting situations. For resolving any workplace related problem the management of the Hilton hotel directly contacted the lower level employees so that they can resolve any kind of workplace related problems and provide excellent services to the customers.
Hilton hotel considers the employee participation as one of the effective factors for the success of the company because according to them active participation of employees increases employee motivations. For this reason, Hilton hotel increases the participation and involvement of employees with their SPARK management programs. They also involve employees in decision making process with the help of proper leadership strategy so that they can achieve highly productive human resources. Hilton hotel hire employees from diverse background so conflict may generate among the employees. For reducing the conflict among employees, the organization provides training to their managerial staff so that they can manage diversity in the company premises. As stated by Barker and Christensen (2011), any organization may face employee dissatisfaction because needs of employees cannot be fulfilled. Therefore, to satisfy the need of employees the management must involve the leaders to motivate employees so that they can be satisfied and provide their fullest possible effort to the company.
2.2 Impact of the employment law on the HRM for the Hilton hotel:
As opined by Befort (2011), labour law is intended to mediate the relationship among the trade unions, workers, government and the employing entities. Labour law is intended for the codification and clarification of the obligation of the business owners to employees. The main significance of different employment related laws are providing fair wages, protecting employees, protecting Childs and preventing the discriminations. The main advantages of the employment law from the business perspectives are it helps the Hilton hotel to avoid strikes, holdouts and other employee related issues. Moreover, it helps the management to avoid the negotiation process with the employee regarding the contract of employment. Employment law helps management of Hilton hotel to provide remuneration based on performances that helps them to retain their best employees. Hire and fire policy became easier for this employment law. The disadvantage of this employment law is employers cannot fire their employees without any particular reasons (Bennett-Alexander and Hartman, 2014). Along with that, due to the employment law, employers are liable to provide flexibility to their employees.
There are several employment law that are transparently followed by the Hilton hotel. Due to the Employment relations Act 1999, the employers at Hilton hotel are liable to maintain an effective relationship with the employees and they cannot facilitate any discrimination in the workplace based on race, age and sex. According to the Equality act 2010, Hilton hotel are liable to prohibit any kind of discriminations in the workplace and they are liable to provide training without considering the personal information of employees. There are several discriminations can exist in the workplace (shown in below figure) and the equality cat saves people against those discriminations. The management of Hilton hotel is liable to follow transparent contracts of employment, so that they can retain their valuable employees and avoid any kind of legal issues in the company (Dingeldey, 2011). Through their transparent employment contract, the Hilton hotel management are liable to facilitate a fair practice regarding the employee resignation, ill health retirements, paternity and maternity rights along with the parental leave. For practicing the fair employment law the managers of the Hilton hotel receives training from the ACAS. ACAS is one of the organizations that devoted themselves to resolve and prevent disputes regarding the employment.
Figure 1: Different types of discriminations
(Source: Bennett-Alexander and Hartman, 2014)
Task 3:3.1 Job description and the specification of the person for hotel industry job:
This part describes the job description or the person specification for the Banquet managers in the Hilton hotel. Person specification and the job description of the Banquet manager in the Hilton hotel is as follows:
1. Motivating as well as directing the team while assisting employees to retrieve the high quality services from them based on the standards and requirements
2. Managing different operation related to banquet such as
3. Identifying training opportunities for the subordinates so that all of the organizational goals can be accomplished
4. Regularly monitoring as well as controlling the administration and financial responsibilities so that assets can be protected.
5. Conducting different activities regarding human resources, such as:
6. Leading the banquet team by setting goals and improving the performances of every departments
7. Conducting the review meetings with the banquet teams
8. Leading the activities to represent hassle free and presentable events
9. Applying a good knowledge regarding the wine pairing, food as well as the cutting edge cuisine according to the current business trends.
10. Ensuring a good and exceptional customer services by generating a good guest relations and providing good quality services by understanding the actual expectation of the customers.
11. Increasing the guest’s satisfaction by facilitating continuous improvement.
3.2 Selection process in different service based industry:
For answering this questions Hilton hotel and airtours has been selected. Airtours is one of the service based companies that arrange tour for the clients. The selection process of the two organizations is as follows:
For the recruitment of the employees, Hilton hotel first recognize the area in which they have vacancies. If they recognize that they have the vacancy in their banquet manager posts then they first write the job description. In that job description, they mention all of the job responsibilities that the candidates have to perform. The job description also mentions the required qualification as well as experiences of the candidates. For hiring the banquet manager posts, they mainly require a high school diploma and a minimum of 4 years experiences. After writing all this specification they advertise the vacancy and here they mainly select the online media because they want to hire skilled workforce. In the advertising, they ask the competent candidates to reply through their websites if the candidates find any match between their own skills and described skills in the websites (Managementservices.hilton.com, 2017). After the application from the candidates are received by the company, they shortlisted the candidates based on the criteria. The first selection process is the written tests for the shortlisted candidates. After that, they arrange the interview for the shortlisted candidates. These interviews are mainly conducted by the HR staff of the company and the interview board consisting at least 5 members. They involve more than 5 HR staff for the interview process of the managers (Managementservices.hilton.com, 2017). After conducting the first round interview process they shortlist some candidates and then they sent them for the managerial level of interview. After conducting the managerial level of interview, candidates are asked for the references so that their background can be checked (Fong et al. 2011). After that, the selected candidates are informed via email that they are selected for the post. The email also includes the job description process, along with remuneration strategy and joining date.
Figure 2: Selection process at the Hilton hotel
(Source: Managementservices.hilton.com, 2017)
For hiring employees in the Airtours they identify the vacancy and then documenting the job ands person description. For hiring a customer relationship manager in the Airtours, they first looking at the internal staff if they find any customer service agent effective then they hires them for the customer relationship manager. However, if they do not find the appropriate candidates from the internal employees then they look for the external candidates. They issue job advertising so that they can find the appropriate candidates. Then, they ask for the reply from the appropriate candidates that have the mentioned skills (Sels et al. 2016). After receiving the job application from them, they arrange a HR interview that mainly involves questions regarding the customer serving skills of the candidates, knowledge regarding different tourist’s destinations and different interpersonal skills. This interview also checks the convincing skills of the candidates. The candidates that get success in the first round interview go to the second round interview that is managerial round of interview (Careers.thomascook.com, 2017). After this managerial round of interview, they send the offer letter to the prospective candidates through the email.
Figure 3: Selection process of the Airtours
(Source: Careers.thomascook.com, 2017)
4.1 Assessment of the contribution to the training as well as development activities for the effective operation:
Hilton hotel provides quality training to their managerial employees so that they can maintain quality in the company. Quality training refers to familiarizing employees to prevent, eliminate and detect different non-quality services so that customers can get effective services. They provide skills training to all of the entry level staff regarding how they should perform their responsibilities. As stated by Aguinis and Kraiger (2014), skills training refer to the proficiencies that are actually required to perform any job. They provide soft skills training to mainly the front desk staff and the room service staff so that they can provide excellent services to the customers. This kind of training is effective to increase the personal traits, personal habits and the communication skills. The main reason behind providing this training is providing excellent services to the customers. Hilton hotel provides professional training to their higher level staffs, which is one of the training that update the professional field of one person. For example, for the customer service management is trained with different new law that may create lawsuit (Baldwin and Magjuka, 2013). On the other hand, they provide team training to the low level staff such as room service staff and the staff that are directly associated with the customers. Through the team training, the organization provides team building skills to the employees.
As stated by Olaniyan and Ojo (2011), training are required for any company so that they can develop the skills for their employee so that they can meet the skills and knowledge of the requirements of job. However, development is not directly associated with the job, it mainly required for the generic development of the employees. In this dynamic business world, training and development both are very much important to make employees competent to achieve the organizational goals. Both the training and development is important because it not only helps employees to achieve their goals but it also helps the organization to achieve their goals.
A good training always motivates employees to perform their job with effectiveness because it enriches employees with effective amount of skills. Therefore, it increases the job satisfaction. Along with that, due to the enhancements of the skills and experiences of employees, they can increase efficiency of the process that can help the Hilton hotel to achieve the more financial gain (Tracey et al. 2015). Moreover, good employee training reduces the employee training because it decreases the level of dissatisfaction among the employees. Due to the enhancements of skills and efficiencies, a good training always increases the capacity among the employees and motivates them to utilize new methods and technologies which in turns facilitate innovation.
Effective employee training in the Hilton hotel at the right time can generate the big ROI by providing an effective and efficient set of employees. Therefore, a good employee traini9ng always develop the productivity of the employee by generating an effective team spirit among the employees (Roffe, 2014). Along with that, it helps organization to facilitate the optimum utilization of the human resources by involving the existing human resources in the organizational work. Skill development of the employees through the good training process always develops the innovation in the Hilton hotel (Keep, 2012).
From the above discussion, it can be said that before implementing HRM a good planning is necessary because it increases the chances to achieve the success of the human resource planning. It is also seen that, to achieve a good and skilled set of employees an effective employment relationship is necessary. For the achievement of the good set of employees and to avoid any kind of legal issues, generating transparent human resource policy is mandatory. Along with that, following all of the employment law with effectiveness is necessary for the success of any company.