Managing Human Resources - Term Paper Example

Table of contents 1.0 Introduction 3 2.0 HRM – overview and presentation of key aspects 3 2.1 Role of HRM in modern organizations 3 2.2 Recruitment and selection process as part of HRM 4 2.3 Training and development as related to modern HRM 5 3.0 HRM in Tesco 6 3.1 Overview of HRM in Tesco 6 3.2 Recruitment and Selection process in Tesco 6 3.3 Training and development in Tesco, description and evaluation 9 4.0 Conclusion 11 References 13 1.0 Introduction The development of effective HR management practices has become a key problem for managers in all organizations. As revealed through the literature reviewed for this paper, the demands of HRM can be high, especially in quite competitive markets. Still, the use of rules and practices that have been extensively tested in firms worldwide can reduce the chances for failures in regard to the management of human resources. Current paper focuses on two particular aspects of Human Resources Management: Acquisition and Development of employees. Reference is made to a major competitor in the UK market: TESCO. The recruitment and selection process of the organization has been examined and evaluated. At the same time, the training and development programs of the firm are presented and analyzed in order to understand their contribution in the growth of the organization. It is concluded that the organization’s plans in regard the Acquisition and Development of its employees are unique, at the level that highly emphasis is given not just on the attracting of highly qualified staff but also on the continuous development of employees, according to their needs and potentials. 2.0 HRM – overview and presentation of key aspects 2.1 Role of HRM in modern organizations HRM is considered as a key sector in organizations operating in all industries. In the literature the elements of HRM have been extensively analyzed in order to understand the role of the above framework as a critical element of organizational environment. According to Sims (2007) the term HRM is used for describing ‘the rules, the principles and the processes used in organizations for managing their human resources’ (Sims 2007, p.5). In other words, the contribution of HRM in organizational growth can be vital, securing the high employee performance, as related to high organizational profits. It should be noted that HRM focuses not only on the management of the relationship between the organization and its employees but also on ‘employees’ needs and employees’ development’ (Sims 2007, p.5). In this way, the potential of employees to respond to the needs of the organization is increased. Considering employees not only as units supporting organizational processes but also as humans with a series of needs is a key advantage of HRM compared to the practices used for managing workforce in the past (Sims 2007). From a similar point of view, Taylor, Doherty and McGraw (2012) note that HRM can help towards the improvement of communication within organizations, a fact that sets limits to the expansion of internal conflicts and turbulences. In addition, HRM helps employees to reveal all their potentials and skills helping towards the rapid growth of their organization (Taylor, Doherty and McGraw 2012). On the other hand, HRM is used as an indicator of each organization’s culture (Werner and DeSimone 2008). 2.2 Recruitment and selection process as part of HRM The role of recruitment, as a key organizational process, could be described as follows: ‘recruitment ensures that the organization is adequately and effectively staffed at all times’ (Compton, Nankervis and Morrissey 2009, p.17). Price (2011) notes that recruitment and selection is a process that has a vital role in organizational change. It is explained that by promoting new recruitment and selection techniques, HR managers can enforce the change of organizational culture, causing gradually the change of all organizational processes and operations (Price 2011). On the other hand, Amos et al. (2009) make clear that failure in designing or developing the recruitment and selection process can have severe effects on organizational performance, depending on the seriousness of the relevant mistakes. It should be noted that the recruitment and selection process can be divided into two sub-processes: the recruitment process is related to ‘the use of all internal and external sources for identifying the candidates that most meet the criteria of a particular position’ (Vance and Paik 2010, p.171) and the selection process that focuses on ‘reviewing the skills of the candidates chosen at a first level and make a choice in regard to those who will be hired for the position(s) involved’ (Vance and Paik 2010, p.171). From a similar point of view, Wood (2009) notes that recruitment describes the efforts of an organization ‘to fill its vacancies from external applicants’ (Wood 2009, p.151) while selection is commonly used for showing the ‘choice among internal applicants’ (Wood 2009, p.151). However, it is explained that it is possible for the two terms to be incorporated in one process, which should start with identifying candidates from an external pool of applicants and then choosing the candidates that are most suitable for a particular position (Wood 2009). 2.3 Training and development as related to modern HRM The role of Training and development in the development of effective HRM plans cannot be denied. Still, the involvement of T&D in HRM has not been always critical. Indeed, in the past, T&D was rather under-valued, emphasizing on the decisional power of the employer in regard to the management of all employee issues (Werner and DeSimone 2011). Since 1970s a different trend in T&D appeared (Werner and DeSimone 2011); the specific process was altered incorporating plans for ‘the participation of employees in coaching and decision-making’ (Werner and DeSimone 2011, p.8). The assignment to employees of tasks that are rather difficult and the success of which is not necessary, these are the so called ‘stretch assignments’ (Jackson, Schuler and Werner 2011, p.275), is a common technique of T&D in the workplace. In the above case, employees are not expected to complete these assignments but just to develop their skills by trying to develop the various phases of the particular task (Jackson, Schuler and Werner 2011). Randhawa (2007) explains that T&D is an indispensable part of HRM. It is made clear that in modern organizations training schemes need to be available to all new employees, no matter their skills, at the level that every individual that enters an organization’s workforce need to be trained, even for a short period of time, in order to become familiar with the organizational environment and to be informed on the organizational culture and values (Randhawa 2007). Brewster (2012) notes that the training methods introduced in each organization are depended on organizational culture but also on the culture of the area where the organization is established (Brewster 2012), at the level that the ‘learning styles of individuals are usually influenced by these persons’ culture’ (Brewster 2012, p.60). 3.0 HRM in Tesco 3.1 Overview of HRM in Tesco Tesco highly emphasizes on the effective management of its human resources. In the organization’s website the HRM of the firm is analytically presented and guidelines are given to potential candidates in regard to the firm’s recruitment and selection process (Tesco 2013, Recruitment and selection process). In the part of the website under the title ‘Careers’ the HRM plan of Tesco is explained in all its aspects, including recruitment/ selection and T&D. In general, the firm’s HRM strategy can be characterized as rather simple but quite effective, being based on the personal development of employees as contributors in the organizational success. 3.2 Recruitment and Selection process in Tesco The recruitment and selection process in Tesco is organized so that the firm’s staff needs are fully covered. In Tesco the recruitment and selection process is entitled as ‘Application Process’ (Tesco 2013, Recruitment and Selection process). The particular process is analytically described in the relevant section of the organization’s website. The characteristics of this process are the following: a) Potential applicants can choose among the firm’s departments, where different selection processes can apply. In this context, the individuals who wish to be hired in the organization are given the chance to choose among the following departments of the organization: a) Stores and b) Head Office (Tesco 2013, Recruitment and Selection process). The above two categories are further divided as of the characteristics of the roles involved. For example, applicants who are interested in working in the customer services of a firm’s store need to follow a different procedure from those who are interested in a managerial role. The former have just to visit their local Tesco store and find out the requirements of the role involved (Tesco 2013, Recruitment and Selection process); the latter, i.e. those interested in a managerial position, need to check the firm’s website for the availability of such positions and then send their CV for a first evaluation (Tesco 2013, Recruitment and Selection process). If they meet the criteria related to the position involved, then they will be asked ‘to visit the firm’s assessment centre in Central London’ (Tesco 2013, Recruitment and Selection process) for a further evaluation. The same process is used for those applicants who wish to work in one of the firm’s pharmacies. Particular processes are also established for the firm’s Head Office but also for Tesco Bank. In the case of Tesco Bank, interested candidates are primarily asked to send their CV or ‘to fill in an online application form’ (Tesco 2013, Tesco Bank, Application Process). At the next level, certain of the candidates will be asked to visit the firm’s assessment centre for an interview (Tesco 2013, Tesco Bank, Application Process). In addition, a pre employment screening needs to be developed so that the appropriateness of a candidate for one of the positions available in Tesco Bank is secured. The pre-employment screening includes ‘credit checks, Disclosure, Referencing and ID checks’ (Tesco 2013, Tesco Bank, Application Process). As of the firm’s Head Office, the potential applicants have primarily to choose among the departments of the Head Office and then participate in a recruitment process similar to that used for those interested in the firm’s managerial roles (Tesco 2013, Recruitment and Selection process). According to the above, the recruitment and selection process in Tesco is differentiated according to the type of the department involved and according to the skills required. This practice is considered as quite effective, making the firm’s HRM strategy unique compared to its competitors. According to Bach (2009) HR managers are allowed to choose the methods that consider as most effective for identifying the appropriate individuals for each vacant position. This means that the recruitment and selection process of Tesco, as in its current form, is highly related to the choices of the firm’s HR managers. In the case of Tesco the above view is not fully verified because of the following reason: Tesco is an organization that highly emphasizes on ‘trust and respect’ (Tesco 2013, Careers, Our culture) as core elements of the relationship between the organization and its employees. In this context, the recruitment and selection process of Tesco is expected to be carefully designed so that the skills of applicants are carefully evaluated, ensuring equality and fairness. This fact is reflected in the firm’s market image as an employer. Indeed, according to a report published in Telegraph in 2011, Tesco is currently considered as ‘Europe’s biggest private sector employer employing about half a million people worldwide’ (Wallop 2011). Even during the current recession, Tesco has been able to keep its recruitment rate high, being a preferred destination for thousands of applicants internationally (Poulter 2012). In March of last year, Tesco developed a major recruitment plan, aiming to increase its existing labour force by 20,000 jobs, a figure which is really impressive if taking into consideration the pressures related to the UK retail sector (Poulter 2012). The feasibility of the above initiative has been secured through the following strategy: a significant part, about half, of the new jobs ‘will be based on the expansion of the firm’s existing apprenticeship programme’ (Poulter 2012). In this way, the firm aims to help the state to face the continuous increasing level of youth unemployment (Poulter 2012). The above facts prove that Tesco has managed to develop a quite effective recruitment and selection process securing all levels of its operations worldwide. 3.3 Training and development in Tesco, description and evaluation Particular emphasis should be given on the firm’s development programmes. At a first level, the development programmes available in Tesco are categorized as follows: a) A-level entry programmes (Tesco, 2013 Training and development) which aims to support employees who enter the job market for the first time; this programme is further divided into two parts, aiming to help those who will work in one of the firm’s stores and those who have been hired as managers; b) Commercial Development programmes, available to the employees of the firm’s Head Office who need to develop their career ‘but not through University’ (Tesco, 2013 Training and development); c) the Trainee Management Programme has been designed for the employees in the firm’s stores who want to improve their position in the organization (Tesco, 2013 Training and development). The Trainee Management Programme of Tesco is part of the firm’s Stores Development Programmes, a scheme that aims to help employees across the firm’s stores to improve their position in the organization. It is clear that the Development Programmes of Tesco have been designed in such way that the needs of all employees in regard to their personal development are covered. In this way, employee motivation is kept at high levels, securing the continuous growth of the organization. The development programmes of Tesco would be evaluated using existing literature. Organizations that highly value HRM are more likely to allow to their employees the development of initiatives and the participation in the decision making process (Werner and DeSimone 2008). The training programmes of Tesco, as presented above, are based on the specific idea. Reference can be made, as an example, to the Trainee Management Programme of the organization. The requirements for the applicants who wish to participate in this programme are described in the organizational website as follows: ‘You're ambitious. You're driven’ (Tesco 2013 Training and Development). It is clear that in Tesco individuals who are able to take initiatives and participate in the decision making process are highly valued. This fact is expected to benefit the organization not just in the short term but also in the long term, an assumption based on the view of Werner and DeSimone (2008) that organizations that highly promote HRM tend to attract highly qualified applicants (Werner and DeSimone 2008). In this way also, it is secured that the values of Tesco will be effectively promoted, at the level that the organization shows its respect for employees’ personal development. Of course, it is necessary that the specific HRM strategy is secured in the long term, a fact that can be guaranteed only if the firm’s HR managers have important leadership skills, being able to promote the values of their organization, as reflected in the efforts of the firm to respond to employees’ needs (Hendry 2012). As of their range, the training programmes of Tesco can be also characterized as effective. According to Jackson, Schuler and Werner (2011) T&D, as a process, has a particular target: ‘the improvement of the present and future employee performance’ (Jackson, Schuler and Werner 2011, p.275). This target is achieved through a series of training programs that are appropriately customized to the employees’ current skills but also to the organization’s needs (Jackson, Schuler and Werner 2011, p.275). As explained above, in Tesco, the training programmes have been categorized, according to the skills of the target employee group. In this way, all employees are able to participate in these programmes and to enhance their competencies. Under these terms, the training programmes of Tesco can be considered as highly valuable, both in terms of their content and their structure, addressing the needs of employees but also the needs of the organization. 4.0 Conclusion Introducing effective HRM practices can be a challenging task even for highly experienced HR managers. In regard especially to the Acquisition and Development of employees, as part of HRM, the following issues should be highlighted: a) not all firms are able to support effective HRM plans, either due to the lack of funds required or due to the lack of skills of HR managers involved in the relevant initiatives, b) the effectiveness of HRM plans cannot be guaranteed, especially when referring to organizations the position of which in the market is not stabilized, c) the Acquisition phase of each HRM plan is usually considered as the most important part of the plan, as it is related to the staffing of organization with employees who can respond to organizational needs; however, through the decades it has been made clear that the Development phase of a HRM is also important, ensuring that employees’ skills are aligned with organizational goals and that employee morale is kept high on a long term basis, d) there are different techniques for promoting effective plans related to the Acquisition and Development of employees; each firm should choose the plan which is more feasible and which can contribute in the growth of the organization, either in the short or the long term. In the case of Tesco such practice has been used. The firm’s HR managers have managed to identify a HR plan that focuses on effective Acquisition and Development practices. In this way, the firm is able to attract the employees required for the achievement of organizational goals. At the same time, employees are highly valued, a fact that keeps their motivation quite high. References Amos, T., Ristow, A., Pearse, N. and Ristow, L., 2009. Human Resource Management. 3rd ed. Cape Town: Juta and Company Ltd. Bach, S., 2009. Managing Human Resources: Personnel Management in Transition. 4th ed. Hoboken: John Wiley & Sons. Brewster, C., 2012. Handbook of Research on Comparative Human Resource Management. Oxford: Edward Elgar Publishing. Compton, R., Nankervis, A. and Morrissey, B., 2009. Effective Recruitment and Selection Practices. 5th ed. North Ryde: CCH Australia Limited. Hendry, C., 2012. Human Resource Management. London: Routledge. Jackson, S., Schuler, R. and Werner, S., 2011. 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