Human Resource Management - Essay Example

Human Resource Management Table of Contents Table of Contents 2 Introduction 3 Part 3 Task One 3 Distinguish Between Personnel Management and Human Resource Management 3 Assessing the Function of HRM in Contributing To Organisational Purposes and Analysing the Impact of the Legal and Regulatory Framework on HRM 4 Task Two 5 Reason for cessation of employment within an Organisation and Analysis of the employment exits procedures along with the Impact of the Legal and Regulatory Framework 5 Part 2: 8 Task Three 8 Reasons for Human Resource Planning for both Tata Group and Ford Motors 8 Comparison between the Recruitment and Selection Process of Tata Motors and Ford Motors and Its Effectiveness 10 Task Four 11 Effectiveness of Motivational Theory and Reward System 11 Critical Reflection and Conclusion 13 References 15 Introduction This essay intends to draw clear distinction between personnel management and human resource management, and also highlight the responsibilities of line managers in human resource management. Apart from this, the essay will evaluate the function of human resource management that contributes to the effectiveness to an organization. At the same time, impact of the legal and regulatory framework in case of human resource management will be evaluated. In addition, reasons for terminating employees from an organization will be analysed. Furthermore, this discussion will also analyse the reason behind human resource planning and will also outline the stages involved in the process. The role of reward in motivating and retaining employees will be judiciously evaluated. Part 1: Task One Distinguish Between Personnel Management and Human Resource Management Human resource management (HRM) is a practice through which an organisation can control and supervise their workforce. In order to define good practice of human resource management, it can be stated that this HRM is embrace by an organisation to attract potential individuals towards the organisation for working purpose. Apart from this, human resource practice helps an organisation during selecting and training new employees. Moreover, the practice of HRM also facilitates in supervising organisational leadership and culture (Mullins, 2007; Armstrong, 2006). On the contrary, personnel management is a method through which organisations eventually maintain people and their workforce in order to establish satisfaction relationship within the organisation. Moreover, through practicing personnel management an organisation can ensure commitment of its people and employees to contribute their participation towards the organisation in order to attain organisational goal (Aswathappa, 2005). In order to evaluate the role and responsibilities of line manager, it can be apparently affirmed several individuals and even a team can be work directly under the line manager. Simultaneously, most of the managers who are controlling few individuals or a team also took order from the supervising authority. Thus, it can be evidently asserted that line managers need to maintain their appropriate role along with several responsibilities which is conveyed by the high level management in order to accomplish organisational goal smoothly. According to define the role, it can be stated that the actual role of a line manager is to lead its team sincerely. Consequently, the responsibilities are to convince people according to the requirement and monitor the entire work process with dedication. Apart from this, there are few key roles of a line manager such as managing operational cost, providing technical support, evaluating the quality of the product and/or services and allocating work among subordinates. Moreover, line managers also need to deal with customers or clients in order to raise the business performance. Additionally, measuring operational performance, building operational level strategies and implementing those strategies are the most essential responsibility of a line manager in an organisation (López-Cotarel, n.d.). Assessing the Function of HRM in Contributing To Organisational Purposes and Analysing the Impact of the Legal and Regulatory Framework on HRM According to the observation, it has been witnessed that HRM within an organization are required to perform diverse functions which involves recruitment, selection, training and development of employees. HRM through effective performance of its functions such as recruiting people, providing training and development facility to the employees enables organisation to accomplish its broad objective. Apart from this, HRM concept also helps an organisation to raise its performance level via motivating employees and offering rewards and bonus to the employees. According to the research, HRM within an organization is influenced by the legal and regulatory framework to a considerable extent. Over the years, it has been observed that organisations are required to comply with several legislations in order to ensure that the recruitment process is fair and in equal for everyone. At the same time, there are several laws being enacted by the government across the globe that restricts discrimination of employees based on sex, religion, gender or any other grounds. Moreover, during remunerating those employees’ organisations must have to maintain certain clauses, which are bound by the legal regulation. Thus, it can be evidently asserted that the impact of the legal and regulatory framework on HRM is highly prominent (Jones & Bartlett Learning, n.d.). Task Two Reason for cessation of employment within an Organisation and Analysis of the employment exits procedures along with the Impact of the Legal and Regulatory Framework According to observation, it has been perceived that in order to terminate an employee an organisation need to follow legal and regulatory framework to make the process smooth indeed. As per the most of the continental legislation, it suggests that during termination process an organisation need to provide respect and dignity to the terminated person. On the other hand, in the circumstance of cessation of employment, organisation needs to be conscious about financial and other issue in order to avoid legal consequences. Similarly, during the cessation of employment an organisation need to express the reasons behind the cessation clearly. Otherwise, it can affect co-workers, which can lead massive problem in terms of achieving the organisational goal (Netgain, n.d.). Consequently, in order to identify the reasons for cessation of employment within an Organisation it can be asserted that it may be due to various reasons such as the poor performance of the employee, breach of organizational established norms and standards and unfavourable economic conditions for the organization like economic crisis. If an employee consistently performing poor then it can hamper the organisational objective. During this circumstance, an organisation needs to keep entire performance records of that employee and the organisation needs to advice that employee in order to rectify his/her performance within a reasonable amount time. Instead of that if the employee has failed to make that necessary improvement then the organisation can terminate that employee due to poor performance (Netgain, n.d.). Apart from this, organisations have the privilege of terminating an employee due to several occurrences such as theft, dishonesty, making discriminatory conduct towards others and for being intoxicated during workplace (Netgain, n.d.). Moreover, an organisation can cease employment during restructuring organization or crisis situation. According to the observation, it has been explored that several organisations have taken cost saving measure during the economic downfall and downsizing large number of employees at a time (Netgain, n.d.). Besides, all of these it has been observed that an employee also have the privilege of leaving an organisation according his own choice. In this case, the employee has to issue a described letter, where he/she must have to mention that according to own interest the he/she willing leaving that organisation. Apart from this, during this kind of circumstances an employee has to serve for a certain period of time as specified in the employment terms and conditions with that particular organisation in order to provide them the opportunity of finding an alternative employee for that position (Netgain, n.d.). Part 2: Task Three Reasons for Human Resource Planning for both Tata Group and Ford Motors Recently, it has been observed that several enterprises believe that human are the greatest asset of modern days organisation. In recent days, most of the organisations are operating their business in global market and have diverse needs to be fulfilled in order to sustain business effectively. Thus, in absence of human resource it will rather difficult for a business firm to conduct and control business activities in regular basis such as, in case of arranging raw material, performing business transaction, communicating with the stakeholders and dealing with the customers among others. It has been also observed that globalization and technological advancement have changed the traditional trend of business procedure. Instead of that the importance of human has remained at same level. On the contrary, responsibility of human resource has increased. Thus, organisations have concentrated on human resource management and human resource development in order to maximize the efficiency level of the organisations. Both the companies i.e. Tata Group and Ford Motors are not exception from this concept. In order to identify the Tata group’s human resource planning it has been observed that during the early 21st century the company has rapidly started expanding their business in global market and in order to do so the company has realised the importance leadership development. At the same time, the company has also realised in order to accomplish growth and maintain sustainability the company needs to develop its people. Moreover, the company has also realised that human resource planning can also help them to maintain its competitive advantages in global market. Thus, Tata group has concentrated on human resource planning significantly (Tata Sons Ltd, 2013). Similarly, Ford Motors has also focused human resource planning in order to accomplish organizational and long term profitability. In accordance with Jackson and Schuler (1990), during the year 1979 the former president of Ford Motors Philip Cardwell has realized that the company needs to develop a new style of human resource management in order to attain the organizational goal of producing high quality vehicles at in a cost efficient manner. Simultaneously, the top management of Ford Motors has effectively and aggressively taken initiatives to increase the employee engagement with the organization. Since that period the company has been only emphasizing to increase the participation from its own workforce (Jackson and Schuler, 1990). Ford Motor Company has faced several difficulties during the last decade and the company has also incurred huge loss due to its costlier products than its competitors. During that phase the company has terminated approximately 20,000 employees. Simultaneously, the company has involved in human resource planning process. In order to meet the organisational goal, the company has defined the current business and a mission. Apart from this, the company has also evaluated the internal and external strengths, weaknesses, opportunities and threats. Moreover, the company Ford Motors has also formulated a new business statement. Simultaneously, the company has also translated the mission into strategic objectives. And the company has started implementing those strategies in order to meet those predetermined objectives (Prenhall, n.d.). On the other hand, Tata motors have emphasised to initiate human resource development program during the year of 2006. Especially the company has focused on leadership and the action of human resource manager in order to increase its efficiency and fulfilment desire objective. In order to do such, the company has developed a three step process for filtering their employees evaluating purpose. During this phase, the company assigned a certain project for the fast three month. Apart from this, the company has also assigned their employees to work in the corporate domain for eight weeks. Then the top management analyses and evaluates its employees’ performance and according to that the company appoints its employees in order to meet organisational goal significantly (Tata Sons Ltd, 2014). Comparison between the Recruitment and Selection Process of Tata Motors and Ford Motors and Its Effectiveness In order to describe the recruitment and selection process of Tata it can be asserted that the company usually recruit and select employees through the traditional approaches. According to the observation it has been identified that the company use its own website for gathering large number of applicant from the domestic market and international market. Apart from this, the company also relies on several business consultants, who eventually supply skilled and knowledge holding candidates from national and international market. Moreover, the company has also relied on several educational institutes, in order to identify appropriate candidates for its business operational purpose (Tata Sons Ltd, 2014). Similarly, Ford motors are not the exception of this approach. According to the observation, it has been exposed that over the years, the company also try to attract its workforce from its own website and apart from this the company also relies on third parties such as job consultancy, colleges and university among others. It has been also observed that both the organisation generally apply similar kind of approaches such as written test and interview in order to evaluate a candidate. Moreover, both the organisations also examine medical fitness of a candidate before appointing as an employee (Jackson and Schuler, 1990). From the analysis it can be evidently asserted that both the company Tata motors and Ford motors uses similar recruitment and selection process. Beside, both the companies have been benefited for developing their human resource planning process. It has been observed that good practice of human resource management has improved the organisations outcome level. One the contrary, due to good recruitment process, employees have become more satisfied and loyal towards their organisation. Additionally, human resource planning process has been influenced the business outcomes of both organisations through improving productivity and financial performance. Thus, it can be evidently asserted that investment on the human resource planning process and development purpose was the comprehensively successful selection for both the organisations (Rioux and Bernthal, 1999). Task Four Effectiveness of Motivational Theory and Reward System In order to describe the motivational theory, it can be asserted that Maslow’s hierarchy is one of the significant motivational theories, which can influence workforces in order to perform better. According to the analysis it has been observed that organisations have concentrated on human resources planning process in order to maintain the competitive advantages in the market place. Similarly, in accordance with Fransson and Frendberg (2008), motivation and reward system has helped an organisation in order to increase the performance level of the organisation (Fransson and Frendberg, 2008). Simultaneously, according to Mikandel (2010), the concept of motivation is related with the psychological process which can be done through fulfilling a specific need or desire of an employee. Apart from this according to him an employee can be motivated through providing better work environment (Mikandel, 2010). According to the observation, it has been explored that employer can motivate employees through the help of several other factors such as praise, promotion, reward and incentive among others. As per the observation, it can be asserted that an employee can be motivated through the help of personal satisfaction and please such as responsibility and freedom to lead among others. This motivational approach can be asserted intrinsic motivation. On the contrary, an employee also can be motivated by rewards such as money, incentive and grades among others. This motivational approach can be asserted as an extrinsic motivation. As per the observation it has been identified that both Ford motors and Tata motors have utilised motivational theory and reward system in order to influence their worker to perform better. According to the observation, it has been exposed that reward system and motivational theory has been effectively increased the involvement of the employees significantly. Thus, as a positive effect both the organisation has able to maintained its competitive advantages in the global market. Moreover, these organisations have also improved the quality of their products and/or services through the help of motivational theories. Thus, it can be asserted that Maslow’s hierarchy is one of the significant motivational theories and it can be also recommended that Tata motors should utilized this motivational theory in order to motivate its employees significantly through fulfilling the needs of the employees. In order to identify a particular method for job evaluation, it has been observed that performance appraisal is the best out of the various alternative methods. Because, it can be asserted that performance appraisal is the platform where the actual performance and expected performance can compared. On the other hand, top level management can also monitor each and every employee’s performance on a regular basis. Moreover, through performance appraisal a candidate can also evaluate its own performance and accordingly concentrate on his work. Thus, performance appraisal at a regular interval can be asserted as a most appropriate method of job evaluating. Critical Reflection and Conclusion From the above study it has been prominent that human resource management has contributed its effectiveness in order to meet the organisational purpose. In addition, it has been also observed that the impact of law and regulation is very significant in case of human resources management. Apart from this, during the study it has been observed that how organisations manage its workforce ethically and the study also shown the impact and reasons for cessation of employment from an organisation through marinating the legislative rules. Moreover, from the discussion it has been also observed that how the organisation likes Tata Motors and Ford Motors effectively maintained their human resource planning process. Furthermore, the study has also highlighted that how these organisations use motivational theory and reward system in order to influence their employees for better performance. Similarly, it has also shown that the organisation utilise reward system as a strategic planning in order to motivate and enhance the performance of the employees. Thus, it order to conclude the topic, it can be evidently asserted that human resource planning and development approaches have become a new dimension for the modern organisations, which can contribute its efficiency toward increased performance of the business firms. References Armstrong, M., 2006. A Handbook of Human Resource Management Practice. Kogan Page Publishers. Aswathappa, K., 2005. Human Resource and Personnel Management. Tata McGraw-Hill Education. Fransson, T. & Frendberg, G., 2008. Motivational Aspects, Benefits and Pitfalls of a Reward System in a Small Shop-Floor Business Unit. Jönköping International Business School. [Online] Available at: http://www.diva-portal.org/smash/get/diva2:3633/FULLTEXT01.pdf [Accessed June 08, 2014]. Jackson, S. E. & Schuler, R. S. 1990. Human Resource Planning. American Psychological,Vol. 45, No. 2, 223-239. Jones & Bartlett Learning, No Date. The Legal Framework of Contemporary Human Resources. Chapter Overview. 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