Unit 3 Human Resource Management Assignment Sample-BTEC-HND Level 4

Purpose and scope of Human Resource Management resourcing organization with talent and skills

The purpose of human resource management is to select and train the best employees. Hold employees to the company for longer periods. HRM takes necessary actions for developing the skills and capabilities of the employees. HRM contributes to the productivity of the employees so that they can create value for the company.

Within HRM there are two main sectors, recruitment, and training of the employee. This involves the training, development, and education within the organization. Progress in the organization depends on these two sectors.

Vital functions of the HRM within the organization are as follows:

  • Research and Development of Human Resources
  • Planning, training, and selection of Human Resources
  • It analyses organizational goals and provides adequate human resources to meet the goals.
  • To keep the best employees, and provide them lucrative compensations. It will make them stay with the organization for longer periods.
  • HRM activities include the development of culture, corporate plans, and activities. They act as a consultant, facilitator, and initiate modifications in marketing plans.

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Compare best fit and best practice Human resource management policies

The best-fit approach states that human resource management policies should include rewarding policies. Best- practice approach states that rewarding should align with the marketing strategies of organizations.

The best practice approach improves the performance of the employees and motivates them for the same. Best fit results in the achievement of the competitive advantage of the company.

Hard and soft models of HRM

Hard HRM

In Hard HRM, employees get utilized as resources of the corporate associations. They establish a strong connection with business planning. In the Hard HRM model, human resource management focuses on the needs of the task force, recruiting and managing professionals as per organizational needs.

Soft HRM

In soft HRM, employees get treated as one of the primary resources of the organization and help the business to gain a competitive advantage. In this model, HRM would focus on satisfying the needs of the employees based on their responsibilities and roles with added benefits of appraisal and reward system.


What are the sources of recruitment?

External recruitment is when a company like Kingfisher Airlines hires from external sources through advertisements and agencies.

Internal recruitment is when the company looks for hiring staff from referrals of its existing employees.


Three categories of Validity include criterion validity, content validity, and constructs validity.

Analyze the strengths and weaknesses of recruitment approaches

  • Employees of the organizations feel motivated when they realize that better skills pay off to them. So, they focus on improving skill sets to achieve this.
  • Employees try to give their best on the job. As a result, their performances improve.
  • They take the training program seriously, so the return from the training program is noticeable.

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Effectiveness of the key elements of Human Resource Management in an organization

  • Conflict resolution: Conflicts arise in the course of business. HRM practices reduce the conflicts among the employees in an organization. For instance, employees of Tesco, so that conflicts related to compensation get minimized.
  • Reduce employee turnover: Human resource management follows certain strategies to cut employee turnover providing them care and support. If the employee turnover ratio rises, the cost related to training and hiring employees will be high and the performance of the organization will lower down.
  • Improve performance: Improved employee performance helps organizations to achieve a competitive advantage. On-job training facilities and feedback improve employee performance. Human resource management of companies like Tesco offers updated and latest information, and training facilities to the employees, so that their contribution to the firm increases.
  • Budget planning: Human resource management policy contributes to controlling the company’s budget. Budget planning of an organization gets executed by the human resources. Employees control resources, companies should provide them with better facilities, so they use the resources in the best way possible.

Effectiveness of HRM Practices in increasing the productivity and revenue generation

Tesco offers on-job training facilities and support in varied forms so that the employees can give their best on the job. For example, Tesco provides simulation training and real-world scenarios of current trends, information about choice, and needs of customer needs.

Tesco offers varieties of benefits and compensation so that it retains the employees for a longer period. It results in reduced training and hiring costs, which increases the company’s profits by minimizing the operational expenses.

Human resource management of the organization sets measurable goals for the team members and individual members. Compensation benefits vary from time to time depending on the business environment. It inspires the employees to work hard, and take interest in the training program.

Human resource management organizes and manages the employees, enhancing employee relationships. effective communication among the task force allows increasing knowledge in the respective fields.

HRM streamlines aspects of Human Resource Management with the dual benefit of reducing the workload and increasing departmental efficiency by standardizing HR practices. Currently, human resource management comprises the following models.


It refers to the organizational structure That includes designation, employees, department, and organization changes like Termination, promotion, resignation, and Transfer

  • Payroll: This human resource management module automates payment by Collecting data such as employee performance, attendance, Taxes, deductions, and generating a regular paycheck. Utilizes data from human resources And timekeeping modules to test the report Writing abilities. This module encompasses all the employee-related information and integrates it with the financial management systems.
  • HR management information system: Human resource management modules include crucial HR aspects from recruitment to retirement. This module keeps track of basic demographic information And addresses skills, Development budget planning Records, and related activities. HRM function incorporates training, recruitment, compensation, and development of human resources of an organization.
  • Time and attendance module: It incorporates time tracking activities Improves the productivity of the organization by eliminating manual processes and paperwork related to time and attendance needs. This module improves workforce management and maximizes efforts in the enforcement of attendance policies.

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Internal and external factors that affect Human Resource Management decision-making

From HRM perspectives, many external and internal factors influence day-to-day activities. A well-organized marketing strategy considers external factors that have an impact on the department.

External factors that affect HRM decision-making

The personnel manager cannot perform his activities alone, as several factors affect the workflow Dynamics. The environment forms the Macro context, and enterprise is the micro Entity.

Each of the external factors can Independently or in combination affect the hrm decision-making. Of primary importance, External influences of labor markets, economic Conditions, Labour unions, laws, and regulations.

External factors that influence HRM decision-making include Socioeconomic, legal, socio-cultural, And professional associations. These factors influence HR Management in different ways.

Economic factors

Economic factors give shape and form to the Development of economic activities and Factors like economic policies, economic conditions, and various factors of production including human resources.

Of these, factors that have a direct influence on Human Resource Management include workforce market conditions, task force and population, and Inflationary pressures.

National income

National income (aka income Per capita) affects the salary structure at the macro level. Employers need to align the wage or salary structure with that of the Macro level. It is the factor that brings about changes in salary structure in developing countries and Economically advanced Nations.

Socio-economic factors

Socio-economic factors affect different aspects of organizational operations. From the perspectives of human resource management, expectation, beliefs, Desires, Social customs at a given Moment are of utmost importance.

these factors determine the following

  • Expectations of the society from business organizations.
  • Perceptions towards the achievement of goals
  • Workforce dynamics
  • The role played by the community In managing the human resources

From the viewpoint of social-economic factors, organizations can perform better if they human resource management practices based on the needs of these factors.

  • Career development: To reduce employee turnover, Companies need to adopt Strategies for employee career development.
  • To make all employees special, Organisations need to share the plan with every staff member.
  • Government Regulations: With the introduction of new workplace compliance standards, human resource management is under constant pressure to follow guidelines. Regulations affect HRM processes including termination, hiring, compensation training, and more. If the organization doesn’t abide by the legislation, it will get penalized. In the worst case, it might cause the organization to shut down.
  • Technological Innovations: as new technologies get introduced, HR starts looking for ways to downsize and save money. A job role that needs two to four people, can be cut down to one managed by an individual. Technological advancements are revolutionizing the way we are doing business. It is not only from the consumer perspective but also from internal cost-savings.
  • One of the important factors that affect HRM decision-making is the Current Economic Condition. It not only affects the Talent pool but also Affects the Company’s capacity to recruit people. The best way to prepare for economic conditions is to acknowledge things that happen in the external environment. To create effective plans When there is an economic downturn.
  • HR Dynamics: The older generation leaves and the New generation assumes job responsibilities.
  • HRM needs to Look for ways to attract fresh talents. They develop new sourcing strategies and offer compensation strategies that attract fresh talent. At the same time, they should offer a working environment to maximize the productivity of the task force.

Individuals involved in Human Resource Management do more than hiring and firing. They consider all external factors and proper procedures, to avoid legal issues, sanctions. The manager of an organization needs to pay close attention to the external factors. External factors affect their job and the company.

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Strategies for improving and developing engagement and employee relationships

Strategies should include

  • A survey for accessing employee engagement
  • Focusing on Employee engagement at the Departmental and organizational levels.
  • Training of the managers and holding them Responsible for employee engagement
  • Selecting and training the right employees
  • Employee relations and legislation

Employee relation law got enacted when globalization Spread across the world. This term brought about changes in the HR dynamics.

Workplace equality

fair wages and hours: this law got enacted to correct conditions in the wages and hours of an employee. like Kingfisher

Benefits of different HRM Practices

There are many benefits to implementing different HRM practices within an organization. Some of these benefits include:

  1. Improved employee productivity and performance – When employees feel valued and appreciated, they are more likely to be motivated and perform at their best.
  2. Increased employee engagement and satisfaction – Engaged employees are more likely to stick around and be loyal to an organization. They are also more likely to be productive and contribute positively to the workplace culture.
  3. Enhanced employee retention – Retaining employees can save an organization money in the long run, as it costs less to keep existing employees than to constantly train new ones.
  4. Improved organizational communication – Effective HRM practices can help to improve communication between employees and management, which can lead to a more harmonious workplace.
  5. Strengthened employer-employee relationship – A good employer-employee relationship is essential for a productive and positive workplace. HRM practices can help to build this relationship and foster trust and respect between both parties.

Improving employee turnover ratio

High employee turnover can affect organizational efficiency and harm the reputation of the Business. The HR department works to improve the employee turnover ratio. Employees are valuable assets of an organization, and recruitment is a time-consuming process. At times it is found that employee turnover costs twice as much as hiring a new Person and training them to replace the one. So employee turnover is unpleasant and cost-inefficient for a healthy working environment.

HR plays an important role in Building values and culture in an Organisation

The performance of employees depends on the culture and environment of a business organization. The HR department creates a responsive working environment that favors productivity. A safe and hygienic working environment creates job satisfaction and brings the best out of the employees.

HR is responsible for maintaining a good interpersonal relationship with employees

It is the responsibility of the human resource management to establish a good interpersonal relationship.

HR managers are responsible for conducting Seminars, meetings, and other official gatherings on behalf of the management. Apart from the core responsibility, managers render a helping hand to develop marketing, business plans for the organizations.

This section imparts knowledge of how the HR department helps in managing and building an organization. So, organizations place greater importance on forming and maintaining an effective human resource Department.

Disruptions and conflicts are inevitable in an organization. When there are two individuals, there is a likelihood of conflict, and the stakes get higher as the number of individuals increases. Even for healthiest relationships Chances of going through conflict in interest. Similar is the case for task force conflicts and disruption that would be either internal or external. Human resource management plays an important role in minimizing the chances of internal conflicts in an organization.

the HR manager takes appropriate measures to resolve contention systems that involve a group of people sharing the same resources. HRM also deals with one-to-one conflicts that could arise between employee and employer.

Planning and executing changes in marketing strategies

It is the sole responsibility of the HR department to stabilize form amidst a constant change in the economy and environment.

The HR managers make employees understand responsibilities considering the perspectives of the organizations.

It involves bridging the gaps between employers and departments in an organization and having people talk about certain circumstances. The HR department Uses this to develop marketing plans based on changes in the workflow economy and Reassuring the staff in times of disaster and downturn.

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