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Purpose and Functions of Hrm

University: REGENT COLLEGE

  • Unit No: 3
  • Level: Undergraduate/College
  • Pages: 19 / Words 4811
  • Paper Type: Assignment
  • Course Code:
  • Downloads: 1521
Organization Selected : Amazon

INTRODUCTION

Human resource management has been defined as an approach to effective management of people who are present in organizations as they help the business to gain competitive advantage (Al Ariss, Cascio, and Paauwe, 2014). Further, it has been designed to maximize the performance level of a particular individual that later helps in meeting the strategic goals and objectives of a particular company. Thus, in the following report, Amazon has been taken into consideration. It is an American electronic commerce and cloud computing that is situated in Seattle, Washington.

Thus, in this report, the purpose and functions of HRM have been discussed in detail. Along with these strengths and weaknesses, different approaches have been analysed. Furthermore, the benefits of different HRM practices and their responsibility in raising the profit of Amazon and also increasing its productivity have been explained. In addition to this, this assignment also highlights various elements of employee legislation and its impact on HRM decision-making, and applications of HRM practices have been illustrated in this whole report.

LO 1

P1. Purpose and Functions of Hrm, Applicable to Workforce Planning and Resourcing.

Human resource management is typically referred to as allowance so that they apply the strategies that aid in bringing out the creation, productiveness, and skillfulness of the organizational workforce (Human Resource Management (HRM): Definition & Functions, 2018). The human resources management assists in creating a bridge between line management and the workforce of Amazon and also raising employee performance to the maximum level that is related to their role in a particular administration. Thus, the purposes and functions of HRM are discussed in the below context:

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PURPOSES

  • Internal Customer Management: This is the key purpose that has to be fulfilled by HRM. Amazon's productivity depends on the quality of its workers. They mainly design the process and plan of action and then implement it that is necessary to attract, recruit, and retain a quality workforce (Albrecht et al., 2015). They also have a direct relationship with the financial performance of the cited company. Further, the importance of customer service to the stated enterprise also starts with HRM. In addition to this, they also serve customers who are involved internally and create external relationships.
  • Metrics: A successful HR manager works along line management and also with active business partners. They mainly use the metrics method to analyse the cost of resources that helps in creating more efficiency at all levels in Amazon. Thus, HR managers are concerned with measuring the outcomes of performance and conditions that facilitate desired results.
  • Cultural sensitivity: To maintain cultural awareness is also the main purpose of human resource management. Central Human resource managers respond to the needs of one or multiple divisions; they are called routinely to manage the cultural differences of Amazon. Thus, to hire candidates from various parts of the entire world, a human resources manager has to understand visas, contracts, and red tape in detail. Thus, they plan alternate strategies to anticipate delays in offering products and services.
  • Human resource planning: this process systematically forecasts future demand and supply of employees and also prepares people about the strategic goals of the organization. It also plays a significant role in serving as a link between human resource management and the overall strategic design of the cited system. It also assists in determining the ability that is required by the organization to fulfill the needs and goals of the organization and also acquires appropriate people.

FUNCTIONS

  • Recruitment and Selection: Recruitment is defined as selecting likely and competent candidates based on objective criteria for a particular position. The main aim of this process is to attract the qualified applicants and promote the unqualified candidates to bring out themselves. It is the most challenging task for the HR manager, as it requires lots of resources and attention. Amazon uses various methods of recruitment and selection to hire the most efficient employees for their organization, such as internal and external recruitment consisting of interviews, promotions, transfers, etc.
  • Training and Development: Training plays a critical role in Amazon. This helps in keeping the employees up to date in their respective positions. This also helps employees to easily understand the process and task and work accordingly by putting in their full efforts, which leads to achieving high profit and long-term success for Amazon. It acts as an attempt to improve the current and future performance of employees by increasing their ability by way of educating them and increasing their skills and knowledge to a great extent. There are various methods of training used by the organization in order to improve the performance of their employees; these methods include coaching or mentoring, group discussions, management games, on-the-job training, etc.
  • Orientation: This is the fundamental function of HRM to help new employees adjust themselves to the existing environment of Amazon. This orientation program helps the employees by knowing the duties and responsibilities assigned to them as per the position they acquire at Amazon.
  • Managing employee relations: Employees play the role of pillars in Amazon. It is a very broad concept, and maintaining it becomes very crucial for human resource management (Paillé, Chen, Boiral, and Jin, 2014). They must organize activities that may help in knowing the inner and outer level of employees and their attitude towards work. Thus, well-planned relations help in promoting healthy and balanced relationships between workers and managers. It plays a role of key that leads Amazon towards success. The organizations focus on building healthy employee relations through effective communication such as meetings, seminars, group discussions, etc. that motivate employees.

P2. Strengths and Weaknesses of Various Approaches to Recruitment and Selection for Amazon.

Impressive recruitment and selection of nominees is a science as well as an art. Institutions approach recruiting in a reactive and also proactive method that responds quickly to new job vacancies of candidates that are qualified before new positions open up (Armstrong and Taylor, 2014). Thus, the strengths and weaknesses of different approaches to recruitment and selection have been discussed as per the below context:

  • Internal recruitment is the most commonly used method of recruitment and selection in an organization; it helps in hiring employees within the organization. It includes methods such as promotion, transfers, etc. Internal recruitment is a very time- and resource-consuming method; therefore, it is highly utilized by most organisations.
  • Job descriptions: the hiring policy begins with the proper and accurate job descriptions that include all the information regarding the job, salary, tasks, responsibilities, and all additional terms and conditions that are involved in Amazon. The main strength of this is that it helps candidates measure their interest more accurately in various positions. They can also provide sensibility into which person would be more satisfied and fully utilized in special roles of a special line. The major weakness of this is that it is very challenging to create job descriptions in a start-up state. A worker of a start-up finds themselves taking on a range of duties outside their average job report often. Amazon must note all this in their first job description.
  • Skills inventory—this is the approach to finding a perfect nominee. They have to first collect the list that represents the set of skills that employees acquire in each job position. This will help Amazon in finding the most likely candidate from the pool that will help in succeeding the business (Sargeant, 2016). This approach mainly helps when there is a minimum requirement in a cited company. In this, a company may list a bachelor's degree as a demand for a particular job and may choose a masters to engage for a particular or stated position.
  • Job posting strategy—this is the part of the tabular recruitment and selection procedure at Amazon. Thus, job posting outlets help in producing the ideal candidate that the cited company is seeking or looking for. These outlets help in determining nominees that are needed for empty places in Amazon. It is also referred to as a job advertisement that includes posting advertisements related to a specific job role to recruit employees.
  • Multi-step recruitment is an organized process that provides a shallow insight into the candidates who are actually curious about the job. And those who meet the skills that are required in terms of a particular position or recruitment. This is the most difficult procedure for a business that doesn't have a human resource manager and a direct-directing manager to cooperate. Thus, it is a very time-consuming activity.

M1. Functions of Hrm: Providing Talent and Skills Appropriate to Fulfilling Business Objectives.

HRM function's role is to provide the needed support in issues that are being faced by line employees (Australian Human Rights Commission, 2016). Or those who are involved directly in producing goods and services in organizations. This department handles different functions in Amazon, as they are mainly responsible for hiring and firing employees, training workers, and maintaining or building the relationships between employees that are involved in the stated company. All these functions help in providing skills and talents that are required by the company to fulfil the targeted goals of a particular enterprise.

M2. Evaluating Strengths and Weaknesses of Different Approaches to Recruitment and Selection.

Strengths-

The major strength of various types of formulations is that the members can standardize their interests and accordingly prefer positions. This helps in motivating employees to perform their interest work accordingly, which later leads to achieving long-term prosperity and profitability in Amazon. Further, it also assists in finding an appropriate candidate for the selected position with the help of a list of skills they have.

Weakness-

As it is said, every positive aspect' comes along with some negative aspects with it. Therefore, this approach also has the negative aspect that they are time-consuming because they don't have a supervising manager with the cited company. Further, creating a job description acts as a very challenging task for Amazon.

LO 2

P3. Benefits of Different HRM Practices for Both Employer and Employee in Amazon.

HRM practices predict the execution of a particular firm. It helps in enhancing workforce ability, needs, and the chance that leads to achieving high performance in organizations and high gain (An Introduction to HRM Practices, 2017). Thus, the benefits of HRM practices have been discussed in the following:

  • Retaining qualified employees: Amazon provides an easy way and flexibility in the benefits of their members. This will benefit them from staff that are extremely qualified. Thus, with the help of these staff, they can carry off the risks and burdens of the cited organization easily without any trouble (Soutphommasane, 2015). Therefore, HRM practices are very important to retain qualified employees in a firm that helps in improving or enhancing the overall performance and productivity of the organization.
  • Encouraging positive behavior—along with easy access and flexibility—Amazon also provides a positive working environment and favorable benefits for employees through practices that are undertaken by HRM by motivating them so that they can be more productive. But if there is a negative environment, it can create dissatisfaction in employees that would later affect the growth of the selected firm. Human resource management also plays an important role in motivating employees by offering rewards to their employees, such as bonuses, promotions, etc., for their good performance.
  • Developing good relations: HRM practices help in developing and building good relationships with employees of Amazon that later help employers track the progress and access the performance so that they can take necessary actions to control them by drafting a business and marketing plan for the stated company. The various HRM activities, for example, group discussions, group activities, etc., help the employees to interact with each other and develop healthy relationships, promoting good employee relations in the organisation.
  • Building a flexible workplace—these practices that are undertaken help in maintaining flexibility in organizations. As today's workers are more diverse, they have to maintain flexibility by providing flexible workplaces along with designs of work environment, assignments, or location. This helps employees to customise aspects of their job that suit their lifestyle so that they can lead in achieving long-term success.
  • Motivating workers: Amazon provides HRM practices in order to help employees increase their thinking as being unique in their position and help employees in a positive way. Thus, it will help employees who are working under a positive manager to feel more motivated and will result in high productivity that will be done automatically after they start thinking as the most unique and innovative person in a particular position.

Thus, from the above points, we can find that HRM practices are beneficial for both employees and employers of Amazon.

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P4. Evaluating Effectiveness of Different HRM Practices in Terms of Raising Organizational Profit and Productivity.

The term HRM practices is defined as an approach that is planned to manage people to perform well in an effective manner (Bratton and Gold, 2017). Thus, good practices are instrumental that aid in achieving departmental goals and raising productivity. HRM practices have been effective for both employers and employees in terms of raising organisational earnings and ratio. Since the implementation has taken place in Amazon, it has benefited them with huge profit and productivity that has been discussed with the help of the following context:

  • Innovative and high-performing employees: HRM promotes an environment that is innovative and even motivates the workers of Amazon with better facilities. Thus, this type of initiative helps in increasing the productivity and profitability of a selected company. This also leads in achieving high brand image.
  • Effective direction setting and execution: Leaders and managers of Amazon have to set and achieve individual as well as team goals by setting effective direction, purpose, priorities, goals, and roles of the workforce. This practice aids in fledgling the manager that are proper for the place or places that are chosen. This helps them in leading Amazon to the first-rate place with high net profit and ratio.
  • Effective rewards drive performance—Amazon must reward the employees according to the performance that will drive them to perform particular tasks that have been allocated to them more seriously (Storey, 2014). This will help Amazon to achieve long-term success and profitability, as they tied monetary rewards directly to performance.
  • Team and individual goals with effective communication—Amazon has to change the process of communication in an effective way so that it helps in setting and attaining both individual and team goals. So, the HRM of the cited company must provide effective modes of communication to employees so that it leads to making the company reach the boost.
  • Sharing and collaboration—this plays an important role in making the cited company a successful one. Thus, productivity and profitability will improve directly when others feel free to collaborate tools and share ideas that are best for the growth of Amazon. This practice will help the company in developing formal methods in order to increase ways of collaboration and sharing.
  • Updating employees' skills: the HRM of the Amazon company has to update the skills of employees with proper and effective training so that they can cope with the global competition that is faced by them. They have to identify the person with less optimal skills and update it accordingly to the meeting needs and wants to face the competition.

Thus, from the above context, it can be clearly understood that HRM practices play a critical role in raising the profitability and productivity of Amazon over competitors.

Evaluation: HRM promotes an environment that is innovative and even motivates the workers of Amazon with better facilities. While effective direction setting and execution practices aid in fledgling the manager that are proper for the place or place that is chosen. This helps them in leading Amazon to the first-rate place with high net profit and ratio. On the other side, effective rewards drive performance and help Amazon achieve long-term success and profitability as they tie monetary rewards directly to the performance. Apart from this, it has been evaluated that sharing and collaboration will help the company in developing formal methods in order to increase the way of collaboration and sharing processes.

M3. Exploring Different Methods Used in HRM Practices to Support Evaluation Within Amazon.

The literature and practice of human resource management use a large number of methods and various techniques that are mainly coming from mathematics, management, and statistics (Brewster et al., 2016). Thus, it also plays important role to use these methods for human resource management redesign process. One of the methods that is included in performance appraisal is a systematic process that also helps in evaluating an individual's performance in terms of productivity with respect to a set of objectives that are predetermined.

LO 3

P5. Analyzing the Importance of Employee Relations in Respect to Influencing Hrm Decision-Making.

Human resources are the most valuable and unique assets that are available in an organisation. Successful HRM is an exciting, dynamic, and challenging task, especially when the economies of the world are in a state of flow (Collings, Wood, and Szamosi, 2018). Thus, every person in Amazon shares particular relationships with their fellow workers because there is a need to talk and discuss with others to draw perspective on decisions. Thus, the importance of employee relations with respect to influencing HRM decision-making is discussed as per the below context:

  • Work becomes easy—there is an importance to maintain the relations among the workers involved in Amazon that will later lead to an increasing chance of productivity. Thus, if works or tasks that are allotted to a particular person and shared with all the members that are involved will help the whole team in accomplishing the desired task within a particular time that has been assigned to them. If the staff has good relations with all the members of the team, they will gain the ability to assist those who need it and make a particular task easy.
  • Discouraging conflict among workers: Good relations among the workers of Amazon will help in reducing the maximum chance of conflict and fight that may occur among them. This will also help them in trusting each other and assist in performance that may lead in fulfilling goals and objectives. Thus, productivity of Amazon increases due to this, which later helps HRM in taking better decisions for the cited company.
  • Loyalty of employees: If Amazon has a pleasant and interactive environment, that will create loyal employees. They will be feeling motivated in order to perform a particular task that has been assigned and lead the company towards great success by providing great efforts. It will also decrease the rate of employee turnover in Amazon, which helps in reducing the cost of recruiting new employees to the enterprise.
  • Ensuring equality by communicating effectively—effective communication will help the cited company ensure that there is no discrimination in the company that will make them feel motivated and perform in an effective manner. This will lead to achieving desired goals that have been set by a particular enterprise. Thus, proper communication will later help in taking proper decisions that too on time.

Thus, having good relations with employees will help HRM at Amazon in effective decision-making.

P6. Identifying Key Elements of Employee Legislation and the Impact It Has Upon Hrm Decision-Making.

The term employment legislation is defined as measures of all kinds that are incidental to employment security and include measures in terms of protection, court rulings, and conditions that are collectively bargained of employment or customary practice (French and Strachan, 2015). Thus, key elements of employment legislation within which Amazon must work are discussed as per below context-

  • Disability Act, 2016- There are more than one billion people in the whole world that are suffering from physical and mental disabilities and have to face a number of challenges on a daily basis. Amazon must adopt these rights so that it will help the ones who are suffering with these challenges by ensuring them that they also have equivalent rights and opportunities like another has. This will help in decreasing the employee holding in Amazon.
  • Equal Pay Act, 2010- It has been set in terms of equality in an organisation. This act protects both man and woman in terms of sex discrimination or pay rates. Amazon must adopt this Act as it will lead in increasing women employees and also increase efficiency. This is adopted when women are paid less than man for similar role. This act is a labour law of UK that prohibits the secernment of work against anyone at-least 40 years of age in United States. This act considers security on basis of age to employees and applicants in terms of hiring, promotion, discharge, compensation or privileges of employment. The one who is older is being helped with many facilities on Amazon due to this Act.
  • Minimum Wage Act, 1998—It aid in fixing minimum rate of wages in certain employments. Here, they are set to pay minimal wages for both skilled and unskilled class. This act will assist Amazon to increase working class, that may lead in high productivity and great success for the respected business.

Thus, these acts are important in order to regulate relationship between business and employees that are involved in Amazon. By this, both employers and employees can ensure that their process of hiring, dismissal and also their workplace as a whole are very fair for each and every type of individuals.

M4. Evaluating Key Aspects of Employees Relationship Management and Employment Legislation Affecting Hrm Decision-Making in Amazon

employee relationship management system is a system of information that mainly supports the relationship between company and their employees (Marchington, Wilkinson, Donnelly and Kynighou, 2016). The main components of this system is to achieve goals of assisting employees in the whole life cycle of activity and company. Thus, employment legislation that includes the acts that have to be adopted by the cited company, that is Amazon so that the employees involved in that may feel equal and are motivated to perform well in an organization that helps in achieving long-term success and high profitability. This also helps the HRM of selected company in decision-making process in a positive way. Thus, the company has to adopt this process that will later lead to making company reach the boost and employees to work with enthusiasm

LO 4

HRM practices are defined as an approach that is planned in order to manage people towards high levels of performance in an effective manner. Thus, good HRM practices are instrumental in order to help in achieving various objectives related to departments and also in enhancing productive ratio (Al Ariss, Cascio and Paauwe, 2014). Amazon is a successful company, which shows that they have a good human resource management team that performs different practices in an effective manner. These include:

Recruitment and Selection

Amazon follows a strict process of recruiting and selecting employees, as they need competent individuals to manage tasks. Due to operations across different countries, there are a wide range of HRM present and this practice helps them in choosing best available candidates that can increase revenues and profits of the organisation (Armstrong and Taylor, 2014). They choose for outside methods of enlisting, generally through college placements and advertisements of job vacancies.

Person specification

Job details: Responsible for all the products manufacturing

Qualification: Post graduation

Experience: 2 year experience in Alix Company

Skills:

  • Marketing
  • Sales
  • Customer support

Can do work in any condition and also make my extra efforts for the sustainability of the work

Training and Development

HRM practices include training and development of worker within an organisation. Amazon's managers study and determine theories that can be used for programs that can increase skills of workers (Ogbonnaya and Messersmith, 2018). They guarantee that they choose the best available leaders that can guide employees to bring out their best potential. There are certain strategies that have been created by Amazon's HRM, which have been successfully implemented within the organization.

Management of Performance

Management of performance is another HRM practice that has been successfully adopted by Amazon. The regular monitoring and evaluation of employee performance helps in ascertaining what improvements are needed to be made so that work can be done in an effective and efficient manner (Collings, Wood, and Szamosi, 2018). It also aids in implementing motivational techniques so that employees are motivated to work better. Amazon ensures that their employees are encouraged to perform tasks while using their full potential, which enables them to achieve organisational goals.

Compensation

Appraisals or compensations have to be made by HRM and this practice is followed very strictly. It is necessary to reward employees for the work that they do, as it leads to job satisfaction. There is also a decrease in employee turnover, as Amazon is able to effectively compensate their workers (Vanhala and Ritala, 2016). Without appraisals, no one would be encouraged to work and this organisation's HRM ensures that there is complete satisfaction of employees.

Amazon has been successfully running business operations around the world, and the practices adopted by HRM show that they have taken the correct courses of action to ensure the smooth functioning of their business. They are able to recruit and select competent individuals, which has helped them in completing tasks in an effective manner. The methods through which training and development programs have been created show that HRM practices have been successful (Human Resource Management (HRM): Definition & Functions, 2018). While management of performance helps Amazon in ensuring that employees are continuously motivated and encouraged to perform better as it leads to increase in revenues and profits. Finally, HRM practice of compensation shows that proper plans have been utilised for rewarding employees for their hard work.

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CONCLUSION

Thus, from the above report, it has been concluded that HRM plays a very significant role in achieving the business objectives of Amazon, as it helps in bridging the gaps between line management and the workforce. It also leads in increasing the performance of employees by motivating them to put their effort in the selected position. Furthermore, various approaches has been discussed in this assignment that helps in analysing the strengths and weakness of them. Thus, various employment legislation acts have been illustrated that have a great impact on the decision-making process of HRM. In addition to this, it has also been analysed in this study that Amazon must adopt various legislation acts that will help them in motivating employees to perform well with enthusiasm and achieve great success in business that leads in earning high volume of profits.

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