Dilini Jeewani Cooray - HRM 01 HND in Business Management

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UnitTitle Unit 03 – Human Resource Management Assignment 01
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LO1 Explain the purpose and scope of Human Resource Management in terms of resourcing an organisation with
talent and skills appropriate to fulfil business functions.
Pass, Merit & Distinction P1 P2 M1 M2 D1

Descripts
LO2 Evaluate the effectiveness of the key elements of Human Resource Management in an organisation.
Pass, Merit & Distinction P3 P4 M3 D2

Descripts
LO3 Analyse internal and external factors that affect Human Resource Management decision-making, including
employment legislation
Pass, Merit & Distinction P5 P6 M4 D3

Descripts
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Assignment Feedback
Formative Feedback: Assessor to Student
Dear Student,
Please answer to all questions. This should be written as a study review report in business style. Use trusted
sources and need citations and references accordingly. All out comes need to be achieved.
Action Plan
15th July – July 30th , Preparation of all the documents
1st August- 20th August, Completion of LO 01,LO 02,LO 03
23rd August- 30th August Final formatting
12th September submission
Summative feedback
Feedback: Student to Assessor
I have achieved and completed all the criteria’s according to the grading criteria.
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dilini.jeewani456@gmail.com 12/09/2019
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Pearson
Higher Nationals in
Business
Unit 03: Human Resource Management
Assignment 01
5
Assignment Brief
Student Name /ID Number P.L. Dilini Jeewani Cooray
Unit Number and Title Unit 03 – Human Resource Management
Academic Year
Unit Tutor Miss. Vishaka Pathiraja
Assignment Title HR Case Study Review
Issue Date 31/07/2019
Submission Date 12/09/2019
IV Name & Date
Submission Format:
The submission is in the form of an individual written report. This should be written in a concise, formal
business style using single spacing and font size 12. You are required to make use of headings, paragraphs
and subsections as appropriate, and all work must be supported with research and referenced using the
Harvard referencing system. The recommended word limit is 2,000–2,500 words, although you will not
be penalised for exceeding the total word limit.
Unit Learning Outcomes:
LO1 Explain the purpose and scope of Human Resource Management in terms of resourcing an
organisation with talent and skills appropriate to fulfil business functions.
LO2 Evaluate the effectiveness of the key elements of Human Resource Management in an organisation.
LO3 Analyse internal and external factors that affect Human Resource Management decision-making,
including employment legislation.
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Assignment Brief and Guidance:
Scenario:
As a newly appointed management trainee of a Sri Lankan organization (you have to select an
organisation of your choice), you have been tasked with helping the senior management on the
restructuring of the department as part of an organizational change.
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The Human Resources (HR) department will be restructured based on the findings of a review report,
which you have been asked to complete. You are to review the effectiveness of the HR function within
the organisation, researching the role and scope of HR and reviewing and assessing the main HR
functions within the organisation. This has to be submitted as a case study report on how HRM
functions are applicable to workforce planning and resourcing in the organsation. Also the report should
identify the approaches used for recruitment and selection and evaluate the mentioned approaches.
The case study assessment report should cover the followings;
An overview of the organisation.

1. An explanation on the purpose of the HR function and the key roles and
responsibilities of the HR function.
2. An assessment of the approach to workforce planning, recruitment and
selection, development and training, performance management and reward systems.
3. The approach to and effectiveness of employee relations and employee
engagement, and comment on the adoption of flexible organisation and flexible
working practice and ‘employer of choice’.
4. Key areas of employment legislation within which the organisation must work.
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Grading Rubric
Grading Criteria Achieved Feedback
P1 Explain the purpose and the functions of

HRM, applicable to workforce planning and
resourcing an organisation.
P2 Explain the strengths and weaknesses of

different approaches to recruitment and
selection.
P3 Explain the benefits of different HRM

practices within an organisation for both the
employer and employee.
P4 Evaluate the effectiveness of different

HRM practices in terms of raising
organizational profit and productivity.
P5 Analyse the importance of employee

relations in respect to influencing HRM
decision making.
P6 Identify the key elements of

employment legislation and the impact it
has upon HRM decision making.
M1 Assess how the functions of HRM can
provide talent and skills appropriate to fulfil
business objectives
M2 Evaluate the strengths and weaknesses
of
different approaches to recruitment and
selection
M3 Explore the different methods used in

HRM practices, providing specific examples
to support evaluation within an
organisational context.
M4 Evaluate the key aspects of employee

relations management and employment
legislation that affect HRM decision-making
in an organisational context.
D1 Critically evaluate the effectiveness of
the recruitment and selection techniques in
two organsiations.
D2 Critically evaluate HRM practices and
application within an organisational
context, using a range of specific examples.
D3 Critically evaluate employee relations

and the application of HRM practices that
inform and influence decision-making in an
organisational context
Acknowledgement
I would like to thank the Human Resource Management for giving me this great opportunity
to do my higher studies. The complement of this study could not have been possible without
the proficiency of Miss. Vishaka Pathiraja our beloved lecture. And also I would like to thank
Mr.Reshan Fernando and Miss. Gayathri Balasooriya for giving me a great support to
complete this assignment successfully.
Secondly I would also like to thank my parents and my badge mates and others who helped
me to complete this assignment.
P.L. Dilini Jeewani Cooray

NEG/A 012711(HND in Business Management)
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Table of Contents
Acknowledgement ..................................................................................................................... 3
Table of Contents ....................................................................................................................... 4
List of Tables ............................................................................................................................. 7
List of Figures ............................................................................................................................ 8
Executive Summary ................................................................................................................... 9
Over view of the organization .................................................................................................. 10
Unilever Company ............................................................................................................... 10
Learning Outcome 01............................................................................................................... 12
1.1 Explain the purpose and the functions of HRM, applicable to workforce planning and
resourcing an organization (P1) ........................................................................................... 12
1.1.1 Introduction to HRM ............................................................................................... 12
1.1.2 Definition of HRM .................................................................................................. 12
1.1.3 Purpose of HRM ..................................................................................................... 13
1.1.4 The functions of HRM ............................................................................................ 13
1.1.5 What is meant by work force planning and resourcing? ......................................... 20
1.1.6 Purpose and function of HRM applicable to workforce and resourcing and
organization...................................................................................................................... 23
1.2. Assess how function of HRM can provide talent and skills appropriate to fulfill
business objectives (M1)...................................................................................................... 24
1.2.1. Explain what is meant by business objectives ....................................................... 24
1.2.2 Talent and skills ...................................................................................................... 24
1.2.3 Describe how functions of HRM can provide talent and skills appropriate to fulfill
business objectives ........................................................................................................... 24
1.3 An assessment of the approach to workforce planning, recruitment and selection,

development and training, performance management and reward systems (P2/M2) .......... 26
1.3.1 Explain what is meant by recruitment..................................................................... 26
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1.3.2 Different approaches of recruitment ....................................................................... 27
1.3.3 Explain what is meant by selection ......................................................................... 27
1.3.4 Different approaches of selection ........................................................................... 27
1.3.4 Advantages and disadvantages of different recruitment approaches ...................... 29
1.3.5 Advantages and disadvantages of different selection approaches .......................... 31
1.4 Critically evaluate the effectiveness of the recruitment and selection techniques in two
organizations. Make the argument with acceptable reasoning (D1) .................................... 32
1.4.1 Explanations to two selected organization .............................................................. 32
1.4.2 Explain the recruitment and selection methods approaches of the two selected
organizations .................................................................................................................... 33
1.4.3 Explain the effectiveness of each approach by stating both pros and cons ............ 36
1.4.4 Conclusion .............................................................................................................. 37
2.1 Explain the benefits of different HRM practices within an organization for both the
employer and employee (P3) ............................................................................................... 39
2.1.1 Explain what is meant by HRM practices ............................................................... 39
2.1.2 Explain the different practices of HRM .................................................................. 40
2.1.3 The benefits of HRM practices for employer ......................................................... 42
2.1.4 The benefits of HRM practices for Employee ........................................................ 45
2.2 Evaluate the effectiveness of different HRM practices in term of raising organizational
profit and productivity (P4) ................................................................................................. 47
2.2.1 Profit........................................................................................................................ 47
2.2.2. Productivity ............................................................................................................ 47
2.2.3 How different practices of HRM can raise the organizational profit and
productivity ...................................................................................................................... 47
2.3 Explain different methods used in HRM practices by providing specific examples to
support evaluation within an organizational context (M3) .................................................. 48
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2.4 Critically evaluate HRM practices and application within an organizational context
using a range of specific examples (D2) .............................................................................. 50
2.4.1 Critical evaluation ................................................................................................... 50
2.4.2 Conclusion .............................................................................................................. 55
3.1 Analyze the importance of employee relations in respect of influencing HRM decision
making and evaluate the key aspects of employee relations management that affect HRM
decision making in an organizational context (P5/M4) ....................................................... 56
3.1.1 Employee relations, Employee engagement and Flexible working practices ......... 56
3.1.2. Explain what is meant by HRM decision making.................................................. 57
3.1.3. Explain the importance of employee relations, Employee engagement and Flexible
working on influencing HRM decision making............................................................... 57
3.2 Identify the key elements of Employee legislation and HRM decision making and
evaluate the key aspects of employment legislation that affect HRM decision making in an
organizational context (P6/M4) ........................................................................................... 58
3.2.1. Explain what is meant by employees’ legislation .................................................. 58
3.2.2 Identify and evaluate the key elements of employee legislation ............................ 58
3.2.3 Impact of employment legislation on HRM decision making ................................ 60
3.3 Critically evaluate employee relations and the application of HRM practices that
inform and influence decision making in an organizational context (D3)........................... 65
3.3.1 Impact of employee relations on HRM practices that inform and influence decision
making.............................................................................................................................. 65
3.3.2 Conclusion .............................................................................................................. 67
Reference ................................................................................................................................. 68
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List of Tables
Table 1: The different approaches of recruitment .................................................................... 27
Table 2: Advantages and disadvantages of different recruitment approaches ......................... 29
Table 3: Advantages and disadvantages of different approaches ............................................ 31
Table 4: Pros and cons of approaches of selected organizations ............................................ 36
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List of Figures
Figure 1: The logo and the brands of Unilever Company........................................................ 10
Figure 2: Business Functions ................................................................................................... 14
Figure 3: The functions of HRM.............................................................................................. 14
Figure 4: Recruitment Process ................................................................................................. 16
Figure 5: Main reasons for a termination ................................................................................. 17
Figure 6: System approach to training (SAT) .......................................................................... 18
Figure 7: Functional areas of a business .................................................................................. 19
Figure 8: Workforce Planning.................................................................................................. 21
Figure 9: The logo of the Unilever Company .......................................................................... 33
Figure 11: The logo of BOC .................................................................................................... 33
Figure 12: The recruitment and selection process of Unilever Company................................ 34
Figure 13: Top 10 best HRM practices .................................................................................... 40
Figure 14: Job Analysis............................................................................................................ 49
Figure 15: Singer Logo ........................................................................................................... 50
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Executive Summary
Today Human Resources are the most valuable asset for the organization. Human Resource
Management is a very important business function because this is the most difficult asset to
maintain. Human resources are live asset which have feelings and can be developed by giving
training and rewards. So HR manager has a duty to manage human resources in right manner
and focus and lead employees to their duties to get the maximum use of human resource.
Managing human resources is not the only duty of HR manager but also HR manager has a
duty to manage other assets to get the maximum use of human resources. Managing human
resources is not only a duty of HR manager but also the duty of all the other managers. This
is a document which has pointed about importance of HRM. The main company which has
mention in here is Unilever Company. Unilever Company is a famous company in the world
and this document has compare purpose, HR function, workforce planning, business
objectives, recruitment and selection approaches, HR practices, employee relation and
employee legislation with Singer Company and Bank of Ceylon. And also in this document
has mentioned how these things interrelated and how impact on business profit and
productivity and also on decision making process. (Author Developed)
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Over view of the organization
Unilever Company
Figure 1: The logo and the brands

of Unilever Company
Source: Unilever, 2018
Unilever is a famous British-Dutch transnational consumer good company in the world.

Unilever Company’s co-headquartered is situated in London, United Kingdom and
Rotterdam, Netherlands. Unilever Company has various product ranges. Those product
ranges are,
 Food and beverages
 Cleaning agents
 Personal care products
This is a huge company which has 169000 (2017) employees work for the company. This
company operates approximately $8.857 billion (2017) operating income annually. (Unilever,
2018)
Vision
Unilever Company’s vision can divide into three aims.
 Grow the business
 Decoupling the environment footprint from their growth
 Increasing the positive social impact
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Unilever Company has a simple but clear purpose. It is sustainable living commonplace. This
company believes this is the right and best long- term way for company’s business to grow.
(Unilever, 2018)
Purpose, Values and principles

The corporate purpose states of Unilever Company succeed requires “the highest standards of
corporate behavior toward everyone we work with, the communities we touch and the
environment on which have an impact” (Unilever, 2018)
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Learning Outcome 01
1.1 Explain the purpose and the functions of HRM, applicable to workforce
planning and resourcing an organization (P1)
1.1.1 Introduction to HRM
HRM means human resource management. There are lots of assets in a company but the most
important asset is human resource because human resource is a unique asset as well as a live
asset. Managing human resources is the most difficult process in a company. The successful
management of an organization’s human resources is an exciting, lively and demanding task,
especially at a time when the world has become a global village and economies are in a state
of change. Human resources are complexity because of lack of talented resources and the
growing prospect of the modern day worker. It is true the responsibility to manage the
activities of the human resources is specific for human resource department. But actually it is
not only a responsibility of HR department but also the responsibility of all the managers of
an organization. (icmrindia.org, 2018)
So therefore it is compulsory for all managers to understand the human resources and give
importance to the human resources and respect to the different human resource policies and
activities in the organization. In HRM outlines the importance of human resources and its
different functions in an organization. HR department overlooks the various HR processes
that are concerned with HR function such as attracting, managing, motivating and developing
employees for the benefit of the organization. (icmrindia.org, 2018)
1.1.2 Definition of HRM
“Human resource management is the planning, organizing, directing and controlling of the
procurement, development, compensation, integration, maintenance and separation of Human
Resource to the end that individual, organizational and social objectives are accomplished.”
(Flippo,n.d.)
According to above definition HRM has included four main functions. Simply HRM is the
business function which provides the human capital for the organization. Planning,
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organizing, directing and controlling is the key function to maximize the productivity of an
organization by using human resources optimally. (Author Developed)
1.1.3 Purpose of HRM
Undoubtedly, human resources are the most significant resource in an organization and it is
the key resource. Human resources are the live asset it means people who work for the
organization and we call them as employees. HR department is the most important
department in an organization, because HR provides the human capital that business support
upon.
The purpose of HRM is to maximize the productivity of an organization by developing and
managing knowledge, skills, creativity, aptitude and talent of employees and using them
optimally. (Human Resource Management, 2018)
The purpose of HRM is not only restricted to manage and optimally acquire human mentality
but also managing physical and mental capital of employees. So responsibilities of a HRM
manager fall into 2 major areas.
 Overseeing department functions
 Managing employees
(Mayhew, 2018)
1.1.4 The functions of HRM
In all organizations all managers follow five main management functions. But the managers
in the HRM department follow some advance functions. (Human Resource Management,
2018)
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Organizing
Staffing Planning
Controlling Directing
Figure 2: Business Functions

Source: Author’s work adapted from HUMAN
RESOURCE MANAGEMENT 2018
•Ethical issues
•Equality of
•Working in opportunity
partnership
with functions
•Performance areas
management •Involvement
•Employee of line
relations managers
• Tasks
• Traning and
development
Figure 3: The functions of HRM

Source: Author’s work adapted from HUMAN RESOURCE
MANAGEMENT 2018
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 Tasks
Task can be divided into six processes. They are
 Selection
 Recruitment
 Payroll
 Motivation
 Rewards
 Termination
(Human Resource Management, 2018)
 Selection
This can be identifying as the process of deciding from among the applicants who can meet
the job requirements and can be offered the empty position in the organization. The different
departments of the organization make personal conditions to the HR department on their
needs through PERSONNEL REQUIREMENTFORM (PRF) properly approved by the
management concerned. (Human Resource Management, 2018)
 The position and the number required.
 The job specifications-what is required to do the job.
 The personal qualities which needed for a worker to do the job successfully.
E.g.: Work skills and Motivation, Reading and Writing skills, Applicant works Experience,
Drug Test, Verbal Skills, and Math skills.
 Recruitment
The purpose of recruitment is to select candidates who will be useful to the organization. In
this process HR department identify the true talent of the candidates and choose the right
candidate for the right job.
E.g.: Job spec, Source, Screen, Interview, Assess, Reference, Verify, Shortlist, Selection and
client interview
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Recruitment Planning
Strategy Development
Searching
Screening
Evaluation & Control
Figure 4: Recruitment Process

Source: Author’s work adapted from HUMAN RESOURCE MANAGEMENT 2018
 Payroll Administration
This is an important process. In this process surround all the tasks related in paying an
organization’s employees. It typically involves keeping track of hours worked and
confirming that employees get the proper salary. It also includes calculating taxes and social
security as well as ensuring that they are appropriately withheld and processed.
Payroll Accounting: Salary, Extra Time Salary, Wages, Medicare, Transport….
 Motivation
This is the most important process because the employees’ satisfaction is an essential thing
unless they will be unhappy about the organization and they will leave the company and join
with another company. It is a black mark for a company’s name (Good will). The reasons
may contain basic needs such as food or desired object, hobbies, goal, state, of being or ideal.
Employee motivation is an employee’s basic enthusiasm about accomplishing activities
related to work, and the cause that drive an individual to decide to take action. (Human
Resource Management, 2018)
 Reward Management
As we know rewards are seen to be of strategic importance with the overriding principle that
the policy for total rewards, including recognition, benefits and the psychological contract,
should be corporate goals, with a clear line of sight from the individual’s actions to reward
for achieving these goals. (Human Resource Management, 2018)
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 Employee Termination
This mean is when an employee’s job contract of employment with an employer ends. There
are 3 main reasons for a termination. (Human Resource Management, 2018)
Resination
•A sitution in which •A dismissal occurs
someone has to when the employer
leave their job, •The act of leaving a terminates the
because they are no job permanently a contract
longer neede letter of resignation
Redundancy Dismissal
Figure 5: Main reasons for a termination

 Training and Development

This is one of the most greatly important tasks in an organization. In this process we explain
about helping employees to become effective in their jobs. Effective Training has four main
steps. This process is famous as Systems Approach to Training (SAT). (Human Resource
Management, 2018)
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Identify training Taking account of

needs- learning
who needs theory(how people
training and what learn), design and
do they need to provide training to
learn? meet identified
needs.
Make any
Assess whether
necessary
training has
amendment to any
achieved its aim
of the previous
with regard to
stages in order to
subsequent work
remady or improve
performance.
future practice.
Figure 6: System approach to training (SAT)

 Performance management
This is the process of motivating employees through 4 steps.
1. Planning - setting goals
2. Monitoring – measuring progress
3. Recording – giving feedback
4. Auctioning – coaching for improved performance and rewarding achievements
 Employee relations
This process refers to an organization’s efforts to manage relationship between employers
and employees. A company with a good employee relations program provides fair and
consistent treatment to all employees. So employees will be engaged to their jobs and loyal to
the organization. (Human Resource Management, 2018)
 Working in partnership with functional areas
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In this process we mention that HR needs to be integrated into the whole business diplomacy.
So that managers heading respective departments (sales/marketing/finance/R&D etc.) can
acquire the full time and contract staff that they need. (Human Resource Management, 2018)
Finance and
Human Resources
accounting
Figure 7: Functional areas of a business

 Involvement of line managers

Line managers are the managers who work with employees and directly connect with
employees. And also they help middle managers to manage employees and they connect line
managers and employees together in a successful manner. So the HR managers team devices
training program which the line manager the (usually) administers. In abstract HR is part of
every manager’s job. (Human Resource Management, 2018)
 Ethical issues
This is the heart of the organization’s functions. Ethics must be part of all the principles and
activities for which HR is responsible, not just ones to which the word “Ethics” is explicitly
attached. An organization must avoid ethical-inappropriate criteria such as race, gender and
sexual orientation (Hiring). HR also gains ethical significance by embodying most of the few
tools available for managers to shape that elusive thing known as corporate culture.
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 Opportunity
This is the last function of HRM and this is very important. As a HR manager this process
means the person:
 Provide alike access to all available jobs, training and promotional opportunities
 Provide similar benefits and services to everyone
 Apply all policies and practices consistently to applicants and staff
 Do not make a distinction among applicants or employees on the basis of race, color,
national origin, religion, sex, physical or disability, medical condition, ancestry, marital
status or age.
This process can be divided into 2 types. (Human Resource Management, 2018)
 Formal equality of opportunity

Sometimes referred to as the nondiscrimination principle or described as the absence of direct
discrimination or described in the narrow sense as equality of access, is characterized by
Open call
Fair judging
An application is chosen
 Substantive equality of opportunity

In this term, sometimes called light equality of opportunity, is rather broader and more
expansive concept than the more limiting formal equality of opportunity and it deals with
what is sometimes described as indirect discrimination.
All of this information describes the purpose and the functions of HRM, applicable to
workforce planning and resourcing and organizing.
1.1.5 What is meant by work force planning and resourcing?
1.1.4.1 Work force planning
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This is a repeated process used in to arrange in a line the needs and priorities of the
organization with those of its workforce to ensure it can meet its lawmaking, narrow, service
and production necessities and organizational objectives, systematic identification and
analysis of what an organization is going to need in terms of the size, type and quality of
workforce to achieve its objectives. (Human Resource Management, 2018)
Workforce
Analysis
Monitor & Forecast

Evaluate Needs
Workforce
Palning
Cycle
Implement Analyse
Srategies Gaps
Develop
Srategies
Figure 8: Workforce Planning

1.1.4.2. The impact of good workforce planning

1. Eliminating surprises
 Rapid talent replacement
 No delays
 The right skills
 Employee development
2. Identifying problems early
3. Preventing problems
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 Lower turnover rates
 Low labor cost
 No layoffs
4. Taking advantages of opportunities

 Take advantages of opportunities
1.1.4.3. Major components of workforce planning

 Forecasting and assessment (Internal/external supply and demand)
 Succession planning (the progression plan for key positions)
 Leadership development (coaching, mentoring, rotating people into different projects)
 Recruiting (head count, positions, location, timing)
 Retention (forecasting turnover rates)
 Redeployment (deciding who is eligible for redeployment and from where to where)
 Contingent workforce (designating the percentage of workers who will be contingent and
in what position)
 Potential retirements (figuring out who is eligible, when they are eligible, who will
replace them and what alternative work arrangements are available that could prevent a
retirement problem)
 Performance Management (instituting “forced ranking” or identifying who should be
“managed out”)
1.1.4.4. Key areas of workforce planning

There are 3 main areas
 The talent forecast
This is the process for predicting upcoming changes in the demand for the supply of talent.
-Predictable increases or decreases of company growth, output and revenue.
-Estimates of the equivalent change in talent needs that comes from that growth.
-Estimates can include the number and type of employees as well as where and when they
will be needed.
-Projections of future vacancies.
-Estimates of the internal and external ease of use of the talent needed to meet forecasts.
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 Talent action plans
This outlines what specific action all managers will have to take in terms of talent managers.
This can be broken down into 3 general activities:
-Sourcing and recruiting an sufficient supply of leaders and key talent
-Internal development and supply of fit leaders and key talent
-Forecasting the space between talent needs and its availability
 The integration plan

1.1.6 Purpose and function of HRM applicable to workforce and resourcing

and organization
Talented human resource managers serve strategic headship and assist organization to survive
in spirited business surroundings. This precious role of human resource management provides
new prospects for HRM processes to develop more strategic way to get victory in market
place. In essence, HRM is a management function linked with hiring, motivating and
maintaining people in an organization. It focuses on people in organizations. HRM is
designing management systems to make sure that human aptitude is used productively to
achieve organizational goals. (Civilserviceindia.com., 2019)
The main objective of HRM is to guarantee the ease of use of capable and enthusiastic
workforce to an organization. The specific objectives include the followings.
(Civilserviceindia.com., 2019)
 Human capital: supplementary the organization in obtaining the correct number and types
of workers to complete its tactical and operational goals.
 Developing organizational climate: Helping to generate a climate in which workers are
confident to expand and make use of their skills to the fullest and to employ the skills and
abilities of the workforce professionally.
 Helping to uphold performance principles and increase output through effective job
design: Providing decent direction, coaching and development and providing
performance-related criticism and guarantee productive two-way communication
 Helping to establish and maintain a pleasant-sounding employer/employee relationship
23
 Helping to create and preserve a safe and healthy work surroundings
1.2. Assess how function of HRM can provide talent and skills appropriate
to fulfill business objectives (M1)
1.2.1. Explain what is meant by business objectives
Business objectives let an organization to describe its goals and direction. A company uses
strategy and tactics at every level of its process to achieve its objectives. These define the
way a company distributes its resources and the strengths, weaknesses and opportunities it
may have. Companies usually do not modify their objectives once they are implemented,
unless changes in circumstances arise. Setting a clear course for the organization is the key to
its success. (Human Resource Management, 2018)
1.2.2 Talent and skills
Talent and skills has defined by Alexander Graham Bell as “A man, as a general rule, owes
very little to what he is born with – a man in what he makes of himself.”
At the same time as psychology often defines talent as a person’s above-average general
ability to solve problems, in a company it is the ability to do a job faster, more easily and
better. A talented person is a person whose abilities are distinctly above average, while for
HR managers a talented person is a person who is able to do the job better.
When compared to other people talented employees crack difficult problems sooner and more
easily, which makes them stand out. (HR Centar, n.d.)
1.2.3 Describe how functions of HRM can provide talent and skills
appropriate to fulfill business objectives
1.2.2.1. Staffing Objectives

Human resources managers are first troubled with ensuring that the business is properly
staffed, and thus able to pull in the human resources it needs. This involves coming up with
organizational structures and characteristic beneath what sort of completely contract different
employee groups can work. The right people are then recruited and developed. HR managers
compete in the job market to make sure only the best and talented employees are recruited to
24
assist in meeting the company goals and objectives such as profitability. (Human Resource
Management, 2018)
1.2.2.2. Performance Objectives

Once the obligatory personnel are in place, HR managers must ensure that employees are
well motivated and dedicated so as to maximize their performance. By use of various
motivational techniques like promotion, enlarged pay and reimbursement benefits like
company cars, HR managers can shore up a personal employee’s performance. They also
train employees and discuss improved performance with trade union officials. HR managers
may assist in disciplining errant staff if their performance or conduct is unacceptable.
1.2.2.3. Change-Management Objectives

In an organization, change is predictable. It is structural, requiring reorganization of activities
or hiring new folks to fill in especially roles. At different times, modification happens to
change attitudes, philosophies and established structure norms. HR managers recruit or
develop people with the essential leadership skills to steer the modification method. They
additionally inform workers of incoming changes and facilitate them alter consequently.
Thus, if the organization intends to introduce computers to chop down its expenses and
improve profitability, unit of time HR managers train workers with no computer skills.
1.2.2.4. Administration Objectives
HR managers have a responsibility to facilitate the graceful operation of the organization.

They must maintain correct and comprehensive knowledge on individual workers. This data
includes employee performance reports, their terms and conditions of employment, training
and attendance records and their personal details. Precise record-keeping is essential to make
sure that the organization complies with legal rules like as National Minimum Wage
regulations.
25
When compared to other people talented employees can resolve difficult problems faster and
more easily than other employees so this makes them stand out. By demonstrating a talent to
do a job better, talented employees not only improves the work process but also the operation
of the company. Depending on the sort of business an employee may use his or her talent to
boost work, raise profit or enhance the public image of the company. Talented workers are
particularly important for HR departments as their responsibility is to develop, reward and
retain talented people. The entire method from recruitment and selection to holding and
rewarding workers is of enormous importance in talent care. (HR Centar, n.d.)
1.3 An assessment of the approach to workforce planning, recruitment and

selection, development and training, performance management and reward
systems (P2/M2)
1.3.1 Explain what is meant by recruitment
As mentioned above in function of HRM recruitment is the process of finding and hiring the
best and most qualified candidate for the job opening. This process is done in a timely and
cost effective manner. It also can outline as “the method of looking for prospective staff
associated, stimulating and encouraging them to apply for jobs in an organization”. (Martin,
2016)
This is a one whole process which has a full life cycle that begins with identification of the
needs of the company with respect to the job and ends with the introduction of the employee
to the organization. (Martin, 2016)
\
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1.3.2 Different approaches of recruitment
Table 1: The different approaches of recruitment
Internal External
Job centers
Staff notice boards
Job advertisements
Intranets
Employment recruitment agencies
In house magazine
Head hunters
Staff meeting
Web based recruitment
Employee referrals
Personal recommendation
Promotions
Labor contractors
Transfer
Employment Exchanges
Upgrading
Outsourcing / consultancies
Demotion
Campus recruitment
Retired Employees
Placement Agencies
Retrenched Employees
1.3.3 Explain what is meant by selection
This is the next process after recruitment. Selection is the method of interviewing and
evaluating the candidates for a particular job and choosing a private for employment
supported sure criteria like qualifications, skills and knowledge. The easiness of the process
is depending on the firm hiring and the position. Some employment laws such as anti-
discrimination laws must be obeyed during employee selection. And also selection can define
as the process of putting right men on right job. It is a procedure of matching organization
requirements with the skills and qualification of people. (Jahan, 2019)
1.3.4 Different approaches of selection
 Interviews
An interview is a conversation where questions are asked by the interviewer and answers are
given by the candidates.
 One-to-one interview – This is a most common type of interview. This is a conversation
between only two people. There are only interviewer and the interviewee.
 Panel interview- This is a bit scarier interview because in here the interviewee is
interviewed by more than one person at a time and interviewee has to answer all the
questions which are asked by interviewers.
27
 Competency interview- This is the most advanced interview type because the interviewee
will be tested on different situations
E.g.: ‘Tell me about a couple of time after you showed smart teamwork’
 Assessment Tests
 Psychological Testing
 Psychometric Testing
 Aptitude Testing
 Practical Testing
 Assessment Center
 Resumes
A resume is a selling tool that outlines prospective employee’s skills and experiences so an
employee can see, at a glance, how he/she can contribute to the employer’s workplace.
 Letter of Application
This is also known as a cover letter. This is the document sent with interviewee’s resume to
provide additional information on his/ her skills and experience. (Human Resource
Management, 2018)
 Screening
Preliminary screening of employment applications and resumes is the first selection tool to
determine whether applicant meets the requisite qualification for a job.
 Telephone Interview
 Hiring manager interview
 Background check
 Drug Testing
Major steps in acquiring new workforce to the organization

A. Identify and define requirement
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The purpose of recruitment is to select candidates who will be useful to the organization. In
this process HR department identify the true talent of the candidates and choose the right
candidate for the right job.
B. Selection
This can be identifying as the process of deciding from among the applicants who can meet
the job requirements and can be offered the empty position in the organization.
C. Attract potential employees (Advertisement, employment agencies,
recommendations)
D. Select and employ the appropriate people from the job applicant
1.3.4 Advantages and disadvantages of different recruitment approaches
Table 2: Advantages and disadvantages of different recruitment approaches
Approaches Advantages Disadvantages

Job Centers 1. They enable interviewers 1. Assessment center is very
to assess existing costly
performance as well as 2. It is very time consuming
predict future job
3. The evaluators may be
performance
biased
2. They give the opportunity
to assess and differentiate
between candidates who
seem very similar-in terms of
quality-on paper
Internal Recruitment 1. Reduce time to hire 1. Create resentment among
(Staff notice boards 2. Shorten on boarding employees and managers
Intranets times 2. Leave a gap in existing
In house magazine 3. Cost less workforce
Staff meeting 4. Strengthen employee 3. Limit pool of applicants
Employee referrals engagement 4. Result in inflexible
Promotions) culture
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External Recruitment 1. Increased chances 1. A limited understanding
(Job centers 2. Fresher skill and input about the company
Job advertisements 3. Qualified candidates 2. Higher risk
Employment recruitment 4. Better competition 3. Time consuming
agencies 5. Generation of creative 4. High costs
Head hunters ideas 5. Internal disputes with
Web based recruitment 6. Lesser internal politics existing employees
Personal recommendation 7. Better growth 6. Issues of Maladjustment
Labor contractors 8. Competitive spirit 7. Agencies are not trusted
Employment Exchanges 9. Being fair 8. Invites unsuitable

10. Ideas from other applicants
Outsourcing / consultancies
industries 9. Legal risks
Campus recruitment
10. Varied category of
Placement Agencies)
applicants can be met
Source: Author’s work adapted from the lecture slides Human Resource Management 2018
1.3.4.1 Evaluation of recruitment approaches

First approach which has mention above is job centers. As mention above this is a good
opportunity for candidates but this is a costly and time take event. But Unilever Company
uses this method as their last stage of the recruitment process. (Author Developed)
E.g.:
Discovery centre day of Unilever Company
This is the final stage of the recruitment process and provides interviewee with a truly
immersive experience and the chance to live ‘a day in the life’ of a Future Leader at Unilever.
Interviewee gets to experience a number of exciting activities and projects.
These exercises square measure designed around a true business case study, enabling the
corporate to assess interviewee’s potential, whereas giving answerer an extra insight into
what it is prefers to add Unilever. (Unilever, 2018)
Internal recruitment is useful in many ways as mention above but this approach is not giving
a chance for the people who are willing to join for the organization. (Author Developed)
E.g.:
30
Singer Company uses internal recruitment approaches to give a chance who loyal to the
company for a long time. (Assignment Point, n.d.)
External recruitment is a good opportunity for the candidates who are willing to join for an
organization but this will be costly and time take approaches. (Author Developed)
E.g.:
Job center of Unilever Company
1.3.5 Advantages and disadvantages of different selection approaches
Table 3: Advantages and disadvantages of different approaches
Approaches Advantages Disadvantages
Interviews 1. Allow for more in-depth data 1. Subjective evaluations are

collection and comprehensive made.
understanding. 2. Negative information
2. Body language and facial seems to be given more
expressions are more clearly weight
identified and understood
Assessment Tests 1. Convenient 1. Measures relatively
and superficial knowledge or

2. Can be adopted
learning
implemented
2. Norm-referenced data
may be less useful than
criterion-referenced.
Resumes 1. Can get full information about 1. Cannot check the physical
the candidate and practical knowledge of
2. Can identify the best candidate the candidate

from the pool of candidates 2. It may be time costing
Source: Author’s work adapted from the lecture slides Human Resource Management 2018
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1.3.5.1 Evaluation of selection approaches
In above part have mention advantages and disadvantages of some selection approaches. First
approach is interviews. This is a very common selection approach among every kind of
organizations. Not only in public sector but also in private company use this method to
measure the knowledge of the candidates. This is using the organizations which need
knowledgeable employees. (Author Developed)
E.g.:
Examination model use in Bank of Ceylon
BOC Trainee Staff Assistant examination and Evaluation held by Department of
Examination, Sri Lanka and Interview and candidate personality examination by Bank of
Ceylon Staff (interview all most done in Colombo or nearest in Colombo)
The examination in island wide in a day (mostly Saturday, Sunday and special holidays)
(Career Developer, 2013
Other approach is assessment test. This is using to assess the knowledge of the candidate.
This also uses in both private and public sector organizations.
E.g.:
Profile assessment of Unilever Company
Complete a profile assessment, which consists of 12 short online games that look at different
elements of candidates cognitive, emotional and social traits. These will help to evaluate
interviewee’s level of fit for the UFLP as well as the suitable function for the interviewee.
The interviewee will receive personalized feedback after completing the games. (Unilever,
2018)
1.4 Critically evaluate the effectiveness of the recruitment and selection

techniques in two organizations. Make the argument with acceptable
reasoning (D1)
1.4.1 Explanations to two selected organization
1.4.1.1 Unilever Company- Private Organization
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Figure 9: The logo of the Unilever Company
Source: Authors work adopted from google.com
Unilever is a very famous company in all around the world. Unilever is a British – Dutch
international consumer goods company co-headquartered in London, United Kingdom and
Rotterdam, Netherlands. Its product embraces food and beverages, cleansing agents and
personal care products. There are about 169000 (2017) employees work in this company
and this company’s operating income $8.857 billion (2017). (Unilever, 2018)
1.4.1.2 Bank of Ceylon- Public Organization
Figure 10: The logo of BOC
Source: Author’s work adapted from google.com
Bank of Ceylon is a government-owned, major banking company in Democratic Socialist

Republic Sri Lanka. Bank of Ceylon Sri Lanka premier bank and also largest state bank
network in Sri Lanka. Its head workplace is situated in associate painting cylindrical building
in capital of Sri Lanka, Colombo, and the political and business capital of the island. (Career
Developer, 2013)
1.4.2 Explain the recruitment and selection methods approaches of the two
selected organizations
1.4.2.1 Unilever Company
33
There are four stages to the application process for the Unilever Future Leaders Programmed.
The first step is to apply online, then complete a profile assessment, take part in an on-
demand interview and finally attend a discovery center.
Figure 11: The recruitment and selection process of Unilever Company
Source: Author’s work adapted from Unilever, 2018

 Online application
Complete the online application form. It is a simple and easy process, with the quick option
of filling out personal details using candidates’ LinkedIn profile. Candidate may only apply
to one function in your application and the types of functions available vary according to
each region. (Unilever, 2018)
 Profile assessment
Complete a profile assessment, which consists of 12 short online games that look at different
elements of candidates cognitive, emotional and social traits. These will help to evaluate
interviewee’s level of fit for the UFLP as well as the suitable function for the interviewee.
The interviewee will receive personalized feedback after completing the games. (Unilever,
2018)
 Digital interview
The interviewee will be asked to solve real-world problems using Unilever scenarios, giving
interviewee the chance to learn more about the company culture and the way the company
does the business.
34
The interview is going to be split into two elements, which consists of three short
hypothetical questions, followed by a business case. The interviewee will be able to record
and complete the interview anytime (up until a deadline) and anywhere, whichever suits
interviewee best. All interviewee need is a computer, webcam and/or Smartphone and most
importantly, a good and stable internet connection. (Unilever, 2018)
 Discovery centre day

This is the final stage of the recruitment process and provides interviewee with a truly
immersive experience and the chance to live ‘a day in the life’ of a Future Leader at Unilever.
Interviewee gets to experience a number of exciting activities and projects that include:
1. Project meeting with colleagues from the interviewee’s function
2. Short meeting with senior management regarding a current business challenge
3. Team meeting with the other candidates
4. One-to-one meeting with the line manager
These exercises square measure designed around a true business case study, enabling the
corporate to assess interviewee’s potential, whereas giving answerer an extra insight into
what it is prefers to add Unilever. (Unilever, 2018)
1.4.2.2 Bank of Ceylon

Bank of Ceylon vocation applications from varies qualified persons like G.C.E. (A/L),
Degree holders, and also Professional bodies. The skilled bodies have chartered accountants,
Legal Persons, he has already qualification he faces interviews solely.
Bank of Ceylon G.C.E. (A/L) and Degree holder’s recruit for the Trainees Staff Assistant and
Management Trainees.
Trainee Staff Assistant vacancies fulfill based on G.C.E. (A/L) qualified and G.C.E. (O/L)
pass including Mathematics and English qualification, interviewee has above the
Qualification and interviewee age limit below. (Career Developer, 2013)
 Examination model
BOC Trainee Staff Assistant examination and Evaluation held by Department of
Examination, Sri Lanka and Interview and candidate personality examination by Bank of
Ceylon Staff (interview all most done in Colombo or nearest in Colombo)
The examination in island wide in a day (mostly Saturday, Sunday and special holidays)
35
(Career Developer, 2013)
1.4.2.3 Conclusion
Basically, Unilever Company is a private sector organization and Unilever Company’s
recruitment process’s foundation is made by internet and with internet sources. This is an
easy and simple process and steps are so clear to follow. Because of it easiness anyone who
like to join with Unilever Company can try this and can get a job experience on discovery
centre day and then the candidate can decide whether to join with Unilever or not.
But unfortunately, there are some areas like undeveloped areas in the country which do not
have stable and good internet connection. So candidates from those areas may faced for
internet disconnections while digital interview. So there can be very talented and resourceful
candidates who may exactly the right person for the right position. So as a recommendation
Unilever Company should not depend on internet in the future and should think about
examination models like BOC and do an interview in physical place because body language
and facial expressions are more clearly identified and understood. Interviewers can do
personality examination personally and the candidate can be fully interviewed about his or
her personality in personality test and can measure knowledge in examinations. So Unilever
Company should do both online recruitment as well as interviews in physically. (Author
Developed)
1.4.3 Explain the effectiveness of each approach by stating both pros and
cons
Table 4: Pros and cons of approaches of selected organizations
Approaches Pros Cons
1. Online Application It is a simple and easy Candidate must have the

process knowledge to fill an online
Candidate can apply for the application.
job in any time in any place. Sometimes it takes long time
to collect applications.
2. Profile assessment Can identify the abilities of Cannot identify the man who
the candidate speedily. is faces the assessment is the
Candidate can face this real candidate
36
anytime and anywhere. Candidate can get help from
the outside people so there is
an issue about the results.
3. Digital Interviews Candidate does not want to Candidate must have the
go for the work place internet facility and a web
It is very easy for both camera
interviewee and the If the internet connection
interviewer breaks, the interview breaks
down.
4. Discovery centre day Candidate can meet the Candidate can be confused
bosses and other candidates because he has to face lots of
and spend the time with interviews and tasks in one
them. day.
Candidate can take a
decision about the job
5. Examinations It is very easy to identify the Cannot identify the practical

best candidate among the knowledge of the candidate
pool of candidates Sometimes the best person
It is very fast and useful who have selected from the
method to measure the examination be the less
knowledge of the candidates experience person.
6. Interviews Allow for more in-depth data Subjective evaluations are

collection and made.
comprehensive Negative information seems
understanding. to be given more weight
Body language and facial
expressions are more clearly
identified and understood
Source: Author’s work adapted from Unilever, 2018 and Career Developer, 2013
1.4.4 Conclusion
BOC is a public sector organization and as well as other public organization BOC also follow
a traditional recruitment process which includes examination models, printed applications.
This organization is highly appreciating knowledgeable candidates who have various
educational qualifications. Company can chose the right person from a pool of qualified
persons. So there is no doubt the person who has recruited for the position is full of
knowledge and qualifications than other candidates. However, there is an issue that the
37
knowledgeable and qualified person not always be practical as the company expected. So
from these examination models the interviewer cannot identify about the practical skills of
the candidate. So as Unilever Company’s recruitment process which has mention about BOC
should follow an interview which the candidate has to solve practical things. So the
interviewer can identify practical skills of the candidate. And also BOC should follow online
application process, because it is a very easy and simple process to collect a pool of
candidates to interview. (Author Developed)
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Learning Outcome 02
2.1 Explain the benefits of different HRM practices within an organization
for both the employer and employee (P3)
2.1.1 Explain what is meant by HRM practices
HRM Practices as a system that draws, develops, motivates, and retains workers to confirm
the effective implementation and also the survival of the organization and its members.
Examples for HRM practices
 Compensation and benefits
 Labor management relations
 Employment practices and placement
 Workplace diversity
 Health, safety and security
 Human resources information systems
 Human resource research
39
Figure 12: Top 10 best HRM practices
Source: Author’s work adapted from empxtrack, n.d.
2.1.2 Explain the different practices of HRM
1. Safe, Healthy and happy workplace

Creating a safe, healthy and happy workplace ensures that employees feel like at home and
stay with the organization for a very long time. Capture their thoughts frequent surveys.
(Empxtrack, n.d.)
40
2. Open book management style
This means sharing information about contracts, sales, new clients, management objectives,
company policies and employee personal data, etc. ensure that the workforce is as
enthusiastic about the business as the management. It helps in making people interested in the
strategic decisions, thus aligning them to the business objectives. Employee self-service
portal, manager on-line etc. are some tools accessible nowadays to observe this method.
(Empxtrack, n.d.)
3. Performance linked bonuses

Awarding bonuses or including a variable component in compensation can be disillusionment
based on how it is administered and communicated. Bonuses must be designed in such a way
that employees understand that there is no payout unless the company hits a certain level of
profitability. Additional criteria might be the team’s success and the therefore individual’s
performance. It is good for employee retention also. (Empxtrack, n.d.)
4. 360 Degree performance management feedback system

This is the system that solicits feedback from seniors, peers and subordinates are more and
more embraced because the best offered technique for assembling performance feedback.
Every person in the ream is responsible for giving relevant, positive and constructive
feedback. (Empxtrack, n.d.)
5. Fair evaluation system

Develop an analysis system that clearly links individual performance to company business
goals and priorities. Each employee should have well defined reporting relationships. Self-
rating should be a part of the evaluation process as it empowers fairer if it is based on
achievements of the employee, tracked over the year. (Empxtrack, n.d.)
6. Knowledge sharing
Adopt a methodical approach to confirm that data management supports strategy. Store data
in databases to supply bigger access to data denote either by the corporate or the staff on the
data portals of the corporate. When a worker returns after attending any competencies or
skills development program, sharing essential data with others might be created obligatory.
Innovative ideas (implemented at the work place) should also be posted on these knowledge
41
sharing platforms. However, what to store and how to maintain a knowledge base requires
further and detailed plans. (Empxtrack, n.d.)
7. Highlight performers
Create profiles of top performers and make these visible though company intranet, display
boards, etc. It will encourage other to put in their best, thereby creating a competitive
environment within the company. (Empxtrack, n.d.)
8. Open house discussion and feedback mechanism

Great organizations recognize nature and execute great ideas. Employees are the biggest
source of ideas. The only thing that can stop great ideas being implemented in your
organization is the lack of an appropriate mechanism to capture ideas. Open-house
discussions, employee-management meets suggestion boxes and tools such as critical
incident Diaries can help identify and develop talent. (Empxtrack, n.d.)
9. Rewards
Merely recognizing talent may not work; need to couple it with public appreciation. Getting a
cash bonus is often less significant than listening to the thunderous applause by colleagues in
a public forum. (Empxtrack, n.d.)
10. Delight employees with the unexpected

Last but not least, occasionally, delight your employees with unexpected things in the form of
a reward, a gift or a certificate. Reward not only the top performers but also a few others who
need to be motivated to exhibit their potential. (Empxtrack, n.d.)
2.1.3 The benefits of HRM practices for employer

 Retain employees for a long time
In this practice the employer ensure that workplace is a safe, healthy and happy place. So the
employee feel happy and feel like at home so employees never try to leave the workplace due
to that employees work for the organization very long time. The employer can capture the
42
employees’ thoughts frequent surveys. So employer free from frequently leaves of
employees. So the process of the organization flows smoothly. (Author Developed)
 Low complains from employees

When the workplace is like at home there will not have any uncomfortable things to
complain. When the workers always in happy the employer has low issues. (Author
Developed)
 Promoting Positive Behavior

An organization must create a positive working environment and favorable benefits for
employees to be a successful organization through HRM practices, keeping employees happy
and productive. HRM practices reinforce and reward desired employee behaviors in a board
sense. (Bianca, n.d.)

 Building a Flexible Workplace
Every organization wants to retain workers for a long time because a long time employee has
lot of work experience in the organization so organizations provide a flexible workplace,
including flexible style of labor surroundings, work assignment, work schedules, composition
of labor group, work locations, responsibility ways and communication formats. Employees
can customize aspects of their job to suit their lifestyle in flexible workplaces. (Bianca, n.d.)

 Motivating employees
When the employees get bonuses when they perform well the employees motivate to do their
work well than others so rapidly a competition will become among employees so the
employer can get the full service from the employees. (Author Developed)

 Capture the real thought of the employee
When the employees focus to give a feedback about the system employees feel like their
thoughts also important to the organization and employees have good feeling about it. So
43
they give their feedback. So the company can capture real thought of the employees. (Author
Developed)

 Motivating employees to achieve organizational goals and objectives
From an evaluation system the organization rate employee performance in the workplace and
develop a competitive environment among employees, when the evaluation is a fair and
transparent one the employees trust about the company and try to increase their rates. So the
company can achieve the goals and objectives effortlessly. (Author Developed)
 Developing Employees
HRM practices of an organization satisfy employees and encourage them to contribute to a
company’s academic assets. Employees’ knowledge and skills can increase a business’
competitive advantage. (Bianca, n.d.)
 Encourage employees to be the top performers
When the employees fight to become the top performer they try to do their best in workplace
and because of that the company can achieve organizational goals easily. In this competitive
environment employer can get the maximum service from the employees. (Author
Developed)

 Employer can get new ideas
Employees are the biggest source of ideas. By open house discussion and feedback
mechanism employer can get new ideas of the employees. (Author Developed)
9. Rewards
 Motivate employees to achieve best rewards
When the company reward the employees who have work for the company employees like to
work for the company more and more. So employees never try to leave the company and
44
retain long time and also employees feel to give the maximum service to the company. Then
the company can achieve the company goals. (Author Developed)

 Motivating Workers
Maximize employee performance is a must of a manager so the employers tend to hire or
promote managers who manage workers effectively. Every manager should try to motivate
workers through the HRM practices. Employees are more motivated under a motivated
manager. (Bianca, n.d.)
2.1.4 The benefits of HRM practices for Employee

 Satisfied career life
When the employees have a safe, healthy and happy workplace employee will work hard
because of having a satisfied career life. (Author Developed)

 Flexible workplace
As an employer listen to what the employee feels the workplace will be a clam place.
Because the employee can tell their suggestions to employer with a confident and the
employer should think and do something to overcome the request as much as possible. Then
the employee could not have to feel uncomfortable in workplace. (Author Developed)

 Can gain money by work hard
In every organization there are two kinds of workers. Some workers work hard without even
thinking about salary and that kind of employees are very loyal to the organization. So the
organization must pay bonuses to that kind of employees. Other employee kind is the workers
who only work to the point. If the company pays bonuses to the employees who perform well
theses kind of employees will motivate and they also try to work hard. Because of that both
kinds of employees gain bonuses. (Author Developed)
45
 Can inform employees’ thoughts to the top management
This is a great opportunity for all employees to share their feelings about decision of
management, because sometimes the decisions which apply by the managers to the
organization will not like by employees. Then the employees feel uncomfortable in the
workplace so employees will not do work as usual. But if the organization gets a feedback
from employees the employees can tell their feeling and then the company can adjust the
decision to match employees. (Author Developed)

 Can improve the talents and skills
As mention in above part, if the company evaluate the performance of employees the
workplace become competitive, so the employees have an opportunity to show the talents in
workplace. (Author Developed)
 Developing employees
As mention before, this is a good HR practice for employees, because employees can develop
their knowledge in the organization. So the value of the employees will increase throughout
this practice while increase the profit of the company. (Author Developed)
 Best employees get a chance to be highlight
Hard working employees will be happy if they have been highlight. So that employees will
work hard for that and also others also will be motivated to be highlight. (Author Developed)

 Can imposes for the decisions
As above feedback system in this practice also is a opportunity for employees to say their
feelings and their attitude above company decisions. (Author Developed)
9. Rewards
 A opportunity to be awarded
46
Employees can be awarded for the work which employees have done. So as mention above
part, employees will motivate to do the work well throughout this practice. (Author
Developed)

Employees get more than they expect from the company. So the employees can get more
benefits from company. (Author Developed)
2.2 Evaluate the effectiveness of different HRM practices in term of raising

organizational profit and productivity (P4)
2.2.1 Profit
“Profit measures the financial performance of farms. It is a measure of receipts less costs.”
This is accomplished once the quantity of revenue gained from a enterprise exceeds the
expenses, expenses and taxes required sustain the activity. Some owners spend profit for the
development of the business and some owners’ withdrew it. (Fisher, 2001)
2.2.2. Productivity
“Productivity is a live of output created per unit input. It is physical rather than a financial
measure, using data on physical quantities of inputs (labor hours, hectares of land, etc.) and
outputs (tones of wheat, kilograms of wool, etc.)” (Fisher, 2001)
2.2.3 How different practices of HRM can raise the organizational profit
and productivity
2.2.3.1 How different practices of HRM can raise the organizational profit
The employees are the pouring force behind the successes of a business. There is a growing
appreciation of how human resource practices are directly linked to revenue and profit
margins. (Schramm, 2012)
The practices which linked with leadership development, talent management and
performance management and rewards were three areas in which the high-performing
47
companies differentiated themselves grammatically. In each one company engaged in more
activities and provided more options, did so more often and were generally more effective.
This recognition of the importance of effective HR practices is leading some executives to
characteristic the worth of their staffs to their balance sheets. Leaders in many companies are
looking at ways to measure and report the value of their employees and their HR practices.
(Schramm, 2012)
HR practices with the major impact on the base line will be studied in even more detail. This
will force HR strategies at companies around the globe. Leaders in many organizations will
invest more time, attention and money into building an extremely mean HR team which will
effectively deploy high-impact practices. (Schramm, 2012)
2.2.3.2 How different practices of HRM can raise the organizational

productivity
Managers should know that people make the critical difference between success and failure.
The effectiveness with that organization manages, develop, motivate, involve and interact the
willing contribution of those who add them may be a key determinant of how well those
organizations perform. Up till now, there is surprisingly little research demonstrating the
casual links between people management and business performance. Management practices
and styles lead to more motivated, satisfied or productive employees. However demarcated
activity and measure the contribution organization make to performance. (Jahanian, A. 2012)
2.3 Explain different methods used in HRM practices by providing specific

examples to support evaluation within an organizational context (M3)
 Job Analysis
The process of getting complete information about jobs is job analysis. This is a scientific
exploration, study and recording the responsibilities, duties, skills, accountabilities, work
surroundings and talent necessities of a selected job.
And also its’ involves determining the relative importance of the duties, responsibilities,
physical and emotional skills for a given job. All these factors establish what employment
demands and what a worker should possess to perform employment fruitfully.
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Figure 13: Job Analysis
Job purpose What is the job meant to do- and how does this related to
other parts of the business?
Job content Duties and responsibilities
Accountabilities What results/ outputs is the job holder responsible for?
Performance criteria How will the job holder’s performance be measured?
Resource requirements E.g. equipment, location

 Job design
Making decisions about what takes should be grouped into an exacting job.
 Recruitment
Recruitment is that the method through that the organization seeks candidates.
 Training
Training is a planned effort to facilitate learning of job-related knowledge, skills and
behavior.
 Selection
Selection means identifying the applicants with the appropriate knowledge, skills and ability.
 Development
Development is the acquisition of knowledge, skills and behavior that improves employees’
ability to meet the challenges of future jobs.
 Performance Management
This helps ensure that employees’ activities and outcomes are matching with the
organization’s objectives.
Pay structure, incentives and benefits
Labor and employee relations
(Slideplayer.com, n.d.)
49
2.4 Critically evaluate HRM practices and application within an
organizational context using a range of specific examples (D2)
2.4.1 Critical evaluation
2.4.1.1 HR Practices of Singer Company
Figure 14: Singer Logo

Source: Author’s work adapted from www.singersl.com
The Father of the singer company was born in 1811, Iassc Merritt Singer set up a company in
1851, with a borrowed capital of only $40 to manufacture and sell a revolutionary product- a
machine to modify and assist within the creating of consumer goods. (Assignment Point,
n.d.)
HR Mission and Vision

1. Intensive integration of the corporate division and professional knowledge management
2. Professional HR development tools and qualification concepts
3. Efficient processes and services e.g. in training and recruiting.
(Assignment Point, n.d.)
HR Practices
 Assisting Line Managers
The HR manager of Singer assists the line managers in order to remove the conflicts raised
connecting manager and employee, manager and manager and employee and employee.
(Assignment Point, n.d.)
 Conducting Job Analysis
50
The HR manager of this company determines the duties and skills necessary for a job and the
kind of person who should be hired for it. For this purpose, they prepare job description and
job specification. (Assignment Point, n.d.)
 Recruiting Job Candidates

The manager recruits the staff from two completely different sources.
 Internal source
 External source
But basically, they prefer to go for the internal recruitment because the internal workers are
been motivated by it and they work hard to get promotions. Because of that the process of the
daily work is continue smoothly. (Assignment Point, n.d.)
 Selecting Job Candidates

For the selection purpose, they use a variety of selection tools, such as for the entry level
people, they use screening and panel interview and for the upper level people, they
fundamentally focus on interview recital and analytical ability of the candidate. (Assignment
Point, n.d.)
 Orienting and training new employees

The HR department arranges a direction program for the new workers. The HR department of
Singer supports the off-the-job coaching programs. On-the-job training is demonstration-
related. (Assignment Point, n.d.)
 Managing wages, salaries and compensations

After getting all the information regarding financial budget and expenses, the HR manager
recommends the wages and salaries of the employees. The HR manager conjointly
determines completely different compensation packages for the staff.
E.g. Compulsory life insurance and medical facilities are provided by the company to all the
employees. (Assignment Point, n.d.)
 Performance Appraisal
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The HR manager gets all the information from the respective section supervisors and
evaluates the employee performance with the set standards in accordance to the programmed
objectives fixed by the departments. (Assignment Point, n.d.)
2.4.1.2 HR Practices of Unilever Company

Unilever Sri Lanka demonstrated its commitment to its employees, emerging one of ten Gold
Award winners at the recently concluded HRM Awards organized by the Association of
Human Resource Professionals in collaboration with AonHewitt. Unilever conjointly
received the class award for best practices within the Reward and Recognition class. The
company was also a Gold Award winner at the last HRM Awards held in 2010. (Perera,
2012)
 Unilever has long since known that having people with the right talent, skills and
creativity is crucial for the sustained growth of the company. With a wealth of worldwide
data on worker relation, coaching and development, Unilever is proud to be pioneers
within the market in terms of individuals’ management and administration processes.
 Unilever Sri Lanka believes that its employees are at the core of the company’s success
and supports individuals to achieve both personal and professional goals. To attract and
retain the most effective individuals, Unilever offers employees challenging and diverse
careers that include international assignments with regional and global exposure. Unilever
promotes gender diversity and offers flexi-working options in a very safe and enterprising
work setting to facilitate workers to realize a healthy work-life balance. (Perera, 2012)
 This company also reaches out to thousands of Undergraduates Island wide, through its
Future Leaders and internship programmers and continues to contribute towards
improving the employability of the Sri Lankan undergraduates. The success of those
efforts was visible as Unilever was hierarchal “The Most Preferred Employer in Sri
Lanka” in an exceedingly survey conducted by TNS. (Perera, 2012)
 Unilever Company’s corporate purpose and code of business principles commit to

treating the employees with dignity and fairness and in turn expect employees to observe
high standers of behavior, reflecting the company’s values of integrity, respect,
responsibility and pioneering. Winning the Gold award is testament to this philosophy
52
and to the commitment and passion shown by Unilever Company’s HR team to win with
people. (Perera, 2012)
2.4.1.3 HR Practices of BOC

 Recruitment Processes
The BOC has a highly professional and structured recruitment process to ensure that the
organization obtain the cream of the available talent. In the organizations’ recruitment
process, the organization gives importance not only to knowledge in subject matter and
technical skills but also to the soft skills. This organizations’ recruitment process is
transparent and is free of all forms bias. All recruits are Sri Lankans and therefore 100% of
recruits are from the local community. All who aspire to join the bank compete on a live;
playing field, regardless of ethnicity, age, gender or the social class. (Annual Report, 2017)
 Training and Development

BOC believes in providing the staff the opportunity to develop the talents and capabilities to
the maximum so that employees can fulfill their career aspirations. This organization also
gives great importance to installing in them the knowledge and attributes to provide the best
possible customer service. The bank therefore has a systematic process of ascertaining
training needs and planning training. (Annual Report, 2017)
 Human Rights
BOC respects the human rights of all its employees and has implemented systems to ensure
all its employees are treated equally with appropriate dignity and respect without any
discrimination. The organization does not use child labor in any form. All our human
resources practices are in line with local and international standards, collective and
bargaining decision-making is implemented and 98% of employees represent either of the
trade unions. The employees’ benefits including salaries, allowances and medical benefits are
reviewed and revised once in 3 years under the collective agreement. Also this organization
has established grievance handling mechanisms to address the grievances raised by the
employees. (Annual Report, 2017)
 Motivating the Staff
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This organizations’ strategy is to align what is best for the employees with what is best for
the bank. Banks’ reward and recognition process has been developed to motivate employees
to pursue goals that will enable the bank to achieve its goals. This organizations’
development and training activities also contribute to the same objective in the longer term.
This organization has built a performance-based culture that will support both short term and
long term value creation. (Annual Report, 2017)
 Welfare and Work-Life Balance

The bank also conducts and sponsors activities that improve staff morale, promote employee
engagement and give the staff an opportunity to unwind, these include events to recognize
outstanding performance of staff, sports events, religious and cultural activities pertaining to
all communities and religions and health awareness programmed. Some of such activities
that took place during the year are: best branch competition, long service award, annual sport
meets in every province. (Annual Report, 2017)
 Health and Safety

A healthy and contented workforce is likely to be a productive workforce. Therefore the bank
gives much importance to the health and safety of its staff. All confirmed employees and their
families are covered by a comprehensive medical scheme for OPD treatments to surgeries.
The services of an in-house doctor are available at the head office in the event of medical
problems arising while at work. Comprehensive safety procedures have also been
implemented. The head office provides gymnasium, yoga and aerobics facilities to st6aff and
during the year a total of 1269 staff have utilized these facilities. (Annual Report, 2017)
 Retirement Benefits
Each staff member of the BOC is a member of the BOC Provident Fund (EPF) to which
employees contribute 8% of monthly gross salary while the bank contributes 12% of same.
All staff is also members of the Employees’ Trust Fund (ETF) to which the bank contributes
3% of gross salary. All bank employees are entitled to a non-contributory pension on
retirement, provided that they have completed 10 years of continuous service. (Annual
Report, 2017)
 Automated Human Capital Management System
54
BOC has a Human Capital Management (HCM) system in place which automates many of
organizations’ HR functions. The system has been developed to upgrade the efficiency and
effectiveness of utilization of the human resources. (Annual Report, 2017)
 Way Forward
In banks’ corporate plane 2018-202 bank aim to develop their human capital with the view of
strengthening skills, attitudes and abilities of organizations’ workforce to enable the bank to
be sustainable and thrive in today’s fast changing business environment. Focus has been
given on developing professional; job related specialized knowledge as well as soft skills of
the staff. (Annual Report, 2017)
2.4.2 Conclusion
According to above evidence which have mentioned, all three organizations have good HR
practices. All three organizations have won different kind of awards related to HR practices
in different years and from different award ceremonies. But when a deep search BOC has has
best HR practices. Because BOC has thought not only about the time which the employees
work in the organization but also has thought about the after time. It means BOC has a
process to give employee a good life after his or her service time for the betterment of the
employees by providing a retirement benefits. On the other hand the employees in Unilever
Company have mentioned in a survey that the most preferred employer is Unilever Company.
And also Singer Sri Lanka has good HR practices. But both Singer Sri Lanka and Unilever
Company should think about to give retirement benefits for the employee. (Author
Developed)
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Learning Outcome 03
3.1 Analyze the importance of employee relations in respect of influencing
HRM decision making and evaluate the key aspects of employee relations
management that affect HRM decision making in an organizational context
(P5/M4)
3.1.1 Employee relations, Employee engagement and Flexible working

practices
3.1.1.1 Employee relations

Building and maintaining good employee relations is an essential prerequisite in attaining
ultimate success for the business. In here the organization tries to build up a healthy
relationship between employees and with employer. An organization with a healthy worker
relations program provides honest and consistent treatment to all or any workers in order that
they are going to be committed to their jobs and constant to the corporate. (Human Resource
Management, 2018)
3.1.1.2 Employee engagement

‘Employee engagement is the extent to which employees feel passionate about their jobs are
committed to the organization and put discretionary effort into their work.’ (Custom insight,
n.d.)
Employee satisfaction is not the similar as employee engagement. Employee satisfaction only
indicates how pleased or fulfilled employees are. It does not attend to their level of
motivation, involvement or emotional obligation. For some workers, being contented means
collecting a salary while responsibility as little works as probable. (Custom insight, n.d.)
3.1.1.3 Flexible working practices

Flexible working practice means giving suppleness over where, when and the hours people
work. This is gradually more in demand but the number of quality flexible jobs falls well
short of that demand. There is a chance for employers to do more to offer flexibility for the
advantage of all workers and organizations. (Ayling, 2019)
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3.1.2. Explain what is meant by HRM decision making
Human Resource Management is all about making decisions. Choosing the right candidate
for the right position existing is not something that should be left to chance or deduction. The
role of decision making in HR is a difficult one and using the technology and recruitment
software available, you will be able to make decisions that are based on true evaluation of all
the factors. (Candidate Manager, n.d.)
3.1.3. Explain the importance of employee relations, Employee engagement

and Flexible working on influencing HRM decision making
 Increase in productivity
This is only possible when there is healthy relationship and complete cooperation between
employer and employees. Because the employees try to do their best in job and they will be
loyal to the business and also they respect to the orders and decisions which are taken by the
HRM department. (Human Resource Management, 2018)
 Decrease cost of recruitment and selection process (Higher retention and lower
turnover)
When there is good relationship among employees and with employer the employees try to
retain in the organization and they never think to leave the organization. So there won’t be
any empty position in the company and the cost will be decrease. And also the employees try
to empress their bosses so they will never break a rule and decision. (Human Resource
Management, 2018)
 Increase the profit of the organization

When there are good employee relationships the employees are very self motivated and they
do their job happy and with a good confidence so the productivity in the company is rapidly
increase so the profit is increase. (Human Resource Management, 2018)
 Higher employee satisfaction

Employee satisfaction is the key in any company, and when employees are not satisfied with
their job, they lack enthusiasm about the day to day of their role and the growth of their
companies at large. When employees are engaged at work and feel satisfied with their
57
position, they feel a great connection to the company and are therefore more likely to produce
quality work which benefits the company as well as the customer. (Robins, 2017)
3.2 Identify the key elements of Employee legislation and HRM decision
making and evaluate the key aspects of employment legislation that affect
HRM decision making in an organizational context (P6/M4)
3.2.1. Explain what is meant by employees’ legislation
This is a set of laws that deal with the rights of employees and the responsibilities of
employers.
Unilever Sri Lanka demonstrated its commitment to its employees, emerging one of ten Gold
Award winners at the recently concluded HRM (Human Resource Management, 2018)
3.2.2 Identify and evaluate the key elements of employee legislation
1. Employment Equality Acts 1998 – 2011

Specific protection against direct or indirect discrimination is provided for pregnant
employees and in relation to maternity leave under this act. (Human Resource Management,
2018)
2. Data Protection Act 1998

This is a United Kingdom Act. This act defines eight data protection principles.
-Personal data shall be processed fairly and lawfully
-Personal data shall be obtained only for one or more specified and lawful purposes
-Personal data shall be adequate, relevant and not excessive in relation to the purpose or
purposes
-Personal data shall be accurate and, where necessary, kept up to date
-Personal data processes for any purpose or purposes shall not be kept for longer than are
necessary that purpose or those purposes.
-Personal data shall be processed in accordance with the rights of data subjects under this act
-Appropriate technical and organizational measures shall be taken against unauthorized or to,
personal data
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-Personal data shall not be transferred to a country or territory outside the European
Economic Area. (Human Resource Management, 2018)
3. Health and Safety Act

The Health and Safety Authority polices all of the legislation on health and safety in the
workplace. (Human Resource Management, 2018)
4. Equal Pay Act 1970

-The same level of pay or benefits as his or her counterpart in future (if still in the same job)
-Back pay, representing the difference in pay (subject to a limit) with interest. That can be
backdated for up to two years before the start of the proceedings. (Human Resource
Management, 2018)
5. Sex Discrimination Act 1975

The act came into force in 12th November 1975. The Act makes it unlawful to treat a woman
or a man less favorably in employment, training and related matters, education and the
provision of goods, facilities and services on the grounds of their gender of marriage. (Human
Resource Management, 2018)
6. Disability Discrimination Act 1995-2005

This legislation exists to protect disabled people from discrimination in the workplace and in
the provision of goods and services, along with other areas.
-Explaining how you will promote equality for disabled people
-Challenging discrimination against disabled people
-Helping to remove barriers for all disabled people (Human Resource Management, 2018)
7. Employment Act 2002

This reaches the UK statute book in July 2002, introduces new provisions concerning
‘family-friendly’ working, the resolution of individual disputes at the workplace, equal
treatment for fixed-term employees and other matters. (Mark, H., 2002)
8. Employment Relations Act 2004
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The reason enacting was to amend the law relating to the recognition of trade unions and the
industrial action taken by the same.
9. Employee Provident Fund (EPF) and Employee Trust Fund (ETF) Act
 Employees Provident Fund (EPF) was established by Act No.15 of 1958. The
contributions area unit created to the current on regular basis. Its purpose is to assist staff
to avoid wasting a fraction of regular payment each month. The fund can be used in an
event that the employee is longer fit to work or at retirement. Employers have to remit
every month to the Central Bank, an amount equal to 20% of the employee’s total
earnings to the Fund. The Employee’s contribution is 8% and the employer has to
contribute an amount equal to 12% of the employee’s total earnings. Contributions ought
to be paid on the overall earnings of the worker. (Simple books, 2016)
 An employee is entitled to ETF from the first day of his or her employment irrespective
of whether he or she is permanent, temporary, apprentice, casual or a shift worker.
Similarly employees working on piece rate, control basis and work performed basis of
any manner are also eligible for membership. Employer must contribute associate degree
quantity adequate to three-d of the employee’s total earnings. (Simple books, 2016)
3.2.3 Impact of employment legislation on HRM decision making
Strategy in the human resource function is a moving target that changes over time and not
least because of “overarching societal, political and legal discourses” which alter the course
of the strategic human resource management ideology. (Salaman, Storey and Billsberry,
2005)
There needs to be more focus on which human resource practices are more strategic than
other when operating in a legal employment context and on how employment regulation
impact on human resource function’s strategy. This is because employment practices are not
just developed within the organization. And also it stems from the interaction of external
legal processes and stakeholders. (Boxall and Purcell, 2008)
60
The current best known strategic models are best practice, best fit and resource based view.
These strategic models have not taken into account the restriction on human resource
strategic decision making provided by the employment legal environment, but instead these
models have more generic overview of employee relations. (Salaman, Stirey and Billsberry,
2005)
Harris (2005:67) identifies “employment rights as a critical factor in the selection of human
resource management strategic practices. Strategic human resource management is a diverse
phenomenon that assumes that human resource is a key source of sustainable competitive
advantage and that human resource management’s strategy should be integrated with the
overarching business strategy” (Storey,2006)
Employment law affects aspect of the workplace. It determines the rights of hiring, wage and
benefits, discrimination, family and medical leave, termination and more.
Basically, change in business laws means changes in the way business in the way business
operate. Business law affect employer to employee relationship and vice-versa. For instance,
it is mandatory for employers to follow government regulations regarding the way the
employer treats employees and the hiring mechanism.
The followings show how employment legislation impact on HRM functions and the
importance of employment legislation acts to an organization as well as for both the employer
and employee.
1. Recruitment and Selection

Employment law is concerned within the hiring method throughout an interview. It keeps
interviewers from asking discriminatory questions. It explains the differences between being
labeled an employee of contractor to a firm.
There are 11 main employment laws and legislations which are capable of directly have an
effect on the recruitment process. Some of these laws will affect the recruitment process more
than other functions.
 Employment Agencies Act (1973) – Defines and regulates the actions of recruitment
agencies and business in relation to the processes they administer
61
 Conduct of Employment Agencies and Employment Business Regulations (2003) –
Sets out how recruiters should deal with the clients and candidates
 Employment Rights Act (1996) – Sets out and protect the contractual rights of
employees
 Equal Pay Act (1970) – Ensure that salary negotiations are not based on gender
 The National Minimum Wage Act (1998) – Ensure that the pay offered adheres to a
legal minimum to allow for decent living wage
 The Equality Act (2010) – Protects job seekers from discrimination based on a wide
range of subjects during every step of the recruitment process
 The working Time Directive (1999) – Guarantees the employee fair treatment in terms
of working hours and time off for rest
 Rehabilitation of Offenders Act (1974) – Allows ex-offenders to reapply for work
without disclosing spent convictions in order to remove bias from the decision making
process
 Immigration, Asylum and Nationality Act (2006) – Prevents illegal employment in the
UK by setting in place document checks to ensure the eligibility of every job applicant
 Data Protection Act (1998) – Ensures the responsible management of any personal data
relating to job applicants
 Gang masters (Licensing) Act (2004) – Regulates the agencies that place vulnerable
workers in agricultural work, the shellfish collecting and packing industries
(Lennox, E., 2017)
2. Payroll Administration
For any business that hires staff, it’s necessary to know the legal obligations associated with
process payroll. Typically associate degree leader is liberal to found out its own system of
payroll administration and might opt for frequency of pay further because the day of the week
that is the designated pay day. However, there are limits to what an employer can do and
what must be done to stay in legal compliance. (Miller, 2016)
With all of these considerations, many employers opt to utilize third party services that
specialize in ensuring that all payroll regulations are met. That said employing a third party
does not relieve associate degree leader from all obligations during this regard. (Miller, 2016)
3. Employee Termination
62
Employment law plays a significant role in firings and job losses. The law gives the employer
certain protections during layoffs, terminations and other issues affecting the unemployed.
Employment law outlines joblessness insurance, severance pay and other different job-
separation considerations.
Basically, above laws helps employee to survive in job and avoid from been uncomfortable in
the work place. The followings explain how above acts have been impacts on business to not
to violate the rights of the employees.
 Anti-Discrimination Laws in hiring

Basically, above laws help to Anti-Discrimination in Hiring a candidate for a company.
Title VII of the Civil Rights Act of 1964 prohibits discrimination against staff on the idea of
“race, color, religion, sex or national origin”. (According to sex discrimination act 1975,
disability discrimination act 1995) The regulations apply to employers who have had 15 or
more employees on the payroll every day for at least 20 weeks throughout this or civil year.
Employers cannot refuse to rent a worker, dismiss him from employment or otherwise
discriminate against the employee for one of these reasons. (Benjamin, 2019)
Likewise the leader might not retaliate against a worker for creating a charge of
discrimination beneath the act. The Age Discrimination in a job Act extends the prohibition
of discrimination in hiring and firing action to staff aged forty and older. The legislation does
not apply to business with less than 20 workers. (Benjamin, 2019)
 Regulations Protecting wages and overtime

The Fair Labor Standards Act (FLSA) establishes the amount of the federal minimum wage,
which is revised on a periodic basis. Because many states have legislation establishing a pay
above the federal minimum, HR professionals ought to unendingly verify the accuracy of the
quantity paid to staff. In addition to extensive child labor regulations, FLSA regulations also
require all covered employees to be paid overtime for any hours worked over 40 in a
workweek. (Benjamin, 2019)
Several exemptions to the FLSA exist and HR managers should ensure employees are
classified appropriately for their job duties. Failure to comply with the FLSA can lead to
penalties and back pay for up to two years or three if the violation is deemed to be willful.
63
Don’t assume that the business is too small to be covered. The FLSA does not specify a
minimum number of employees. (Benjamin, 2019)
 Family and Medical Leave Provisions

The federal Family and Medical Leave Act (FMLA) provides eligible employees with the
ability to tale up to 12 weeks of unpaid leave in a 12 month period for variety of
circumstances, like the intense health condition of the worker his relative or kid bonding with
a novel baby or a qualifying exigency associated with active military service. Up to 26 weeks
of leave are permitted for an employee who is caring for an eligible service member.
(Benjamin, 2019)
Employees’ area unit entitled to job protection throughout the absence and their health
coverage continues as if they had remained at work. The burden is on the employer to
recognize that FMLA time is appropriate and the employee does not even have to mention
FMLA to request the leave and also HR employees ought to train managers and supervisors
on the eligible reasons for leave. (Benjamin, 2019)
 Disability and Medical Privacy Protections

Various federal laws dictate however the leader should treat an associate degree worker with
an incapacity or medical condition. The Americans with Disabilities Act prohibits an
employer from discriminating against employees on the basis of a disability or perceived
disability. The act also requires employers to make reasonable accommodation to allow
employees to perform their job duties and provide accommodations like interpreters to
provide disabled customers access to the goods or services the company provides. The act
conjointly needs firm to change the premises to permit customers to access the capability.
(Benjamin, 2019)
Other medical legislation includes the Genetic Information and Nondiscrimination Act
(GINA) which prohibits discrimination on the basis of genetic information such as a family
history of a disorder. The Health Insurance Portability and Accountability Act (HIPAA)
protect an employee’s privacy regarding medical information. So HR must train managers on
what information they should or should not require regarding an employee’s medical
situation. (Benjamin, 2019)
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3.3 Critically evaluate employee relations and the application of HRM
practices that inform and influence decision making in an organizational
context (D3)
3.3.1 Impact of employee relations on HRM practices that inform and

influence decision making
Employee relation plays a vital role in decision making strategy of a firm. The HR practices
of ALDI involve developing communication between employees which help them in creating
good relations that are essential in an effective decision making.
HRM decision making process gets highly affected by employee relations.
Employee relations improves personnel administration procedures, it implements positive and

effective discipline in the workplace and enhance the organization ability to prevent
employee grievances and to handle those that arise. Employee relation can be lack of clear
guidelines which often results in confusion in the workplace. It can be difficult for workers to
develop their own protocols when rules are not firmly established. Inappropriate relations can
also develop between management and employees when only informal procedures are in
place.
Maintaining a strong employer and employee relationship can be the key to the ultimate
success of an organization, the results are advantageous. It is known that if a strong
relationship is in place employees will be more productive, more efficient, creat less confict
and will be more loyal.
Can take decision about productivity

Strong employment relations create a pleasant atmosphere within the work environment. It
increases the employee motivation and can also be increased through improved employee
morale. Companies that have invested into employee relations programs have experienced
increases in the productivity and therefore the increased productivity leads to increases in
profits for the business. (O’Brien, 2014)
Can take decision of employee loyalty
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Creating the productive and pleasant work environment has a drastic effect on an employee’s
loyalty to the business, it encourages loyal workforce. Having such a workforce improves
employee retention in doing so the cost of recruitment, hiring and training is out drastically.
For most businesses the high cost of employee turnover outweighs the cost of the employee
relations program that they have in place. Another benefit is that when the employee turnover
is low it ensures that the employer has a trained and skilled set of employees. (O’Brien, 2014)
Peaceful workplace (Conflict Reduction)

When work environment is efficient and friendly the extent of conflict within the workplace
is reduced. Less conflict results in the employees being able to concentrate on the tasks at
hand and they are therefore more productive. All the research and statistic lead to one
conclusion, ‘A happy workforce is a productive workforce’. Creating sound and efficient
work environment with good management and strong employer employee relation can be the
vital key to any business success or failure. (O’Brien, 2014)
There are some other pros and cons of employee relations impact on HRM practices that
inform and influence decision making.
Pros
 Participation may result in better decisions
 Participation enhances people’s sense of power and dignity, thus reducing the need to
show power through fighting management and restricting production
 Participation increases loyalty and identification with the organization
 Participation frequently results in the setting of goals.
Cons
 Not everyone has strong desires for creativity and achievement
 Goals workers set for themselves may be low
 Sharing information with unions raises their bargaining power, so companies may lose
 Retraining of employees and manager can be expensive
 Participation is time consuming and if decisions are made by groups, reaction to changing
environments may be particularly slow
66
3.3.2 Conclusion
In above parts have mentioned about HR practices of Unilever, BOC and Singer Sri Lanka.
In here mentioned about employee relations and HRM decision making. These three parts are
combined one and other. It means HR practices help employers to build up a good employee
relation with employer and employee and then employee relations affect on HRM decision
making in many ways. According to above facts and evidence all three organizations HR
Practices, Employee Relations and HRM Decision Making have flow smoothly. But no doubt
BOC is the best and other two organizations must follow that process to achieve more
benefits. (Author Developed)
[Page kept blank intentional
67
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HigherNationals

Programmetitle HND IN BUSINESS MANAGEMENT

Miss. Vishaka Pathiraja Miss. Harshani Jayakody

StudentName/ID P.L.Dilini Jeewani Cooray NEG-A-012711

Pass, Merit & Distinction P1 P2 M1 M2 D1

Pass, Merit & Distinction P3 P4 M3 D2

Pass, Merit & Distinction P5 P6 M4 D3

Grade: AssessorSignature: Date:

Grade: AssessorSignature: Date:

Feedback: Student to Assessor

Assessor signature Date

Unit Number and Title Unit 03 – Human Resource Management

Unit Tutor Miss. Vishaka Pathiraja

Assignment Title HR Case Study Review

Issue Date 31/07/2019

Submission Date 12/09/2019

IV Name & Date

Unit Learning Outcomes:

The case study assessment report should cover the followings;

An overview of the organisation.

P1 Explain the purpose and the functions of

P2 Explain the strengths and weaknesses of

P3 Explain the benefits of different HRM

P4 Evaluate the effectiveness of different

P5 Analyse the importance of employee

P6 Identify the key elements of

M3 Explore the different methods used in

M4 Evaluate the key aspects of employee

D3 Critically evaluate employee relations

P.L. Dilini Jeewani Cooray

Table of Contents ....................................................................................................................... 4

List of Tables ............................................................................................................................. 7

List of Figures ............................................................................................................................ 8

Executive Summary ................................................................................................................... 9

Over view of the organization .................................................................................................. 10

Unilever Company ............................................................................................................... 10

Learning Outcome 01............................................................................................................... 12

1.1.1 Introduction to HRM ............................................................................................... 12

1.1.2 Definition of HRM .................................................................................................. 12

1.1.3 Purpose of HRM ..................................................................................................... 13

1.1.4 The functions of HRM ............................................................................................ 13

1.1.5 What is meant by work force planning and resourcing? ......................................... 20

1.2.1. Explain what is meant by business objectives ....................................................... 24

1.2.2 Talent and skills ...................................................................................................... 24

1.3 An assessment of the approach to workforce planning, recruitment and selection,

1.3.1 Explain what is meant by recruitment..................................................................... 26

1.3.3 Explain what is meant by selection ......................................................................... 27

1.3.4 Different approaches of selection ........................................................................... 27

1.3.4 Advantages and disadvantages of different recruitment approaches ...................... 29

1.3.5 Advantages and disadvantages of different selection approaches .......................... 31

1.4.1 Explanations to two selected organization .............................................................. 32

1.4.4 Conclusion .............................................................................................................. 37

Learning Outcome 02............................................................................................................... 39

2.1.1 Explain what is meant by HRM practices ............................................................... 39

2.1.2 Explain the different practices of HRM .................................................................. 40

2.1.3 The benefits of HRM practices for employer ......................................................... 42

2.1.4 The benefits of HRM practices for Employee ........................................................ 45

2.2.2. Productivity ............................................................................................................ 47

2.4.1 Critical evaluation ................................................................................................... 50

2.4.2 Conclusion .............................................................................................................. 55

Learning Outcome 03............................................................................................................... 56

3.1.2. Explain what is meant by HRM decision making.................................................. 57

3.2.1. Explain what is meant by employees’ legislation .................................................. 58