Human resource management is management of human resources and other resources in firm. It includes a process which includes recruitment, selection and training of employees. Thus it can increases the skills and knowledge of staff members (Banfield, Kay, and Royles, 2018). Hence they can perform all activities in better and effective manner. Thus they give superior results. Hence they can earn more revenues. Through this company can maintain distinct position in market. Report describes about the Asda company which is a retail firm. It was found in 1949. Project explains about the purpose and scope of human resource management with crucial skills to accomplish the business objectives. It further describes about the effectiveness of key elements of human resource management in firm. It explains about the internal and external factors which can affect human resource management decision making including various legislations of employment. It further describes about the application of different humans resource management practices in work.
P.1 Purpose and functions of HRM
There are different purpose and functions of HRM. So, objectives of HRM in Asda firm are-
Recruitment: First objective of Asda is to recruit qualified employees in firm. This helps the firm in performing all activities in better manner. Through this, the firm can easily improve its performance.
Training and development: HR manager of Asda firm organises various training events in which different activities are organised which helps in increasing technical knowledge of employees. Hence, they can give the best results.
Performance appraisal: HR manager can evaluate performance of staff members. They give suggestions to improve their performance as they do not perform according to expectations of manager. As a result, it can easily improve performance of workers.
Planning: HR manager create different plans and policies so that they can recruit the best and competent employees on the firm. Thus, the firm can perform better and can maintain unique position in the market.
Organising: HR manager can give various responsibilities and other resources so that they can perform tasks in an effective way. As a result, they can easily complete activities in less time. Hence, all objectives can be accomplished in minimum time.
Directing: HR manager of Asda Company can guide and supervise all employees so that they can easily accomplish their goals. Thus, it improves their performance and hence employees can easily achieve their goals.
Controlling: The last step is to monitor performance of workers. Thus, manager can give necessary suggestions to improve the performance of all employees. Consequently, it leads to development of company and it can maintain unique position in the market.
Functions of HRM:
Reduces workers turnover: HR manager interacts with all employees and solve all their problems. Accordingly, they can perform all tasks in better manner. Hence, workers can perform with their full potential and skills to give superior results.
Reduces conflicts: HR manager can motivate all employees. They can give different rewards to workers who perform better. Therefore, it reduces conflicts and other issues in firm. Hence, they can perform better. Thus, firm can easily achieve their goals and leads to increasing of customer satisfaction.
Recruitment and termination: Firm can recruit competent workers. Company can any time terminate employees if they think that they are not performing better and it do not have achieved their targets. Thus they can easily terminate the employees.
P.2 Strengths and weakness of recruitment and selection approaches
Different strengths and weakness of recruitment and selection approaches used in Asda company are-
Internal recruitment: It is a process in which manager can recruit and select employees from company and they do not recruit employees from an outside source.
Strengths: Reduces costs: It decreases costs of recruiting and selecting employees as firm do not select employees from outside source. There is no cost in advertisement and recruitment from colleges.
Knowledge of individuals: Company have previous records and knowledge related to individuals who are promoted within the company. So, it can make recruitment process easier and faster.
Weakness: Limited choices: Company is selecting employees from within the company so it has limited options and choices to select workers. Thus, they cannot select new and more qualified staff members.
Training new person: As they had promoted existing employees who already know culture and working patterns of that company so hence they have to organize training programmes of employees. This is crucial so that they can increase their skills which are required in the job.
If staff members are to be selected from an external source, it is known as external recruitment.
Strengths: Fresh talent: Company is selecting employees from an outside source then it can select qualified and individuals with good skills which is required in the job. So hence they can give new advices and suggestions to company which is beneficial in enhancing performance of firm.
Improves diversity: Company selects employees from different religion and background. Hence, it directly promotes diversity in firm. Thus, all workers can interact with each other and can give suggestions to company.
Weakness: No knowledge: Firm can know the skills and communication level of employees but they still do not have sufficient knowledge of all employees who are selected in the company. This leads to poor performance of firm.
Communication gap: There is no proper interaction of employees with the company. Thus, they cannot properly interact with all employees and solve their problems. Through this, staff members cannot deliver the best results.