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Introduction to Human Resource Management For Service Industries
Human Resource Management (HRM) plays most important role in organization as staff members present within the workplace are assigned various duties which have to be carried out in appropriate manner. Further, different ways are employed by business for enhancing motivation level of its workforce and this in turn acts as development tool for the firm. In service industry, significance of human resource management is rising at faster pace where hotels and other type of businesses are working hard so that staff members can be managed easily (Dimba, 2010). Apart from this, different employment laws are present which affects management of human resource and it is required for business also to comply with such laws for its benefit. On the other hand, different selection processes are undertaken by service companies so as to hire best employee within the workplace. This in turn, supports in enhancing overall performance of company in the market.
For conducting the present study organization chosen is Hilton Hotel Worldwide where firm operates in hospitality sector and offers large number of services to its target market (Hilton Hotel. 2015). Further, at present business is currently opening hotel of 50 rooms at Stratford city through which large number of services will be delivered to customers such as Foreign exchange currency, spa, fitness room etc. Various tasks have been covered in the study which is purpose of human resource management, current state of employment relations etc.
1.1 Role and purpose of human resource management
Human resource management plays most important role within Hilton hotel as through this, it is possible for business enterprise to carry out all the major operations in effective manner. Further, without effective management of human resource it is not at possible for business to encourage its staff members so that they can work for the betterment of company. The concept of HRM involves planning for human resource with the help of which Hilton hotel plans how much manpower is required for carrying out overall operations and through this it is possible to satisfy need of target market (Dransfield, 2000). Further, it is well known fact that services offered by Hilton hotel are of unique nature due to which efficient workforce is required by business so that services can be delivered as per expectation level. Apart from this, through proper planning it is possible for company to assign proper responsibilities along with duties to business so that overall goals can be accomplished easily by organization.
Further, forecasting is also associated with concept of HRM with the help of which Hilton hotel can identify demand for its workforce in near future and this acts as development tool for the firm. Through proper forecasting, unfavorable situations can be avoided easily such as inadequacy of workforce etc (Friedman, 2013). In service sector, planning along with forecasting of human resource is very important and this is favorable for business in every possible manner. Further, recruitment process is also linked with human resource management where Hilton hotel develops effective recruitment process with the help of which right person can be hired for the right job. This supports business in delivering service to the target market which is above their expectation level. Effective recruitment process has assisted Hilton hotel to become leader in the hospitality sector and in turn satisfaction level of its target market has been raised easily (Fauzi, Abidin and Awang, 2013).
Apart from this, main purpose of human resource management is to monitor all the tasks being carried out employees within the workplace. Through this, it becomes possible to identify the major areas where staff members are not performing up to the mark and improvement is needed. Further, it is well known fact that training and development is must in Hilton hotel and main purpose of human resource management is to design effective training programs for the overall development of the workforce (Garg and Garg, 2013). In short, proper human resource management is the key to organizational success where business can easily deal with the challenges being faced linked with management of workforce within the company. It enhances business strength and supports in knowing whether employees are applying proper efforts in carrying out business operations. Company like Hilton hotel has developed effective human resource management practices through which it is possible for business to meet with the expectations of its workforce and they are provided favorable environment so that overall duties assigned can be carried out in appropriate manner.
1.2 Human resource plan based on supply and demand
In order to carry out business operations smoothly and in appropriate manner, it is required for business to develop effective plan for human resource and it is effective for the business in every possible manner. While developing plan for human resource management, it is necessary for Hilton hotel to assess overall demand and supply of workforce in the market (Gary, 2011). Further, demand for skilled and knowledgeable workforce is increasing at faster pace in the market. This leads to increase in their demand and by hiring them it is possible to carry out overall operations in appropriate manner. Sometime, it may be possible that the type of employee required by Hilton hotel is not hired by business and this may have adverse impact on business. Further, it is the first and foremost responsibility of human resource manager of firm to know about supply and demand of employees in the market. This can act as a development tool for the enterprise where services to the target market can be delivered in appropriate manner by keeping in view overall aims of the business. On the other hand, large numbers of factors are present such as internal and external which influences human resource planning of Hilton hotel and it is required for business to consider such factors. Internal factors affecting planning for human resource are organizational structure, productivity, skill level, compliance etc (Kehoe and Wright, 2013).
By considering all these factors, it is possible for company to develop effective plan and in turn creates favorable result for the business. Organization structure is one of the most crucial factors where Hilton hotel has to ensure that its internal structure is appropriate for maximizing efficiency of human resource. It is necessary for business to develop effective structure so that its staff members can easily carry out overall operations and does not acts as hurdle for them. Skill level is also considered as an important factor which influences human resource plan. Since, Hilton hotel carries out operations on wider basis and its business is growing rapidly due to which skilled workforce is being required for carrying out overall operations and serving customers. By hiring knowledgeable staff members, satisfaction level of customers can be enhanced easily.
On the other hand, external factors are also present which influences human resource planning of firm. Such factors are government factors where regulatory authorities have introduced various guidelines which firm has to comply with (Khatri, 2000). Therefore, on the basis of policies and laws firm has to carry out planning for its human resource. Competition is also one of the main external factor which affects human resource planning of firm. Hilton hotel carries out operations in the market where competition level is quite high and due to this basis reason it may be possible that firm is not able to obtain skilled workforce which can prevent business from accomplishing overall objectives. Therefore, this can also be regarded as one of the most crucial external factor which can affect human resource planning of Hilton hotel and it is necessary for business to consider such factors for its growth and survival.
2.1 Assess current state of employment relations
In hospitality industry, current state of employment is in favorable situation which is benefitting company like Hilton hotel and business can easily carry out overall operations. Further, in every business, appropriate structure has been developed through which proper support is provided to employees who are working in the enterprise. Appropriate structure allows business to encourage its staff members to take initiatives for the welfare of company and this leads to rise in overall performance of business in the market (Kozlowski and Salas, 2009). Consultation is also another effective approach which businesses operating in service sector have undertaken. Hilton hotels have also adopted this tool where views and overall perception of every staff member is considered. Due to this basic reason, business is being able to serve large number of customers in the market.
Apart from this, it creates an environment which is full of motivation and in turn Hilton hotel can easily accomplish its aims and objectives. Culture of the company is also flexible where staff members are allowed to carry out operations as per the style in which they prefer to work. Employee participation is also necessary in every sector where business like Hilton hotel encourages employees to actively participate in the affairs of the business and this boosts their satisfaction level within the workplace (Laroche and Rutherford, 2007). This strengthens the relationship of employees with top authorities of the business.
Further, concept of involvement along with conflict management has also been undertaken through which various issues being faced by staff members within the workplace are tackled easily. Apart from this, due to presence of effective conflict management process, Hilton hotel is able to manage its workforce in appropriate manner and this act as development tool for the business. Empowerment is also one of the key concepts in human resource management where companies operating in service sector have been undertaken (Lewis and Arnold, 2012). Hilton hotel has assigned various duties to its staff members and they are empowered with the motive to enhance their satisfaction level. In short, it is one of the basic reasons behind success of business in the market and is providing support to deal with the challenges present in the business environment. Through this, it can be easily said that current state of employment relations are beneficial for the entire service industry where workforce is managed in appropriate manner and this leads to favorable outcomes for business in every possible manner.
On the other hand, proper disciplinary procedure has been undertaken by companies in service industry which is generally regarded as the effective process for dealing with perceived employee misconduct. Through this process, it has become possible for firms to work for the betterment of its human resource and is leading to favorable outcomes. Sometimes, it may be possible that employees are not provided favorable environment to work and in some conditions they are suspended from work (Price, 2011). Therefore, disciplinary procedure provides direct support to business in every possible manner and this assist in knowing that current state of employment relations are positive.
2.2 Employment law affecting management of human resource
Employment laws introduced by government directly affects the management of human resource within workplace. Employment relation act 2008 has been introduced whose main area of focus involves promotion of democratic rights of workers, simplification of procedure for registration, promotion of collective bargaining, resolving disputes, development of productive employment relation etc. Firm has to comply with this law strictly and it is necessary to manage human resource as per this law for boosting overall performance of company in the market. Further, Hilton hotel carries out operations on wider basis due to which firm has to comply with employment relation act for its growth and survival (Sims, 2007). Moreover, Employment right act has also been introduced which totally relies on revision and consolidation of the laws which are linked with contract of employment, minimum age for employment, working hours, payment of remuneration etc. Main motive of this act is to protect rights of human resource working in the company and it is necessary for Hilton hotel to comply with this law so that staff members can be protected in every possible manner.
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On the other hand, contract of employment is also legal law which takes into consideration resignation, termination, retirement and other policies (Equality Act, 2010). Firm has to develop contract of employment so that it may be welfare for human resource like company is allowed to terminate staff member only when there is some valid reason. In case, if business terminates employee due to personal reason then it is against the law. Parental law has also been introduced by government where employee is granted leave when a child is born or adopted. Further, it takes into consideration adoption leave, maternity leave, safe job etc (Pynes, 2008). This law has to be considered by business as it safeguards interest of the staff members by being present within the workplace. Apart from this, laws associated with retirement are also present which highlights the age in which employee can retire from job and in some condition it is also possible to continue the job if management of the firm allows. In short, employment laws have been strongly developed with the motive to provide protection to employees in every form and they can easily carry out operations in effective manner. Apart from this, due to presence of employment laws business has to alter its practices for management of human resource. In case, if business does not comply with the laws introduced then, it has adverse impact on the overall performance of company. Therefore, in this way, the employment laws which have been introduced by government directly affect the practices undertaken by management for managing its human resource in appropriate manner (Torrington, Hall and Taylor, 2014).
3.1 Comparison of selection process of different service industries
Companies operating in service industries have undertaken different processes with the motive to hire individual who is fit for the job and has good knowledge in the field of hospitality. Hilton hotel is one of the organizations operating in service industry and firm delivers large number of services to its target market. For selection of candidate for a specific position business has developed effective processes. Generally, internal sources are considered by firm while selecting candidate which consider employee referral etc. Further, companies like Hilton hotel undertakes various stages which business follows with the motive to select best suitable candidate for the specific position (Muro and Jeffrey, 2008). Moreover, personal interview is generally taken by firm so as to know whether candidate who is applying for any position in the organization is fit for the job or not. This acts as development tool for the enterprise where accomplishment of desired goals along with objectives becomes easy for company. Stages followed by Hilton for recruiting candidate within the workplace are quite flexible where business keeps on changing the methods of selection.
Further, the most significant stage considered by the business is background check which takes into consideration criminal history, past employment verification, credit history of individual etc. Through this, it becomes easy for Hilton hotel to judge any candidate who applies for any specific position in the firm. Apart from this, the main reason behind development of effective selection process is that management wants to ensure that candidate is having proper knowledge along with skills in the field for instance if any candidate has applied for the post of receptionist in the hotel then main focus is on knowing the skills along with knowledge so that customers of the company can be served in better manner (Palumbo, McIntosh and Naud, 2008). Presence of effective selection process undertaken by Hilton hotel is allowing business to grab opportunities in the market and in turn human resource management becomes quite easy for business.
On the other hand, selection process of Marriott is also quite effective where firm has undertaken the concept of online application. Further, it is possible for candidates to apply through their respective emails, they can visit career website of firm and can apply for suitable position. Business has developed online application system which takes around 30 to 45 minutes to complete the entire process. Therefore, this process of selection undertaken by company is also quite effective where it becomes easy for firm to hire the best candidate who can support business in carrying out overall operations. In comparison between both the selection processes of Hilton and Marriott, it has been identified that selection process of Marriott is much more effective as it is based on online system and through this it is possible for business enterprise to hire right candidates who is suitable for the job requirement (Environment influence on HRM, 2009). In short, adoption of proper selection process allows company to perform better as most appropriate individual is hired for carrying out overall business operations in the market.
4.1 Contribution of training and development to effective operation
Training and development plays most important role within the workplace as supports in enhancing level of skills along with knowledge which is generally required for conducting business operations. Further, Hilton hotel carries out overall operations in wider basis due to which it is must for business to deliver effective training to its workforce so that they can carry out duties assigned in appropriate manner (Khatri, 2000). Sometime, it may be possible that employees have to perform efficiently at the workplace and their performance is below expected level. Therefore, training and development activities largely contribute in enhancing level of skills so that their capability to deliver services to target market can be enhanced easily.
Apart from this, market trends are changing at faster pace due to which it has become necessary for business to undertake training and development sessions for staff members so that they can easily deliver services to the target market as per their expectations. Moreover, providing appropriate training to the workforce assists business to remain competitive in the market as the services delivered to the target market are differentiated and due to this reason business can easily gain competitive market. In short, survival of company in the market becomes easier and issues linked with management of human resource can be tackled easily by organization. On the other hand, it is well known fact that every employee present within the workplace may not have right skills along with knowledge which are necessary for serving customers. Therefore, such needs can be easily satisfied by undertaking training and development sessions (Evans, 2015). Further, for new candidates hired by company, it is necessary to deliver proper training so that they can gain knowledge regarding the type of operations being carried out by business such as style of working, internal environment etc. In short, the type of service delivered to customers by staff members depends on the training delivered to them.
Due to changing need of customers along with rising expectations company such as Hilton hotel has started to focus on its training activities so that best possible results can be easily. Apart from this, main objectives of company are enhancing customer base, increasing profitability, market share etc. So, all these aims can be easily accomplished, if business indulged into proper training practices and this in turn can enhance satisfaction level of employees who are working in the company (Dimba, 2010). In short, it can be said that training and development activities of Hilton hotel directly contributes in enhancing the performance of business in the market where company can easily deal with market challenges such as competition and has positive impact on the brand image also.
After carrying out the entire report, it has been found that human resource management plays crucial role in the organization as through this; it is possible for firm to encourage its staff members so that they can apply higher efforts in business operations. Hilton hotel carries out overall operations on wider basis due to which management of workforce is necessary for business. Moreover, different employment laws have been introduced by government which business has to comply with necessarily. Main focus is on protecting the right of employees within the workplace so that they can perform efficiently. Apart from this, the entire human resource plan developed by company must be based on supply and demand of individuals in the market. Business enterprise mainly focuses on hiring skilled workforce due to which it is necessary to undertake this concept and it is fruitful for business in every possible manner.
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