Recruitment

Introduction

The crisis has hit the shipping company strongly. Demand slowed down. With the expected prolonged impact of the crisis, the company has to lay up half of its fleet and rationalize its workforce to remain viable until the turnaround in economic conditions and demand hikes up again.

Average demand in the previous months has gone down radically with some of the ships operating at substantially decreased loads at barely breakeven. At the same time, prices have also gone down due to the heightened competition among shipping companies over the remaining demand. By continuing the existing operations, the shipping company would start to accumulate losses. This requires the laying up of six bulk carriers affecting the employment of the crew.

Not only does the company have to berth half of its fleet indefinitely but it also has to reorganize and trim down its entire workforce to bring down operating costs. Decruitment encompasses this activity. Decruitment refers to the process of decreasing the number of workers in an organisation (Robbins & Coulter, 2005). Of the forms of decruitment, the shipping company can either end the employment of seven assistants from the five departments who have been in the company for two years or less or enforce early retirement by offering some senior managers incentives to retire earlier than the normal age of retirement.

Communication constitutes a valuable tool in managing decruitment. This enables organization-wide understanding of the situation and the rationale for the selected decruitment option. Otherwise, this would create more human resource problems for the shipping company. Claims for unjust termination could emerge when the reason for the termination or early retirement is unclear or unarticulated. Low morale could result from retained employees not fully understanding the situation of the company. (Robbins & Coulter, 2005)

Rationale for Decruitment in the Shipping Company

The effect of the crisis on the shipping company led to the laying up of six ships resulting in the inevitability of layoff of crewmembers and decruitment. Two options for decruitment exist. One is the decruitment of seven assistants from operations, purchasing, supply, technical, and safety and quality departments. The other is the implementation of an early retirement plan for senior staff, specifically the chief accountant, one safety and quality manager, and the retired fleet manager acting as consultant. The recommended option is the implementation of the early retirement plan for three senior staff. This finds support from a number of justifications.

Based on the scope of the decruitment (Kleiner, 2004), this does not involve entire departments but targets only selected individuals. As such, the timing becomes important. The two senior staff will be up for retirement, in two years and five years respectively while one senior staff has already retired and acts as a consultant to the shipping company. Since the reason for the reduction in employees is valid, a fair early retirement scheme just means the speeding up of the period prior to the actual retirement of employees but placing them in a similar position if they were to retire in the next two or five years.

In using objective measures for selecting employees targeted by the decruitment, the primary goal is to have the best-qualified employees following the decrease in workforce (Kleiner, 2004). An objective measure that justifies the selection of the three senior personnel for the early retirement scheme is the elimination and reorganisation of job functions. The laying up of six vessels and contraction of the workforce means that certain positions would have to be discarded.

The consultant position together with the safety and quality manager could be discarded in a manner that could still support the effectiveness of the shipping company. The consultant is already retired and just assisting in management temporarily or occasionally. Other safety and quality managers could take on the management of this area. Although the chief accountant position remains, the senior manager holding this position is due to retire in two years and there are likely to be qualified personnel who can already take the position.

A weighing of the costs and benefits involved in decruitment necessitates the reduction of costs as outcome, although in the short term an increase in costs is expected (Kleiner, 2004). Costs and benefits could be monetary or non-monetary. Monetary benefits could be increased revenue generation while non-monetary benefits could be improved performance of the surviving employees. Monetary costs include severance pays, legal fees, and settlement of claims while non-monetary costs include decline in motivation.

The benefits of decruiting the three senior staff includes decrease in operating cost, provision of promotion opportunities for lower level employees and improved performance from a rationalized workforce. The costs of implementing the early retirement scheme are separation incentives, human development plans for the surviving employees, and other costs involved in planning and executing the scheme. The weighing of potential costs and benefits show that the shipping company would incur costs during the implementation of the early retirement scheme in handling the decruited and surviving employees.

However, in the long-term, the shipping company would experience reduction in cost from the decruitment through a decrease in operating cost from a rationalised workforce. As long as the early retirement plan complies with labour standards, there would be no problems such as claims or litigation and demoralisation of the workforce. The reduction of costs in the long-term concurrent with the achievement of the benefits also depends on the implementation of an effective human resource management activity for retained employees. Nevertheless, the expected reduction in cost justifies the decruitment of the three senior staff.

A consideration of the possible legal issues that could arise in the early retirement plan covers possible claims based on age discrimination since the targeted employees for decruitment are all senior staff. The length of service is directly related to the attachment or even loyalty to the company so that this could lead to resistance. In addition, there are also legislations and labour standards that prevent the selection of employees to decruit based on age alone. (Kleiner, 2004) A consideration of the rationale for selecting the early retirement plan for the three senior staff indicates that age is not the sole consideration.

One of the selected staff was already retired and serving a consultative position and the other two are up for retirement in the next two and five years. The primary reasons for their selection are loss of job function and rationalisation of the organisational structure. There is no indication that the workforce profile after the decruitment process favoured younger employees or those with shorter service. As long as the early retirement scheme is similar to the retirement plan of the company, there should be no legal issues in the decruitment process.

Strategies for Decruitment in the Shipping Company

To prevent or mitigate likely problems arising from the decruitment, the process of reducing employees should be strategic (Kleiner, 2004). This requires planning, directed implementation, and evaluation. There are three considerations in implementing a decruitment plan. First, is open and truthful communication to both the people leaving and remaining in the company. Second is the development of a fair and honest compensation package and other assistance for decruited employees. Third is the provision of counselling and other necessary support for surviving employees. (Robbins & Coulter, 2005) These are necessary considerations in ensuring benefits and preventing or mitigating problems during the decruitment.

The encompassing activity or strategy is effective communication. This is because communication explaining the situation would ensure understanding on the part of decruited personnel and surviving employees.

On the part of decruited senior staff, there is need for communication to explain clearly and completely the need for the reduction of personnel and clarify the early retirement scheme. The communication is contained below.

The company regrets to inform you of workforce reduction via an early retirement scheme. The economic crisis has led to significant declines in the revenue generation of the company and the laying up of half of the shipping vessels. The company has experienced continued declines in revenue generation and profitability in the last two quarters. To ensure survival, the company commenced cost-cutting activities and exercise of prudence in expenditures. Despite these efforts, the reduction of the workforce has also become necessary.

In recognition of your valuable contribution to the company, the early retirement scheme includes a reasonable separation pay as well as all salaries and benefits due as contained in the employment contract, the policies of the company, and statutory regulations. The company also provides a transition assistance program to secure an acceptable retirement situation for all personnel leaving the company. Confidentiality and non-disclosure provisions in the employment contract would apply. The human resource department is open in addressing any clarifications or concerns that you may have.

The communication has a number of parts. One is the direct mention of decruitment through the early retirement scheme. Another is the explanation of the reasons. Third is the identification or listing of the early retirement plan including the coverage or scope. Fourth are reminders of the obligations of personnel towards the company as contained in the employment agreement and company policies.

Apart from the decruited senior staff, there is also need to communicate the situation to the crew of the six ships for lay-up. There is a difference in the communication to the decruited senior staff and the crew of the six ships because of differences in situation. The senior staff are retired or up for retirement in the next years so that an attractive and reasonable early retirement scheme would comprise incentives to secure agreement with the decruitment. The crew of the ships are not necessarily nearing retirement, which makes job security a bigger issue. This implies greater resistance to the layoff.

Communication becomes an important tool in addressing resistance by easing the concerns of the employees over job security and rightful compensation (Kleiner, 2004). The rationale for the reduction of ship crew is justified by the need to lay up six ships because of the slowdown in trade. However, the crew need to understand the situation and appreciate the support that the company is willing to provide. The communication is shown below.

The company regrets to inform you of the laying up of six ships and its crew. In the past two quarters, there have been marked declines in exports and imports making it unprofitable to continue operations at full capacity. Inevitably, revenue generation have also been declining. The lay-off is temporary and the turnaround of the economic crisis leading to growth in trade would again support the operations of these ships and the recall of the crew. The company has allocated an unemployment compensation for all crewmembers together with the payment of all compensation and benefits due under the contract terms, policies of the company, and statutory provisions. The human resource department is also open for clarifications, questions and all issues related to the layoff.

The communication addresses a number of important areas. One is the situation of the company leading to the laying up of six ships and its crew. Another is the nature of the lay-off as temporary but dependent on improvements in economic conditions.  Still another is the support that the company is willing to provide to employees. Communicating to the crew of the ships for lay-up indicates concern for its employees. Open communication reflects good faith.

Conclusion

Decruitment refers to workforce reduction for various reasons. There are ways of implementing decruitment. Regardless of the means of decruitment, necessary human resource management considerations emerge. The concerns are justification of the decruitment, which are cost reduction and operational efficiency, as well as compensation and other support assistance due to the affected employees. Strategic decruitment facilitates the achievement of the objectives of employee reduction. Open and clear communications is an important tool in ensuring effective decruitment by ensuring openness of the company to its employees as a sign of good faith and addressing of issues such as objective selection of employees leaving the company and due compensation to reflect concern over employee welfare.

References

Kleiner, B.H., 2004. Workforce reduction guidelines. Southern Business Review, [Online] 1 Apr. Available at: http://www.allbusiness.com/human-resources/986002-1.html [Accessed 10 April 2009]

Robbins, S. & Coulter, M., 2005. Management. 8^th ed. New York: Prentice Hall.

Each firm has all different correctly processes so It Is difficult for applicants to prepare to apply. The reason why Korean firms should have complex recruiting system is that Korea economy is under bad situation. There are many news articles which say that the number of recruiting of each firm has fallen to historic lows. Korean firms should have complicated recruiting processes to choose a few of people among thousands of applicants. In other word, Korean firms face bad time to recruit more number of competent employees.

For the reason, the gulled given by the article might be useful for them. 2. The most surprised what I learned from the article While I am reading this article, the most surprised what I learned is that there is nothing to be surprised. In general, tips from this article are too common and obvious things to be Impressed. For example, anticipating the need and specifying the Job Is so general things to prepare recruiting new employees who have a strong competence. However, the impressive facts which I learn are that there are few firms which follow this rule.

Especially, I surprised that most of executives cannot answer easily about predictions for the size and composition of their core employees (called o top-x groups) even though they want to work with very competent employees. They don’t have any suitable system to grasp the anticipation and specifying what they need In HER. That’s why many company failed to recruit right person. Another interesting and surprising thing was driven from the recruiting process. I thought an ability of collaboration and some experiences related to the jobs are important to recruit right person.

However, this article shows the adaptability for learning new thing is also very important to hire a new person who might be in the top x group. Moreover, an Interview is the one of the most important processes among several ways to assess applicants. Nevertheless, this article suggests that conducting detailed reference checks be a critical point for recruiting. 3. The most serious problems of Korean firms in recruiting One of the most serious problems which Korean firms face in recruiting is that they concentrate on only the 4th step which is an assessment of applicants.

According to this article, the assessment of applicants is a Just one step among 7 steps. In other word, there are other Important steps which should be deal with. However, to hire a example, Korean firms disregard the first and second step of guide by this article. HER manager who was in the Korean big telecoms company in which I did an internship says HER department Just aggregates the number people as each department needs. Then, the HER department assigns the proper number of recruiting for each department.

At the same time, some political power in the organization might affect this assigning process. There is another example of Korean company in recruiting. A Korean firm which is famous for heavy industry places importance on the organization culture when they recruit so when they assess the candidate, the result of fit-test’ is very important. When some of candidates have a great competence rather than others, they might be failed to hire.

It is not reasonable but many Korean firms do similarly. Like these cases, those companies do not consider the strategy so much when they anticipate in need and specify the Job. Another critical problem is that Korean firms do not prepare to recruit when they are under bad economic situation. They start to recruit when they really need someone. According to the article, however, it is very critical issue for those firms to prepare all the time and understand how to follow this guide in a real.

Otherwise, it is very difficult to make talent management’ a reality as most of executives in Korean firms want. 4. Conclusion In recent years, Korean firms are trying to introduce various kinds of recruiting system because they know result and performance of their recruiting is not as great as they expect. HER managers and Coos should understand that other steps such as anticipating the need, specifying the Job and so on are important as well as assessment of candidates to enhance the effectiveness of recruiting of Korean companies.

Historically, HRM activities and tools were developed and implemented by a department or functional unit. Today, however, operating managers are in the forefront in applying and modifying HRM tools and activities. Why has the shift in application occurred? Some people think that in a company, any responsibility is divided very clearly; therefore each unit only has to care about its assigned task. It means that in a company, there is only human resource department has to care about people and perform HRM tools and activities.

It is also the long-time trend of view in Vietnam. However, delegation of HRM duties has changed over time. In most organizations two groups perform HRM activities: HR manager-specialists and operating managers. Operating managers (supervisors, department heads, vice presidents) are involved in HRM activities because they are responsible for effective utilization of all the resources at their disposal. The human resource is a very special kind of resource. If it is improperly managed, effectiveness declines more quickly than with other resources.

And in all but the most capital-intensive organizations, the investment in people has more effect on organizational effectiveness than resources such as money, materials, and equipment. It is the reason why operating managers today spend more and more time on managing people. Another cause of this fact is the scale of business. In big company, if there is only human resource managers who care about the employees, an insufficient attention will be inevitable. With such kind of organization, we have to divide effectively the responsibility among its structure.

Some operating managers will care about this part, while others will care about others. It helps improve the performance of the whole company. In contrast, in a smaller company, there is rarely HR unit. At that time, the operating mangers have many HRM responsibilities to take care of, such as scheduling work, recruitment and selection, and compensating people. As the organization increases in size, the operating manager’s work is divided up, and some of it becomes specialized. HRM is one such specialized function.

With all of those reasons, we can say that operating managers are in the forefront in applying and modifying HRM tools and activities. The role of operating managers is changing. Research shows that people don’t leave companies; they leave managers. It will cause the managers to change, alter to make better image of a company. 5. Job analysis is often referred to as the “cornerstone” of HRM. Please describe HRM functions or activities that use job analysis in some way? What core information should be included in most job descriptions and job specifications?

Use of job analysis In addition to helping organizations satisfy their legal requirements, job analysis is closely to HRM programs and activities. Job analysis is the process of defining the work, activities, tasks, products, services, or processes performed by or produced by an employee or employees. Some HR functions or activities that use job analysis: Recruitment and hire This process of job analysis identifies not only the critical tasks but also those tasks which require high skill levels.

It helps recruiters seek and find right persons for the organization. Training and development Job analysis clearly establishes the skills needed for a job. It also establishes the different skills required for each of the jobs in the organization. For example if a company has a series of jobs such as Building Maintenance Worker I, II, and III, this process of job analysis will not only establish the skills required for each of the jobs; but it will also establish the different skill levels, “marginal skill levels”, between each of these jobs.

It is then possible to develop training programs based on the specific tasks unique to the job as well as those similar tasks required by other jobs. Compensation Another benefit from this approach to job analysis is that it can signal when compensation for a job should be reviewed. Jobs are dynamic and always changing. The question of when these changes are significant enough to result in a change in compensation is important. Tasks of a job may change but that does not necessarily mean that the minimum skills have changed.

Relative frequency and relative difficulty may change but that does not necessarily mean that minimum skills have changed. When the change in the job results in a change in critical tasks which result in changes to minimum skill levels, then the job should be reviewed to determine if compensation for the job should be adjusted. This process provides documentation to support adjustments to compensation based on changes in minimum skill levels. Work force planning and utilization This approach to job analysis will identify which tasks in a job require the highest skills.

Management will be able to use that information to structure jobs. If there are only a few tasks requiring high skill levels, it may be more efficient for the organization to shift those tasks to another job which already requires those skills. This allows the organization to develop specialized jobs and hire employees with an emphasis on those skills. The organization can also use the job analysis information for projecting work force needs. By observing how jobs change over time, an organization will be in a better position to predict how jobs are likely to change in the future.

Employers should be in a better position to project lead time needed to bring an employee to the level of full productivity. As organizations decide their future human resource needs, the information obtained through this job analysis model should aid the organization in developing a plan to meet those needs. Whereas the firm saves money by eliminating orientation sessions for employees recruited internally, other training costs may go up. If company policies mandate internal recruitment, then employees promoted from within may not have all the requisite skills required for the job.

In such cases, employees will have to be trained for their new jobs. This can be a costly process. It becomes even more costly if the chain-effect of successive internal promotions requires a series of training sessions to be implemented. A succession of internal recruitments may, in fact, result in the Peter Principle (“In a hierarchy every employee tends to rise to his level of incompetence. ” — The Peter Principle by Laurence Peter and Raymond Hull, 1969). This can be avoided by initially promoting internal recruits on a temporary basis.

Demotions for incompetence can have a demoralizing effect on the organization. To avoid such disappointments, the temporary appointment (“acting manager”) serves to give the internal employee an opportunity to show their worth. However, it also provides the employer with an opportunity to replace that employee with a more qualified individual if necessary. Another unintended negative consequence of internal recruitment might be organizational politics. This may occur when more than one employee aspires to the job vacancy.

Those not getting the promotion will be disappointed and may be unwilling to grant the new job-holder the authority required to do the job. Further, the unsuccessful applicants’ coworkers may also resent the successful candidate and demonstrate that resentment through less than satisfactory work output. 7. Why should a selection method be both valid and reliable? What could happen if a company uses a selection method that lacks these characteristics? Discuss and compare the validity and reliability of at least three selection methods?

Human resource planning determines the human resources required by the organization to achieve its strategic goals. As defined by Bulla and Scott (1994) it is the process of ensuring that the human resource requirements of an organization are identified and plans are made for satisfying those requirements. Human resource planning is based on the belief that people are an organization’s most important strategic resource. It is generally concerned with matching resources to business needs in the longer term, although it will sometimes address shorter term requirements. In the organization, HR planning has the following aims:

1. Attract and retain the number of people required with the appropriate skills, expertise and competencies;
2. Anticipate the problems of potential surpluses or deficits of people;
3. Develop a well trained and flexible workforce, thus contributing to the organization’s ability to adapt to an uncertain and changing environment;
4. Reduces dependence on external recruitment when key skills are in short supply by formulating retention, as well employee development strategies;
5. Improve the utilization of people by introducing more flexible systems of work.

At Anheuser-Busch, they actively scout for recruits at college campuses and job fairs. But that’s not the only door of opportunity that is open to candidates. Their website is designed to help them reach all potential candidates who are qualified and interested in careers at Anheuser-Busch. Anheuser-Busch promotes from within, they are always seeking the future leaders to flourish, and take the company to the next level. The organization is investing in tomorrow by sourcing bright new talent and providing them with the training and resources to make a difference.

In so far as there are articulated strategic business plans, human resource planning at Anheuser-Busch interprets them in terms of people requirements. This influences the business strategy by drawing attention to ways in which people could be developed and deployed more effectively to further the achievement of business goals as well as focusing on any problems that might have to be resolved in order to ensure that the people required will be available and will be capable of making the necessary contribution.

Selection and Placement

The purpose of selection interview is to obtain and assess information about a candidate which will enable a valid prediction to be made of his or her future performance in the job in comparison with the predictions made for any other candidates (Armstrong, 2006).

At Anheuser-Busch, the HRM approach is adopted to selection, which involves taking much more care in matching people to the requirements of the company as a whole as well as to the particular needs of the job. And these requirements will include commitment and ability to work effectively as a member of a team. The recruiting process begins when the prospective candidate finds the position that interests him/her and submits an online application. Applicants also submit their resumes and cover letters to Anheuser-Busch’s Human Resources department. The company scans all resumes into a database and then holds them there for up to six months, matching them against positions as they become available. If the candidate’s skills and experience match what the company is looking for, he/she will be contacted for a telephone interview. The candidate may be asked to visit Anheuser-Busch for a company tour and face-to-face meeting. The selection process is highly competitive, so sometimes, the candidate may need to return for a second or third interview.

Training and Development

According to Armstrong (2006), Training and Development system plays a crucial role in the assimilation of new employees as well as providing opportunities for current employees to grow and develop within the organization. At Anheuser-Busch the HR department helps the company derive the training solution that best meets its needs. The company provides a full range of customized training solutions from consulting services regarding the design of training system to facilitating training solutions that maximize organizational productivity.

Community programs and organizations that help the company to recruit, train and support minority and disabled professionals play an important role throughout the company. Regardless of ethnic background, gender, skill level or experience, A-B welcomes those with vision, commitment and drive, and treats them with respect. Some of the measures taken by Anheuser-Busch to train and develop its employees include:

• Mentoring and providing feedback to help employees achieve their personal potential.
• On a national level, Anheuser-Busch invests in organizations that create and enhance economic opportunities for the African-American, Hipic and Asian communities.
• One of its core values is “building a high-performing, diverse workforce.” It’s a priority they take very seriously and a strategy they make seamless across the company.
• To prepare and challenge employees, extensive training and education is provided by the Anheuser-Busch Training and Development Group (ABTDG)

ABTDG’s main focus has been developing skills for employees of all business units within A-B, giving special consideration to technical, leadership and professional development.  Technical training focuses on brewing, packaging, sales, maintenance, engineering and information technology, where as leadership and development courses centre more general skills needed to prepare the future leaders of A-B.

References

1. Armstrong, M. (2006), A handbook of Human Resource Management Practice. 10th Edition, kogan Page, London and Philadelphia.
2. Bulla, D.N. and Scott, P.M. (1994) Manpower requirements forecasting: a case example, in Human Resource Forecasting and Modelling, ed D Ward, T P Bechet and R Tripp, The Human Resource Planning Society, New York
3. www.Anheuser-Busch.com

Human Resource Planning is the assistance provided to organizations in recruiting, retaining and optimizing the deployment of the employees required to meet a set of business goals and in order to better respond to the external changes. The process includes analysing the skill set of the current workforce, manpower forecasting and matching supply with demand. It supports the future direction of the organization The overall objective of the human resource planning process is to firstly attract more candidates to the organisation.

Secondly, it involves creating a pool of candidates that are right for the job and selecting them at a minimal cost. This is also known as recruitment. HRP includes infusing fresh blood at every level of the organization. Additionally, it aims to meet the social and legal obligations concerning the composition of the employees. At the end of the day, human resource planning should increase the overall effectiveness and efficiency of the recruiting techniques used by the organization.

Recruitment, on the other hand, refers to sourcing candidates through advertising or by other means, screening the candidate through a test or interview and finally selecting the right candidate for the right job at an organization. Recruitment can be done by in-house professionals or by utilizing the services of professional recruiters or employment agencies. The primary aim of the recruitment process is to find a large number of quality employees so that the organization can achieve its goals and objectives in a better way.

Creating a large pool of prospective candidates makes it easier for management to select a person who matches the profile of the job description perfectly at the right time. Overall, the recruitment process is a linkage between job seekers and employers. Human resource planning is the most important step of Human resources. Recruitment is an important part of human resource planning. Effective human resource planning leads to better recruitment of employees in an organization. Human resource planning deals with answering questions such as: where the organization is headed? How it will get there and what skills will be needed?

Recruitment answers the second and third questions by providing candidates who can help take the organization where ever it is headed and makes sure that it handpicks the employees with the right skills. Later on, human resource planning takes care of continuously updating the skill set of the employees through training and development. Therefore, both planning and recruitment work in unison and neither can work in isolation. Without a human resource plan, recruitment will be difficult because hiring agencies, in-house or outsourced will not know who to hire and what skills are needed for the successful growth of the organization.

Without recruitment, a human resource plan is ineffective because there will be no employees to carry out the main objective of the human resource plan. With good human resource planning, recruitment is done by means of a structured recruitment approach. With effective planning, recruitment actions are taken prior of a vacancy. Whereas, without planning, recruitment and selection are done in a hurry and on an ad-hoc basis to fill the vacancy. With the latter method, the organization loses out on time and money. Human resource planning is directly related to business improvement and success of an organisation.

Since recruitment and selection are significant parts of human resource planning, therefore, effective recruitment is also directly tied to the success of the organisation. References: • A guide to strategic human resource planning. (2008). In Workinfo. Retrieved 06:29, April 26, 2009, from http://www. workinfo. com/free/Downloads/176. htm • Recruitment. (2009, April 23). In Wikipedia, The Free Encyclopedia. Retrieved 06:38, April 26, 2009, from http://en. wikipedia. org/w/index. php? title=Recruitment&oldid=285678464

The Headrow Hotel is a much-loved local landmark in Leeds city centre and was first opened in 1904 by the York family, with its location being ideal for the local business community and booming nightlife. The directors have recently decided to make major changes to the hotel by advancing it from a 3 to a 4-star status over the next twelve months. This specific objective will involve a more professional approach to the hotel’s operations with drastic alterations being made to the current old- fashioned standards of service through the addition of a Human Resource Manager.

By employing this particular member of staff they hope to first identify, then address the hotel’s present human resource issues as well as the concerns they may face upon progression of the hotel; and to produce appropriate recommendation strategies in order to resolve the hotel’s HR issues. This will be carried out through the adaptation of relevant theory, principles and practices that will be presented in a report format to the hotel’s board of directors. 1. 1 Context The hospitality industry is certainly a profitable place, especially for businesses that follow the golden rule of “the customer is always right”.

However, with customer service being such a significant part of the customer’s experience when staying in any modern-day hotel, there is always a possibility that the service is not fully satisfactory. Hotel clients have the potential to complain about almost anything in terms of the service they receive; such as the size of the toilet seat or the smell of the dining area. This can have massive impact on the hotel’s reputation if the customer then decides to create bad word-of-mouth advertising to their friends and family.

Good reputation is paramount for hotels that want to increase their market-base and ain more regular stayers, which can prove difficult if staff do not contribute to helping the customer’s overall experience. Therefore keeping a good image is imperative for any hospitality company; with friendliness, good service, efficiency, organization and professionalism being the key to success in this industry. Competitors can also play a huge part in determining how well its rivals do. Hotels that are specifically placed in a city centre can face a great deal of competition.

Not only must they compete with their rivals on price, but also on customer experience and satisfaction. This involves hotels ensuring that they have the correct facilities as well as the right employee allocation roles in order for them to maximise profit. A strategic and coherent approach to the human resource issues should be integrated into the corporate strategy of the business as in this case successful people management is essential tor the business is to survive in an industry where statt unquestionably the most valuable resource. 2. Current Problems Currently the Headrow Hotel has numerous problems in terms of its internal environment. First and foremost, its reputation has slowly deteriorated over recent ears, primarily due to its decline in standards of service. Secondly, the working conditions for staff have been generally regarded as poor, with low wages and unsociable working-hours also contributing to the hotel’s existing rate of 30% of staff receiving the minimum wage. This, among many other reasons, such as customer complaints and suspected thefts, has certainly had an effect on the hotel’s staff turnover, which was 56% in 2011.

Another major concern for the hotel is its lack of training and development opportunities for existing employees, which has also had a negative effect on the hotel’s dismissal rate. Appraisals take place annually, although they are not linked specifically to a structured performance pay scheme unless your role is of a supervisor or above; instead performance bonuses are decided separately by the York family, who have previously handled all staffing issues.

All these problems must be addressed whilst keeping the interests of the corporate strategy at the forefront of the hotel’s ambitions. 2. 1 Future Problems In addition to all the complications that the hotel faces, there are several new potential problems that can arise upon upgrading the hotel to a 4-star status. With the added extras of a health spa and swimming pool comes the requirement for increased workforce and skill sets in order to deal with all the new refurbishment adjustments.

New staff must be employed and trained by the hotel to handle the redecoration and refurbishment that is to take place, and the increased skills that will be mandatory for staff who are operating in precise areas i. e. specialised training for spa staff. Another possible problem is the customer complaints that the hotel could receive. With most of their complaints being related to staff it is central for the Headrow Hotel to ensure they attract, train and retain their staff decorously so that everyone is satisfied with their role, and even have someone who they can report their own individual workplace issues to.

Failure to attract the right staff who are devoted to their Job could result in a further decline in the hotel’s reputation, hence it is crucial that the Headrow Hotel adopts the appropriate policies that match the services needed from new employees. 3. 0 HR Planning When producing a HR plan it is vital that the integration of the design matches the corporate strategy of the business and that the objectives are in correlation to the ime scales specified. In this case, qualitative methods should be applied.

With the selection of specific employees in roles that match their specific skillset e. g. a qualified beauty therapist operating in the health spa department and a lifeguard operating in the swimming pool department. However employees, if not already qualified or new to technology advances, could take time to achieve their optimum output, resulting in a slower work-rate which could harm the hotel’s overall output. It would therefore be advisable for the hotel to expand its workforce by hiring employees that already possess the skills needed to perform in their Job.

In order to do this, the hotel must first address the issue of salary pay by increasing the hourly rates to that of a more acceptable standard i. e. E6. 08/hour (El above the NMW for 21+) which would also help to attract more experienced staff. This relates to Frederick Taylor’s 1 7) theory ot money as the main motivator tor employees. Next, hours in which employees operate under should be made more flexible subject to the roles they undertake; with employees working on night shifts receiving a fraction of increased salary.

Staff turnover is critical for any hotel, especially that of a 4-star restige, which is why the focus should be on providing an exceptional service for guests which can only be accomplished by giving employees a decent wage, as well motivation and inspiration; helping to ensure that future shortages in the workforce are avoided and that the business’ ability to progress is not obstructed. 4. 0 Recruitment ; Selection Recruitment is ‘all activities directed towards locating potential employees and attracting applications from suitable candidates. (Foot and Hook, 2005 p. 63) Based on this, the Headrow Hotel must abide by the proper procedures when choosing and hiring staff. At the moment the hotel’s reputation is declining, primarily due to the service provided by staff. Not to mention, customer complaints, suspected thefts, absences and punctuality problems are all leading to a high level of dismissal. This indicates that the hotel is employing unfitting staff. To prevent this, the Headrow Hotel must review its application policy thoroughly by first altering how it employs new staff.

Below is a diagram showing the recruitment process that should be undertaken by management at the hotel: The first step involves recognising the availability of the vacancy. The second step ntails discussing the Job opening with higher management. Thirdly, there should be an analysis which sees the purpose and tasks of the Job in question. Fourthly, a Job description should be carried out by management discussing the aims, results and responsibilities expected from the position.

Next, a person specification, which includes conferring what experience and skills are compulsory for this particular role. Lastly, attracting the suitable candidates for the vacancy through an application form and then selecting which candidate will suit the role best by collecting, assessing and comparing the Job applicants. If this systematic step process is followed accurately then the hotel will undeniably help to reduce its high dismissal rate, whilst increasing customer service. 5. Learning ; Development Human resource development comprises activities that help to expand the human capital through the integration of training and individual development which overall increases the organization’s effectiveness. There have been various issues in relation to learning and development at the Headrow Hotel. One major concern is the fact that there is minimal opportunity for training and development at the hotel, which eans that staff leave to attend roles at competitors’ hotels where there are more personal development prospects.

This has had a key influence on staff turnover and can be completely avoided by implementing a simple training and development scheme, such as one that allows staff who have worked at the hotel for over two years to undergo a training programme lets them train to attain a higher, more-qualified position within the organisation; increasing general staff stability and performance. Another concern is the low employee commitment and engagement which has arose due to low Job satistaction.

The best way to combat this is through motivation ot employees to be active and enthusiastic about their Job. An alternative method mentioned earlier was to increase salary, which has a definite impact on work- performance; yet there are other ways to boost motivation. One of which is to train staff in multiple areas, helping them to manage more responsibility and feel like they have a greater impact on the company. Another method would be to recognise their work output by supporting and offering them occupational promotions based upon how well they are performing in their current role.

By viewing at the diagram below you can begin to comprehend the multiple ways in which employers can amplify employee inspiration. Some employees can also struggle to adapt to new technological factors, such as updated computer software for receptionists. Therefore it is important for Headrow to delegate the roles accordingly and re-train staff that require improved specialist knowledge. All these factors help to strengthen the labour force within any organisation by simply listening to the employees and then responding in such a way that both the workforce and corporate goals are met. . 0 Performance Appraisal A must-have for the Headrow Hotel is a consistent review of the work content, potentiality and perhaps expansion for workers. At this moment in time, there is no structured performance management scheme at the hotel; with appraisals only taking place annually towards the end of the financial year. It is also evident that there is no connection between the appraisal performance pay scheme and integration of data collected from employee evaluations.

This advocates that the management cannot identify any staff training requirements along with any possible career development, therefore preventing the hotel from evolving its workforce. The supreme applicable system to incorporate into the hotel would firstly be to hold employee appraisals more often, preferably every 4 months. This will allow management staff to analyse and evaluate each employee’s involvement within the organisation three times a year and propose any adjustments that can be made.

Furthermore, management must implement a ‘Management by Objectives’ scheme which includes setting clear objectives for the employee to reach before the next appraisal, and discussing to what extent the objectives have been achieved. The advantage to this technique is that the employee’s objectives can be beneficial to the mployer’s own strategic targets e. g. An employee working in the kitchen making sure that they get to work tlve minutes early each time to ensure the kitchen is clean.

What’s more Headrow must include a ‘Performance Review Cycle’ within their appraisal system: This particular system follows a 4-step process. It begins by first setting the objectives for the employee to complete by analysing the employee’s role. Next, there is a conversation between the employee and interviewer which discusses the results. Afterwards, the interviewer must distinguish the strengths and weaknesses of the mployee and what action plan should be followed to help achieve their targets.

Lastly, the interviewer must converse with the employee about any opportunities for additional training and development; helping the employee to progress further in their role. By following these methods Headrow will assist in improving their staff and give them a greater sense of accomplishment within the organisation. 7. 0 Reward Management Within any modern-day business it is fundamental that employees receive commendation based on the effort and output they commit. At the moment Headrow Hotel do not display a clear link between the appraisal and performance pay scheme, with no structured performance bonus system built-in.

A lack of emphasise and acclaim on an employee’s performance can have a substantial impact on their interpretation of the hotel and incentive to work hard; which has led to staff departing to a competitor’s hotel that appreciates them more. Possible changes would be to provide employee rewards based on their productivity – as mentioned earlier, the ‘Management By Objectives’ would provide a foundation whereby the employer could recognise whether the employee was making valid contributions, and hen reward them with a direct reward, such as a pay bonus.

An extra perk would be to input a conventional pay system that sees annual increments in salary by an addition of +EO. 50 to their salary for each year they continue to work at the Headrow hotel. Finally, Headrow could correspondingly apply a Job ranking system which consists of comparing Jobs and producing a hierarchy based on the most and least significant roles; helping them to decide what salary matches what Job. All these factors will not only enhance employee satisfaction and motivation, but also help give

Headrow a competitive edge over their rivals in the heart of Leeds city centre. 8. 0 Discipline and Grievance Procedures Grievances can happen within any organisation and usually occur when there is a problem, concern or criticism from the employee; while disciplinary procedures arise when the employee does not abide by the rules set. At present the Headrow Hotel is suffering from severe staff turnover, mainly in the kitchen. This may be due to the current Head Chet’s authoritarian regime which could be viewed as gross misconduct under the ‘Employment Relations Act 2004’.

A problem like this should be dealt with immediately as it can affect multiple employees and should be done so by following the process below: Headrow management ought to initially resolve the conflict within the kitchen by means of an internal mediator that will attempt to unravel the dispute by communicating to the Chef about his existing strict techniques, and perhaps filling out a written warning. If however the problem persists, then management should consider the dismissal of the Head Chef and begin to search for a replacement immediately.

Terminating employees is a tense area for companies as rules and egulations must be firmly adhered to, otherwise the employer could face legal action against them. 10. 0 Conclusion ; Recommendations In conclusion, it is evident that the Headrow Hotel has various human resource issues; most of which are contemporary and some which are imminent as the hotel advances in prestige prominence. The greatest concerns and their solutions at the moment remain: (Problem – Solution – Resource issue) Declining reputation – Recruit more capable staff – Hotel may have to fire any current incapable staff.

No structured performance bonus system – Implement employee eview and reward system – Very time-consuming to carry out various employee reviews. Poor working conditions – New income rate and more flexible hours – Expensive financially for the hotel. Appraisal not linking with performance pay scheme – Implement performance review cycle, adjusting accordingly – Will be a time-demanding process for management. High turnover rate – Motivate employees through new reward management processes – Expensive financially for the hotel.

Little training or development offered – Implement new employee training and development programme – Could prove time-consuming to train and develop all mployees. Probable forthcoming problems as the hotel is upgraded to a 4-star status include: (Problem – Solution – Resource issue) Shortage of workforce – hire additional staff following new recruitment process – Expensive financially for the hotel. Skill shortages – Delegate roles accordingly and ensure specialist staff are properly trained – Time-consuming for management staff.

Customer complaints – Ensure correct employees are hired following new recruitment process – Time-consuming and may be hard to find the right person for the right position. Job dissatisfaction ; lack of commitment – Use new learning and evelopment programmes to motivate workers and have specialist staff they can talk to – Some employees may not agree with new procedures. Failure to attract talent – Combine new recruitment process with new salary changes and development programme – Competitors may still offer better working conditions.

As you can see, it is apparent that the solutions do have their potential resource issues; nonetheless the hotel must afford to take these risks when advancing to a higher reputational status and in order to receive a higher return rate in the future. As with any business, people are at the core of the organisation, therefore it is undamental that the precise procedures are followed by the Headrow Hotel board of directors to ensure that not only their employees are content, but ultimately their customers.

• http://www.blurtit.com/
• https://www.bezern.com/read.php?id=191373
• https://bb.imperial.ac.uk/
• http:// www. kiwipumps. com/human-resource-development. html
• https://commons.wikimedia.org/wiki/File:Frederick_Winslow_Taylor_crop.jpg
• https://learn.lcb.ac.uk/

Focus and cite strategic manpower planning, recruitment and selection activities. Report and quote on these processes and how they help the company achieve its strategic goals Job analysis and Designing Coca cola companys HR Department check its own Job description and Job analysis in which they get the information about the employees work activities, human behavior, performance standard, Job context and human requirements and also other information related to this conduct.

HR Department of Coca Cola used this information also for recruiting, selection, compensation, performance appraisal, training, and employee’s relationship Planning and Forecasting Coca Cola HR Department involves in the company strategic planning and they also make sufficient planning for hiring new employees needs in the organization. HR forecast the needs for employees on the change in technology and increases in productivity.

After planning the HR Department sends report to the head office for approval and if they get approval from the head office then HR will start the ecruitment process, The Recruitment Process HR Department posts their vacancy in news paper, institutions and company websites. The applicant can search for Jobs on the current Jobs tab from the homepage of their website and if the applicant already decided on what position to apply him/her will Just need to click “Apply Online” button and then follow the instruction provided.

But in order to apply the applicant must first create a profile so that he/she can see the updates of his/her application. The company does internal nd external Recruitment. The Selection Process The selection process of Coca Cola HR Department will vary depending on the position that the candidates are applying for. Below are the tools used mostly by the HR department and in most cases they used the combination of any of the following tools; Interview- The interview is designed to reveal more about you and your experiences.

Interviewer will ask for examples of how you behaved in different situations, maybe at school, home or in your previous Jobs Group Exercises- Coca cola s very much into teams so this exercise will show how the candidates effectively work with people. It is the good opportunity for the HR to see how the candidates communicate, influence and involve other people in work place.

Presentations- Coca Cola used presentation as a tool in selection process to show the ability of the candidate on how he/she communicates to a group of people on a specific topic. The candidate may be given a topic in advance or on the day of the presentation. Psychometrics Test- the coca cola company also gives a psychometric test. Psychometric test are timed exercises that examine the candidates abilities and potential.

HR uses the personality assessment tool that is designed to find out more specific things about you. Role plays/situational exercises- this tool is designed to assess how the candidates react in certain situations, this will help to highlight the candidate may be given facts and fgures to review or a report to complete; hr may also have an assessor acting as a customer or employee to simulate a situation that could occur in the workplace.