Introduction to Human Resource
Human resource management (HRM) defines the success and failure of any organisation because it is critical to the overall implementation of a business strategy. HRM refers to the systems used in the management of people (human resource) in an organization (Inc. 2016). The HRM’s role is to enhance the productivity or performance of the human resource (Martin 2010). This report talks about the various ways in which the company in the case study can overcome its challenges to emerge competitive in the hotel industry. The report shall have several headings and subheadings to enhance the flow of ideas in the discussion.
Three Functions of the HRM
Staffing (Hiring and Firing)
The HRM of the company or hotel has a staffing duty. The HR should hire and fire employees in line with the business strategies. In theory, HRM has the responsibility to hire workers who would then enable the organisation to achieve growth and profitability by working as a team and in line with the highest standards of professionalism (Bratton & Gold 2012). As such, the HRM expects his or her subordinates to be productive and professional in their work. In this case, the HRM manager should assess the performance of each employee to determine whether he or she is enhancing or undermining the performance of the team. In case the employee is underperforming, the HRM should terminate the employment of that employee by the relevant legislation and good HRM practices. Then, the HRM should hire a person who is well-qualified and motivated to take the sacked employee’s place.
Train and Develop the Staff
The HRM has the duty to train and develop the employees to enhance their productivity and overall performance. Training of employees is crucial because it empowers them with the right skills and knowledge about the job they are about to encounter (Liu et al. 2014). As such, the staff training offers the employees the necessary theoretical understanding of the expectations and requirements of the various roles and scenarios in the hotel industry. On the other hand, the employee or staff development ensures that employees have the right talent to meet its corporate needs. Staff development may be through offering scholarships to the best-performing employees or other work incentives that enable them to develop their skills.
Motivating the Staff
The HRM has the professional duty to create a work environment that inspires and motivates productivity of the members of the team. Research has shown staff motivation can enhance the performance of organisation’s team (Buller & McEvoy 2012; Jiang et al. 2012; Renwick et al. 2013). Indeed, well-motivated employees are more likely to be productive because motivation brings out the best in their work. The HRM can use incentives such as freedom in decision-making, better salary, staff participation in corporate decision and respect for their individuality. Overall, the motivation of the subordinates should be the key HRM strategy in boosting the organisation’s performance.
The Two Appropriate Workforce Planning Methods for the Organisation
Workforce planning refers to the methods and tools used to ensure that the right number of qualified individuals are employed or accorded certain tasks to help the business attain its strategic goals. The hotel could use two methods of staff planning, namely, skill-audit-gap analysis and embracing career planning for its employees.
Skill-audit- and-Gap Analysis
The skill-audit-and-gap analysis refers to the identification of the skills and the gaps in the workforce (Shimomura et al. 2013). The 80 employees of the hotel have individual skill capabilities and limitations. The method involves identifying the ability of each employee to work in a given work environment or perform certain tasks. The method also includes reviewing the requirements of each job and line of work in line with the hotels objectives. In the end, the hotel should identify and strategize how to fill the gaps or exploit the skills inherent in the organization’s workforce.
Support Career Planning for Employees
Career planning is one of the best HRM practices that the organisation should embrace to enhance its competitiveness. Career planning refers to the process of defining the employee’s personal career vision for short-term, intermediate, and long-term basis (Rothwell et al. 2015). The career plan outlines how the employee or the individuals want to achieve his or her career vision. The hotel should support its staff’s career plan as a form of motivation and for other strategic goals. The team will be productive if the company or the hotel shall help them achieve their career plans or professional objectives. What’s more, the hotel will boost its staff retention levels and enhance its transition because the hotel will know who is preparing to leave the company at any moment.
The Development of HR and its Impact on the Organisation’s Overall Performance
The hotel will improve its overall productivity. Staff morale always improves whenever employees perceive themselves as crucial stakeholders of the entity. Research shows that employees boost the growth and performance of their organisations when the organisations enable them to achieve self-actualisation in life and their careers (Carland Jr. et al. 2015). Balancing employee and organisational interest will enhance the amount of morale and talent in the hotel’s staff. Even without decent salaries, the employees will help the organisation to achieve growth and ensure competitiveness.
The company will attract and retain highly qualified and motivated staff. Employees often desire to get employment in places or organisations that cater for their professional and career needs. Staff development takes into account the personal drives and desires that the employees have while ensuring sustainable talent management. For example, if the organisation incorporates its teams’ interests in duty roster then the employees will work harder and well. For instance, employees pursuing daytime academic course could be assigned night shifts. The hotel can also offer relevant training programs to some of its employees to boost their skills and career growth. Any initiatives that will add value to the employees’ careers and achievement will make the organization an attractive working place thereby attract talented and skilled workers.
The hotel will also grow its revenue by developing its staff. There is always a connection between employee’s performance and organisational performance. Since employee development promotes talent in the organisation, employee development will improve the overall productivity of the organisation. The talented and skilled workforce will be more creative and critical of the hotel’s business arrangement thereby helping to design an efficient business model. Thus, the company will enjoy higher returns on investment by implementing proper employee development.
Two Key Employment Legislation that Requires Total Compliance
The Employment Contract Law
The hotel should ensure full compliance with the UK employment contract law. The company/hotel should make sure compliance with Section 1 of the UK’s Employment Rights Act 1996. The legislation requires employers to offer their employees with a written contractual statement that details the terms of employment and job expectations. The UK’s employment protects the human and economic rights of all the staff. The hotel should avoid illegal termination of employment and remunerations. The employment contract law expects the company to hire and fire its employees in a humane way. The hotel should appreciate the fact that it risks incurring enormous and costly penalties if it violates its workers’ employment contract rights as stipulated in the law. Legal tussles between the company and the government or employees can undermine the company’s reputation and overall competitiveness. Any termination of employment should connect to a violation of the employment contract.
Employee Rights Law
The UK-based employers such as hoteliers and other businesses are required to accord their employees full employment rights. Employment rights are mandatory expectations in the UK labour force, and no company should deny his or her employee those rights. The law expects employees to work a maximum of 48 hours every week for a reference period of 17-26 weeks depending on the nature of work. However, workers can opt out of the 48-hour employment rules through a written agreement that also give the workers the right to terminate the agreement after three months. Night workers have the right not to exceed the typical 8-hours work day. Employees should be accorded a rest period of 11 consecutive hours for the 24-hour day. The hotel should also comply with the minimum wage requirements that have existed since2005. Apparently, 16-17-year-old employees should earn a minimum hourly pay of £3.00; 18-21-year olds should get a minimum wage of £4.25 an hour and those above 21 years of age should receive at least £5.05 an hour. Failure to comply with the workers’ rights can lead to serious credibility issues.
Conclusion/Summary and Recommendations
The hotel can boost its long-term and short-term performance by embracing various strategies that would increase its productivity. Workforce planning, legal compliance, and overall best HRM practices can help the organisation to improve its competitive edge.
1. The hotel should prioritise the implementation of employee motivational strategies. Non-financial motivational incentives such as awards and mutual respect between the employee and the employer will improve the hotel’s performance.
2. The hotel should make the employees feel appreciated or perceive themselves as major stakeholders to boost their performance.
3. The hotel should ensure a balance between life and work for its employees.
4. The hotel should develop and nurture talent among its employees.
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