Link Between HRM and the Wider Organisational Strategy

Introduction:

This assignment will discuss the importance of Human resource Management and how its important in the work process. It will also focus on Tesco case study and how it implements its strategy to the business and HRM. It will also evaluate the four motivational theories to explain how it relates to Tesco, and how they manage their staff to take greater responsibilities in the business. Additionally, it will cover the importance of customer service and give example of what customer service is. It will lead to further discussion about the role of HRM, lead to examples of organisation function. Finally, the conclusion will evaluate the needs of motivating employees and how it relates to Tesco.

Discuss the role of human resource management in the organisation:

A motivated work force will work harder to achieve their goal and will put a greater output in less time, so therefore reducing the labour cost. It requires less supervision and demonstrators’ pride in its work, having more prominent effect on client. Inspired workers will have more noteworthy concentration and are less inclined to commit enormous errors. Its likewise essential to make trust and admiration. It has discovered by esteeming representatives, giving reasonable objectives and in-triguing situation form them to work in. (Guest, D.E., 1987.)

The non-financial company will motivate its employees and giving them support to care out their duties in most effective ways. it is also important to create trust and respect. It has found that by valuing employees, providing realistic goals and an interesting environment for them to work in, it increases employees’ motivation. (Mathauer, I. and Imhoff, I., 2006.)

To support its growth, the business their staff that are motivated and flexible and who recognise customer service as a positive attitude towards the business. Meeting customer needs is important to the customer and the business and help business growth and customer satisfactions. from client aides in stores to division supervisors; from distribution centre workers to office and coordination’s staff. This contextual analysis takes a gander at how Tesco spurs its representatives by expanding their insight, aptitudes and employment fulfilment through preparing and improvement and giving applicable and opportune reward and acknowledgment. (Thomson, K., De Chernatony, L., Arganbright, L. and Khan, S., 1999.)

Valuing employees:

Tesco has found that it’s vital to make trust and admiration. It comprehends that esteeming representatives, giving pragmatist objectives and an intriguing domain for them to work in, it expands the inspiration of workers.

Motivation theory:

In 1911 the specialist Frederick Taylor distributed one of the most punctual inspirational hypotheses. As indicated by his exploration, people worked purely for money and it motivated them to reach their end goals. In the early years of industry revolution, work on production was more based on producing quantity over quality and it was more repetitive in the industry. Labours were paid on ‘piece rate’, that was paid for each thing that was created. (Visitor, D.E., 1997.)

This methodology of paying laborers by results was useful for the business. The result was more prominent generation yet gave little chance, consolation or time for workers to have an independent mind or be imaginative in what they did. This restricted individuals’ advancement and their utilization inside the organization.

2. Describe the effects of an unmotivated workforce on a company.

Productivity Concerns:

The unmotivated employee will have a negative impact on the business growth. been dissatisfied with its role and the working environment can lead to a negative impact on the organisation and other employees’ quality of work as well as how employees carry out their duty. Tesco considers that the business depends on two groups, which is customer and staff.

When employees don’t have the motivation to go an extra mile, they will do their minimal best, so that they just go through the day and might consider finding another job to meet their needs .One of the key problems for business leaders who have an employee that has additional stress, this could affect other members of staff and other team leaders to step up and take greater responsibilities that they already have. It’s one thing to take on additional responsibility. Another key issue that the business is facing is illness or absentee. They are unable to perform the job well. (McDaniel, E.A. and Colarulli, G.C., 1997.)

3. Why is Taylor’s theory not relevant to companies and employees in the 21st century?

Because Taylor’s Theory was only based on quantity not quality of the production. It only worked purely for money and not for motivation. So, the outcome was greater production, but gave little opportunity for employees.

An unmotivated workforce will have more a negative impact in the quality of customer service. Being dissatisfied with its role within the work environment. this can lead to negative impact on the organisation and other employees’ quality of work as well as how employees carry out their duty. Tesco thinks about that the business relies upon two gatherings of individuals clients and staff. (Asproni, G., 2004.)

4. Evaluate the four motivational theories in the study, demonstrating how each relates to Tesco.

Maslow’s Needs Theory:

This theory means that people are motivated to meet their ends needs, which are in hierarical order form basic to higher order needs. This theory states that humans are motivated by needs which are in hierarchical order from basic to higher order needs; sometimes we as humans, we address these key issues of sequentially starting with physiological, security, self-esteem to meet their goals and career progression. Maslow states that when needs are met within the career progression, it’s the case to even have greater motivational effect on an individual. (Neher, A., 1991).

Herzberg’s Two-factor Theory

Herzberg have two facts in this theory, which is hygiene factors and motivation factors. For example, in Tesco, when filling up the food shelf or fridge’s, employees are required to wear gloves and clean the shelfs before the new products arrive in the store. According to this theory, the absence of hygiene factors is one of the most important elements in the working industry. which can also include pay and good working environment and interpersonal relations amongst other employees. Also, responsibility plays a big role within the working environment and amongst others. responsibility and nature of work among others. (DeShields Jr, O.W., Kara, A. and Kaynak, E., 2005).

According to Herzberg’s theory, the work place is like being repetitive, people will not be demotivated or dissatisfied if they like their job, know what they are dealing with on a day to day basis. In this case Tesco work place can relate to Herzberg approach in two stages as follows:

First management should achieve a state of no dissatisfaction by going through Herzberg’s hygiene factors, this includes improving working environment, good pay, or national minimum pay, and interpersonal relations at work.

Equity Theory:

This theory is for primary motivating employees to strive for equity or fairness amongst others and treating them equally as well. For example, in skills and labour (inputs) so the point of this theory is to reference an induvial or group of people to evaluate its input and output balance. (Steers, R.M., Mowday, R.T. and Shapiro, D.L., 2004).

Goal Setting Theory:

The goal setting theory is, that everyone’s performance leads to meet their performance target by the end of the month. This could have a positive result on the business and as well as a personal achievement. Meeting and achieving goals could lead to a personal reward for e.g. employee of the month, which determines the level of the person’s eventual satisfaction. Using this goal setting theory would require Tesco’s management to motivate specific individual goals with the work input/output to attain their goals. ( Lunenburg, F.C., 2011).

Conclusion:

Motivating employees is an important task for managers. From day one at the work place managers will discuss the importance to motivation that is expected from each employee. Taylor suggested that a motivated individual will improve production of the business.

However, businesses now need employees to have even a greater motivation, not only that but also have a stake in the organisation which they work for. As Maslow and Herzberg stated employees always need to be motivated to help the business growth as well as personal development too.

Tesco provides opportunities to managers and staff to take a share and a greater interest in their own employment. Every employee in Tesco has a different need in aspiration, so the process of personal development reviews plan allows to recognise their abilities and achievements throughout the week and month as well as potential developments in key areas such as customer service or sales.

This benefits the individual by providing career progression and move up the ladder to managing stores or become a supervisor. Its benefits Tesco to manage it staff and have an internal growth in management rather than having an external management and spend more money on training. It also ensures high level of customer service through its skilled employees.

References:

• Guest, D.E., 1987. Human resource management and industrial relations [1]. Journal of management Studies, 24(5), pp.503-521.
• Mathauer, I. and Imhoff, I., 2006. Health worker motivation in Africa: the role of non-financial incentives and human resource management tools. Human resources for health, 4(1), p.24.
• Thomson, K., De Chernatony, L., Arganbright, L. and Khan, S., 1999. The buy-in benchmark: How staff understanding and commitment impact brand and business performance. Journal of Marketing Management, 15(8), pp.819-835.
• Guest, D.E., 1997. Human resource management and performance: a review and research agenda. International journal of human resource management, 8(3), pp.263-276.
• McDaniel, E.A. and Colarulli, G.C., 1997. Collaborative teaching in the face of productivity concerns: The dispersed team model. Innovative Higher Education, 22(1), pp.19-36.
• Asproni, G., 2004. Motivation, teamwork, and agile development. Agile Times, 4(1), pp.8-15.
• Neher, A., 1991. Maslow’s theory of motivation: A critique. Journal of humanistic psychology, 31(3), pp.89-112.
• DeShields Jr, O.W., Kara, A. and Kaynak, E., 2005. Determinants of business student satisfaction and retention in higher education: applying Herzberg’s two-factor theory. International journal of educational management, 19(2), pp.128-139.
• Steers, R.M., Mowday, R.T. and Shapiro, D.L., 2004. The future of work motivation theory. Academy of Management review, 29(3), pp.379-387.
• Lunenburg, F.C., 2011. Goal-setting theory of motivation. International journal of management, business, and administration, 15(1), pp.1-6.