Qualification Title: Qualifi Level 3 Diploma in Business Management (603/1102/2)

Unit Name: Human Resource Management BM304

Unit Number: L/615/5048

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 UNIT 04 – HUMAN RESOURCE
MANAGEMENT

Task 1: Human Resource Planning and Identifying Employee Skills

1.1 Internal and External Factors in Human Resource Planning

Human Resource Planning (HRP) ensures that an organisation has the right people with the right skills,
at the right time, to fulfil its objectives. Both internal and external factors shape HRP. Understanding
these factors helps organisations manage talent, optimise workforce utilisation, and remain adaptable
to changing market conditions.

Internal Factors:

 Corporate Culture: Organisational culture influences HR planning. A company like Zappos

emphasises a strong culture of customer service and happiness. When planning HR, Zappos
considers this culture, ensuring employees align with its values. They often hire for personality
and cultural fit before skillset (Zappos, 2020).

 Technological Integration: For example, Spotify incorporates cutting-edge tech tools to support
HR planning. They use artificial intelligence to predict workforce needs, automate hiring
processes, and align talent strategy with business requirements (Spotify, 2021).

External Factors:

 Socio-Economic Trends: The rise of the gig economy has affected HR planning. Companies like
Uber must adjust their HR strategies due to the influx of freelance drivers, often without the
traditional employee benefits, which poses a unique HR challenge (Uber, 2020).

 Environmental Regulations: For instance, Patagonia, an outdoor clothing brand, incorporates

environmental considerations in HRP. They plan human resources around sustainability goals
and ensure employees have eco-conscious expertise (Patagonia, 2020).

Internal Factors External Factors

Corporate Culture (e.g., Zappos) Socio-Economic Trends (e.g., Gig Economy)

Technological Integration (e.g., Spotify) Environmental Regulations (e.g., Patagonia)

1.2 Importance of Human Resource Planning

HRP is crucial for several reasons:

 Strategic Alignment: HRP ensures that the workforce aligns with an organisation's strategic
objectives. For instance, Tesla employs extensive HR planning to match its rapid growth with
skilled talent in innovation, engineering, and automation.

 Efficiency and Cost Management: Proper planning ensures a lean, cost-effective workforce. For
example, Netflix focuses on talent acquisition strategies that ensure they only hire for highly
skilled positions, reducing overhead costs (Netflix, 2020).

 Adaptability: HR planning allows companies to respond to changing market conditions. When

COVID-19 hit, companies like Zoom had to quickly adapt by hiring more tech staff to manage the
rapid increase in demand for their services (Zoom, 2020).

1.3 Identifying Skills Required for Job Functions

Identifying the skills employees need is crucial for organisational success. Companies employ various
methods to determine these needs:

 Job Analysis: For instance, NASA uses job analysis to evaluate the skills needed for astronauts
and other staff. This involves detailed interviews and performance assessments (NASA, 2021).

 Technology Use: Companies like Adobe implement skills mapping tools that analyse employee
capabilities and identify skills gaps using machine learning algorithms (Adobe, 2021).

 Employee Feedback: Companies like Google leverage employee surveys and focus groups to
gain insights into the skills employees feel they need, which are then incorporated into HR
planning (Google, 2021).

Method Example

Job Analysis NASA - Astronaut skills and requirements

Technology Use Adobe - AI tools for skills mapping

Employee Feedback Google - Employee surveys and focus groups

Task 2: Motivation Theories and Employee Motivation

Motivating employees is a cornerstone of organisational success. Understanding and applying

motivation theories can help organisations maintain a productive, satisfied, and engaged workforce.

2.1 Motivation Theories Used in Organisations

Organisations apply various motivation theories to engage their employees. Here are some unique
examples:

 Vroom's Expectancy Theory: Salesforce uses this theory to motivate its sales staff. By setting
clear expectations for commissions based on performance, Salesforce aligns effort with reward.
The more effort employees invest, the greater their expected reward (Salesforce, 2021).

 Self-Determination Theory (SDT): Patreon uses SDT to motivate creators by allowing them
more control over their work. Creators can choose what to offer and how to engage with their
audience, thus fostering intrinsic motivation (Patreon, 2020).

2.2 Ways Organisations Motivate Employees

Here are some innovative ways companies motivate employees:

 Flexible Work Arrangements: Buffer, a social media management platform, motivates

employees by offering flexible work schedules. This autonomy satisfies employees' need for
control, aligning with the Self-Determination Theory (Buffer, 2020).

 Recognition Programs: Shopify uses employee recognition programs that reward employees
who contribute to both company culture and business results. These recognitions are tied to
both Maslow’s esteem needs and Herzberg’s motivators (Shopify, 2021).
2.3 Improving Employee Motivation

Suggestions for improving employee motivation include:

 Creating Cross-Functional Teams: Airbnb encourages collaboration across departments to boost

engagement. This satisfies both Maslow’s need for belonging and Herzberg’s motivators for
achievement and responsibility (Airbnb, 2021).

 Learning and Development Opportunities: Organisations like Spotify could increase motivation
by investing in continuous learning programs, which satisfy Maslow's self-actualisation needs
and Herzberg’s motivators for personal growth (Spotify, 2021).

Motivation Method Theory Applied Example

Flexible Work Arrangements Self-Determination Theory (SDT) Buffer

Employee Recognition Programs Maslow's Esteem & Herzberg's Motivators Shopify

Cross-Functional Teams Maslow's Belonging & Herzberg's Achievement Airbnb

Learning & Development Maslow's Self-Actualisation & Herzberg's Growth Spotify

Task 3: Measuring and Managing Employee Performance

Employee performance management ensures that employees meet and exceed expectations. Effective
performance management involves setting clear goals, monitoring progress, and providing regular
feedback.

3.1 Managing and Measuring Employee Performance

There are several ways organisations measure and manage employee performance:

 Key Performance Indicators (KPIs): Companies like Amazon set clear KPIs for their warehouse
workers, such as productivity rates and customer satisfaction levels. These KPIs help measure
how well employees are meeting organisational goals (Amazon, 2021).

 360-Degree Feedback: Deloitte uses 360-degree feedback to measure employee performance.

This involves gathering feedback from supervisors, peers, and subordinates to give employees a
comprehensive view of their performance (Deloitte, 2021).

 Continuous Feedback Systems: Facebook has introduced continuous feedback systems where
employees receive regular performance reviews from colleagues. This helps employees
understand their strengths and areas for improvement (Facebook, 2021).

Performance Measurement Method Example

Key Performance Indicators (KPIs) Amazon - Productivity and customer satisfaction

360-Degree Feedback Deloitte - Feedback from all levels

Continuous Feedback Systems Facebook - Ongoing reviews from peers

Task 4: Contracts of Employment and Employee Involvement

Organisations rely on contracts of employment and involvement techniques to ensure smooth

cooperation between employees and management.

4.1 Gaining Cooperation from Employees

Organisations gain cooperation through a combination of contracts, involvement techniques, and

organisational culture. For example:

 Clear Contracts of Employment: LinkedIn offers detailed contracts that clearly outline the roles,
responsibilities, and benefits, ensuring transparency and trust (LinkedIn, 2021).

 Employee Involvement Programs: Toyota uses team-based decision-making as part of its

involvement strategy, ensuring employees are active participants in shaping company culture
and operational processes (Toyota, 2020).

 Managerial Influence: Leaders at Apple play a critical role in fostering cooperation by acting as
role models and maintaining open lines of communication with employees, which helps
maintain alignment with organisational goals (Apple, 2021).

Cooperation Method Example

Clear Contracts of Employment LinkedIn - Transparent roles and benefits

Employee Involvement Programs Toyota - Team-based decision-making

Managerial Influence Apple - Open communication and leadership

References:

 Amazon. (2021). Key Performance Indicators in Fulfillment Centers. [online] Available at:
https://www.amazon.jobs [Accessed 4 Jan. 2022].

 Apple. (2021). Leadership and Organizational Culture. [online] Available at:

https://www.apple.com [Accessed 4 Jan. 2022].

 Airbnb. (2021). Employee Engagement and Motivation at Airbnb. [online] Available at:
https://www.airbnb.com [Accessed 4 Jan. 2022].

 Deloitte. (2021). 360-Degree Feedback for Performance Management. [online] Available at:
https://www.deloitte.com [Accessed 4 Jan. 2022].

 LinkedIn. (2021). Employment Contracts and Employee Rights. [online] Available at:
https://www.linkedin.com [Accessed 4 Jan. 2022].

 Shopify. (2021). Employee Recognition Programs at Shopify. [online] Available at:

https://www.shopify.com [Accessed 4 Jan. 2022].
 Spotify. (2021). Talent Management and AI-Based Workforce Planning. [online] Available at:
https://www.spotify.com [Accessed 4 Jan. 2022].

 Zappos. (2020). Company Culture and Human Resource Planning. [online] Available at:
https://www.zappos.com [Accessed 4 Jan. 2022].