Discuss about the Efficiency of Strategic Human Resource Management .
In the competitive global business market of the retailers, Tesco Plc, UK seems to occupy the fifth position for earning high revenue along with securing the third position insofar as the amount of profit is concerned (Alfes et al. 2013). In 2016, it is supposed to secure £59.20 billion, while the amount of its net income is £54.433 billion (Albrecht et al. 2015). In around seventeen countries of the world including Hungary, Thailand, Ireland, Malaysia etc this country has its stores. This organization has a rapid growing number of employees of around 520000 in the wide spread various stores (Al-Sarayrah et al. 2016). The employees of this organization are supposed to update their knowledge and working skill so that they can contribute better quality work.
Tesco Plc, from the viewpoint of Armstrong and Taylor (2014), is mainly trying to expand their business all over the world including the local communities of UK. Moreover, they try to experiment in their provided products by including non-consumable items in their stores so that they can approach to a large scale of population (Beadles et al. 2015). In this way, they also try to acquire a prominent position in global market as well. It also aims to provide their consumers high quality products so that Tesco can successfully build a brand image among them (Chuang, Chen and Chuang 2013). In order to leave positive impact upon the consumers along with contributing to the environmental improvement, Tesco tries to decrease their release rate of the carbon footprint. They also try to start online services so that they can provide service to the customers where they do not have a physical outlet (Ekwoaba, Ikeije and Ufoma 2015).
The chief objective of this organization is to meet the demands and needs of their customers b providing best quality product to them. They also want to ensure the healthy life style of the community along with the environment (Hashmi 2014). Moreover, they try to provide best quality food items to their consumers by maintaining all food policies of UK. They also tend to include latest technologies to their services with the aim of improving them. They also try to build cordial relationship with their suppliers along with improving relationship with their shareholders as well (HOPE 2014).
However, recently this organization faces certain human resource issues regarding change management that affect their working environment. Due to the wide spread stores all around the world, this organization faces difficulty in managing their employees (Karikari, Boateng and Ocansey 2015). It also faces obstacle in maintaining effective training sessions to the employees for which this organization faces trouble to maintain their previous working excellence (Kehoe and Wright 2013). The headquarter of this organization is in four major places like Hertfordshire, UK, Welwyn Garden City and England. It is not always possible for these four offices to manage the recruitment procedure in all the widespread stores of this organization (Kudonoo and Tsedzah 2015). As a result, the excellence of the workforce to cope with any implemented change in Tesco Plc has been disrupted.
The improper recruitment plan of Tesco Plc affects quality of their customer serving process at the time of change management. It can directly affect the efficiency of the work force for which the service quality of Tesco Plc gets affected (Wang et al. 2016). At the time of recruiting fresher candidates, the management faces problem in selecting the most deserved candidate who can successfully handle the tough work pressure in the cases of change management. On the other hand, according to Storey (2014), due to the huge amount of employees at different locations; the management of Tesco Plc faces troubles to implement any organizational changes quickly. Because of their huge number of stores at diverse locations, the management finds different training procedure at their different locations (Singh 2016). As a result, the efficiency of their employees to adapt the changes also differs in accordance with the effectiveness of training techniques. This organization also faces trouble in retaining their work force (Shaw, Park and Kim 2013). In addition, Tesco utilizes the same training procedure for their employees that often seem to be insufficient in the rapid changing retailing market of UK (Renwick, Redman and Maguire 2013). As a result, the employees of this organization face problem in meeting the demands of the consumers at its different stores. Moreover, the contractual and part time employees of this organization seem to be less attached with the culture and objectives of Tesco (Paillé et al. 2014). If they find it difficult to work within the changed working schedule, they quit their jobs without a second thought which creates obstacles for the organization (Mitsakis 2014). The human resource management also faces difficulty in maintaining their efficient workers due to the lack of proper rewarding strategies (Maskudi 2014). Only the Financial rewards for efficient workers seems to be less effective to make the employees satisfied with the rewarding procedure of Tesco Plc (Omotayo and Adenike 2013). On the contrary, the employees of Tesco Plc often find the organizational changes as mere shock because due to the huge organizational structure, it seems to be impossible to inform the employee about the upcoming changes (Okoye and Ezejiofor 2013). The constant advancement of the technology creates difficulty for the human resource team of Tesco because it also influences the demands and choices of the consumers as well (Mutua, Karanja and Namusonge 2013). For example, in this tech savvy period, the consumers demand quick and smooth services at Tesco stores for which self-accessing machines are required so that the consumers need not to stand in the quos (Okoye and Ezejiofor 2013). From the viewpoint of Mohammad et al. (2015), this organization also faces difficulty to train their experienced employees to adapt the change management as they oppose to get into further change.
If this organization does not put the focus on resolving these human resource related issues at the time of change management, it can face adverse financial crisis related to the employee retention and maintaining the sales rate (Singh 2016). If they do not change or improve their recruitment procedure, they can face difficulty in maintaining the efficiency of their workforce because the improper recruiting procedure can cause the addition undeserved candidates in this organization who may not be eligible enough to meet the demands of the consumers after the implementation of any change management (Renwick, Redman and Maguire 2013). On the other hand, the improper training schedule can also dissatisfy the management to get the desired outcome from their employees during implementing the organizational changes (Omotayo and Adenike 2013). In 2015, according to Shaw, Park and Kim (2013), Tesco Plc faces a huge financial loss of almost £7.25billion which seems to gives the management an alert about their insufficient practices. If the human resource management of Tesco Plc does not stress important to rectify their existing practices, as per the viewpoint of Mutua, Karanja and Namusonge (2013) the amount of financial loss can be increased which will be sufficient to ruin the market share of this organization along with decreasing their possibility to regain their previous position.
In order to improve the recruitment strategy, the management of Tesco Plc needs to stress special importance upon the recruitment procedure of their organization. If they determine the recruitment strategies by fixing the criteria standards for the candidates in accordance with the importance of the post, they can easily shortlist the deserved candidates among a huge number of applicants (Kummamuru and Murthy 2014). After that, they need to structure the interview session with strategic questionnaire along with some practical questions related to the retail organization with which they can evaluate the ability of the employee to work in their organization along with their ability to adapt organizational changes (Long and Perumal 2014). In this way, the recruiters of Tesco can also evaluate the quick intelligences of the candidates so that they can ensure their ability to rectify the sudden problems, faced by the employees (Marler and Fisher 2013). In this way, they can recruit the most deserved candidates in their organization. In order to make this strategy effective, Tesco Plc needs to implement the same recruitment techniques in all its franchises so that the organization as a whole can ensure the efficiency of their workforce (Mangalaraj and Du Plessis 2015). In order to update the training procedure, the human resource management of Tesco Plc needs to follow a benchmarking process by considering the latest change management practices of competitive retail organizations like Wal-Mart, Morrison etc (Albrecht et al. 2015). In this way they can effectively train their employees both the existing and newly recruited ones with which they can serve their consumers in a better way even after the organizational changes in their organization. In this way, they can also achieve their technical advancement by making their employees’ tech savvy to offer a quick service (Armstrong and Taylor 2014). For this reason, the management should also make sure that every store of Tesco Plc has the technical benefits so that their employees can be able to provide the better service. In order to retain the efficient employees, the human resource management needs to employ new and innovative measures like monthly recognition program, certificates along with double financial growth (Alfes et al. 2013). These strategies will make the employee controlling system of this organization easy and effective (Ekwoaba, Ikeije and Ufoma, 2015).
In order to make the human resource management in the change management system most effective, Tesco Plc can apply Maslow’s Hierarchy of needs. With the help of this motivational model, the HR management can successfully evaluate the needs and demands of their employees to implement the organizational changes more effectively. This motivation model differentiates human psychological demands into six layers in a pyramid structure (Long and Perumal 2014). The base of this pyramid consists of the basic human needs like food, warmth, water etc. The second layer consists of the safety needs of people like stability, disciplinary order, security etc. The third layer indicates to the belonging needs of human being (Mangalaraj and Du Plessis 2015). The fourth layer suggests to the needs for self- esteem, prestige, while the fifth layer points out to the need for self-actualization or the feeling for self-realization for further growth. The sixth layer indicates to the need for unity or self-transcendence. As per this model, human being requires these basic demands in both their personal and professional fields (Marler and Fisher 2013).
If this model can be applicable in the case of Tesco Plc, the management can easily identify the basic, personal and professional desire of their employees. With the help of the first step, the management can aim to provide the basic needs to the employees by providing sufficient salary in accordance with the post and responsibilities (Chuang, Chen and Chuang 2013). If this organization wants to effectively implement their organizational changes, they need to fulfill the basic needs of their employees to give them working satisfaction. The second layer will help to understand the safety and security demands of the employees (Maskudi 2014). By employing Work safety Act, UK, the management can assure them about the health related security along with giving them job security. It will help to assure the employees that the organization value them more than their desired changes. With the help of third layer, the management will become able to provide the employees sense of belongingness to the organization by giving them responsibilities in the management activities. This sense will force the employees to adapt the organizational changes for the sake of the organization itself. It will help to make the implement processes of change management smooth and easier. The fourth and fifth layers will help the management to motivate the employees about their potentiality by providing proper reward and recognition (Long and Perumal 2014). It will help this organization to motivate the employees to get accustomed to the changes more easily and contribute their efficient effort for the company. On the other hand, the sixth layer will help to unify the employees by make them understand the self-weaknesses along with the importance of team work. This seems to be the essential need that this organization needs to ensure for the successful implementation of their changes because the unified workforce is often regarded as the only influential factor for better result in change management.
In order to evaluate the effectiveness of the implemented human resource strategies, this organization needs to evaluate the impact of their working excellence of their employees upon the sales and profit rate after the implementation of organizational changes (Maskudi 2014). On the other hand, their impact upon the increase of productivity of this organization should also be analyzed by the management of Tesco Plc. The feedbacks of the customers should also be taken with which the value of the improvement of employee competence can be understood (Mitsakis 2014). The management needs to maintain the self appraisal record of the employees of every store of Tesco so that they can evaluate their work efficiency and their ability to adapt the organizational changes. If they find any flaw in the performance of any employee, they can train to gain the desired outcome (Hashmi 2014). Moreover, after assessing the performance details of their employees, the management can also evaluate the possibility of their further progression opportunities of their improvement (Kehoe and Wright 2013). By standardize the organizational objectives and making equal distribution of responsibilities to each employee, from the opinion of Karikari, Boateng and Ocansey (2015), this organization can truly motivate their employees to contribute their efficient effort to meet the objectives along with overcome their previous financial loss. In order to increase the ability of their employees to adapt changing environment more easily, this organization can start shifting their employees among their various stores. The HR team of Tesco needs to understand the needs, financial, professional and personal of their employees so that they can also contribute their whole attention to the betterment of their organization.
At the time of implementation, the management of Tesco Plc can face different challenges in which opposition from the employees come first. The existing employees can disapprove the concept of periodic training session to update the working excellence, being experienced enough in the present field (Kummamuru and Murthy 2014). Moreover, it would be difficult and time taking for the management to train the aged employees with the advanced technological systems than the newly recruited young employees (Kudonoo and Tsedzah 2015). While the reward and recognition sessions for the successful employees can motivate the other employees to achieve the same, it can also de-motivate the employees who think they cannot achieve the target. Such employees can work harmfully to brainwash the other employees to go against the discipline of the organization (Kehoe and Wright 2013).
Conclusion
In this way, the strategic human resource management of Tesco Plc during the change management is elaborately described in this report by depicting different types of human resource related issues. The aims, objectives and background of this organization are also described so that the readers can get a basic idea before evaluating the human resource issues of change management and their measurement qualities of Tesco Plc. Suitable strategic human resource management techniques are also suggested so that this organization can apply them to improve their human resource management to successfully implement their desired changes. A motivational theory is also elaborated so that the management can successfully evaluate the needs of their employees before doing organizational changes. In this way, this report has become a successful evident of effective strategic human resource management of leading organization like Tesco Plc.
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