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ASSIGNMENT 1 FRONT SHEET Retake

Qualification BTEC Level 4 HND Diploma in Business

Unit number and title Unit 3: Human resource management

Assignment due Assignment submitted

Student names & codes Final scores Signatures*

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Group number:
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Class Assessor name Nguyen Mai Lan

P1 P2 P3 P4 P5 P6 M1 M2 M3 M4 D1 D2 D3

* By signing here, the students certify that the work submitted for this assignment is their own work and research sources are fully
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Assessment criteria
1. 2. 3. 4. 5.

P1 Explain the purpose and the


functions of HRM, applicable to
workforce planning and
resourcing an organization.

P2 Explain the strengths and


weaknesses of different
approaches to recruitment and
selection

P3 Explain the benefits of


different HRM practices within
an organization for both the
employer and employee.

P4 Evaluate the effectiveness of


different HRM practices in
terms of raising organizational
profit and productivity.

P5 Analyze the importance of


employee relations in respect to
influencing HRM decision
making.
P6 Identify the key elements of
employment legislation and the
impact it has upon HRM
decision making.

M1 Assess how the functions of


HRM can provide talent and
skills appropriate to fulfil
business objectives

M2 Evaluate the strengths and


weaknesses of different
approaches to recruitment and
selection.

M3 Explore the different


methods used in HRM practices,
providing specific examples to
support evaluation within an
organizational context.

M4 Evaluate the key aspects of


employee relations management
and employment legislation that
affect HRM decision-making in
an organizational context.

D1 Critically evaluate the


strengths and weaknesses of
different approaches to
recruitment and selection,
supported by specific examples.
D2 Critically evaluate HRM
practices and application within
an organizational context, using
a range of specific examples.

D3 Critically evaluate employee


relations and the application of
HRM practices that inform and
influence decision-making in an
organizational context.

Summative feedback (for the whole group):

Assessor’s Signature Date


TABLE OF CONTENTS:
INTRODUCING

LO1. Explain the purpose and scope of Human Resource Management in term of resourcing an organization with talent and
skills appropriate to fulfill a business objective.
P1. Explain the scope and the functions of HRM, applicable to workforce planning and resourcing an organization.
P2. The strengths and weaknesses of different approaches to recruitment and selection.
M1. Assess how the functions of HRM can provide talent and skills appropriate to fulfill a business objective.
M2. Evaluate the strengths and weaknesses of different approaches to recruitment and selection.

LO2. Evaluate the effectiveness of key elements of Human Resource Management in an organization.
P3. Explain the benefits within different HRM practices an organization for both employer and employee.
P4. Evaluate the effectiveness of different HRM practices in terms of raising organizational profit and productivity.
M3. Explore the different methods used in HRM practices, providing specific examples to support evaluation within an organizational context.

LO3. Analyze internal and external factors that affect Human Resource Management decision-making, including
employment legislation.
P5. Analyze the importance of employee relations with respect to influencing HRM decision making.
P6. Identify the key elements of employment legislation and the impact it has on HRM decision making.
M4. Evaluate the key aspects of employee relations management and employment legislation that affect HRM decision-making in an
organizational context.

CONCLUSION

REFERENCES
INTRODUCING:
Through this assignment, I want to talk about a specific department that is the HR Department. Imagining a pen without ink cannot
write anything so does an organization without the source of human cannot go to the process and achieve anything. Each title
presents carefully and clearly all the information needed. I hope that it can help you understand more about the definition of Human
Resource and all the aspects of itself closer to you.

LO1. Explain the purpose and scope of Human Resource Management in term of
resourcing an organization with talent and skills appropriate to fullfill business objective.
P1. Explain the scope and the functions of HRM, applicable to workforce planning and resourcing an organization.

(Source: Tech Funnel)

Human Resource Management is a system for the management of people in an organization. Human Resource Management
responsible for attracting, recruiting, training, evaluating, rewarding employees, conducting job analyzes, planning personnel needs,
orienting and training, etc. Essentially, the purpose of HRM is to maximize the productivity of an organization by optimizing the
effectiveness of its employees.
Workforce planning is a core business process to align changing organization needs with people strategy. This source will help the
organization to increase the efficiency in working of the employee. The more talent employee the more benefit for a company or the
company can train an employee to be more professional to work for them.
Internal labor markets in an organization involve the working force in an organization, such as employee, manager or higher position.
Each kind of organization has different kind of political policies to ensure benefit or to keep the potential employee. For example, equal
treatment in the workplace. Every employee is treated equally in the company, especially female in the working place. In Vietnam or
even another country, female more likely to be victims of unemployment, the ethnic minorities also victims of discrimination. So, to
reduce discrimination in workplace, each company have different policies to handle with this problem. The economic issues may cause
some problem for the input and output of an organization. For example, the change in price in the market can affect the company product
and may be the employee’s salary. The organization also need to consider the social problem in the company. The company can operate
smoothly because of the coordination of each different department in the company, so the manager needs to check the relationship of the
member in each department often. Nowadays, a lot of company have used technology in manufacturing or import and export. By using
technological in work, the amount of work will be reduced for the employee, it may reduce unnecessary cost from traditional work.
Create a comfortable environment for employees will increase their abilities in working, this may affect to the benefit of the company,
the company also needs to ensure a safe working environment for employees. For example, the employee needs to be equipped by the
protection gear if they are working with poisoning chemical. All the work in the company will need to be legal. Especially, the company
must follow the country’s law for labors. For example, the company need to follow the law of labor, the average working time is 8 hour
per day and 48 hours per week. Or the company can buy ensuring for their employee.

The external labor market is the working force outside the organization. The external labor market will be needed when the employee
in an organization cannot approach company’s condition or the company has a shortage of resourcing, they need a more human resource
to fill in the blank position. The main merits of an external labor market are that open competition provides a wider choice for senior
appointments and that outsiders may bring new ideas to an organization. The government also have policies for the external labor market.
For example, to recruit new sources outside the company, besides evaluate the potential abilities of candidate, the company need show
the compliance between company and government’s law, especially the labor law for candidate if they are hired, such as they equally in
working place, equally in paying salary or ensure health care, etc. If the company have a shortage in the budget they cannot afford any
activities, even to operate an interview to hired new sources. If they cannot hire a new employee to improve the situation they can be
bankrupt. The company needs to consider the culture of the country, the social opinion or the knowledge of a specific area of that country
may cause bad effect to the company. For example, if the knowledge of the area near the company is low-level, they cannot hire them for
a high position in the company. Nowadays, the technology has been widespread to almost everywhere, so the competition between other
components has been an increase if the company doesn't have any attraction to candidates in media or social media they will be lost to
components. So, to increase the brand of the company, advertisement on social media will be needed to attract more candidate. The
company also need to consider the environment of the country. Climate change can cause bad effect to the company. Or the attitude
towards waste of the company also important. If the company doesn’t have any solutions for that, the brand of the company might also
have badly affected and cannot attract a candidate. And in any company, following the law of the country is very necessary. For example,
besides following the country’s law, the company can add more benefits to attract more outside sources, such as more bonus if they have
a contribution to the company.

( Source: Business Sweden )

Recruitment is the process of searching and selecting for prospective employees which they can be appointed to jobs in an organization.
There are two sources of recruitment: internal and external sources.
Internal sources of recruitment are the recruitment with the working force already have in the company. Many organizations are
practicing this approach to motivate the skilled employees of the organization. There are some methods in internal sources.
 Transfer: means shifting employee to another department with a similar job. It may not involve any change in salary,
responsibilities or position. This may help in reducing the boredom and monotony of the employees or it may be used to fill the
vacancies with suitable internal candidates.
 Promotion: refers to the shifting of persons to a higher position, higher responsibilities, and more pay. To fill in a higher position,
hiring managers could promote an existing employee. Hiring managers that have already worked with the employee, they would
know the worker’s abilities. The promotion also a motivation for employee to work-hard.
 Present employees: In many organizations, they allowed referring potential candidates for the suitable position. But the employees
must take full responsibility for those who they recommended and also ensure their proper behavior and performance.
 Hiring retired employee: it will help the organization can achieve objectives, tasks more easily.

In the internal sources of recruitment, there are also have some advantages and disadvantages. The advantage has increased the loyalty
of employee when they are given a chance to promotion. It can also motivate the employees and helps in increasing job satisfaction.
The existed employee is well known about the organization’s cultural, business. It also reduces cost when hiring internal sources. The
internal source can reduce boredom and monotony in employees. The disadvantage of it reduces the ability of recruitment a skilled and
more efficient people from external sources, it can become a competitive advantage to the competitors. The internal sources may not
suitable for all kind of organizations.

External Sources of Recruitment mean the organization will need to use the external sources when the existing employees are not
suitable or there a shortage of employee. This may motivate the skilled and more efficient candidates from external sources to apply for
the vacant positions in the organization. There are also have some method in the external sources of recruitment.

 Advertisement: can be posted on newspapers, print media or electronic media. Advertisement will help to attract the potential
candidates and in maximizing brand image.
 Company’s website: The needs for human resources is increasing. Therefore, to reduce the cost for long-term, many companies
have created their website to advertising and to recruiting more employee from external sources. The employee can be a recruit
from placement agencies. This will reduce time consuming and efforts to find the right candidates.
 Campus interview: direct recruitment from educational institutions for jobs requiring professional or technical qualifications has
become a common practice. The potential students can be spotted during the course of their studies. This method is beneficial for
both the candidates and companies.

There are also advantages and disadvantages in external sources. The advantage of it is external candidates have unique backgrounds
that offer different methods and ideas to clients. External recruitment can have a larger potential candidate environment than the internal
sources. External recruiting helps establish an employer brand that attracts high-quality candidates. By advertising the job through
multiple channels, people can recognize an organization’s brand and company culture. The disadvantage of it is the cost. Recruiting
process from outside is very expensive. It starts with advertisements on social media and then arranging written tests and conducting
interviews. This will not suitable for the company which has a lack of budget. This method may cause demoralization of the old
employee. Some employees may even leave the enterprise and go for better avenues in other concerns. It may increase the lack of co-
operating between the new and old employee, they will feel disunion to each other. These things may affect the working of the
organization.
Job advertisement is the process that the recruiters will use to announce an open job position. It is a key part of the recruitment process
with the goal of attracting talent, it will focus on the candidate that will fit the available open positions. A well-crafted job advertisement
will target and attract the right candidates. Increase the reach of the job advertisements by publishing them on social media, posters,
flyers, career site, newspaper or another kind of advertisements. There is some job advertisement structure, include: Job title,
responsibilities, requirements, company and benefit. A clear job title will help clarify the position or purpose which the organization
wants to hire. Most job titles have some clarifiers about the job's position, such as temporary, full-time or part-time and the expected
work location. The job responsibilities will help people to consider whether it fit or not fit with the position that the organization needs.
If there are other special requirements, the employers may mention on the interview. Employers also list some of the special conditions
in the job's responsibilities, such as working outdoors, shift work and required evening or weekend work. The job qualification is the
requirement the organization needs to evaluate the candidate’s knowledge, experience, technical and soft skills or equivalent. If the
employer wants the candidate to have a diploma or degree, they will include this information in the qualifications section. A company
and benefit will help the candidate know more about the company. Briefly introduce the company and focus on the benefits that the
company offer, include information about the salary range, exciting projects, and perks. The poster of the job advertisement may list the
salary. Some companies only discuss salaries with potential candidates, during an interview or when they contact the candidate to
schedule an interview.

The recruitment process is designed to attract applicants to apply for the job. The recruitment process begins with the planning where
is the vacant job positions are analyzed and then the comprehensive job draft is prepared that includes: job specifications and its nature,
skills, qualifications, experience needed for the job, etc. The type of candidates required for the job is well specified in terms of the task
and responsibilities involved in a job along with the qualification and experience expected. The next is searching for potential
candidates. Searching out the sources from where required persons will be available for recruitment. The recruitment can be done via
online advertising on job and career sites or professional networking and participation in trade associations. Next is screening. The
screening means to list the applications of the candidates for a further selection process. Although screening is considered as the starting
point of selection, it is important to the recruitment process. The purpose of recruitment here is to remove those who seem to be
unqualified for the job. Evaluation and control is the last stage in the recruitment process wherein the effectiveness of the process and
the methods used are validated. The recruitment is a costly process, therefore, a firm is required to gather all relative information to
evaluate the performance of a recruitment process effectively.

The selection process refers to the steps involved in choosing people who have the right qualifications to fill a current or future job
opening. Similar to the recruitment process, the selection process also cost more time and money and it not easy to find a candidate which
have qualifications and capabilities to fill the jobs in the organization. There are some steps need to be followed in the selection process:
 The preliminary interview (Screening Interview): where candidates are eliminated from the selection process who do not meet
the minimum requirement of the organization. In the preliminary interview, individuals will be checked for their academic
qualifications, skills, family backgrounds and their interest in working with the firm. It is basically done to eliminate unsuitable
candidates.
 Receiving applications: will contain the candidate data such as background, qualification, and other information. This helps the
interviewer to get to know about the candidate and formulate questions they will ask to get more information about the candidate.
Screening applications: when the applications are received, these will be screened by the screening committee. Then a list of
suitable and qualified applicants will be called for the next interviews through a registered mail or e-mails. In order to check the
mental ability and skill set of the candidates, several tests are proceeding. These tests are to evaluate the suitability of the candidate
for the job position.
 Employment Interview: the interviewer will ask questions for the applicant to discover more about them. The candidate needs to
describe their expectations from the job. Their strengths and weaknesses will be noted by the interviewers which help to take the
final decision for the selection.
 Medical examination: the physical and mental fitness of the candidate will be checked to ensure that they are capable for the job
position. The medical examination plays an important role in the selection process, it helps to check the applicant’s physical ability
to reach the job requirements.
Finally, the candidate who reach all the requirement of a selection process can receive the appointment letter to join the firm.
In the selection step, there are some methods will help to find the suitability of candidates by predicting the extent to which they will be
able to carry out a role successfully, including behavioral questions, skill test, panel interview. Firstly, the behavioral questions or
psychometric testing method. It includes ability testing, aptitude testing, and personality profiling. The next method is a skill test. This
method is to test the ability of candidate and may also encompass aptitude tests, it may include general intelligence, verbal ability and
other abilities of the candidate. The last method is a panel interview. The panel interview will ask a candidate for information. After
interviewing, the panel interview will discuss whether that they need hire the candidate or not.
M1. Assess how the functions of HRM can provide talent and skills appropriate to fulfill a business objective.
Several studies highlight an optimistic and positive association between Resourcing in HRM and organizational performance. Some
studies have highlighted a direct link between Resourcing and performance, while some are of the opinion that Resourcing influences
employees’ attitudes and behaviors, which ultimately influences organizational performance. There are, however, problems that have
been largely overlooked in the current academic debate, namely; what kind of tensions and challenges arise with Resourcing positioning
in newly democratic and developing countries. Gerhart argues that it is unlikely that a set of Resourcing practices will work equally well
no matter what the context. This is particularly significant, given that contextual variables such as culture and employees orientations
have been found to influence the choice of HR strategies. A number of researchers who have conducted studies on this research stream
have confirmed the positive impact of RHM on OP.
According to studies, organizations investing heavily to resourcing, pick the fruits of this investment in the improvement in individual
and organizational performance Bartel (2000). The investments done in training practices and the expected results listed by organizations
has pointed researchers to different perspectives about the subject. In that context, the present work has determined a positive correlation
between resourcing and organizational performance (Collings et al. 2010). Moreover, many studies about organizational performance
and organizational commitment of employees show that the training and development practices given by organizations offer them the
opportunity to improve the skills and performances of their employees (Delaney and Huselid 1996). In the recent literature studies,
resourcing is evaluated on the basis of its relation to organizational performance. Many studies show that with resourcing, an increase in
the employees' level of organizational performance has been observed. Employees start to expect that they will be provided training
opportunities with the thought that they will show organizational commitment in return for the trust that a verbal psychological contract
has been signed between them and the organization Bartlett (2001).
A number of authors Paauwe, Guest, Mayrhofer and Henrik, Taylor have conducted researches investigating the association between
Resourcing and organizational performance across a diversity of settings and have concluded that there is a strong linkage between
organizational performance and resourcing. Regarding developing countries, there are few studies which discussed the relationship
between resourcing and performance and documented that SHRM is strongly related to firm performance. Further subsections discussed
the relationship of each SHRM practice with organizational performance.
In conclusion, Resourcing in HR have a significant positive relationship with organizational performance.

P2. The strengths and weaknesses of different approaches to recruitment and selection.
M2. Evaluate the strengths and weaknesses of different approaches to recruitment and selection

Strengths Weaknesses Examples


Internal recruitment - Quick and easy to - The company already knows Vinamilk always focus on available
find candidates the strengths and the sources. The list of requirements and
- The candidates weaknesses of each candidate job duties are posted internally in the
already know clearly through the work process company. Describe the department.
about the company before. Describe what the team is working on
and the operation of - The potential applicants presently and what they plan to work
this company could be limited on in the future, it also includes:
- Easily promoted by the - The new ideas would be requirements, time, benefit. And
compacompany limited encourage them to supply in the
-
(Source: The Independent) Saving money and time- - The candidates who not to be position.
consuming. chosen by the company may
resent and will affect work
efficiency
- Create more vacancies.
External recruitment - New ideas from - Large candidates, the process The recruitment program will be
outside will be of recruitment will prolonger posted on the internet, such as
brought to the - The cost of the recruitment Vinamilk ’s website, social media or
company process is high through recruitment sites.
- Potential applicants advertisements and the time of
are large that the interviewing candidates is
company can choose long.
easily - May not choose the best
- The candidates may candidates due to the lack of
have experienced can recruitment process
help the company. - Cost more money and time
- A new employee consuming for the recruitment
(Source: Linkedln) can avoid the process, such as an
disagreement or the advertisement, training a new
conflict between the employee or recruit someone
old employee that cannot fit in the position
- May waste time on finding
the weakness of new employee

In the selection step, there are some methods will help to find the suitability of candidates by predicting the extent to which they will be able to
carry out a role successfully, including behavioral questions, skill test, panel interview. Each different business has a different kind of selection
methods. And each method also has its strengths and weaknesses. selection methods.

Strengths Weaknesses Example


Behavioral Questions - Can receive many new Can make the applicant The employer will ask candidate some
ideas from the candidates nervous question, such as how to solve pressure
- Evaluate the way of - Some questions from about time, how to solve arguing with
working of each the company might another co-worker
candidate difficult for the
- Quick and easy to candidates
choose who will be
elected

( ( ( ( Source: Career Stint )


Skill test - Easily eliminate a large - Some companies Candidates applying for technical positions
of candidates who not require many abilities may be asked to solve a series of problems.
qualified - May miss talent Some tests you may be asked to complete
- Can find a potential applicant for many have nothing to do with your skills but with
applicant for the company reasons your personality.

( Source: indirect )
Panel Interview - Evaluate 1 candidate in - Create the A group of the candidate will be asked some
( Source: The exact-search ) many ways asynchronous among the question, each of them must answer the
- A lot of questions given employers question to impress an employer.
by the employers - May miss talent
- Different people see applicant for many
different things from reasons
candidates then have own - Easily affected by the
exclusion method personal feeling of each
employer.

LO2. Evaluate the effectiveness of key elements of Human Resource Management in an


organization.
P3. Explain the benefits within different HRM practices an organization for both employer and employee.
Learning and Development
Types of Training: when you hire someone to work in your company, the first thing you have to do that is training them. The reason is when you
training them, they can try their best at work and can achieve the target of the company and they can solve the problem when they go the wrong
way. However, you must follow these types of training :
 Orientation: it means you have to guide the newcomer a mission of the company because when they know that they will have the
responsibility with the company, a vision, value of the company, special is the culture of the company. These reasons can help they can
have their own direction and have a knowledge more clearly.
 Onboarding Training: it creates the strategy and the target and allows the employee to finish it in the shortest time. This type of training
is starting on the first day when the newcomer goes to work and is prepared by the leader, manager or CEO of that company. If Onboarding
Training can affect and successful it can make newcomer work faster and get a good result.
 Technical Skills Development Training: it is the most important type of training when the company hires an employee because with this
type of training your employee will know how to work in the right way and they will know how to write the report, how to analyze the
content, etc.
 Soft Skills Development Training: it is also one of the most important types of training because you will help your employee how to
improve their knowledge and help them how to interact with their partner in work, how to work in a group, teambuilding, etc. This type of
training will build the effect culture, respect and make profits for the company.
Evaluation of Training: if I was employer I will train the newcomer based on Types of Training. Firstly, I will show them our vision, mission,
value and the rule of my company because I want them to know about the place where they work to make them based on the rule and work.
Secondly, I will talk about their behavior in work for them because with my behavior in work is very important. Thirdly, is about paperwork, I
will guide them how to understand each work in the contract or how they typing the contract, what they will think before they sign the contract, it
is the most important thing when they work. And finally, I will show them how to working in the group to be successful to get the target because
in business environment teamwork is the most important so that they must be known how to work and talk about their energy in work to make
have full energy to achieve the target and bring profits for the company.
Benefits for employers and employees: if we follow these step, employers and employees will get many benefits. About employees, they will
know their environment they work and they will know their strengths and how to develop that or they will know their weakness and how to
provide that, in the other way, they will know that the company their they work will suitable with them or do they like the vision or mission of that
company. And about employers, they can choose the best person after the training program because when they choose the best they can save the
budget for the company and they choose the right one to bring profits for them and with the best one will create the best choices for the company
after that make company becomes better.
Performance and reward management
(Source: Tech Funnel)

Performance management: is one of the most important elements in one company because it helps us to govern and supervise the performance
of employee when they work and with that, we can specify that employee can satisfy the expectation of the company or not.
 Graphics Rating Scales: is the tool for work environment because it includes a list of work, the performance standards and rate from 1-5
to assess the performance of the employee. This modality can measure faster than the other.
 Management by Objectives: this modality can measure the performance of the employee when we stand in the manager position. It starts
with the determination of the target of the employee, at that time, that employee and their manager will list the element to achieve the
target. Next is include the time to achieve that target and the employee will discuss with their manager about the target or when the
employee needs more time to do. The performance of the employee can measure based on their target in the time when they assign with
their manager.
 Forced Ranking: is the modality for the manager to supervise and control the rank of the employee. This kind of tool can measure the
award of the employee to help a company can find the good one or the bad on so that this modality create the competition in work.
We have five types of payment: Paycheck, Direct Deposit, Payroll Cards, Cash and Non-Cash.
( Source: Ecommerce Platforms )

 Paycheck: it is the kind of paper for the employers to write the number of money and give it to their employee. This kind of payment is
for an employee who doesn’t have a bank account and the person don’t want to bring cash but this type of payment has a disadvantage it
can be stolen or lost.
 Direct Deposit: this types of payment are for the employee who has a bank account because the employer will transfer money to your
account and this kind of payment is one of the popular payment in the world. With that, employers will have their information when
employer hire someone and this very advantage because you don’t need to meet your manager to get a salary, you just stay home or you
have the vacation you can have your salary.
 Payroll Cards: this kind of payment is not similar with some area but now it more and more popular because the employee will have a
card have their salary in that card allow them to use that money or they can go to ATM to withdraw money. And especially it was made
for the person who doesn’t have a bank account.
 Cash: this type of payment is very popular in many years because it is the traditional modality of payment, but when the employer wants
to pay for employee need to be careful because the employer will get hard to follow personal document.
 Non-Cash: this kind of payment is very useful in some cases, like when you get the target or you can create the plan for the company so
that the employers will pay for your by a trip, prefer you on the new position in company or phone, laptop.
Employees will be paid based on their abilities, behavior, and their attempt, their attendance. And employers will pay for them by their project or
their plan but only when it succeeds Reward System is the kind of benefit you bring to your employee. And employee will expect that after they
work hard because they expect a better salary or gratuity. The employer will be based on their performance and them will be an effort to achieve
the target and this reward will push employee work in a clear way and have a good result for the company. The impact of performance management
and reward management in employees are creating a performance in which the achievement of high performance is a way of life. It also creates a
competitive environment in the company to make an employee work hard, has the energy to work on time and can have their great ideas to get the
high performance to achieve the target. With employers, it can bring the best result for your company with the effort of the employee and bring
the profits to the company and anything else.
HRM practices are important to organizational performance. Base on Sangeeta Trehan, Karan Setia, 2014, Human Resource Management
Practices and Organizational Performance: An Indian Perspective:
“The obvious linkage must be either through improved efficiency or contribution to revenue growth. However, this has undergone much change
over time.”
→ As Sangeeta and Karan said above, we can see the linkage between Management Practices and Organizational Performance is really close, if
we do a good job in HRM practices we can gain the success in Organizational performance, but all the HRM practices methods have to agree
and change if it’s not effectively, the linkage won’t be agreed if it’s don’t help increase revenue . However, because society is more and more
developed, if 1 element change, the others must change as the author said, we can see that develop employee synonymous with developing
organizational performance. For example, the company that fail in job manage employees, because employees are the core of 1 company, so
wrong in HRM practices methods, the revenue of the company will fail too.
Many people see that HRM practices and Organizational performance is connected to each other. As Jaekwon, Ko, Aaron Smith-Walter, 2013,
The Relationship between HRM Practices and Organizational Performance in the Public Sector: Focusing on the Mediating Roles of Work
Attitudes :
“HRM practices contribute to increased organizational commitment, organizational citizenship behavior, and job involvement, and that these
work attitudes are positively related to organizational performance. The evidence is presented to suggest that work attitudes mediate
relationships between HRM practices and organizational performance, with certain HRM practices being associated with improved work
attitudes”
→ All the HRM practices contributed stable company through employees, work attitudes of the employees create the success for the company,
for example, the employees accept all the process of the company by HRM department like have to respect each other because if her/him doesn’t
respect, they will fail in 360-degree feedback. Moreover, all the employees know what they have to do to gain the success for the company like
through the job description, through this, the employees can see the aims, the objectives and do this with no hesitation.

P4. Evaluate the effectiveness of different HRM practices in terms of raising organizational profit and productivity.
M3. Explore the different methods used in HRM practices, providing specific examples to support evaluation within an
organizational context.
There are few methods that used in HRM practices:

( Source: Leadership )
 360 Degree Feedback: it is a system or a process help members of the company can give complain, comment about their behavior, attitude,
the problem in work and many things else go through this process to make the person who is complaining will change their work, their
behavior or something which was complaining. This kind of process will help employees and employers can understand each other and
improve their skill, gain their knowledge and important is working more efficiently. But in some cases that it doesn't work because someone
can be accepted when they complained so that we should find another solution to make them become better and can connect them with
another employee.

( Source: Career Addict )

 Job Description: it is the processor system to help newcomer or employees understand more and more their job and what they will do and
what they will not do in the company or the future. It very works for employees to follow the rule of the company so that they will work
under the law of the company. But this kind of process can get the inconvenience with some cases because the information will update
each month or year so that they need to update and sometimes a company will change in the law so that they need to follow the new law
and change their mind so this reason can prove this process is an inconvenience in some cases.
To illustrate my point of view, I’ll bring both methods in a company to evaluate the effectiveness of different HR practices which in
here is about the company named Thuan Gia. Thuan Gia is a pharmaceutical company and this company uses two main methods to
manage the employees in the company. Two main methods are 360-degree feedback and job description to gain success. Base on that,
Thuan Gia company uses this for all the employees in the company, the manager will create the form then send this to all the
employees, the employees will have the responsibility for filling this form after one month work in the company, after that, the
company will receive the result and have the right management for all the employees, for example, Nguyen Van A feedbacks for
Nguyen Thi B that she has done a good job but the attitude of her to the janitor is bad so Nguyen Thi B needs to improve that.
Secondly, Thuan Gia company uses job description with the employees, this form is like the scale, it has the information about the
specific job that the employee needs to do and the skills, the qualifications need to have, such as if you want to do a janitor you should
have good health, good endurance, etc and this form will show you that you should do what, such as clean the toilets, the window, etc.
Advantages :
360 Degree Feedback:
 Brings people together: after all the feedback from all the employees in the company, we can have many feedbacks from all
aspects, such as aspects from managers, from the boss, from janitors, even from a security guard. Thanks to this, people can
improve the attitude when working, improve the skills and the company will develop. Such as the employees in Thuan Gia
company, they treat everyone in the company is well, everyone wants a good feedback, they treat each other like they are a
family, as the name of the company, Thuan in Vietnamese is sociable and Gia is family, it means sociable family in a company.
 Develop from opportunities: base on the feedback from many people, the manager or the boss can realize opportunities from
their employees, the things that the manager can’t see, each person has their own thought, many thoughts become truly valuable
information. After that, the boss improves the company follows this valuable information. For example, Nguyen Van A sees the
strength of Nguyen Thi B while they are working in social, Nguyen Van A feedback that Nguyen Thi B is talkative and suitable
with another position.
Job description
 Orientation: helps new employees know what they have to do with practical entrepreneurial experiences, the range of work. In
Thuan Gia company, new employees are very much, even they have just left school but through the job description, they can
know what to do.
 Improve relationship: thanks to conditions have shown before, individual know what to do, mistakes reduce much, know the
qualification and respect each other.
Disadvantages:
360 Degree Feedback
 Inadequate: the receiver of 360-degree feedback usually is a manager. Because of that, some employees are being less frank
because they afraid their frankness can affect their job so the feedback is not qualified and have no constructive. In Thuan Gia
company, Thanh is an untalkative person, he doesn’t want to judge every people so each feedback, he just writes briefly with no
contribution.
 The leadership is not good: although the feedback is valuable, the leadership don’t want to use this information to improve the
company. Mr. Cang is the boss of Thuan Gia company, although the employee still contributing to increasing the company, he
still doesn’t want to hear and have no changing for the company.
Job description
 Obsolete: information has to update periodically, such as qualification while working on the condition of the internet, have to
know how to use the new window in the company… For example, Thai is a guy comes from the poor village, his village is not
developing much about the internet, but Thuan Gia company requires Thai has to know to use Window 10, so Thai failed.
 Not in sync: sometimes, the conditions in job description don’t meet the employee expectations. For example, the job is not as
interesting as the employee expect, or Thuan Gia company is a company that rarely organize for employees to hang out each year
so the employees could easily quit the job.

LO3. Analyze internal and external factors that affect Human Resource Management
decision-making, including employment legislation.

P5. Analyze the importance of employee relations with respect to influencing HRM decision making.

( Source: The Blue Diamond Gallery )


“Employee relations” Employee Relations is a crucial step in HRM Management which will determine the firm’s success
This term also identified by David Farnham in his text “Employee Relations in Context“( 1993 ). In seeking to explain the concept of
employee relations he states the following:
“ Concerned with the interaction between primary parties who pay for work and those who provide it in the labour market ( employers
and employees), those acting as secondary parties on their behalf (management or management organization and trade unions) and
those providing a third party role on employment matters (state agencies and EU institutions)."
Employee Relations is not a simple selling process, but more the establishment of an environment where there are trust and confidence
about the motives of management when they talk about subjects and initiatives - an environment within which employees feel valued for
their contribution and intelligence. HR people behind the scenes can work on impressive Human Capital Management programs and
initiatives, but it is Employee Relations that will determine their success. So that there are some benefits of ER in HR decision-making:
 Increased Productivity: when the company starts to give the employee the chance to play a part of decision-making that is more
likely to put forth their best efforts and get involved in the company's projects which leads to higher productivity and
performance, which helps your organization grow.
 Less Absenteeism: Workplace stress and conflicts are often the driving factors behind employee absenteeism. By getting ER in
HR decision-making will encourage the staff more serious towards their work and feel like coming to the office daily. They do
not take frequent leaves and start enjoying their work. Employees stop complaining against each other and give their best
 Increased Revenue: Since employees are a company's most valuable asset. People who feel motivated and engaged in the
workplace do an excellent job in their assigned roles, resulting in better products, greater customer satisfaction, and increased
sales.
 Work becomes easy if it is shared among all. A healthy relationship with fellow workers would ease the workload and in turn
increases productivity. Responsibilities must be divided among team members to accomplish the assigned tasks within the
stipulated time frame.
 There are several issues on which an individual cannot take decisions alone. The management needs the guidance and advice
of others as well. Sometimes they might miss out on important points, but fellow workers may come out with a brilliant idea
which would help the company to achieve their targets at a much faster rate. Before implementing any plan, the pros and cons
must be evaluated on an open forum where every employee has the right to express their opinions freely.
( Source: Creative Virtual )
The phrase “Employee voice” refers to the say employees have in matters of concern to them in their organization and further, it’s the
opportunity for the clerk to offer ideas about how to improve conditions in the workplace. It describes a form of two-way dialog that
allows employees to influence events at work and includes the processes of involvement, participation, upward problem solving and
upward communication. Within the concept of employee voice, there are two types: formal and informal. Informal employee voice is
defined as the ability for employees to provide feedback and discuss concerns on a daily basis. Formal employee voice is defined as
structured communication channels provided by the employer, including systems to file grievances and employee surveys.
As defined by Boxall and Purcell (2003):
“Employee voice is the term increasingly used to cover
a whole variety of processes and structures which enable, and sometimes empower employees, directly and indirectly, to contribute to
decision-making in the firm.”
Employee voice can also be seen as “the ability of employees to influence the actions of the employer” (Millward et al, 1992).

As defined by Marchington et al (2001), these elements of employee voice can be categorized as “Employee participation” (EP) and
“Employee involvement” (EI). So what do EP and EI mean?
- Participation: involves employee bring to bear a countervailing and upward pressure on the decision-making process to influence
management decisions and to contribute to the improvement of organizational performance. As Williams and Adam Smith
(2006) explain, the term ‘participation’ refers to arrangements that give workers some influence over organizational and workplace decisions.
- Involvement: is perceived “softer” form of participation, implying a unit of interest between employee and management processes through
which management allows employees to discuss with them issues that affect them. Williams and Adam Smith (2006) suggest that this term is
most usefully applied to management initiatives that are designed to further the flow of communication at work as a means of enhancing the
organizational commitment of employees.
P6 Identify the key elements of employment legislation and the impact it has upon HRM decision making.
In the labor code of Vietnam, there are some regulations and norms for employment legislations as follow:

Minimum wages: More specifically, we have regional minimum wage and base salary. In Vietnam, since 2017, the regional minimum wage is
adjusted according to Decree 141/2017 / ND-CP as follows:

- Region I: 3,980,000 VND / month.

- Region II: VND 3,530,000 / month.

- Region III: VND 3,090,000 / month.

- Region IV: 2,760,000 VND / month.

For trained and vocational trainees, the minimum wage is at least 7% higher than the regional minimum wage. From July 1, 2018, according to
Decree 72/2018 / ND-CP, the basic salary for cadres, civil servants, officials and employees is VND 1,390,000 per month. Salaries of laborers
during the probationary period shall be agreed upon by the two sides but must at least equal to 85% of the wage level of such jobs.

Equality: Equality in labor is understood as equality among all citizens in exercising their right to work by finding employment, equality between
employers and workers through employment contracts. Everyone has the right to work, free to choose employment and occupation in accordance
with his or her ability, without discrimination on the basis of race, sex, sexual orientation, age, marital status, threshold, family origin and economic
composition.

Differences between men and women workers: Under the provisions of Article 26 of the Constitution, male and female citizens have equal rights
in all areas. The state has a policy to ensure the rights and opportunities of gender equality. Under Article 16 of the Constitution, everyone is equal
before the law and no one is discriminated against in political, civil, economic, cultural or social life. Male and female workers must be treated
equally in the workplace. Employees have the right to work and freely choose the job or profession they desire. They can also freely choose the
vocational training they want to participate in and have the right to enhance their professional skills. In addition, female workers has a number of
preferential treatment policies, such as having a specialist obstetric / gynecological clinic every 6 months, resting 30 minutes a day when they are
on period , Pregnant women employees are able to unilaterally withdraw their contracts and are not subject to disciplinary action, reasonable
maternity leave and return to work on equal pay and promotion opportunities as for male employees. In addition, in some places there are
regulations on discrimination between homosexual and heterosexual workers.

Discrimination against workers with disabilities or poor health conditions: Employers are prohibited from discriminating against workers with
disabilities in all employment-related matters. Employers are required to take care of the health of persons with disabilities. Employers should
create favorable conditions for people with a disability to work, including adaptation to adaptive facilities, safety equipment, and the right
conditions of machinery and equipment. , tool. Employers must consult with workers with disabilities on issues related to their rights and interests.
Employers are prohibited from the following behaviors when employing disabled workers: Employ workers with disabilities to work overtime,
work at night for disabled workers who have a working capacity decrease of 51% or more; Employ workers with disabilities to do heavy, hazardous
jobs or exposure to hazardous substances. Stigma and discrimination against people living with HIV is also prohibited by law. Employers have
the responsibility: To organize the propagation and education of HIV / AIDS prevention and control measures and fight against stigma and
discrimination against HIV-infected people; arranging work in accordance with the health and professional qualification of HIV infected workers;
To create conditions for laborers to participate in HIV / AIDS prevention and control activities

regulations on working age and employment: The working age is 15-60 years for men and 15-55 years for women. In cases where laborers perform
managerial work and some other special cases, they may retire at the higher ages but not exceed five years. Article 163 of the Labor Code defines
the working time of laborers aged between full 15 and under 18 years: not exceeding 8 hours / day and 40 hours / week; be working overtime,
work at night but only in some jobs .Working hours of laborers under 15 years of age: not more than 4 hours / day and 20 hours / week and not
used for overtime work at night. Normal working hours must not exceed 08 hours in one day and 48 hours in one week. Employers have the right
to stipulate working hours or days or weeks; In case of weekly work, the normal working time shall not exceed 10 hours in one day, but not
exceeding 48 hours in one week. The State encourages the employer to work 40 hours a week. Working hours must not exceed 06 hours in one
day for those who work in extremely heavy, hazardous or dangerous work according to the list issued by the Ministry of Labor, War Invalids and
Social Affairs in coordination with the Ministry of Health.

Article 201 of the Labor Code regulates the order and procedures for reconciliation of individual labor disputes by conciliators.

The employee shall send a written request for conciliation to the labor conciliator
+ Labor reconciliation summoned the employee and the employer to open the mediation meeting

+ Open mediation sessions to guide the parties to the negotiations. If the agreement is reached, the minutes of reconciliation will be made. If the
reconciliation fails, the minutes of reconciliation will be unsuccessful.

+ The labor conciliator sends the minutes to the parties after one day to make the minutes.

+ In case of unsuccessful mediation; or either of the two parties fails to comply with the settlement agreement; or the expiration of the settlement
time limit prescribed in Clause 2 of this Article; the conciliator does not conduct conciliation; each party to the dispute may request the court to
settle it.

+ Time for mediation: Within 5 working days after receiving the application, the conciliation must be completed.

Health and safety: The Labor Code places the responsibility for all parties involved to ensure the safety of the workplace and requires all
enterprises, agencies, organizations and individuals involved in labor or production to comply with the regulations. The law on occupational safety
and health.Employers must ensure that the working environment meets the necessary standards, improves the working conditions and health care
for the employees; and propose measures to eliminate, minimize the hazards and harms related to health and safety. The Labor Code stipulates
that workers involved in dangerous and / or dangerous work must have protective clothing and adequate protective clothing. Personal protective
equipment must meet quality standards. Employees must also use these protective equipment in accordance with the published regulations of the
Ministry of Labor, War Invalids and Social Affairs. Personal protective equipment provided by the employer includes: protective equipment for
the head, eyes and face, hearing organs, respiratory organs, hands, feet, body, overhead and electric shock.

Employers must provide personal protective equipment to employees free of charge and prohibit the employer from paying for personal protective
equipment or handing over money to employees. Personal protective equipment. Employers must provide guidance so that workers can use
appropriate personal protective equipment and strictly monitor the use of these facilities. Employers must arrange for the storage and maintenance
of personal protective equipment in accordance with the manufacturer's instructions or the manufacturer of such personal protective equipment.
In addition to the health insurance that workers and employers require under state regulations, there are also other types of insurance available to
employees working in certain work environments such as accident insurance, occupational disease insurance, life insurance, etc.

Redundancy happens when the company gives employees large leave when they have no need for human labor or the amount of labor is no longer
needed for them. The cause may be that the company has upgraded machines replacing human labor or companies with financial problems and is
unable to pay for too much labor.. For example:

Banking is one of the fastest growing industries. When hot growth, recruitment will have to accept some of the requirements to have enough
personnel to work. Normally, after a period of hot development, it will come to a stable stage and lay off employees who do not meet the
requirements. Accordingly, after one to two years of operation, staff disposal methods will be applied to improve the productivity and efficiency
of the system. Theoretically, the dismissal of under-performing former employees, the bank will have the opportunity to recruit new and better
qualified employees. ACB cut down nearly 1,300 staff in 9 months. In the third quarter, ACB cut down 703 positions and is currently the leading
bank in terms of staff cuts.

Before redundancy, employers should write notice of redundancy such as the reason for the redundancy, the number of redundancy and the number
of people and the progress of the work affected, methods of negotiation and payment agreement for the redundancies , method of redundancy…

When reasons are given, enterprises must inform the termination of labor contract for employees, namely:

- For indefinite term labor contract and the number of employees is bigger than 100: at least 45 days

- For definite term labor contract and the amount of dismissed employees is from 20 to 99: at least 30 days

- For labor contracts with seasonal or specific jobs with a duration of less than 12 months, or for cases where the employee is ill or injured, he or
she has been treated for a long time and the law allows enterprises to terminate the labor contract: most 3 working days

Before redundancy, enterprises should take note of the redundancy method appropriate to the company and the circumstances of the employee.
After redundancy, the company needs to recruit personnel or assign alternatives
Dismissal, On the other hand, when an employee is asked to stop work by on a supervisor or manager, the HRM department for violating the
company's regulations, causing major errors affecting the public interest, breaking the rules in the labor contract, in other words it can be interpreted
as "fired".

Under the provisions of Article 126 of the Labor Code, only the following cases can be dismissed by the employer: Employees who commit acts
such as theft, embezzlement, gambling, intentional the use of drugs within the workplace, the disclosure of business secrets or technological
secrets, causing serious injury or threatening to cause serious damage to the assets and interests of employers ...The employee is disciplined for
prolonging the salary increase period while recidivising the offense while being disciplined or dismissed. Employees voluntarily quit their jobs for
5 days in one month or 20 days in one year without any plausible reasons such as natural disasters, fires, illnesses ...

3 main types of employment relationship contracts:

- Relational contract is a contract where the terms and effect of it are made up of the understanding and trust of the two parties. These terms
are generally understood based on the behavior of the two parties
- Psychological contracts, which is a term given in the contemporary study by the scholar Denise Rousseau, is an expression of mutual trust,
understanding and duty between the two. It creates motivations for the relationship and determines the detailed reality of the work to be
done. It is distinguished from formal written labor contracts, which, in large part, only define mutual obligations and responsibilities in a
general form
- Transactional contracts Unlike the two types of activity, this type is considered to be the most common and common type of contract that
is currently in existence. It includes terms that are based on mutual consent and the law, regulations on issues. pay, time, welfare, reward,
fine ... all are expressed in text and signed two parties and legally confirmed.
( Source: My Exam Plein )

Main terms and conditions of employment contracts:

Pursuant to Clause 1, Article 23 of the Labor Code 2012 and Article 4 of Decree No. 05/2015 / ND-CP, the main contents of the labor contract are
stipulated as follows:

1. Name and address of the employer


a / The name of the enterprise, agency, organization, cooperative or household which hires or employs laborers according to the labor contract
according to the enterprise or cooperative registration certificate or investment certificate; Decide on the establishment of agencies or organizations;
In cases where the individual hires an employment contract, the full name of the employer must be inscribed according to the identity card or
passport;
b / The addresses of the enterprises, agencies, organizations, cooperatives, households and individuals that hire or employ laborers according to
the enterprise or cooperative registration certificates or investment certificates; To decide on the establishment of agencies or organizations
according to the provisions of law;
c) Full name, date of birth, people's identity card or passport number, address of residence place, title in the enterprise, organization, cooperative,
household hiring or employment of The person signing the labor contract on the part of the employer as stipulated in Clause 1, Article 3 of Decree
05.

2. Identity card or other legal papers of the employee


a / The serial number of the identity card or passport number issued by the competent agency of the laborer;
b / The work permit number, the date of issue and the place of issuance of the work permit issued by a competent agency to foreign laborers
working in Vietnam;
c / The written agreement on the conclusion of the labor contract of the representative at law for laborers aged between full 15 and under 18;
d) Full name, date of birth, gender, address of residence, identity card number or passport number of the legal representative of the person under
15 years of age;
e) A document of a person under 15 years of age agreeing to have his / her legal representative enter into a labor contract.

3. Work and place of work


a) Work: Work performed by the employee;
b) Working place of the employee: The scope and location of the laborer doing the agreed work; In cases where laborers work in different places,
the places where the laborers work must be inscribed.

4. The term of the labor contract


Duration of labor contract (number of months or number of days), time of commencement and termination of performance of labor contract (for
definite term labor contracts or seasonal labor contract) or for a certain job); The time of commencement of performance of the labor contract (for
indefinite-term labor contracts).

5. The wage level, form of wage payment, time limit for payment of wages, wage allowances and other supplements
a / The wage level, wage allowances and other additional allowances determined according to the provisions of Clause 1, Article 21 of Decree No.
05;
b / Forms of wage payment determined according to the provisions of Article 94 of the Labor Code;
c / The wage payment duration shall be determined by both parties according to the provisions of Article 95 of the Labor Code.

6. Graduation promotion, salary raising

Conditions, time, time, wage level after raising the level, raise the salary agreed by the two parties.

7. Working time and rest time

a / Hours of work during the day, during the week; shift; the start and end of the day, week or shift; number of working days in the week; overtime
and related terms when working overtime;
b) The time, starting time and deadline for breaks during working hours; Weekly leave, annual leave, holidays, New Year holidays, private leave,
unpaid leave.

8. Provide labor protection for laborers

Specify the quantity, type, quality and duration of use of each type of labor protection equipment in accordance with the regulations of the
employer.

9. Social insurance, unemployment insurance and health insurance

a / Percentage calculated on the monthly salaries on which social insurance premiums, unemployment insurance premiums and health insurance
premiums are based on the employers 'and laborers' contributions according to the provisions of the social insurance law. , unemployment
insurance, health insurance;
(b) Mode of payment, the period of payment of social insurance premiums, unemployment insurance, health insurance of employers and workers.

10. Training, fostering and raising the professional skills of laborers in the course of contract performance
The rights and obligations of employers and laborers in ensuring the time, funding for training, fostering and raising the skill level.

11. Other contents related to the implementation of contents agreed upon by the two parties.

M4. Evaluate the key aspects of employee relations management and employment legislation that affect HRM decision-
making in an organizational context.
Labor relations are considered as the link between employees and employers, not only helping the company to achieve business results based on
appropriate personnel policies but also helping employees to be satisfied with their work with fair treatment based on labor law. Nowadays,
millions of employees still look for their labor justice, specifically about the wage, working time and other welfares. Employees Relations
department in every enterprise will be the one could help the employees satisfied by ensuring the working conditions, wages, rest periods, labor
insurance, neutering, health, and occupational safety in accordance with the labor law.
As stated by MAHARI REDAE (30 MARCH 2012)
For employees, labor relations have links with the law to protect as well as ensure the effectiveness of work:
Monitoring and Reflecting Workers in Productivity: The ER office will give workers notice of work productivity to reward or correct work
behavior, which will make decisions about the employer. For example, if the company needs to increase production to keep up with the
schedule, workers who are forced to work overtime will be notified by the ER staff about it as well as the amount of extra pay or meals, free
coffee when doing shifts.
Addressing labor offenses so that people are aware of their work, such as having a worker frequently leave early or neglecting the
production line, resulting in reduced productivity or loss of capital. If the ER is required to make a payroll deduction or layoff but it will still be
subject to the law like being warned at first time offense, the second time they get administrative penalties and will be sacked at third time
offense
Consultation on labor contracts as well as conciliation when there is a conflict between two parties: for example a worker with poor health
conditions, they have questions about the division of labor and wage compensation. , the ER department will have the task of explaining and
giving orientation to the conditions of labor workers. When a worker strikes or sues for labor exploitation, the ER will be the one to reconcile,
collect the opinions of the two parties, and provide the most appropriate solution.
And also explained by M.S Phan Tan Hung ( 11 November 2017):
For businesses, labor relations also have close links on the law, creating a more complete business.
Based on the strengths and weaknesses of the business process, the ER will make recommendations to conferences or governments on corporate
income tax reductions, which in turn will make the company profitable. It is possible to implement more welfare policies for employees,
improve the working environment.
Because of the oversight of both workers and employers, the ER will make recommendations or recommendations on promoting the
improvement of labor laws. Specifically, it is necessary to study, amend and supplement the Labor Code and issues related to wages, labor
disputes, labor contracts, collective labor agreements ...; It is necessary to supplement regulations on the signing of collective labor agreements,
regulations to protect workers' rights and regulations to protect grassroots trade union officials.

CONCULUSION:
All the evidence in this assignment is enough to prove my point of view.

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