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Role and significance of human resource management has very much changed with the rise in time. Earlier it was taken as a function of management which increases the cost of the company and does not adds much value to it. But now the point of view regarding HRM has undergone a complete change because of cutthroat competition, change in time and innovative business practices. Several studies suggest that by applying effective HR policies and procedures, any organization can enhance efficiency and productivity (Hendry, 2012). Focusing this scenario, this report is prepared to look at the importance and role of HRM in service industry in the context of Hotel Hilt
Role of HR department is to recruit good people, train them, and make them good employees to achieve high level of customer service. It also encompasses wages, benefits, and welfare administration. In this context, here are the roles and purpose of HR manager at Hilton Hotel:
- Planning and forecasting: For the mentioned company, the HR manager is needed to conduct HR planning to enable information regarding number of vacant posts in the hotel. By this, he can forecast about the number of employee required in near future (Dias, 2016). In addition to this, HR manager possess the role of assessing demand and supply of individuals in market place to develop strategies.
- Recruitment and selection:One of the key role of HR is recruiting and selecting skilled and talented people in the company. Hilton hotel conducts internal and external recruitment to manage their operations in desired and planned manner. They adopt 5 stage selection process for middle level employees which includes: preliminary interview, written test regarding to field, intellectual test, HR level interview and final interview where salary is negotiated and joining letter is offered.
- Monitoring of employees:Here the HR manager is required to monitor and evaluate the employee's performance to manage it accordingly. In the cited hotel, 360 degree appraisal method is followed in which feedback and reviews are taken from peer groups, superior, subordinate, and from the employee himself (Mondy and Martocchio 2016). This provides actual information about behaviour and performance of the employees.
- Training and development:Hilton offers training on a regular basis to its employees to enhance their competency and efficiency (Armstrong and Taylor 2014). In addition to it, company is able to boost career opportunities of employees, high level of motivation and increasing overall performance.
- Reward and recognition:HR manager of Hilton hotel make sure to offer rewards and recognition to its employees . Rewards are offered on quarterly basis based on their performance and extra efforts in the form of monetary terms. Recognition is done on social media, notice board, and on the official email ID of employees (Boxall and Purcell 2011).
Human resource plan is a practice of analysing the requirement of people within the organisation. For this HR manager assess the demand and supply of employees in economy. Following is the process of HRP within the context of Hilton hotel:
- Assess the requirement of human resource: At the initial stage HR assess the need by looking at the resignations, work load in future, external and internal environment etc. through this procedure preliminary decision is made for recruitment and selection.
- Forecasting demand of human resource: After the initial stage, demand of personnel is analysed. In this context, external environment is identified to assess the need of more employees. After this, exact number of vacant posts in the hotel is taken. On the basis of this, company initiates the recruitment process to get handful of candidates at the time of selection.
- Analysing the supply in economy: After the demand is analysed, now it required to assess the actual supply of employees in economy to take decision regarding pay scale can be taken. If there is low supply of individual then Hilton needs to hire employees on higher pay and vice versa (Guest, D.E. 2011). Apart from this, HR manager also takes decision related to internal or external recruitment which majorly depends upon the availability of skilled employees in the marketplace.
- Development of action plan: On the basis of demand and supply. An action plan is prepared by the HR manager within cited company for recruitment and selection of employees. They have to decide whether to go for internal or external recruitment (Ulrich, D., 2013). The HR manager is also having a target to call the candidates for interview to fill the vacant positions with skilled and talented employees in the hotel.
For gaining high amount of support from the employees, employee relations has a significant part in an organisation. It enables the company to attain their objectives by offering sound and high class service to its customers. Also, it motivates the employees which ultimately supports in receiving commitment from them so that the organisation boosts their competency in the market area(Harzing A.W. and Pinnington, 2010). Additionally it is a legal aspect among employee and employer which aids in giving rights to the employees with a significant opposition at the workplace. By this, the company is able to minimise the changes of discrepancies and unlawful practices.
Taking this into account, Hilton hotel focuses on employment relations to derive high value for nation and staff as well. By taking help of it, the company crafts the policies and norms for doing employee welfare. From this, hotel management offers same and equal amount of rights to its employees which certainly helps in developing morale of personnel. Employment relations is highly effective developing appropriate competitive position in the economy.
Besides this, Hilton has formulated its organisational structure highly focusing upon national policies of the workplace. By this, the brand image of hotel Hilton has improved at global level and therefore large number of individuals are attracting towards the organisation. Some more advantages it is giving to hotel Hilton are: employees are able to raise their voice against any unethical practices, probability of discrimination at the workplace has reduced and so equality is worshipped, healthy and cordial relations with the employees which results in less number of conflicts and disputes (Bratton and Gold 2012). In addition to it, concept of collective bargaining aids in developing a base where demands, problems, needs and views can be presented in front of the employer and the top management.
To offer legal rights of the employees, it is essential for company irrespective of their industry to adhere with the employment laws. It helps in defining the legal capacity and expectations of employer and employees both and aids in covering provision for employment contract and of dismissal. These laws play a vital role for developing effective and sound employment framework in hotel Hilton. Considering this, the following are the impacts of employment laws on functioning of hotel Hilton:
- Equality Act 2010:This act focuses on giving equal chances and preferences to employees at workplace to minimise the situation of discrimination of any nature from which their morale can be hampered. Further, it states that discrimination must not take place on any grounds i.e. age, gender, nationality, culture, beliefs, or any other demographic factors (Bloom, N. and Van Reenen, J., 2011). Following this law, company has developed a sound recruitment and selection policy in which applicant are provided equal opportunities to showcase their skills and competency. This in turn helps the company to develop a workplace where employees are able to work in an cross cultural team where better ideas and suggestions are gained to address any kind of problems and issues.
- Health and safety act 1974: The other set of employment law pays attention towards health and safety of employees. The management of Hilton is bounded with the duty of providing safe and secure workplace where productivity is increased. Proper training and development activities are arranged to give information about the act to be taken at the time of emergency or mishap or accident.
- Working time 1998: With respect to working time for employees this act has been formed. According to this law, specific working hours per week is set by the regulatory bodies and company needs to to practice the same. Because of this law company faces change in managing their work and so it needs to hire more people for same job role. However it has managed to do the same and hence the brand image of the company has developed.
A list of activities which comprise of general tasks, responsibilities, functions is referred to Job description. This helps the candidate to know about the series of tasks that he or she needs to perform while working on a particular job profile (CHUANG, C.H. and Liao H.U.I. 2010). This enables the company in determining the specification for employees so that appropriate and skilled employees are appointed in the organisation. Considering this below is the job description and job specification for recruiting receptionist in the hotel:
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Purpose of the post:
This position is liable for offering administrative and clerical support to the hotel. It is required to help the customers in fulfilling their wants and needs in an effective manner. Additionally it is needed to provide proper support to general managers in smooth and effective operation so that best services are offered to the customers.
- To greet and attend guests and meeting the customers need.
- To deal with the requirement made by clients and to make sure they are fulfilled as desired.
- To produce fast and accurate billing of the services made by guests.
- To ensure the cleanliness of of the front office every time .
- To command the reservation and cancellation of bookings.
- Pleasing personality
- Good dressing
- Ability to remain calm and composed when conflict arises.
- Capability to work without supervision.
- Effective administrative skills
- Sound interpersonal skills
- Good command over language
For recruiting candidates for the above mentioned job profile, the following specification is taken by Hilton hotel:
- Qualifications: GCSE standard English or equal to that. Bachelor degree in management or equivalent.
- Experience: At least 1 year working experience in hotel industry.
- Personal Characteristics: Ability to communicate in different languages, perform good in pressure also, develop sound working relationships, ability to work in a team, adaptable and self motivated.
The procedure of choosing the most skilled and competent candidate from the pool of candidates created in the recruitment stage, is referred as selection. This aids the company to develop a base of highly skilled employees to for effective achievement of business objectives. In this context, below is the detailed comparison of the selection processes of Hilton hotel with British Airways:
Selection process at Hilton
Selection process at British Airways
Hilton follows a definite process for selection to select the most desired candidate as it is giant hospitality firm. For this it adopts a 5 step procedure which starts with preliminary test where general information is taken and applicant form is filled. After that written test is conducted based on the field of candidate so that filtering can be done. Candidates who pass this goes for intellectual test where general aptitude and IQ is evaluated. Afterwards HR level interview is conducted in which references are checked and mental health of the candidate is seen. Then at the last stage the candidates who are finalised go for the final interview where salary negotiation is done and joining letter is offered to the most fit candidate (Storey J.,2014).
Contrary to Hilton hotel, British Airways follows more complex selection procedure. It consists of 6 stages which initiates with short-listing of resumes based upon skills and qualification of employees. After that group discussion is arranged to check mental state and thinking power. Afterwards, candidate is filtered and moves for panel interview in which field related questions are asked. Candidates who pass in this test then goes for simulation test where they are needed to handle real world scenario in a controlled environment. After this, HR interview is conducted and collection of key information of candidates is done to prepare a profile. On the basis of this, final interview is done and most skilled and top rankers are offered the job.
It has been analysed from this report that HRM has a vital role in increasing the efficiency and competency of the company. With the help of effective HR practices and policies skilled and talented employees are selected due to which the company is able to accomplish its long term objectives (Purce J. 2014). From this report it has been concluded that significance of HRM is crucial even in the service industry because in this industry , employees are mainly used for offering services and handling with the customers. Therefore need and importance of HRM is very high in the context of hospitality industry.
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