This report has been written in order to show how successfully the company - 'Boots' is in running its human resources department in order to meet its business objectives.

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Introduction

This report has been written in order to show how successfully the company - 'Boots' is in running its human resources department in order to meet its business objectives. The report has been divided into four parts to ensure a comprehensive coverage of Boots has been researched and also to give the report a main structure of the human resources departments. Part 2 will be discussed in depth.

Part 1 = Planning

Part 2 = Recruitment & Selection

Part 3 = Training & Development

Part 4 = Performance Management

This unit provides an insight into how businesses recruit and manage their human resources. It shows that if businesses are to achieve their objectives, they must plan their human resource function so that they have the right number of employees with the appropriate qualifications and training to meet the needs of the business.

Successful human resource management requires that a business takes account of changes in the labour market and employment legislation to keep its employees motivated, to monitor their performance and to help them continuously develop through additional training.

What is Human Resource Management?

Human resource management includes a variety of activities. There are many key factors for any large organisation to focus on such as the following:

? What staffing needs to have and whether to use independent contractors or hire employees to fill these needs

? Recruiting and training the best employees, ensuring they are high performers

? Dealing with performance issues and ensuring its personnel and management practices conform to various regulations.

For the organisation activities also include managing its approach to employee benefits and compensation, employee records and personnel policies. Usually new business owners have to carry out these activities themselves because they can't yet afford part or full-time help. However, they should always ensure that employees have and are aware of personnel policies, which conform to current regulations. These policies are often in the form employee manuals, which all employees have.

Staff are a major resource in any business. This is particularly true in a business like Boots, which has a very large amount of employees and which provides a range of services to its customers.

Managing human resources effectively is vital to Boots for several reasons:

? The business needs to employ the right number of staff. If it has too many employees it is not cost effective and if it has too few then it will not be able to carry out all of its work

? The business needs to have a stable workforce. It is costly and inefficient if there is a high labour turnover of staff

? The business needs to recruit the most appropriate staff for vacancies

? The business must make sure its staff are properly trained in order to carry out their work in the most effective way

? The business has to abide by laws and regulations concerning its staff or it could face prosecution or difficulties later

? Motivated staff work better than demotivated staff

? Pay levels should be appropriate. Paying too much is costly, but paying below the minimum wage is demotivating.

Who is responsible for Human Resource Management?

In Boots each manager takes it upon themselves to contribute to the overall responsibility of the way the Human Resources is managed. In many ways it is upto a department that is known as the personnel, which ensures the employees of Boots are well trained and motivated enough to carry out each task as efficiently as possible.

There are a number of problems Boots may face when planning how to use its personnel:

? Problems with predicting the behaviour of people. Boots may have filled a position, but after being appointed the individual may decide he/she does not want the job. This could mean another costly and time-consuming series of interviews for the company.

? Problems with predicting external events. Sometimes it is difficult to predict exactly how many employees are required. For example, the opening up of the former communist countries to trade from the West in the early 1990s would have meant changing plans for businesses aiming to break into these markets. It is likely that employees with knowledge of the business and language of these countries would have been in demand.

? Planning has to be constantly monitored. It is unwise for Boots to plan its human resource needs and not alter them in the light of changing events. Planning has to be checked, revised and updated as other factors change.

? Human resource planning must be well thought out or it is likely to lead to industrial relations problems. Cuts in the workforce or wage reductions that are not negotiated could, as mentioned earlier, affect employees' motivation and could lead to industrial action.

Human Resource Planning

Boots have to plan carefully to ensure they have the right number of suitable employees for their needs. To do this they need a good understanding of the labour market in the areas where the company's branches operate. Boots consider the effects of the following labour market factors for their human resources planning:

? Local employment trends

? Local skills shortages

? Competition for employees

? Availability of labour.

Human resources planning also involves looking at how labour is organised within Boots. Boots take account of a range of factors when making decisions about their internal staffing. The factors include:

? Labour turnover (stability index wastage rate)

? Sickness and accident rates

? Age, skills and training

? Succession.

The stages in the Human Resources Planning process

SUPPLY SIDE DEMAND SIDE

MATCHING DEMAND AND SUPPLY

Analysis of current human resources within the organisation

Analysis of future plans/strategies of the organisation and the effect on human resource

Success of information

Personnel records, numbers employed, grade/level, age, length of service, qualifications/competences, appraisal information, continuing professional development record

Success of information

Corporate business plan, implementation plans, estimates of future activity levels

Plan of future availability of staff

Projection of human resource levels required in the future

Examination of how these two projections match up

Forecast of human resource surplus/deficit

Examination of alternative policies to meet identified human resource match up

Recruitment, training/professional development of current staff, transfer, termination

Identification of the HRM plan, selection of the best policy and an indication of how it should be implemented

Demand side

Boots' demand for labour will depend on the plans the company has for the future, in particular the big plans, what many businesses refer to as 'strategic plans'. For example, a company may decide to increase its market share quickly and to do this it must review its competition. It may find that to be as good if not better than its competitors it could open a great deal more branches around the UK. This expansion would be the company's strategic plan. In order to support this expansion the company would need to recruit many more employees.
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Forecasting the demand for human resources

Boots's demand for human resources must be estimated by analysing its future plans and by estimating the levels of activity within the business.

There are two main ways of forecasting demand:

Management estimates

Managers of any business may be asked to forecast their staff requirements. They will do this on the basis of past, present and likely future requirements.

Work-study techniques

Over the years much work has gone into work-study. Work-study specialists work out how long various jobs take using available machinery and equipment. Provided they ...

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