E1: Accurately describe the responsibilities covered by the human resources function in the business, showing a thorough unde

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Ami Asaka                                                                                                      

E1:  Accurately describe the responsibilities covered by the human resources function in the business, showing a thorough understanding of the importance of these resources to the business

Introduction

I am going to look at a tyre company called ‘Bridgestone’.  Bridgestone is a limited liability company based in Japan but who are expanding through out the world and therefore there are many employees working for this company about 110,000 in 2003.

The most valuable resource in business is its people, or human resources.  There is a direct relationship between the quality of the workforce and business success.  Human resource management used to be called personnel management which was a function limited to recruiting, selecting, rewarding, managing and developing employees and it meant that employees were costs to the business and had to be controlled and kept to a minimum.  

However things changed in the 1990s from personnel management to human resources and this approach has changed to support employees to fulfil their own needs and aspirations and to meet the objectives of the company.  Employees started to be recognized as resources and therefore this encouraged investment in training and development and other activities which increase the worth of these investments.  The human resources department is important because it manages one of the business’s most important and most expensive resources.  Bridgestone needs to employ and retain the right people for the smooth running of the organisation.

Human resources departments 

There are four main areas, which are;

  • Human Resource Planning – Businesses need to plan carefully to ensure they have the right numbers of employees and for this they need to understand the labour market in the areas where they operate.  There are some factors which need to be considered for human resources planning which are; local employment trends, local skills shortages, competition for employees and availability of labour.  This also involves looking at how labour is organized in the business.  Businesses must take account of labour turnover, sickness and accident rates, age, skills and training, and succession, when making decisions about their internal staffing.  It is important that the business runs smoothly and satisfies both business and employees.  The right planning of human resources affects the business and how it is operating.  It is necessary to identify the means of using people in the most effective way and to identify any problems which may occur and then solve the identified problem.  It is important to plan human resources because human resources is costly so depending on planning it will be decided whether the business works well or not and results in profits being made.

  • Recruitment and Selection – Bridgestone recruit staff for their growth, changing job roles within the business, filling vacancies created by resignation, retirement or dismissal and internal promotion.  As the business grows they need more people to work for them.  Any organisation needs to select the right people for the right jobs.  When someone leaves a company they need to recruit people for that vacancy from internal or external sources and to do so they want to have suitable employees.  They will have many processes to select people carefully.  It is important to recruit people because the company wants them to bring new ideas and these will be helpful to succeed the business.  The importance of selection is because suitable people for the organisation will be able to work efficiently and therefore the business runs better.  To select people carefully results in low labour turnover and therefore is less costly to Bridgestone.

  • Training and Development – Training includes all forms of planned learning experiences and activities designed to make positive changes to performance and other behaviour which include the acquisition of new knowledge, skills, beliefs, values and attitudes.  It is important for Bridgestone to train employees to improve their competitiveness and efficiency and for employees it is also important to be more health and safety conscious.  Development approaches the individual and employees’ motivation from a different side to that of training.  It is important because by helping individuals to develop themselves, they will be better able to help the organisation to meet its objectives.  Bridgestone provide many training and development programmes for employees because they have to use many technological machines and chemists to produce tyres.  If they train their staff well this will result in the business developing and expanding and producing better products and hopefully increased profits.

  • Performance Management – Organisations have always relied on the performance of the human resources to meet their objectives and profit targets.  The economy is built on intelligence and complex information and technology systems and therefore the employees have to interface directly with customers and they have to make decisions at every level within the organisation rather than waiting to be told what they should do.  Therefore in successful organizations, employees work towards helping organisation to meet their objectives.  It is necessary for organizations to develop systems and methods to manage employees’ performance more effectively.  It is important because if everyone knows when they perform well and not well, they could receive some training on their weakness.  In this way their performance level will improve and so the business will improve and there will be more chance to meet their objectives.  Also Bridgestone could make more profits by having a well rewarded and motivated staff.

Legal responsibilities

Legislation has been set up to protect employees in the organizations for them to work safely and be rewarded adequately.  Bridgestone have to work within the law because failure to company with labour legislation will lead to court cases, possible fines and adverse publicity.  Here are some of the laws Bridgestone must adhere to:

 

  • Equal Pay Act – It is to ensure that women receive the same pay as men for the same or similar work.  If the pay is not equal, women may stop working and therefore Bridgestone may not keep sufficient enough employees to meet their needs.

  • Sex Discrimination Act – This Act protects all employees irrespective of age or status whether they are full time or part time workers or they have a fixed or temporary contract.  It is unlawful to treat someone less favorably on the basis of his or her sex.  

  • Race Relations Act – It has some similarities to the Sex Discrimination Act so that they are often interpreted in the same way by industrial tribunals.  It is not a necessary requirement for a particular job to be a member of a particular racial group.  These include entertainers, actors, artist, waiters etc.

  • Disability Discrimination Act – This protects employees who are classified as disabled.  A person who has got a physical or mental impairment have long term effects on their ability to do everyday activities is termed disabled.

  • Equal Opportunities Act – This Act was introduced to treat any employees in an organisation fairly and have an equal chance to gain promotion or higher salary.

These legal responsibilities are important to treat all employees fairly.  Therefore Bridgestone can encourage employees to work better.

E2:  Explain how external labour market information is used to plan human resources within the business

Human resource planning is concerned with the recruitment, retention, utilisation, improvement and disposal of staff to meet the objectives of the organisation.  The human resource department needs to look at the skills and abilities of the current workforce and those which the organisation will need in the future.  Also it is necessary to look at the future objectives of the business and how the business will obtain and manage its human resources to meet these objectives.  In order to meet the organisation’s objectives successfully, it is important to identify the means of using people effectively.  To plan its human resources effectively Bridgestone has to undertake a lot of research.

The human resource planning process

Bridgestone have to take account of different of factors.  When planning their human resources, they have to know and understand what is happening now.  They should know organizational objectives and they have to make sure to analyze the staff numbers and age.  Also they need to think about wage rates, work loads, key skills, labour turnover and absenteeism.  The human resources plan is concerned with ways of matching up both supply and demand sides.

From the demand side, the organisation of labour will depend on the plans which the organisation has for the future.  Depending on their strategy and plans for expansion they may need to recruit more employees.  They could get information from the corporate business plan, implementation plans and estimates of future levels to analyse future plans or strategies of the organisation and the effect on human resources.   Then they can see the projection for human resources levels required in the future.  

From the supply side, Bridgestone must analyse the current human resources within the organisation and to do this they must look at personnel records, number of employees, age, length of service, qualifications, appraisal information, and professional development records will be needed to plan the future availability of staff.

 

Therefore they can see the potential supply of labour available to a business and they can match their current demands in an effective way.  Employers have to consider the supply and demand factor before recruiting staff because it can affect their approach to recruitment and the rewards they will offer.  This means the recruitment policies and human resource staff aims to assess the expectations of people wanting to join the organisation and adopt suitable methods of attraction, application and selection of new employees.  They estimate the advantage and disadvantage of human resources by matching the two up and therefore the human resources plan will include the development of the organisation, training and management development, recruitment, redundancy and redeployment, appraisal and job evaluation and promotion prospects.  They need to identify the human resources plan and how it should be carried out.

The external labour market

Each year some members of staff leave Bridgestone for a variety of reasons.  Those vacancies can be filled from the internal labour market by training and promoting staff to a higher post but not all of these vacancies may be refilled.  This leaves Bridgestone with a shortage in its requirement so the human resources department seeks to recruit new employees from the external market.  People from the external market will bring new ideas to their business to improve it and also help it be successful and so it is important to have some new employees regularly from the external labour market.  They may have to develop their business with new employees.   As they get the right people from external labour market, the organisation can match up demand and supply in the right way to meet the human resource planning.

Bridgestone need to know if they are able to find the right kind of people locally.  Depending on whether they can recruit relatively experienced staff at fairly low salaries and then invest in training or they can recruit people who have got sufficient skills and qualified, they make decisions.  If people have got the necessary skills and are qualified already, they need to offer a higher salary but they need less training and they may be able to work more efficiently and effectively from the beginning.

Bridgestone have to think about how much effort they have to spend on recruiting the right people.  A number of businesses may be competing to obtain the same people and there may be some local skills shortage.  If so, they have to consider their employment package for new employees.  However if supply exceeds demand, plenty of candidates may be available, wages will be lower, benefits may be reduced and selection methods may be used more carefully.  There are advantages and disadvantages when either demand or supply exceeds the other and so it is difficult to keep a balance to get the right people to employ.

Local employment

For many companies, the state of the local labour market is as important as what is happening nationally or regionally.  Bridgestone should know about the supply of labour where they are operating and also about the current and future supply trends.  The organisation needs to look at some statistics to understand the local supply conditions and the information provided by local employment offices and Job Centres which may have details of employment and unemployment figures looking at different genders, age, skill and working time for their particular area.  

The information that the organisation needs to know is local employment trends.  Local unemployment levels are useful to identify the availability of labour and they can see if it is easy or difficult to recruit people.  Another thing to be looked at is which organizations in a locality have been laying off workers, because if a company closes down or discards labour, it gives more opportunity to other organizations to employ more workers who have been laid off.  These people may have some useful kinds of skills so these may be useful to employ and Bridgestone may reduce their training for a particularly type of job.

In any area at some time, jobs will decline because the skills needed for these jobs are no longer needed.  However, as well as this happening, new skills and capabilities will also be required to ensure a well skilled work force is provided.  At times a high level of skill is required and this causes frustration for local employers.  If local shortages occur, employers will try to find people from other areas e.g. in other regions, from other countries.

Employment and unemployment Statistics

In Bridgestone, there are employees who work for different lengths of time, who are different ages, and who have different skills and training.  As the human resource department in the organisation wants to keep a balance of employees to cover if someone is leaving, they try to obtain the right people using their good understanding of local employment.  

“Bridgestone” is based in Tokyo in Japan so I looked at the web site “http//www.stat.go.jp” to find out the employment and unemployment levels for this organisation’s area.

  • The percentage (%) of unemployment (thousand) by age range and gender in Tokyo in Japan

More young people are unemployed in Tokyo so Bridgestone are able to recruit younger people.  Therefore those people can work for the long term so they do not need to recruit so often.  This means they need to provide training every few years to keep their skill levels up to date.

  • The percentage (%) of employees working full or part time  by gender in Tokyo Japan

More males have got full time job and only a few are doing part time job.  On the other hand females who have got full time jobs are slightly more than those who have got part time jobs.  So there are more people wanting to work full time than part time and this means Bridgestone can recruit people full time for the long term.  This means they have less employees but with more certainty to run their business with more stability because if there are more part time employees they may have to employ more people.

  • The number of employees with graduate levels of education in Tokyo in Japan

Bridgestone prefer people who have got a better education so nowadays they expect them to graduate from university with a degree.  They think if they graduate with a higher education they may learn better and they may have more knowledge on a particular subject.  In Japan normally if people go straight to university and graduate, when they graduate they are about 22 years old and if they do a degree course it takes  two more years.  Therefore they recruit more people about 25-34 years old.  This will be good for Bridgestone as they will have a well qualified young workforce who will work towards achieving the company’s objectives.  They should also stay with the company for some time so Bridgestone will have a workforce with the experience they need to achieve all their objectives.

E3:  Identify the features of key recruitment documents and describe the factors to considered when planning to fill a vacancy and carrying out interview

Bridgestone recruit new employees in April and sometimes during September or October.  They provide an application form on the internet so a person can apply for a job there or they can also ask Bridgestone to send them a written application form.  Bridgestone always show on the internet when they recruit employees a job description and other information about the company.   They also advertise in job recruitment magazines and candidates can phone or e-mail to ask them to send them some leaflets about Bridgestone.  If people go to Job Centre they can get information about Bridgestone.  Bridgestone do not advertise in newspapers because they do not recruit many people every year so they do not want too many people applying for jobs with them.

Internal promotion

Internal promotion gives opportunities for an employee to aim for something within the organisation rather than looking elsewhere.  If employees have a chance to be promoted, it may encourage them to work harder and better.  So there may be some opportunities for internal promotion in any good organisation like Bridgestone.  When one person is promoted, it is normally necessary to replace them and this means Bridgestone may need to recruit new people externally.

Filling vacancies created by resignation, retirement or dismissal

In all organisations people move on.  If they retire or hand in their notice or are dismissed these vacancies need to be filled.  When replacing employees, the manager who has got responsibility for recruitment has to decide what sort of people to recruit.  The manager has to consider and decide whether the firm wants a similar person like the previous job holder or whether the job has moved on, requiring new skills and competences.

Growth of the business

As Bridgestone has grown in size, it needs more people to work for them.  If existing jobs are expanded, the human resources department need to interview more people, advertise more, etc.  

Changing job roles with in the business

In recent years many businesses in the UK have changed their job structure particularly many routine and standardized jobs are in decline.  More employers have tried to develop new jobs involving information and communication technology and which involve ground level employees taking more responsibility for decision making through empowerment.  Developing new jobs needs a lot of research, often by examining best practice in the industry or by looking at the other countries’ development such as the USA.

The selection process for a job

From the employer’s point of view, first of all the need to recruit an extra member of staff is identified and a job description is created or the one already existing is updated.  The job specification is reviewed and revised.  Bridgestone design and place advertisements in appropriate media and then the job details and application forms are sent to applicants.  Once applications are sorted and a shortlist is drawn up, interview invitations are sent to shortlisted applicants and the interviews take place.  After that referees are invited to comment and if the references are satisfactory, a written job offer is sent and it is accepted.  Finally a written contract of employment is signed.

If people want to apply to Bridgestone for a job on their web site it will be done in following way.

Job description

After carrying out an analysis of what a job involves, a job description is prepared.  This tells applicants what is expected of them.  This contains general information such as job title and department plus main tasks to be performed, performance criteria and any special competencies required.  A job description for Bridgestone is included.

The person specification

The person specification shows in broad terms the skills, qualifications, abilities and personal qualities needed to perform a particular job as described in the job description.  The person specification will be the basis for the selection of the most suitable job applicant.  The person specification is not seen by the applicants but is used to award marks to interviewees during the interview process.

Planning how, when and where to advertise

Many organisations try to recruit by placing advertisements in appropriate news papers or magazines.  Most job advertisements are written by the Human Resource Department.  An advertisement has to reach those people who have the qualities to fill the vacancies.  Advertising can be time consuming, expensive and uncertain, but if they plan carefully it is possible to reduce costs.  Advertising can be done on the radio, in Job Centres, on the internet, in shop windows or in newspapers.  When Bridgestone create advertisements, they have to make sure that it include a job titles, job description, organisational activities and marketplace, location, salary expectation, address and contact details, qualifications needed, fringe benefits and organisational identity.  

Letters of application

Letters of application for jobs are very important and people should get this process right because not all people can get offered an interview due to too many applicants.  Therefore the organisation normally decides who they are going to interview by looking through their letters of application.  This will be done before interview so the employers cannot know what kind of people the applicant is so the only thing they can rely on is the letter of application.  The applicant can be the one the organisation want but if the letters of application does not show clearly who they are the organisation may think that is not the one they want.  

In the application letter they should include date, address, the reason for applying the job, the contribution the applicant can make through training and education, how they have developed their capabilities through training and education and the skill and knowledge they have acquired that would help to do the job well.  It is important to use good English with accurate spelling and their own words rather than simply copying from the advertisement.  Another thing is that they keep the paragraphs short and try not use ‘I’ too much it may be better.  Also it must be word processed unless it asks for a hand written letter.  If this letter is very effective, they will be asked to come for an interview.

The curriculum vitae

The curriculum vitae (CV) is a summary of the applicant’s career to date and there are three things to do when preparing the CV.  These are to assemble all the facts about themselves, draft the CV and edit the document several times.  It should create a favourable impression but it cannot be a lie and also it should be clear for the organisation to read and understand easily.  It is important to use a word processor with a clear font so it looks better than hand writing.

A CV should contain the applicant’s name, date of birth, address, telephone, e-mail address, education and training, qualifications, other relevant achievements, interests and references.  A CV is a career history so that it should not be too long and the applicants only need to include the important event.

The application form

This is a form that Bridgestone provide for the applicants to fill in. They will be asked for details such as work experience, salary, referees, and hobbies and interests.  Most application forms, particularly those for higher level jobs, will contain a mixture of closed and open-ended questions.  The form must not include questions which contravene employment laws.  An application form must make it clear where and to whom the completed form must be sent and give a closing date.  Selection must be objective and impartial and all applicants should be judged fairly on their own merits even if the candidates are internal people.  Therefore the application forms have to be designed carefully because it can make shortlisting procedures easier.  If the application form is judged highly the candidates will be asked to come for interview.

Shortlisting candidates

Once the organisation collects all the applications, the process of selection will start.  There may be quite large numbers of applicants therefore they have to shortlist the applicants to select the most suitable candidates.  The HRM will compare individual applicant’s applications with the person specification and then they will make a decision on candidates who will have an interview and who will be rejected.  Then they will send a letter to candidates who are rejected.  

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Interview

Selection interview is well organised in Bridgestone because Bridgestone is one of the best tyre companies in the world and they want to have better staff working for them.  It will be held at convenient time at convenient locations and also it will present to candidates a realistic picture of what the job entails and what working for the organisation would be like.  Bridgestone interview candidates to find our whether they are suitable for the job and the company so they will ask question which are based on candidates’ application forms or CVs to know more details ...

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