HRM REPORT SAMPLE 2023
1. Introduction
A) Key factors of the organization
The number of employees in Aldi was more than 33000 which is increased by about 35000 in 2020 (Aldi, 2021). Moreover, the size of Aldi is effective in the UK with 762 stores that target to increase 1000 by 2022 (Pyke & Rodger, 2018). The company has a high turnover rate of employees due to competitive salaries and effective leadership in the business.
B) Significance of HRM practice in ALDI
Aldi needs an efficient HRM model to recruit, retain employees for improving and enhancing the business capacity in the global market.
C) Report structure
The main purpose of the report is to evaluate the HR role in the perspectives of Ulrich’s model, evaluate HR methods and recommendations for improving HR models in Aldi.
2. HR Role in ALDI
A) Ulrich’s model of HR partnership in organization
The human resource management practice and actions add values to a business strategy that fulfil both organizations and business needs. The HR model of Ulrich defines four effective roles in human resource management such as strategic partners, administrative experts, change agents and employee champions in an organization (Harrop, 2017). The organization needs to focus on resource-intensive bureaucracy for improving value in business with developing an efficient workforce. Aldi needs to develop a strategic partnership with the retail supply chain including warehouse, logistics, and distribution and delivery partners in business.
Figure 1: Dave Ulrich’s HR role model
(Source: Kuimet, 2019)
On the other hand, Yusuf et al., (2017) have illustrated that the Ulrich model defines the three core competencies in an organization such as physical capital, organization capital and human capital that helps to increase competitive edge while maintaining effective sustainability in business. However, Aldi has collaborated with the ethical trade practice in business to implement the strategy of changing agents in the organization such as Slave-free of the alliance, amfori BSCI or Sedex for ethical data exchange among suppliers that drive continuous improvements in the retail business (Aldi, 2021). Moreover, the administrative experts of Aldi focus on fulfilling the individual and organizational needs with improving work culture and communication in the team. The effective leadership style of Aldi efficiently manages staff’ voice and provides opportunities to employees for continuous development opportunities and training.
B) Importance of Ulrich’s model in ALDI
The main reason for adopting the Ulrich model in Aldi is to explore strategic and operational developments and specify the HR roles in managing people and the process of the organization. The core importance of the HRM model is to manage external and internal factors of an organization for effective growth in the international market (Scott-Jackson & Mayo, 2017). The four external forces such as political, economic, social, and technological factors that influence business strategy include national tradition, culture, industry sectors and regulation or legislation (Kuimet, 2019). Moreover, the firms faced challenges to manage internal factors with reaching new heights, repetition, and the pace of work-life and workload management that reduce the pressure of workers and makes a flexible working environment.
Figure 2: Key role of HRM functions in the organization
(Source: Scott-Jackson & Mayo, 2017)
On the other hand, Aldi focused on technology advancements in retail sectors to increase employee productivity and remain competitive in the global market. As per the viewpoint of Nadiv et al., (2017), the HRM system has a direct impact on achieving organizational goals through the right talent recruitments, employee training, performance evaluation, rewarding, and motivation for effective contribution to work. Aldi implements an effective HR strategy with creating a friendly and cooperative workplace, offers employees a range of fantastic training courses that help in their personal and professional development.
C) VIE framework in evaluating the HR role in ALDI
Victor Vroom’s Expectancy theory is effective for implementing the HR model in the organization by setting connections between rewards and performance of the employees. These three core components of VIE frameworks as expectancy that refers to efforts instrumentally refers to performance and valence defines outcomes or rewards in the organization (Burns et l., 2018). However, the HRM system of Aldi always creates operating environments, develops extremely motivated employees to fulfil their needs in the workplace effectively.
Figure 3: VIE framework for ethical workplace practice in HRM
(Source: Osafo et al., 2021)
As per the viewpoint of Osafo et al. (2021), efficient HRM practice maintains the ethical approaches that create effective values, ensure utilization of creative ideas for valued outcomes in organizations performance. Aldi can use this framework for instant outcomes with improving employee retention rate, engaging ethical behaviours on their particular expression and efforts in the workplace. However, the rewards system and performance evaluation function of Aldi’ HR administrative plays an effective role to improve organizational productivity and profitability.
3. HR Methods
A) The 8-box model by Paul Boselie
The 8-box model of HR represents an organization’s internal and external factors that have immense power to control the utility of HR. The assessment of the HR controlling elements, mentions several external factors by the 8-box model that are market context, the context of market population, institutional context, and so on. Xu et al. (2018) said that a precise elaboration of HR external factors helps the industry to build up accuracy in input strategy for the future. In the present society, human resources are enhanced with accurate skill, ability, capability but in the workplace, certain deficiency ineffectiveness is visible frequently. When recruiting workers in an industry, the authority should mention the criteria or skills by analysing the future tasks, goals, and targets.
Figure 4: The 8-box model by Paul Boselie
(Source: Xu et al. 2018)
Due to overlooking the criteria of the workers, the abundant presence of quality employees cannot make any sense for Organisational success. Every day the impact of HR will be visible if the recruitment of human sources should proceed effectively by Aldi. The tagline of Aldi is to provide quality food every time at a low price which indicates that the human resource model should be more effective, the criteria can easily be fulfilled and customer satisfaction will not harm by any circumstance. The application of the HR 8 box model helped Aldi to generate success accurately.
B) Justification of adoption
There are some reasons for which this particular human resource model has been accepted for the further evaluation of managing and sourcing employees in the organization. This 8-box model by Paul Boselie is capable enough to manage the internal and external factors which manipulate the effectiveness of HR. There are many models of HR that are not effective enough to manipulate internal and external factors at the same time. The model being a grocery delivery store ALDI needs to manage its employees effectively. Because without proper management it is not possible to deliver all the items in a perfect time. And most of the war is done externally that’s why the 8-box model by Paul Boselie model of human resources can easily handle the employee management segment in this business. Kiakojouri et al. (2021) mentioned that on the other hand, this particular model properly looked after the HR of outcomes after incorporating a model. In that case, the management can easily identify the gaps and the requirements of the industry perfectly. This 8 box model by Paul Boselie particularly works on the external factors like institutional context, the context of market population, and the market contact as well. For its perfect use of external activities, it became the most popular and accepted human resource model by many organizations. It has been observed in the case of Aldi that it needs a proper HR model which can perfectly look after all these external activities of this business to deliver grocery items at a perfect time to the customers.
C) Evolution of the used framework
The base of the 8-box model by Paul Boselie is dependent on analysing the weaknesses of the human resource model. The model builds up its influential activities by including six different HR strategies. An organization visualizes future success at the time of recruiting capable workers in the workplace but from the perspective of the 8-box model the recruitment is the initial part and it has no connection with the future. Ye et al. (2021) stated that with proper training, skill, and discussion sessions, the skills can be built up over time. The Framework concerned the future external and internal elements of Aldi. The traditional format of the framework needs to be composed following the modern structure so precisely that the possibility of failure can be decreased. For that reason, in the future Aldi can discuss and run the model in their organization.
4. Conclusion and Recommendations
The industry that is investigated to improve its area of external activities is Aldi. If the industry incorporates an 8-box model of human resources it can easily pay some extra attention to external facilities of the industry like delivering the product context of market population and so on. On the other hand, this industry can easily improve the internal gaps as well by this particular model. For this reason, this model is recommended to mitigate all its problems with internal and external facilities. Being a large grocery industry that serves a large number of grocery products to all over the world it needs to have a well-managed employee managing and resource in the system in the industry.
Reference List
Aldi (2021).Our People. https://www.aldi.co.uk/about-aldi/corporate-responsibility/people
Aldi, (2021). Our partners. https://www.aldi.co.uk/about-aldi/corporate-responsibility/suppliers/partnerships
Burns, A. J., Roberts, T. L., Posey, C., Bennett, R. J., & Courtney, J. F. (2018)“Intentions to Comply Versus Intentions to Protect: A VIE Theory Approach to Understanding the Influence of Insiders’ Awareness of Organizational SETA Efforts,” Decision Sciences 49 (6): 1187-1228. https://doi.org/10.1111/deci.12304
Harrop, J. J. (2017). Assessment and recommendations for effective HR service delivery model implementation for organizations. Middle East Journal of Business, 12(1), 23-27. http://www.mejb.com/upgrade_flash/Jan2017/HR.pdf
Kiakojouri, F., Sheidaii, M. R., De Biagi, V., & Chiaia, B. (2021). Blast-induced progressive collapse of steel moment-resisting frames: Numerical studies and a framework for updating the alternate load path method. Engineering Structures, 242, 112541.https://www.researchgate.net/profile/Valerio-De-Biagi/publication/351824636_Blast-induced_progressive_collapse_of_steel_moment-resisting_frames_Numerical_studies_and_a_framework_for_updating_the_alternate_load_path_method/links/60b48b33a6fdcc1c66f44239/Blast-induced-progressive-collapse-of-steel-moment-resisting-frames-Numerical-studies-and-a-framework-for-updating-the-alternate-load-path-method.pdf
Kuimet, K. (2019). The Roles and Activities of Human Resource Managers: Empirical Results from Estonia based on Ulrich’s Human Resource Model. Research in Economics and Business: Central and Eastern Europe, 11(1). http://rebcee.eu/index.php/REB/article/viewFile/140/104
Nadiv, R., Raz, A., & Kuna, S. (2017). What a difference a role makes: Occupational and organizational characteristics related to the HR strategic role among human resource managers. Employee Relations. https://doi.org/10.1108/ER-08-2016-0160
Osafo, E., Paros, A. and Yawson, R.M., 2021. Valence–Instrumentality–Expectancy Model of Motivation as an Alternative Model for Examining Ethical Leadership Behaviors. SAGE Open, 11(2), p.21582440211021896.
Pyke.C, & Rodger.J (16 October 2018). Aldi supermarket has 14 secrets which makes it popular with shoppers. Leicestershirel Live. https://www.leicestermercury.co.uk/news/local-news/aldi-supermarket-secrets-1065524
Scott-Jackson, W., & Mayo, A. (2017). HR with purpose: Future models of HR. Oxford Strategic Consulting, 1(6), 1-77. https://www.researchgate.net/profile/William-Scott-Jackson-2/publication/315576210_HR_with_Purpose_Future_Models_of_HR/links/58d4ec91458515337851247d/HR-with-Purpose-Future-Models-of-HR.pdf
Xu, J., Wang, J., Hilker, N., Fallah-Shorshani, M., Saleh, M., Tu, R., … & Hatzopoulou, M. (2018). Comparing emission rates derived from a model with those estimated using a plume-based approach and quantifying the contribution of vehicle classes to on-road emissions and air quality. Journal of the Air & Waste Management Association, 68(11), 1159-1174.https://www.tandfonline.com/doi/pdf/10.1080/10962247.2018.1484395
Ye, Y., Liu, Y., Li, X., Wang, G., Zhou, Q., Chen, Q., … & Tang, H. (2021). An Evolutionary Analysis of B-Box Transcription Factors in Strawberry Reveals the Role of FaBBx28c1 in the Regulation of Flowering Time. International journal of molecular sciences, 22(21), 11766.https://www.mdpi.com/1422-0067/22/21/11766/pdf
Yusuf, R. M., Fidyawan, S., & Wekke, I. S. (2017). Ulrich model on practices of human resource strategic roles, 12(6), 1657-1661. https://doi.org/10.31227/osf.io/ysnu8
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