Human Resource Management - 30 marks

Read the case study and answer ALL the questions that follow: Walmart's HRM: Recruitment, Selection, Employee Retention Walmart's human resource management uses recruitment, selection and relention approaches to optimize HR capacity. Waimart's human resource management addresses recruitment needs using different recruitment sources and methods suited to different positions in the organization. The company also uses relail industry-specific criteria in its selection process. To optimize employee relention, Walmart's human resource management strategy includes a continualy evolving compensation program, together with employee-relations management and career development. The fimis HR managers also use other approaches to improve morale and motivation in the workforce. Through this combination of approaches and strategies to address business needs in recruitment, selection and relention, Walmart's human resource management effectively maintains adequate human resources to support the firm current retail operations and planned future global expansion. Waimart Recruitment Practices Recruitment Sources. Walmarts human resource management uses internal and extemal recruiment sources for various positions. The use of internal recruitment sources focuses on cumrent employees to fill open or new positions at Waimart External recruitment sources have the benefit of accessing the labour market to address the human resource management objectives of the firm. This combination helps ensure that Waimatt is flexble enough in satisfying its HR needs. Walmart's uses different types of intemal recruitment sources. The following are the most significant in the company: 1. Current employees 2 Trainees 1. Transfers Current employees are a recruitment source especially for supervisory and managerial positons. For example, Waimart's human resource management supports the promotion of hourly sales employees to managerial positions. About 70% of the company's managers started as hourly sales employees and were promoted to their current positions. Waimert uses current employees as the biggest internal recruitment source. The companys human resource management also uses onthe-job trainees as an internal recruitment source. There is only a small population of trainees working for Waimart, such as in positions in sales and marketing. Occasionally, the firm absorbs trainees in the positions for which they trained. This approach has the advantage of minimizing additional human resource management spending and ensuring person-iob fit. In addition, transfers are used to temporarily fill positions at Walmart, based on current short-term HR needs. In this human resource management approach to recruitment, some current employees are transferred to other positons or locations to fill gaps in the workforce. Walmart sometimes uses transfers to satisfy high HR needs during Black Friday- Waimart's human resource management uses various extemal recrultment sources. The following are the most significant for the firm: 1. Respondents to job advertisements 2. Campuses 3. Previous applicants Respondents to job advertisements are the biggest extemal recruitment source used at Walmart. The company's website is the main human resource management portal for this recrultment source. Job openings are regularty posted on Waimart's corporate website for interested applicants. This recruitment source has the beneft of minimizing costs in reaching applicants. In addition, the firm's human resource management has recently emphasized campuses as a significant external recruitment source. In particular, American Public University (APU) entered an agreement with Walmart to give academic credits to the company's employees, based on duration of employment and performance reviews. This strategy promotes APU, while atso improving Waimart's human resource management ability to reach out to APU students interested in working at the company. Thus, this extemal recruitment source increases the firm's reach into the labor market. Previous applicants are a less significant extemal recruitment source used at Walmart. The company's human resource management objective in using this source is to maximize cost-effectiveness of recruitment. Many of these previous applicants were already evaluated but were not hired or did not pursue employment at Walmart. Thus, in using previous applicants as an extemal recruitment source, the company does not need to perform another extensive evaluation of these workers, thereby helping to maximize the cost-effectiveness of human resource management. Recruitment Methods. Based on the recruitment sources used at Waimart, the corresponding recruitment methods are direct and indirect. In using direct methods, the company directly contacts prospective employees. For example, Waimart occasionally recruits atthrough campuses. The firm's human resource management contacts students who might be interested to apply for job openings. The benefit of this method is that it allows Waimart to speed up the recritment process instead of waiting for applicants. The method also enables the company to apply certain criteria in selecting students to contact. For example, representatives of Waimart's human resource management can contact students in business-related degree programs for supervisory or managenial job openings. However, the direct method of recrutment is disadvantageous because it limits the population of potential recruits. In using indirect methods of recruitment, Walmart's human rescurce management cojective is to reach out to a larger population of workers. These methods include advertisements on the company's website and on other media. Indirect methods of recruitment provide the majority of Waimart's human resources. These advertisements have a global reach. thereby prowiding large-scale support for the company's HR needs. Also, indirect methods can be cost-effective. In using its corporate website for the job advertisements, Waimart minimizes human resource management costs in the aspect of recruitment. Selection Process at Walmart Selection Criteria. Walmart's selection criteria depend on the job position. Basic criteria include education and training background and results of criminal background checks. For hoully sales positions, Walmart uses knowledge retention (e.g. on product details) and interpersonal skils. Interpersonal skills are essential for these positions because sales personnel directly communicate with customers. Walmart's human resource management also uses analytical and problem-solving abilites and conflict management skils for supervisory and managerial positions. Supervisors and managers are expected to analyze and solve problems, and resolve conficts in the workplace. Methods \& Techniques. Walmarts human resource management uses structured interviews and job knowledge evaluation for most job positions in the organization. Structured interviews are used to determine details like the applicant's perspective and expectations about Walmart. This information determines the person-job and person-organization fit. Waimart also uses personality tests and situational judgment tests for many positions, although these tests are typically used for managerial positions, especially for positions in human resource management, finanoe and others. Personality tests help in deciding whether the applicant could function well in the context of the company's culture and nature of business. Situational judgment tests determine analytical and problem-solving abilties. These different lests ensure a comprehensive human resource management approach for the selection of workers throughout the global structure of Walmart. Waimart's Employee Retention Programs Employee retention is a critical concem for Waimart because the company suffers from relatively high tumover, especially among hourly sales employees. To address this situation, the company's human resource management uses the following retention strategies: 1. Recognition 2. Bonuses 3. Training and development 4. Promotions 5. Academic credit Walmart gives non-financial recognition for excellent employees, such as top-performing employees in each store. Bonuses are based on business performance, although this strategy is usually used for managerial positions. Walmart's human resource management includes promotions and training \& development to support the company's HR needs and increase employee morale. The company promotes hourly sales employees to supervisory, then to managerial positions. The firm's agreement with American Public University to give academic credit for work experience at Walmart is a longterm retention strategy for employees pursuing a career to climb the company's corporate ladder. QUESTION 1 (15 Marks) According to the case study, Walmart's human resource management uses recruitment, selection and retention approaches to optimise HR capacity. In light of this statement and application of relevant literature, critically evaluate the significance of these three Human Resource functions in acquisition and retention of competent employees. Apply appropriate examples from the case study. QUESTION 2 (15 Marks) With reference to the HR functions discussed in the case study, critically evaluate ANY FIVE competencies, which Human Resource professionals require to effectively execute these functions. Briefly advise Walmart HR professionals on how they can acquire these competencies