Managing Human Capital And Leadership
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Managing human capital and leadership in organisation plays vital role in successful growth of organisation. The human resource and leadership practices offers different type of strategies to HR professional in managing employees working efficiency within and organisation. The report will analyse the Human resource approaches and models used by Nando's for managing its employees functions. Nandocas is the eating house which has its restaurants across UK. It is specialized in poulet dishes which are served with herb and lemons, medium, hot or excess hot peri-peri marinades. It will evaluate the implementation of Warwick model of HRM and Guest Model of HRM with in the organisation to manage employees satisfaction. The report will outline the recruitment and section process used by the firm hire the best skilled and capable employees in order to serve customer satisfaction. Further, it will identify the approaches used by HR professional of business to manage employees functioning like, salary and wages, performance measurement, compensation, training, recruitment etc. Thus, the report will identify the motivational theories used by the restaurant to boost employees morale and their relationship with Hybrid theory of motivation.
HR models and approaches of Nando’s for managing human resources
Nando's is the eating house and has specialized in Poulet dishes which are offered with herbs and lemons medium, hot or excess hot peri-peri marinades. The eating house uses various Human resource management approach in order mange internal functioning as the motive of the firm is to be the one service best food and best beverage services. The organisation implements the use Guest Model of HRM. The model is used by the enterprise as it offers systematic functioning of Human resource functions which are as follows:
- HRM practices: It comprises the policies and practices for training, development and recruitment (Meredith Belbin, 2011). These practices of HR assist the management in delivering safe working environment to employees as it involves, labour laws, employment laws, working hours, minimum wage standard etc.
- HRM Outcomes: With the help of this the firm is able to provide the sense of commitment to its employees regarding job satisfaction. Further, HRM outcomes assist the professional in providing flexible working environment to workers which aims at protecting the interest of staff members.
- Behavioural Outcomes: It is focused on developing understanding with employee which is done by Nando's by cooperating with workers by providing them rewards and benefits to boost their morale. Understanding the behaviours and attitudes of employees is the best strategy which assist the eating house in increasing workers working efficiency (Saridakis, Lai and Cooper, 2017).
- Performance outcomes: The ultimate responsibility of HR professional in Eating house is to seek for innovation productivity and quality (Bamber and et.al., 2017). In order to manage productivity and innovation the management of Nando's is focused on recruiting, and training of staff members regularly. The performance of Nando's demonstrate that it spent 30 percent of gross on employer compensation.
- Finance: The HR professional of eating house is responsible for maintaining the appropriate record of profits, revenue and investment. It is the m foremost duty of the management to manage the flow of funds in order to conduct smooth flow of business operations.
Apart from this the functions of HR professional of eating house are partially related to Warwick model of human resource management which represents inner and outer context of HR practices, HRM content and the business strategies used by the firm to improve the working efficiency of employees (Models of Human resource management, 2015). The Warwick model of HRM is as follows:
- Outer context: In this the policies and practices of HR professional get influence with changes in political, social, economic and legal factors which are related to external environment of business. This comprise changes in employment law, recruitment and training legislation etc. The Eating house is focused on evaluating and implementing all the changes on time in order to avoid the chances of employee’s dissatisfaction.
- Inner Context: The inner function of HR professional of Nando's are focused on effectiveness of organisational culture structure, leadership, task and output. In this management of eating house in focused on discovering and improving the inner strength and working efficiency of workers by delivering staff a healthy and safe work environment.
- Business strategy: In this the Human resource professional of Nando's is focused on implementing strategies that assist the firm in accomplishing goals and objectives keeping in mind consumer satisfaction. In this strategy the Eating house is focused on innovation food items and services according to the consumer requirement which is the most effective way that assist the firm in staying the need sand wants of consumer with customer satisfaction.
- HRM Content: This comprise all the management of employees which assist the eating house in maintaining the work productivity of employees. The content includes, flow of information, employee satisfaction, growth and internal changes in functioning according to external environment. In HRM content of Nando's the HRM includes motivation of employees which is done by eating house by providing them rewards, paid leaves etc.
It is important for a company to opt for the strategies that can ultimately help in managing the resources in effective manner. Hence, to perform this function appropriately, there are various approaches that are used by Nando’s in its day to day functioning. It ultimately results in higher profits and sustainable business. Some of the approaches are:
Recruitment procedures: Administration in Nando’s have choice that whether they want to recruit people internally or externally. However, a balance between both the categories is maintained by the personnel (Van Dierendonck and et.al., 2016). The company have set up its worldwide online recruitment resource and appropriate advertisement is done for vacancy so that right kind of talent can be attracted towards the organization. Once the individual got hired for particular post, in that case, he / she become a member of Nandocas.
Development training: There are various types of training that is organized by the management of Nando’s. It includes, long term training, orientation, product training, skill training, on the job training, off the job training, self-learning, management development training and specific competence training. It is considered to be one of the most important approach used by Nando so as to maintain a set benchmark of delivering services to the stakeholders. Career development program is also organized by Nando’s so that adequate amount of opportunities can be give to the employees to enhance their existing knowledge and reach to next level of their job.
Salaries and Wages: Nando’s normally positions its wages as per the wages being offered by its rival companies. Employees are considered to have a significant space yet they add up to the operating cost of the organization as well. Hence, in that case, the overall costing helps in mapping that what portion of profits will be used by the management for extending rewards, benefits, preparation cost, training and development cost etc. Nandocas also gives 20% price reduction card and 28 days of paid vacations to its employees. Critically analysing the fact, some employees are not satisfied by its compensation policy (Chiang, Lemański and Birtch, 2017). In that case, giving appropriate benefits to the employees and understanding their requirements can help in better ratio of employee retention for longer duration.
360-degree feedback and survey procedure: feedbacks are collected from employees and customers so that continuous improvements in its offerings can be made by Nando’s. It also helps in receiving variety of suggestions from them so that relevant changes can be made in business models. Further, survey is considered to be an effective procedure at Nando’s it is easy to analyse the loopholes and take appropriate actions for the same (Buller and McEvoy, 2016).
Hence, in that scenario it can be assessed that the approaches of human resource management followed by Nando’s is effective enough. However, there are certain loopholes in its compensation plan which can be mitigate through effective planning.
Recruitment and selection in relation to strategic human resource initiatives
There are two recruitment process used by HR professional of Eating house that is internal and external. In accordance it has been determined that generally there is vacancy at cashiers and grilled department of eating house for which the firm follows the ongoing recruitment process (Daley, 2012). In accordance to conditions and requirement the professional of organisation implements the recruitment process which are as follows:
- First the eating house focuses on analysing vacancy and analysing need of manpower in particular department.
- In this step the firm focuses on evaluating the vacant position and its description in order to analyse the appropriate information about the vacant job profile.
- The professional plans a recruitment process in which the firm derives the effective source of recruitment that is
Internal: The Nando's focuses on recruiting people from internal department. This is called as promotion and demotion (Guest, 2011). In this process the firm aims at analysing performance of each and every employee which helps in determining the working efficiency of workers. Further, the HR professional analysis the base and capable employee who can assist the firm in internal recruitment. In this Nando's promote the cable working staff which assist the organisation in boosting employee morale and on the other hand in this process the professional of eating house also evaluates the dead staff in order to clear and recruit new manpower.
External: This is the most effective way of recruiting employees as with the help of this source the firm is able to hire new and more skilled and cable employees according to job requirement (Jiang and et.al., 2012). The recruitment functioning of Nando's is basically focused in hiring people through external source. The eating house believes in making innovation and therefore it aims at hiring new employee which can assist the firm in making innovation in services. In this process the firm focuses on recruiting worldwide talent therefore it focuses on online recruitment resources where the firm advertise about the job vacancy on its website to attract global skilled unemployed people. Further, the professional recruits the person who are recommended by the already working employees. In addition, the firm enables advertising on local media channels to attract domestic unemployed people.
- In this the Eating houses focused on selecting candidates who have applied for the job. For this purpose the Nandocas selects the professional committee to analyse the best candidate according to job specification. In this process the professional is expertise and is the person who understand the job vacancy where the person is responsible for recognising the best skill's and talent for the job. The selection process of Nando's is simple as the firm at providing job opportunities to all skilled people.
- The last step is recruitment plan where the company analyses the skills of candidate through practical analysis in this the firm aims at testing skills and talent of people selected for recruitment (Johns, 2010). It comprises all the processing that is written sent, medical, physical test, communication skills, kitchen skills and management skills. This is the major and last step of recruitment because in this after all the testing the person is finally recruited foe the specific job.
Recommendation to improve process
In accordance to recruitment ans selection process of Eating house it can be recommended that the enterprise should focus on the following factors such as:
- Nando's can focus on adding more job details at the time of advertising.
- The firm should use social media channels to promote awareness about the job vacancy across the globe.
- Internet is most effective tool of communicating with people worldwide therefore like the firm advertise about job vacancy on its official website. It can ever advertise on other websites who have the most traffic.
- The firm should make is recruitment process lenient but authentic in order to attract efficient employees.
Approaches to Human resource development and ways to improve.
The human resource development aim of the organisation is to recruit and place right number of employees at right position. In this the enterprise ensures that there is right number of manpower according skills and capabilities required for job function (Mithas, Ramasubbu and Sambamurthy, 2011). The human resource planning of Eating house is focused on growth and development of business. The Nando's restaurant HR professionals implements the use of following approaches that is:
Strategic HR framework approach
This approach is the business strategy which assists the management in recruiting staff and developing staff in order to analyse organisational capabilities to attain goals and objectives. In this the firm is focused on training employees in manner to enhance their working efficiency and capabilities to perform task as it is the most effective way for accomplishing goals on time (Gruman and Saks, 2011). In this the enterprise implements the use of Human resource practices and policies which assist in firm in carrying out systematic training and development process of staff members. In this approach the firm ensures that rights of employees are not exploited at any level of development because it is the factor which aid in improving working efficiency of workers and boosting employee morale.
Integrative Framework approach
This approach is proposed by Yeung and Berman in 1997 which states that human resource development of organisation is based on 3 practices that is enhancement of organisational capabilities, serving worker satisfaction and improving customer base and serving satisfaction by regularly analysing their needs and wants. In accordance to this it has been analysed that Nando's is focused on enhancement of its services like, there were 214 eating houses in 2009 in United Kingdom and according to scenario it was determined that at that moment of time there was the need of 840 eating houses in twelve months. This clearly denotes the organisation capabilities of performing satisfactory functions. However, it is important for the firm to grab opportunities to improve its capabilities, Further, the HR professional of Eating house is focused on serving employees satisfaction as ten enterprise offers flexible working house, healthy and safe working environment, 28 days paid leaves annually and follows all the ethical practices which aims at protecting the interest of employees. Apart from this the customer satisfactory is demonstrated by the increasing demand of restaurants across UK. Therefore, in accordance to all these factor it has been analysed that the firm makes effective use of integrative framework approach.
Apparently, the firm implements the use of every possible technique to develop its manpower in order to increase working efficiency of employee in attain organisational goals and objectives. The Development plan of Nando's involves long term training in which the professional aims at making employees determine companies vision mission and values which assist the firm in establishing basic working practices for workers. In this training the firm focuses on providing basic working training which is required at all the level of organisational functions. In addition, the restaurant aims at providing specific product training to its employees in which the management aims at enhancing the skills and capabilities of innovation companies essential food products. The company is focused on product training because the profits and reputation of the company are based on its food products therefore it is important for the staff to know about the basic items offered by restaurant. The effectiveness of development training is measured with the help of 360 degree feedback in which the professional sets the performance benchmark for all employees on the basis of which performance is measured and appraisal are decided. It is most effective which is used by Nando's to serve employee satisfaction and to increase working efficiency.
Hence, in accordance to human resource development approaches, it has been determined that the development practices of Nando's are effective and assist the enterprise in improving workers performance and understanding organisation capabilities but on the other there are various other HR approaches which can assist restaurant in its Human resource development like, the firm can implement the use of Human capital appraisal approach as in this the development functions are divided into 5 stages that is, clarification stage where the professional of business aims at recognizing opportunities and making employees understand their benefits and limitation (Terziovski, 2010). Assessment stage, in this stage the firm analyse the development of organisation and employees. In this stage Kando's can set measure under which the employees have to work in order to attain goals and objectives. Then comes the design stage in which the firm can focuses on implementing stages to attain goals, it is best step which can be implemented in restaurant to enhance the working of manpower. The fourth is implementation stage where Kando's can implement strategies of developing employees like training, conferences etc. It is the effective step which assist the employees in learning more about the firm and its practices. Lastly, monitoring stage in which the enterprise monitors the practices of employees after training. It is the step which aid in evaluating effectiveness of development plan. Hence, in accordance to this approach it has been denoted that it is important for the firm to implement use of various effective HRM, approach to increase working efficiency and effectiveness of employees.
The classical theories of motivation
Nando's is focused on boosting its employees morale and it is denoted by the compensation. Almost 30 percent of gross annual income of restaurant is contributed by the organisation to compensation. This assist the firm in deriving goodwill ad serving employee satisfaction. Apart from this, the enterprise has implemented the use of Maslow's theory of motivation in which the firm is focused on fulfilling the basic needs of employees in order to improve their working efficiency (Chelladurai and Kerwin, 2017). The theory of motivation in Nando's is as follows:
- Psychological needs: In this type of needs the restaurant professional are focused on fulfilling needs of employees which are, food by providing pantry, safe drinking water and providing care and medical aid services to protect the interest of employees.
- Healthy and safe working environment: The firm provides safe working condition to its all employees and when working at hazardous location the company provides tools to workers which will assist the preventing accidents (Marchington and et.al., 2016).
- Respect: It is another factors which assist the firm in boosting employee morale there the HR professional aims at providing equal working condition for workers which assist the employees in gaining respect from all colleagues which assist the management in protecting self esteem of workers.
- Formal and informal relationship: Nando's aims at maintaining formal and informal both type of relationship with its employees which assists the management in motivating employees which aid in increasing working efficiency and productivity (Arifin, 2014).
- Self determination: In this the firm focuses on providing training and development to employees which assist them in increasing their working efficiency and is beneficial in increasing their determination for working.
Apparently, Hertzberg theory of motivation assist the restaurant in maintaining motivation and hygiene factors hand in hand It is implemented in the organisation as it is based on the positive and negative feeling of workers which assist the firm in determining the right and wrong of the situation.
- Motivational Factor: In this the, HR professional of the firm is focused on fulfilling the basic requirement of employees (Tyson, 2014). Moreover, in this the restaurant aims at enhancing the analytical and working skills of employees by providing them various growth opportunities. It is the motivation technique which is beneficial in boosting employee morale.
- Hygiene Factors: This is based on monetary and monetary appreciation of employees. In this the firm emphasize on boosting employees by rewarding them incentive, potion, bonus etc. (Al-Tameemi, and Alshawi, 2014.) Monetary and non monetary benefits is the most common and effective strategy which assist the Nando's in boosting workers morale and working efficiency.
Proposal of hybrid theory which combine the most meaningful characteristics of all motivation theories
The concept of hybrid theory states that it is important for the firm to manage motivation of employees but it is not necessary that company will manage the functioning by implementing motivation theory. The firm can make use of concept of both the theories that is protecting the interest of employee by providing them benefits and by establishing equal working conditions to boost their morale but on the other hand it is necessary for the firm to understand the analytical view point of organisation and it can focus on implementing strategies which aims t getting work done from employees. In accordance to this it is important for the firm to provide adequate and safe working condition to boost employee morale for working but the firm cannot offer different type of services to every employee.
Characteristics of effective leader and its justification.
Nando's HR manager holds the effective characteristics of leaders which assist the firm in managing manpower functions effectively. It is important for the management to have leadership characteristic to manage internal functioning of company smoothly. Further, the effectiveness of leader in Nando's is demonstrated by its clear structure. The functions of organisation are formulated systematically in order to avoid the chance of mismanagement and confusion which can lead to dissatisfaction of employees. The leader in of enterprise is focused on serving employees and customer satisfaction by implementing various new strategies which is most effectiveness way that denotes the appropriate functioning of organisation. Furthermore, the ultimate motive of restaurant is to become only one offering the best food services across the globe which demonstrate its determination to attain growth. In accordance to this mission it is important for the leader to manage all the employee problems at initial level to reduce the chance of conflicts. The conflicts resolving technique of the leader demonstrate the communication skills of person which is most effective and necessary toll for the successful business operations. Apart from this, positive attitude and commitment towards the companies goals and objectives is another technique which denotes the effectiveness of leader.
Thus, in accordance, it can be justified that it is important for the organisational leader to be effective because the person is responsible for managing employee's relationship which plays crucial role in improving effectiveness of business operations (Burke and El-Kot, 2014). Moreover, the working efficiency of leader is important for the business functions because it assists the firm in making challenging assumption which is the best strategy which helps the enterprise in dealing with uncertainties. The leadership characteristics is the best trait for the restaurant as it assist the firm in determining profitable opportunities' ad making employees working according to terms ad conditions set by organisation.
The report summarized HR models and approaches implemented by HR professional of Nando's eating house to enhance the working efficiency of employee. It evaluated the firm implements the used of Guest model and Warwick model of HRM as it comprise all the aspect of managing manpower within the organisation. The company aims at serving employee and customer self-satisfaction due to which it is focused on its recruitment process, wages, salary, compensation, training practices. The ultimate mission of the firm to become the one and only market leader due to which the professional implements the use of 360 degree feedback method which assist the firm in evaluating workers performance by setting benchmark in context to restaurant goals ad objectives. Moreover, the report outlined the motivation theories of Maslow and Hertzberg which are focused on boosting employees morale and are used by Nando's eating house to enhance the working spirit of employees. Apparently, it evaluates the Proposal of hybrid theory which holds the characteristics of other two motivational theories which being already implemented in an organisation. Thus, the report will conclude with the effectiveness of leadership which assist the enterprise in managing employees work and relationships.
Books and journals
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