Professional Documents
Culture Documents
managers, the Group reaffirmed the tremendous value they place on their people and
repeatedly stressed that by focusing on employee morale, commitment and retention and
teamwork, customer and investor value would be maximised. This particular orientation led
to the identification of a set of key strategic thrusts, including becoming an employer of
choice and focusing on management succession.
The HR department in SNOW Mountain Hotel
In accordance with the key strategic thrusts mentioned above, the HR department in SNOW
Mountain Hotel has developed what they refer to as the vision, which is to be recognised
as an employer of choice in SNOW Village within the next 2 years. Linked to this goal is a
recruitment strategy that emphasises attitude (enshrined in the slogan we hire for attitude
and train for skill) and an attractive benefits programme.
Changes on the Horizon
As is the case for each unit within the SNOW Group, the SNOW Mountain Hotel had until
recently a dedicated on-site HR team typically consisting of an HR manager and an HR
coordinator to deal with paperwork and other HR administrators. In addition, a centralised
team in the USA handled payroll and a limited amount of administration relating to
recruitment, compensation and benefits. The parent organisation is now deciding whether
to centralise its HR activities in a shared service centre. It is hoped that doing so will
improve the overall quality of HR admin across the organisation while freeing up more time
for in-house staff to focus on strategic work as part of a move towards the implementation
of a new business partner model.
Differing Views on the Way Forward
Line managers would be expected to become more involved in day to day HR matters and
take on many of the responsibilities previously carried out by the on-site HR managers. The
HR department has expressed concerns about how this will be received by the line
managers. Up to now their attitude towards taking on more responsibility for HR work has
been rather negative, as can be seen in the following remark:
I am wasting so much of my time dealing with staff issues and problems. I am not
an HR manager and Ive got bigger priorities than looking at application forms and
preparing for interviews. Im already responsible for form-filling for absence and
holidays and for other activities like dealing with staff discipline and appraisals.
More than 40% of my time is taken up with HR-related work and I have no time to
run my own department!
This negativity has been reinforced by the general manager of the SNOW Hotel Group, a
known traditionalist who has been promoted through the ranks. While remaining a great
supporter of the value of HR to the business, he still holds the strong view that an in-house
HR team is the way forward:
I want my line managers to focus on running the business and making a profit and
my HR people to focus on the softer HR management and administration issue.
On the other hand, the HR Director has a different perspective and some forward-looking
ideas about how HR should support and contribute to the business. She is keen to promote
the business partner model of HRM across the SNOW Hotel Group and to ensure that HR
is fully engaged with all line managers. Drawing on her rich experience in implementing the
business partner model in her previous organisation, she wants to develop a change
agenda whereby: (i) HR is freed of its administrative burden so that it can concentrate on
value-added strategic activities; (ii) all HR managers have the necessary skills and
motivation to achieve business targets at no extra, if not reduced, costs; (iii) line managers
are given proper training to take on new HR responsibilities; and (iv) new technology is
introduced to enable the restructuring service systems and the devolution of greater
responsibility for people management to line managers.
A top priority for the HR Director is to consider how HR can improve its relationship with
business leaders and make its voice heard at board level in order to drive efficiencies and
business improvements whilst demonstrating their impact on bottom line performance and
productivity. She also believes that it is imperative for HR to start working closely with line
managers in order to offer them the support they need in the discharge of their new HR
responsibilities.
The HR department in SNOW Mountain Hotel finds itself at the crossroads, having to
grapple with the differing views and tensions emanating from the top. It is therefore crucial
that a final decision be made on the way forward as this will have far-reaching and longterm consequences for both the HR department and its parent organisation.
A Persistent Labour Turnover Cycle
Another problem which has preoccupied HR departments across the SNOW Hotel Group
and which now tops the agenda of the HR team and line managers in SNOW Mountain
Hotel is the high employee turnover. Factors contributing to this high turnover include the
following: staff residing in SNOW Village failing to cope with high housing and living costs;
low job satisfaction at the lower levels of the organisation; burnout during peak and
boredom during off-peak seasons; difficulty in achieving a work-life balance; and
perceptions of unrealistic corporate expectations.
Elaborating on this particular problem, the HR director has re-described it as a persistent
labour turnover cycle:
This cycle begins with a high labour turnover due to failure to maintain adequate
staffing levels, leaving existing staff overworked and creating the need for a
constant influx of new staff requiring attention and training. This forces managers
into a fire-fighting position where they are unable to delegate as much as they
would like and struggle to meet operational challenges, leading to high levels of
management turnover. This in turn triggers the need to hire new managers who try
to implement drastic changes in departmental priorities, causing increased stress
and turnover levels among staff ... and what we have here is a negative spiral with
an ever-increasing rate of turnover.
The Need for a Radical Rethink of the Recruitment and Selection Strategy
For the HR Director, this persistent turnover cycle is closely linked to the current recruitment
and selection strategy, which is mostly reactive and seems to be driven by the sole concern
of getting the numbers right in tackling seasonal fluctuations in demand levels. She
contends that recruitment and selection should not only be about getting the numbers right
but also about getting the right people in. According to her, there is need for a radical
rethink of the current recruitment and selection strategy that can effectively reverse the
labour turnover cycle in which the organisation seems to be locked:
We need a new recruitment and selection strategy that demonstrates forward
planning and breaks the turnover cycle that has plagued the SNOW Hotel Group.
After all, everyone at our last HR conference agreed that this is where we should
start if we are to convince management that we can add value to the business.
The new recruitment and selection strategy would have to emphasise flexibility,
commitment and creativity where new staff and managers would be able to adjust their
work patterns in line with the fluctuating demand levels that typify the resort industry;
display commitment-seeking behaviours characterised by a genuine interest in the job
advertised together with a potential for progressing their career within the organisation; and
indicate a positive attitude towards learning and teamwork as a means for creative solutions
that can deliver customer and shareholder value and generate enhanced organisational
performance and success in the longer term.
Since the adoption of new technology is high on the change agenda, the HR director is
keen to look into how this can aid the recruitment process to enable the constructive
profiling of potential recruits, enhance the organisations image as an employer of choice,
and tap into talent pools and professional communities that have so far been neglected.
Whilst addressing operational challenges that demand urgent attention, the HR director
believes that a new recruitment and selection strategy offers a unique opportunity for the
start of a close collaboration between HR and line managers dispelling in the process
doubts about the importance of devolving some of the HR responsibilities to the line and
about its positive impact at both departmental and organisational levels.
~~
Coursework Assignment
You have been hired as consultant to the HR team in SNOW Mountain Hotel. You are
required to write a report to advise the HR team on the way forward by addressing the key
HR issues and challenges arising from the new strategic orientation of its parent
organisation. Drawing upon and referencing relevant theories and models of HRM, your
report should include the following:
1. An explanation of the business partner model and the advantages and
disadvantages of using this model (600 words).
2. A critical appraisal of the use of shared service centres and the removal of on-site
HR professionals (600 words).
3. A critical examination of the practicality of devolving HR responsibilities to line
managers (600 words).
Use the following format when writing your report:
Table of Contents
Introduction (100 words)
Clear statement of purpose
Context of report (both theoretical and organisational)
Clear statement of proceedings (to provide a brief overview of the following
sections)
129 WORDS
This report will aim to advise the best human resources (HR) structure for Snow
Mountain going forward. This will be achieved by analysing and evaluating
existing HR strategies and structures against the suggested adoption of the
Business Partner Model (BPM). The information will be evaluated in terms of
financial and strategic gain using both theoretical and organisational context. It
will identify both internal and external driving factors for the new model,
advantages and potential disadvantages associated with implementation. The
report will constructively assess and critique the Business Partner model to be
adopted by Snow Mountain and in detail the use of a centralised shared service
centre and the devolution of HR responsibilities to line managers. Overall, it will
aim to evaluate whether the BPM is viable for Snow Mountain.
Employee champion: responsible for the personal aspect of HR, dealing with
employees, acknowledging concerns and balancing with organisational needs. Also
encompasses sharing information with employees.
HRM leader: serves as the leader of an organisations HR function. Key aspects include
deciding HR structure, credibility and keeping up to date with business information.
provide a general provision of low cost service and administration via high use of
technology to streamline and standardise processes (Ceridan, 2014)..
This role is characterized by high technology use, aiming to improve efficiency and
costings by automating routine processes. For example, business intranets as a way of
providing information efficiently and employee self-service; automation of the day to
day functions eg reporting sickness, approving holiday. Another example is online
training programs and learning and development centres, which can be outsourced to
external businesses for a set fee or set up and managed in house (Employment Studies
blog, 2000).
A main external driving factor for Snow Mountain is that HR staffing costs tend to be
significantly reduced, as traditional HR responsibilities are shared with line managers
and automated so smaller teams can be more productive. There is also savings on the
associated equipment cost for each, for example less computers needed or reducing
overheads such as accommodation (Personnel Today, 2008).
Another influential external driver for Snow Mountain is HR staff been based in a single
location means there is a central shared knowledge pool ensuring a standardised
approach to HR by allowing knowledge and situations to be easily shared and reducing
duplication of effort. This is likely to lead to improved quality and timeliness of service.
HR staff are freed from routine tasks such as approving leave requests so can focus on
more strategic objectives which should in turn, benefit the long term success of the
business (Leadership Foundation for HE, 2014).
Both above factors result in another theoretical advantage and external driver,
improved speed and quality of service to line managers and employees. This will aid
the transition of line managers adapting to the change in role and is likely to have an
impact on improving the job satisfaction of staff in dealing with HR (Personnel Today,
2008).
Another external driver is the increasing globalisation of the workplace. Multi national
companies such as Shell have adopted the shared services model because they need to
have uniform practices world wide; this is best achieved by having a shared vision at a
centralised base (Shell website, 2014).
Internal drivers for this change include high staff turnover, if HR is successfully
managed the recruitment and selection issues will be strategically tackled, resulting in
long term productivity and financial gains for the company and a growth in skills and
expertise.
Shared services links in with devolution of HR responsibilities to line managers,
discussed below. Centres would help to manage the change in roles by providing readily
available phone support. Perhaps most importantly, in house HR professionals would
have more time to strategically align HR with overall the business goals and those of
the parent company. Underlying issues eg recruitment and selection process would be
better aligned with Snow Mountains organisational goals.
However, some would argue, the strategic nature of this HR focus negates what HR is
all about people management; ensuring employee well-being by dealing with the
people issues their staff have essentially caring for staff. There is a loss of face to
face contact with HR which can be deemed impersonal. This can lead to staff been
demotivated so reducing their effectiveness. Another negative impact of this is that
local HR knowledge and expertise is lost, meaning it can seem daunting having a
process to follow to contact HR. Perhaps the most significant disadvantage of this
model is that line managers are required to have HR knowledge and, particularly in
Snow Mountains case it can be costly to provide the training that is required and
training costs can be ongoing (NHS Blog Report, 2014).
Losing the support provided by on site teams may be hard for line managers to adjust
to at first. However providing the benefits of this are explained thoroughly and
managers are provided with adequate training and support throughout the process, it is
likely to greatly benefit Snow Mountain.
A shared service centre would overall be financially beneficial for Snow Mountain and
providing the change in the role of HR is managed effectively, it could have positive
impacts of staff productivity and job satisfaction. If the service centre is in collaboration
with a HR manager and centre of expertise, it should benefit Snow Mountain to
implement the centre.
For example, with recruitment and selection, a line manager is more knowledgeable
than a HR member because due to knowledge of the job, the dynamics of current team
and because the line manager, involved as they are in the process, has a vested
interest in making the recruitment work.
HR issues are dealt with more efficiently between employee and manager and usually
with better context. Line managers are better placed to assess the appropriacy and
impact of leave requests on the department. They can more accurately monitor
sickness and employee performance which may impact on HR issues of performance
related pay etc.
Similarly, implementing organisational change is easier when managers are responsible
for HR, as they have greater influence over workforce. If managers feel responsible for
the HR issues of their team, they are likely to be committed to solving problems quickly.
In order to successfully implement this change, as mentioned before, managers will
need to see the value of this for them. Then full training, particularly in the legal
aspects would need to be provided so that any costly law suits/discrimination cases are
avoided.
A major problem would be persuading managerial staff that the devolution is the best
method moving forward due to the current negative attitude towards this. In order to
successfully combat this the benefits of the devolution specific to line managers will
need to be explained (Dalzeil & Strange, 2006). Risks associated with not having
managers full support are; reduced productivity, service and staff retention for both
lower level and managerial staff (CIPD Factsheet: Human Resource Management, 2014).
A significant disadvantage is line managers will need training in HR, to allow them to
manage the HR matter relating to their teams. This has implied costs and these are
likely to be ongoing. Another disadvantage is extra workload for line managers, having
to juggle operational alongside HR responsibilities often causes stress for managers. If
the relevant support and guidance isnt easily accessible it may cause detrimental
effect to wellbeing.
HR practices may not be implemented consistently throughout Snow Mountain. It is
recommended that HR keep track of situations and outcomes to ensure that all
managers are effectively implementing procedures, which can be time consuming
although this shouldnt need to be permanent.
Clearly, there are advantages to this process . But will it suit all personalities?
Human resources, is by its nature, a people orientated role that requires good people
skills. Can it be assumed that all managers have this? Particularly in technical/scientific
roles, long serving managers will have been recruited for their knowledge and HR will
never have been in the remit of the job and may not suit their personality type. Such
scenarios would need to be handled with care on a case by case basis. Hopefully this
would not be the case for Snow Mountain as good people skills are a pre-requisite in
this industry.
Weighting
10%
Quality of Introduction
10%
Evidence of research
and wider reading
30%
Merit:
Good Pass
Acceptable Pass
Poor:
55 64%
40 54%
Neat legible
presentation. Correct
spelling. Accurate
grammar and
punctuation. Meaning
clear and fluid with an
articulate academic
writing style.
Neat legible
presentation.
Occasional spelling
errors. Mainly
accurate grammar
and punctuation.
Coherent meaning
and fluent writing
style.
Neat presentation.
Frequent spelling
errors. Fairly accurate
grammar and
punctuation. Meaning
mostly clear and
adequate writing style.
Untidy presentation
and difficult to read.
Significant spelling
and grammatical
errors. Meaning
unclear in places.
Language lacks
fluency.
Demonstrates sound
knowledge of an
extensive range of
appropriate and
current literature.
Demonstrates good
knowledge of a
reasonable range of
appropriate and
current literature.
Demonstrates a
reasonable
knowledge of a limited
range of appropriate
literature.
30%
Quality of conclusion
10%
Referencing
10%
Critical approach to
the literature.
Thorough analysis of
key issues raised.
Arguments highly
developed to consider
the practical
implications of the
theories discussed.
Attempts to take a
critical approach to
the literature. Some
analysis of the key
issues raised.
Argument reasonably
well developed to
indicate generally
good understanding of
the practical
implications of the
theories discussed.
Approach to literature
mainly descriptive.
Limited analysis of the
key issues raised.
Arguments
underdeveloped but
demonstrates some
understanding of the
practical implications
of theories discussed.
Approach to literature
relies on description.
Inadequate level of
analysis of the key
issues raised.
Arguments are
incoherent and fail to
consider the practical
implications of the
theories discussed.
Identifies significant
points from preceding
discussion. Draws
together main threads
of argument. Makes a
concluding statement
based on these
arguments. No new
information
introduced.
Summarises main
points effectively. No
new information
introduced.
Adequate summary of
main points. No new
information
introduced.
Fails to summarise
main points.
Introduces new
information.
Literature is
accurately integrated
into the text. All
sources used are
correctly
acknowledged.
Harvard citation
method used.
Literature is mostly
integrated into the
text. Most sources are
correctly
acknowledged.
Harvard citation
method used.
Some literature is
integrated into the
text. Most sources are
acknowledged,
although some errors.
Harvard citation
method used but
inconsistencies.
Literature is not
integrated into the text
of not used. Sources
unacknowledged.
Harvard method not
used/used poorly.
Marker:
Programme:
Mark:
Criteria
Weighting
Merit:
65% and
above
Good
Pass: 55
64%
Acceptable:
40 55%
Poor:
Less than
40%
Overall
presentation
& style
10%
Merit
Good
Pass
Acceptable
Poor
Quality of
introduction
10%
Merit
Good
Pass
Acceptable
Poor
Evidence of
research
and wider
reading
30%
Merit
Good
Pass
Acceptable
Poor
Critical
analysis and
coherence of
argument
30%
Merit
Good
Pass
Acceptable
Poor
Quality of
conclusion
10%
Merit
Good
Pass
Acceptable
Poor
Referencing
10%
Merit
Good
Pass
Acceptable
Poor
Comments:
Mark