Name: Ameen Abu Musleh

Student Number

Extended Diploma in Strategic Management and Leadership

Strategic Human Resource Management

UNDERSTANDING THE THEORETICAL AND PRACTICAL ASPECTS OF HUMAN
RESOURCE MANAGEMENT IN AN ORGANISATION

Submitted by:
Ameen Abu Musleh

Registration No:

Assessor Name: Dr. Iman Rabah

Due Date of Submission: 14th January 2016
Today’s Date: 10th January 2016

Cornerstone College of International Studies (CCIS)

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Table of Content
Section Content Page
Introduction 3
Information about the organization 3-4
Task 1
1.1 Explain the importance of Strategic Human Resource Management. 4
1.2 Assess the purpose of strategic human resource management activities in an 5
organization
1.3 Evaluate the contribution of strategic human resource management to the achievement 6
of organizations objectives.
Task 2
2.1 Analyze the business factors that underpin human resource planning in an organization. 7
2.2 Assess the human resource requirements in a given situation. 7-8
2.3 Develop a human resources plan for an organization. 9
2.4 Critically evaluate how a human resources plan can contribute to meeting organizations 9
Objectives.
Task 3
3.1 Explain the purpose of human resource management policies in your organization. 10
3,2 Analyze the impact of regulatory requirements on human resource policies in your 11
organization.
Task 4
4.1 Analyse the impact of an organisation structure on the management of human resources. 12
4.2 Analyse the impact of an organisational culture on the management of human resources. 13
4.3 Examine how the effectiveness of human resource management is monitored in an 13
organisation.
4.4 Make justified recommendations to improve the effectiveness of human resources 14
management in an organisation.
Conclusion 14
References 15
Student Declaration form 16

Introduction
Implementing the modern human resource strategies and then developing it, is the
basic purpose behind strategic human resource management. Most of the top organizations
generally integrate these SHRM strategies with their business strategies so that they could
achieve the organizational goals in a shared vision. According to the study of Armstrong, it is
the process by which integration of the crucial functions linked with human resources of an
organization is possible with the strategic organizational objectives. This particular assignment
is based on the strategic human resource management of a leading company well-known as

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Virgin megastore. In other words, it is the real capital that a firm holds, because these capitals
facilitate the achievement of that firm towards its goals as well as it also reflects innovative
ideas during the change management associated with the total business procedures
(Armstrong, 2006). To facilitate achievements on the basis of organizational objectives, it is
quite necessary for a company to utilise the human resources up to the optimum level which is
possible only by the implementation of strong HRM strategies. Fundamentally stating, HRM is
the combination of 5 core functions and it is the responsibility of the HR manager of that
corresponding organization to increase efficiency and effectiveness at the workplace
(Armstrong & Taylor, 2014).

Information about the organization

Azadea Group is eminent in the field of lifestyle retail organizations as it owns over fifty
top international franchises all over North Africa and especially in the Middle Eastern regions
(Azadea Group, 2016). The company was founded in 1978 and till now this organization has
owned the leading chain of stores including top international brands of multimedia companies,
sports brand, home furnishing companies, food and beverage productions and fashion as well
as accessories related franchises (Kaufman, 2012). The company has more than 12,000
employees with top-level infrastructure and it owns over six hundred stores all over thirteen
different nations, like- United Arab Emirates, Algeria, Egypt, Iraq, Qatar, Jordan, Kuwait and
many others. Wassim Daher first started the company with a small store of clothing in Lebanon,
Beirut on the Hamra Street back in 1978 (Bratton & Gold, 2012). Now, the company owns top
international brands of more than fifty franchises, like- Zara, Zara Home, Promod, Virgin
Megastore, George, Pull & Bear, Butcher Shop and Grill, PAUL and many more. The
company’s partnership with the global entertainment retailing chain of London, Virgin
Megastore happened in 2001. Wide collection of games, DVDs, media players, magazines,
books and vinyl records are the specialties of the company (Buller & McEvoy, 2012).

Task 1:

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1.1 Explain the importance of Strategic Human Resource

Management.
The company Azadea Group-virgin megastore is renowned for the employment of
thousands of employees all over the world (Azadea Group, 2016). To maintain such a large
workforce is not a child’s play and the company has to think about the long-term organizational
objectives by focusing on its strategic human resource management and not just the internal
issues related to human resource (Wood & Kispál-Vitai, 2014). The strategies also help the
company to solve major problems that can have a negative impact on the human resources
performance. According to Azmi, this kind of HRM plan positively affects the performance of the
employees and also improves the skills of the employees as well as removes negative
business issues. It also guides the people of virgin megastore to identify the long-term goals of
the company (Storey, 2014). Apart from that, the SHRM strategies help the company to retain
experienced, talented and skilled members of staff, because the competitors want to attract
those employees all the time by showing different schemes along with nice offers.

1.2 Assess the purpose of strategic human resource management

activities in an organisation
All the companies present in the world want to formulate robust Human Resource
policies in order to maintain their skilful employees (Buller & McEvoy, 2012). The SHRM
activities of Azadea Group virgin megastore can be categorised as-
• Organizational strategies as well as the objectives
• HRM Strategies
• HRM practices and the policies

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The strategies and objective related activities contain the analysis based on the internal
environment and the external environment of the company and its mission, corporate actions
and purpose.
The key purpose of all the activities of Azadea Group-Virgin megastore based on
human resource is about increasing employee effectiveness in terms of training and other
motivational approaches. The human resources of this organization is utilised for the right
works in a right way (Budhwar & Debrah, 2013). Formulation of the HRM strategies in this
company is based on the analysis of external as well as internal environment and the purposes,
actions as well as missions of the organizations. One-way connection, two-way connection and
administrative connection are the three major purpose related to SHRM of the company
(Armstrong & Taylor, 2014).

1.3 Evaluate the contribution of strategic human resource

management to the achievement of organisations objectives.
The contribution of SHRM in Virgin megastore can be better understood by seeing the
implementation of apposite skills on right time and at the right place. The best possible
utilisation of the workforce in the most advantageous way is the key towards achieving the
long-term objectives of the company (Purce, 2014). Therefore, the organization assigns the
works as per the skills of the employees. Without thinking about a major contribution towards

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the workforce, it is impossible to sustain in the competitive market and achieve the
organizational objectives. With the help of motivation as well as many other modern HRM
activities, the company makes it possible to achieve the goals with the consideration of
employee involvement (Azadea Group, 2016). The activities state the key issues, like-
compensations, safety and health issues, human resource development and labour
relationship. Staffing is the SHRM contribution that provides skilful and experienced employees
to the organization. HRD helps the employees to get ready for all sorts of challenging tasks.
Health and safety issues facilitate increasing the elements of confidence among them and the
labour relations as well as compensation programs facilitate motivation so that they will stay
prepared and try their best in a nice working environment (Wood & Kispál-Vitai, 2014). All of the
above-mentioned activities help Azadea Group virgin megastore to achieve the organizational
objectives.

Task 2:
Analysis of the business factors that highlight the human
resource related planning in Virgin megastore.

2.1 Analyse the business factors that underpin human resource

planning in an organisation.

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Numerous factors of the internal as well as external environment of the company affect
its business plans. For robust HR planning, factors of the internal and external environment
play vital role, according to the study of Collins and Clark. Those factors are- relationship
between the employees and the employer, organizational culture, organizational environment,
labour rules, reward management, competition, salary regulation and other economic aspects.
These factors have strong impact on strengthening the HR plans, but any sort of
mismanagement can cause de-motivation in the mindsets of the employees with several
negative impacts on the business performance (Buller & McEvoy, 2012).
Some other factors, such as the business growth of Virgin megastore attracts more and
more skilled employees towards it, Technological impact in the company also makes it easier
for the employees to work, so the company focuses on latest technology. Development of the
employees with training programs along with other communication development approaches is
a constructive step taken by the firm by which their skills get improved (Budhwar & Debrah,
2013).
2.2 Assess the human resource requirements in a given situation.
For the issue of international business expansion and in case of thinking about a big
change, Azadea Group virgin megastore always focuses on increasing its workforce. The HR
requirements of this organization reflect the need of skilled employees so that the relationship
of the company with the consumers can be strengthened. It is because, in this competitive
market, even a small mistake done by a member can put the image of the company at stake
(Buller & McEvoy, 2012).
Azadea Group virgin megastore looks for candidates with inimitable standards of
leadership skills that include decision-making, nature of influencing other staffs along with elite
staff management skills, interactive communication skills, stock managerial skills and expertise
in planning as well as problem solving abilities (Armstrong & Taylor, 2014). For diverse work
levels in Azadea Group virgin megastore, the company has definitive requirements that are
given below in the table.
The frontline tasks that are about working at the
Work Level 1 ground level by dealing with the customers
directly.

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Team leading that requires leadership qualities

Work Level 2 to manage the employees, setting the targets,
managing resources and motivating the staffs.
Administration of the operating unit. It requires
Work Level 3 great management skills to set, target, plan and
report to the figureheads.

Support capabilities to the operating units and

giving recommendations about strategic change.
Work Level 4 It requires sound knowledge in the sector of
chain store franchise, analysis of information
and decision-making skills.
It requires responsibilities to enhance the
performance of Virgin megastore, for which the
Work Level 5 requirement of leading and directing the
employees as well as taking major decisions are
the imperative ones.
Creation of organizational purpose, company
values as well as long-term goals is the
Work Level 6 requirement here that involves sound overview
on the concept of retailing and building a lucid
vision for future.

2.3 Develop a human resources plan for an organisation.

Human resource planning related effectiveness is dependent on the managers of this
company, because all the major decision-making is done by the managers. Identification of the
business goals is the most important concern here along with its harmony with the long-term
organizational objectives. It has been previously stated that there are some factors which affect
the Human Resource plans, so it is necessary for the company to scan the internal as well as
external environment (Buller & McEvoy, 2012). The third step is kind of an important one which
reflects gap analysis and Virgin megastore follows it so that the present as well as future
requirements of the human resources can be fulfilled. The fourth step of the HR planning is
about prioritising linked with the human resources so that the sure short goals can be achieved
first. The last step of HR plan includes monitoring, evaluation and reporting the progress status
to the figureheads of the company.

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2.4 Critically evaluate how a human resources plan can contribute to

meeting organisations Objectives.
It is a fact that each person has his own special skills when it comes to a specific field,
but it would be wrong to believe that all the employees have sound skills of management
regarding the productivity going on all the working departments. Therefore, to achieve the best
outcomes from the workforce, the managers of Virgin megastore assign the projects to the
employees best suited for the works. Snell and Bohlander in their study mentioned the
contribution of HR plan and its impact on the organizational objective achievement (Marler &
Fisher, 2013).
Strong HR planning in case of the workforce of the company facilitates in accomplishing
the organizational objectives, so the managers of this company assign the right job to the right
person. Along with it, proper timing and right place are also considered here as important
factors. Most of the companies think about better utilisation of the HR and for that reason, they
implement certain activities for many years (Wood & Kispál-Vitai, 2014). But, without the
identification of employee skills and motivating them, hoping for the best result is an ineffective
approach.

Task 3:
3.1 Explain the purpose of human resource management policies in
your organisation.
HR policies have a vital role in case of workforce management at Virgin megastore. By
this, risk management can be done in an effective way just by keeping the company informed
about the latest trends related to the legislation as well as employee standards (Kaufman,
2012). By formulating robust HR policies, the organization can meet the requirements about the
training as well as ethics and its commitment towards the government regulations based on
employee welfare.
The purposes of Human Resource Management in Virgin megastore can be categorised into
Structure:

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This purpose delineates the organizational structure in order to eradicate confusion from
the company by which conflict and chaos can be removed from the equation.
Equality:
Fairness is another purpose of the HR policies implemented by Azadea Group virgin
megastore which is applicable for the entire workforce.
Best practices:
Analysis of the best practices is the purpose of the organization so that development of
the HR policies can be thought about in the future.
Strategy:
The formulation of HR policies is based on the long-term business plans and it also
helps the leaders to make decisions about the members of staff.

3.2 Analyse the impact of regulatory requirements on human

resource policies in your organisation.
As per the analysis of Artis, Huselid and Becker, the governments of most of the nations
across the globe support the participation of the employees as well as their defined roles in
various organizations. Therefore, the nations have introduced many regulatory schemes as well
as rules so that interests of the employees can be maintained in the companies. These rules
and regulations are based on the rights, health issues, safety concern and nevertheless the
most applicable legislation (Storey, 2014). The governmental requirements have to be fulfilled
by all the companies that are generally based on the welfare aspects of the employees.
According to Poulter, it is the responsibilities of the HR managers to think about the

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governmental laws before the formulation of a new HR policy that can have decision-making
impact on the workforce.
During the recruitment and selection process, Virgin megastore maintains the
employment laws and regulations of the corresponding nation before hiring applicants for the
various vacant positions. Formulation of new HR policies with the provisions of conformity
towards the labour laws, voluntary employment of the labours, specification about working
hours and compensations, freedom related to the association etc has to be considered at first
place as issue of human trafficking has been increased (Wood & Kispál-Vitai, 2014).
Federal laws and State laws are the two major regulatory frameworks with considerable
impact on Virgin megastore. Federal laws have impact on the Hr activities, like- selection as
well as termination of the employees which affect the business. Retirement, safety issues,
health issues, payment and working conditions are regulated by these laws. On the other hand,
transfer of the employees, their medical leaves, requirement for posting, security of them;
employer notices regarding termination etc are controlled by state laws with substantial impact
on the recruitment and selection procedure of Virgin megastore that affect the performance of
the company as well as of the employees (Bratton & Gold, 2012).

Task 4:
4.1 Analyse the impact of an organisation structure on the
management of human resources.
With relation to the study of Barney, it is confirmed in case of Virgin megastore also that
its organizational structure has affect its HR performance. It is because; organizational
structure is just a hierarchical notion regarding the subordination of individuals who work as a
group to achieve certain goals (Jiang et al., 2012).
In line with the research of Esra, different formats of organizational structure are
followed in different organizations. It has been differentiated according to the size as well as
scale. Decision-making processes in case of the company are much faster than any other
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retailing company as it has a flat organizational structure. This kind of structure helps the
organization to implement decision-making outcomes quickly. Here, the site manager informs
the duty managers regarding the workload management and running of multiple shifts
(Kaufman, 2012).
Weak strategies have been observed in case of tall structure organizations as the
individuals at the top management levels don’t think it as a vital approach to include HR
managers in the decision making process related to the workforce. Virgin megastore does the
exactly opposite, therefore it has a robust strategic management approach than that of any
other company. It always invites the employees to give their valuable feedback to the leaders
and the effectiveness of the management so that in the future it can be further developed
(Azadea Group, 2016).

4.2 Analyse the impact of an organisational culture on the

management of human resources.
Virgin megastore is a society in which individuals differ from one another according to
extensive diversity in culture which is about their values, beliefs and ideas. Formulation of the
organizational culture in the working environment here at this company is proportionate with the
employee interaction factor (Bratton & Gold, 2012). Determination of the organization culture is
dependent on several aspects like- strengths and weaknesses of the organization, educational
qualifications of the employees, their life experiences and the company’s manpower
background.
The organizational culture here at Virgin Megastore has strong impact on top managers’
leadership styles. Their abilities of managing conflicts as well as motivating the employees

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facilitate the establishment of a highly effective working environment. The group members of
this organization believe in teamwork which is derived from the culture.
4.3 Examine how the effectiveness of human resource management
is monitored in an organisation.
At Virgin megastore, it is considered that human resource department is the most
precious asset of the company and the several business functions can’t be performed without
thinking about the SHRM. So, managing the workforce in an effective way is the main concern
of the HR managers (Budhwar & Debrah, 2013). In this competitive era, no company wants to
lose its valuable asset from the human resource category. As per Afiouni, monitoring the
human resource management effectively should be another major concern of the leading
companies.
The effective of HRM is being monitored in Virgin megastore by following certain
aspects, like- HR requirements, promotions as well as terminations. It is a confirmed bad sign if
the company is going through greater attrition rate as it shows ineffectiveness in case of the HR
managers as it is the evidence for employee dissatisfaction (Armstrong & Taylor, 2014). On the
other hand, in Virgin megastore low attrition rate can be perceived which includes numerous
promotions as well as large number of recruitment applications and it is a good sign.

4.4 Make justified recommendations to improve the effectiveness of

human resources management in an organisation.
Constant communication is the key approach which should be followed by Virgin
megastore when it comes to the human resource effectiveness. Interactive communication
programs for the employees to avoid any sort of conflict should be another approach followed
by the company by building a robust information network. The problematic issues with the
human resources should be solved first and immediately so that future complexities can be
eliminated (Storey, 2014). The needs (both physical and psychological) of the employees
should be given more emphasis. Along with it, flexible working time as well as fair wages
should be the first priority here otherwise it will be difficult for the company to retain the skilled

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members. By involving the lower level managers in the decision-making matters of human
resource, the company can motivate them. Diverse training as well as development programs
should be conducted so that effectiveness and efficiency of the employees can be improved
(Wood & Kispál-Vitai, 2014).

Conclusion
SHRM practices and policies at Virgin megastore have essential roles in case of
productivity improvement as well as well-functioning workforce management. The activities of
robust strategic human resource management not only motivate the employees, but also show
the track records of their success that demonstrate 100% employee satisfaction (Azadea
Group, 2016). It is impossible to achieve the long-term organizational goals devoid of
considering, understanding and implementing the concept and contribution of HR into the
company structure.

References
Armstrong, M., 2006. Strategic human resource management: a guide to action.
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management practice.
Kogan Page Publishers.
Azadea Group. 2016. Virgin Megastore. Retrieved 9 January 2016, from
http://www.azadea.com/english/our-brands/multimedia/virgin-megastore
Budhwar, P.S. and Debrah, Y.A. eds., 2013. Human resource management in developing countries.
Routledge.
Bratton, J. and Gold, J., 2012. Human resource management: theory and practice. Palgrave Macmillan.
Buller, P.F. and McEvoy, G.M., 2012. Strategy, human resource management and performance:
Sharpening line of sight. Human resource management review, 22(1), pp.43-56.
Holbeche, L., 2009. Aligning human resources and business strategy. Routledge.

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Student Number

Jiang, K., Lepak, D.P., Hu, J. and Baer, J.C., 2012. How does human resource management influence
organizational outcomes? A meta-analytic investigation of mediating mechanisms. Academy of
management Journal, 55(6), pp.1264-1294.
Kaufman, B.E., 2012. Strategic human resource management research in the United States: A failing
grade after 30 years? The Academy of Management Perspectives, 26(2), pp.12-36.
Millmore, M., 2007. Strategic human resource management: contemporary issues. Pearson Education.
Mello, J., 2014. Strategic human resource management. Cengage Learning.
Marler, J.H. and Fisher, S.L., 2013. An evidence-based review of e-HRM and strategic human resource
management. Human Resource Management Review, 23(1), pp.18-36.
Pervez, N., Blaxter, L., Hughes, C., Tight, M., Denzin, N., Lincoln, Y., Gorman, G. and Clayton, P., 1994.
Cambridge International Diploma in Management at Higher Professional Level Management
Skills. Sage, 803946791, p.0761921915.
Partington, D. and Harris, H., 1999. Team role balance and team performance: an empirical
study. Journal of Management Development, 18(8), pp.694-705.
Purce, J., 2014. The impact of corporate strategy on human resource management.  New Perspectives
on Human Resource Management (Routledge Revivals), p.67.
Storey, J., 2014. New Perspectives on Human Resource Management (Routledge Revivals). Routledge.
Wood, G. and Kispál-Vitai, Z., 2014. Strategic Human Resource Management. Strategic Human
Resource Management: An International Perspective, p.72.

Student Declaration
I can confirm the following details:

Subject Name: Strategic Human Resource Management

Student ID/Registration Numbers:

Student Name: Ameen Abu Musleh

Center Name: Dubai

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Student Number

Lecturer Name: Dr. Iman Rabah

Number of Words: 2921

I certify the work submitted for this assignment is my own and research sources are fully
acknowledged and have not been plagiarized.

Due Date: Dr. 14th January 2016

Submitted Date: 11th January 2016

Student Signature

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