Unit 3: Human
Resource
Management
Unit code Y/508/0487
Unit type Core
Unit level 4
Credit value 15
Introduction
The aim of this unit is to enable students to appreciate and apply principles of effective
Human Resource Management (HRM). People are the lifeblood of any organisation and
being able to attract, recruit and retain talented staff is at the core of all HRM activity.
This unit will explore the tools and techniques used in HRM to maximise the employee
contribution and how to use HR methods to gain competitive advantage. Students will
explore the importance of training and development in building and extending the skills
base of the organisation and ensuring it is relevant to the ever-changing business
environment. Students will also consider the growing importance of becoming a flexible
organisation with an equally flexible labour force, and become familiar with techniques of
job design and with different reward systems.
The unit investigates the importance of good employee relations and the ways in which
employers engage with their staff and possibly with trade unions. Students will gain an
understanding of the law governing HRM processes as well as the best practices which
enable an employer to become an ‘employer of choice’ in their labour market.
Learning Outcomes
By the end of this unit a student will be able to:
1 Explain the purpose and scope of Human Resource Management in terms of
resourcing an organisation with talent and skills appropriate to fulfil business
objectives.
2 Evaluate the effectiveness of the key elements of Human Resource Management in
an organisation.
3 Analyse internal and external factors that affect Human Resource Management
decision-making, including employment legislation.
4 Apply Human Resource Management practices in a work-related context.
Essential Content
LO1 Explain the purpose and scope of Human Resource Management in
terms of resourcing an organisation with talent and skills
appropriate to fulfil business objectives
The nature and scope of HRM:
Definitions of HRM.
What are the main functions and activities of HRM.
The ‘Best Fit’ approach vs ‘Best Practice’.
The hard and soft models of HRM.
Workforce planning.
Types of labour market, labour market trends and PESTLE.
The internal labour market.
Analysing turnover, stability and retention.
The impact of legal and regulatory frameworks.
The impact that advances in technology have had upon improving the efficiency of
HR practices.
Recruitment:
Sources of recruitment: internal vs external recruitment.
Job analysis, job descriptions, personal specifications and competency
frameworks.
Selection:
Main methods of selection: strengths and weaknesses of each.
Reliability and validity as key criteria.
On-boarding and induction:
The issues affecting successful induction and socialisation of employees.
LO2 Evaluate the effectiveness of the key elements of Human Resource
Management in an organisation
Learning, development and training:
Differentiating development and training.
Identifying training needs − the training gap.
Types of training.
Evaluation of training.
Job and workplace design:
Reward management: extrinsic and intrinsic rewards from work.
The link between motivational theory and reward.
Series of job design-job extension techniques.
The flexible organisation:
Types of flexibility: numerical, structural and functional flexibility.
Models of flexible organisations (e.g. Handy, Atkinson).
Flexible working options in modern organisations.
Benefits to employers and benefits to employees of flexible working practices.
Performance and reward:
Performance management and methods used to monitor employee
performance.
Types of payment and reward system.
Methods of a determination.
LO3 Analyse internal and external factors that affect Human Resource
Management decision-making, including employment legislation
Employee relations:
Maintaining good employee relations.
Strategies for building and improving employee relations and engagement.
Employee relations and the law:
The purpose of employment law.
Key legal issues and constraints (e.g. equality, data protection, health and safety,
redundancy, dismissal, employment contracts).
Ethical and social responsibilities.
Trade unions and workplace representation:
The role of trade unions − local/national.
Collective agreements.
Discipline, grievances and redundancy − best practice.
LO4 Apply Human Resource Management practices in a work-related
context
Job and person specifications:
Preparing job specifications and person specifications applicable to the
recruitment context and needs of the organisations, taking into account
legislation and company policies.
Recruitment and selection in practice:
The impact of technology on improving the recruitment and selection process; the
use of online resources, digital platforms and social networking.
Designing and placing job advertisements.
Shortlisting and processing applications.
Interviewing preparation and best practice.
Selection best practice.
Learning Outcomes and Assessment Criteria
Pass Merit Distinction
LO1 Explain the purpose and scope of Human Resource
Management in terms of resourcing an organisation with
talent and skills appropriate to fulfil business objectives
D1 Critically evaluate the
P1 Explain the purpose M1 Assess how the strengths and weaknesses
and the functions of HRM, functions of HRM can of different approaches to
applicable to workforce provide talent and skills recruitment and selection,
planning and resourcing an appropriate to fulfil supported by specific
organisation. business objectives examples.
P2 Explain the strengths M2 Evaluate the strengths
and weaknesses of and weaknesses of
different approaches to different approaches to
recruitment and recruitment and selection.
selection.
LO2 Evaluate the effectiveness of the key elements of
Human Resource Management in an organisation
P3 Explain the benefits of M3 Assess different D2 Critically evaluate
different HRM practices methods used in HRM HRM practices and
within an organisation for practices, providing specific application within an
both the employer and examples to support organisational context,
employee. evaluation within an using a range of specific
organisational context. examples.
P4 Evaluate the
effectiveness of different
HRM practices in terms of
raising organisational profit
and productivity.
Pass Merit Distinction
LO3 Analyse internal and external factors that affect
Human Resource Management decision-making,
including employment legislation
LO3 and LO4
P5 Analyse the importance M4 Evaluate the key
of employee relations in aspects of employee D3 Critically evaluate
respect to influencing HRM relations management and employee relations and the
decision- making. employment legislation application of HRM
that affect HRM decision- practices that inform and
P6 Identify the key
making in an influence decision-making
elements of employment
organisational context. in an organisational
legislation and the impact it
context.
has upon HRM decision-
making.
LO4 Apply Human Resource Management practices in a
work-related context
P7 Illustrate the M5 Provide a rationale for
application of HRM the application of specific
practices in a work- HRM practices in a work-
related context, using related context.
specific examples.
Recommended Resources
Textbooks
ARMSTRONG, M. and TAYLOR, S. (2014) Armstrong’s Handbook of Human Resource Management
Practice. 13th Ed. London: Kogan Page.
BACH, S. and EDWARDS , M. (2013) Managing Human Resources. Oxford: Wiley.
BRATTON, J. and GOLD, J. (2012) Human Resource Management: Theory and Practice. 5th Ed.
Basingstoke: Palgrave.
TORRINGTON, D, et al. (2011) Human Resource Management. 8th Ed. London: Prentice Hall. CIPD
(Chartered Institute of Personnel and Development) available at www.cipd.co.uk.
Links
This unit links to the following related units:
Unit 7: Business Law
Unit 12: Organisational Behaviour Unit
19: Resource and Talent Planning Unit
20: Employee Relations
Unit 21: Strategic Human Resource Management
Unit 29: Managing and Running a Small Business