HR PRACTICES ON MARKS and SPENCER SAINSB
HR PRACTICES ON MARKS and SPENCER SAINSB
HR PRACTICES ON MARKS and SPENCER SAINSB
SELFRIDGES, PRIMARK
Acknowledgement Letter
The success of this report depends on the contribution of number of people specially those
who have shared their thoughtful guidance and suggestions to complete this report.
First, we express our sincere gratitude to our honorable faculty Professor Dr. M. Mahmodul
Hasan for his valuable contribution to the preparation of this report. He has been gracious
enough to spare time out from his busy schedule for giving us all the necessary assistance
throughout the entire period of the semester and the report writing time. Without his help
this report might not have been a comprehensive one.
We are also thankful to those people, who helped by participating in the research work and
provided us valuable and necessary information. It is our great pleasure that, we get
heartily cooperation from all of them. Without their cooperation and information we could
not able to complete our survey and also the term paper.
It would be incomplete if we do not consider the contribution of our study partner and
friends inside and outside of the classroom. We also like to thank them for their
cooperation and doing the right job at the right time.
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Executive Summary
In the face of increasing competitive environment organizations have to focus on the value
of investments in human resources as a major source of competitive advantage. Although
business strategy as a means of competition is common conversation in the executive suite,
taking a strategic approach can be especially beneficial for staff functions within companies,
as they often are required to justify their need for resources and their contribution to the
company.
This report explains about the HR practice of M&S, Selfridges, Primark and Sainsbury the
leading retail company whom has large amount of market share in the industry. All are
providing their service to millions of customers for 24 hours. So to provide this valued
services they hired a huge numbers of talented employees to keep their promises to the
customers. They are not only concerned to their external customers at the same time they
are very much careful about their internal customers (their employees) who brought the
name and fame.
In this report we tried to show M&S, Selfridges, Primark and Sainsbury’s recruitment and
selection process, performance and reward system, training and development program,
financial budget, health and safety issue also challenges of HR management. So to fulfill
the purpose, we have collected information mostly from secondary sources. We have
presented here how those company mange human resource what are factors important for
consideration also a comparison between them.
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Table of Contents
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ser Particulars Page Number
27. The Impact of Information Technology on HR Management: 21
Opportunities and Challenges
28. Recruitment & Selection Process 21
29. Performance & Reward Systems 21-22
30. Rewards & Benefits 22
31. Career Development and Training & Development Program 22
32. Health & Safety Issues and HR Ethics 22
33. Recommendation 23
34. HR Practices of Primark 23
35. HR Management in the 21st Century: Challenges for the Future 23
36. Model Modification 23
37. Corporate Responsibility 23-24
38. The Impact of Information Technology on HR Management: 24
Opportunities and Challenges
39. For Ethical Standards 24
40. For Online Sales 24
41. For Management 24
42. Recruitment & Selection Process. 25-26
43. Performance and Reward System 26
44. Career Development and Training & Development Program 27
45. Financial Budget in HR 27-28
46. Health & Safety Issues and HR Ethics. 29
47. Ethics 29
48. Recommendation 30
49. Compare and Contrast of HR Practices among M & S, Selfridges & Co, 30
Primark and Sainsbury’s
50. Conclusion 31
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HR Practices on Marks & Spencer
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1. HR Management in the 21st Century: Challenges for the Future
1.2 Technology
Technology has switched the way things are done in the modern era.
computer technology and IT has touched lives all over and no difference in
case of HR management at Marks & Spencer . The company has been in the
front position of implementing new technology to stay ahead of competition,
and to make sure business that much more efficient. Example in this regard
could be the fact that happened in 2014; the company began the UK's largest
in-store tryout of radio frequency identification (RFID) technology, that was
only been tested on a small scale during that time in the UK by other
retailers such as Tesco and Woolworths. The use of this technology makes
the life of the employee as well as the consumer easier.
2.1. Opportunities
Marks and Spencer HRM are now recruiting people through online. Capable
and Interested applicants can provide all the required information about them
through website. Moreover, they can take part in online test and through
corporate website they can upload cv. M&S have successfully set in HRM
module that is Enterprise Resource Planning system to their organization.
With the assistance of this module they are conducting development program
and online training centrally from various locations, keeping employee
information centrally and maintaining performance record centrally. Finally it
can be said that Information system brings greater efficiency HRP process of
M&S and provided a mutual benefit for both employees and employer.
2.2. Challenges
Key challenge for M&S would be developing a sophisticated tool that not only
will track their HR KPIs but also track important indicators of the health of the
business and give them real-time data on where HR needs to focus, to ensure
strategy implementation is getting results. It also cover those associated with
how HR is aligning with the retail business plan.
M&S has in place a “Talent Philosophy” which is ensuring the right person is placed
in the right job. All perspective candidates undertake an online questionnaire or
telephone interview as the first stage of the recruitment process. Candidates need to
pass this to ensure that they have the right personality and mindset to fit in with the
ethos of the company (M&S, 2015).
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Internal vacancies are advertised on the -
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For graduate recruitment, the process is a bit different. The first stage is the “Talent
Philosophy” questionnaire, as always. If the graduate candidate is successful there is an
invitation to the Training Academy which is in Swenson, England. Some of the steps in the
recruitment process are:
Presentation
Goldfish bowl discussion
Role play
1 hour interview
Candidates are informed whether or not they are successful within three working days and
the offer is made subject to a medical Examination and two references . The formal offer is
then made (M&S, 2015)
Competitive Pay
Minimum 28 days statutory holidays per year
Discretionary bonuses for goal achievement
Pension
Life insurance from day one
Share option for employees
Employee discount on company products
Discounts on holiday packages, other products, etc.
Healthcare
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All these perks and rewards make working at M&S an attractive proposition.
5.4. Coaches:
Coaches have started being appointed and these are customer advisors who
are given additional pay to train up to three other customer advisors. For the
additional money they are trained how to mentor and coach new customer
assistants and also to update them on new procedures. This frees up time for
the Section Managers so that they can oversee performance reviews and
ensure they are carried out really well.
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5.5.1. Lead to Succeed
The Group HR Director has launched a flagship development programs
which is known as Lead to Succeed. It targets the development of 300
most senior managers within the company and is designed to train the
next generation of leaders.
Policy at M&S
In the financial year 2014, the company spent £1410.9 million of employee expenses
including salaries and wages, pension, benefits, share based payments, and employee
welfare (M&S, 2014). The following figures show a snapshot of employee expenses and
directors‟ remuneration at M&S.
Figure: Employee Remuneration at M&S
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Figure: Executive Directors Remuneration at M&S
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7. Health & Safety Issues:
Marks & Spencer is committed to ensure the health, safety and well-being of all
employees, customers and others who visit or work on premises.
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8.1.1.2. Fraud:
Line Manager:
In the first instance, employees should consider raising concern with line
manager. It is the line manager’s responsibility to listen to the employee and
take any action if necessary
Senior Manager
If employees feel that they cannot raise concern with line manager, for
whatever reason, they should contact the senior manager in business unit or
store, who will consider the matter and, if appropriate, manage any
investigation (M&S, 2015)
9. Recommendations
Following are some recommendations for implementing effective human resource
management systems based of the findings of this report:
M&S should use its global platform for recruitment and selection for its global
operations. While company values remain same but in cross cultures procedures
and values might differ. This has to be taken care of too. Behavioral
characteristics and country profile wise employee selection will mean they have
the best people for the job.
Use empirical data to devise future HRM strategies
Utilize changing technology and market conditions to the advantage of the
organization
Implement new strategies in the payment of pension funds to avoid internal
conflict
This is in no way an all-inclusive list of thing that might be done to improve HRM in an
organization. But these recommendations, if implemented, can modernize and streamline
any organization’s human resource management system.
11. Vision:
To be the most trusted retailer where people love to work and shop.
12. Goal:
We will make customers’ lives easier, offering great quality and service at fair
prices, serving our customers whenever and wherever they want.
13. Strategy:
We know our customers better than anyone else. We will be there whenever and
wherever they need us, offering great products and services at fair prices. Our
colleagues make the difference, our values make us different.
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14. HR Management in the 21st Century: Challenges for the Future:
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17. Performance & Reward Systems
The Performance and Reward Team at Sainsbury’s have always been proactive
about communicating their pay and benefits packages, and until four years ago
generated annual reward statements for the top 1000 leaders. These documents
were well received, but were expensive to deliver, time consuming to collate and
offered only rudimentary information: not to mention the fact they were only
produced for a tiny percentage of the overall workforce. The Reward Team at
Sainsbury’s set themselves a challenge: to design, develop and deliver a
personalized Total Reward Statement, illustrating clearly the benefits of working for
Sainsbury’s for every permanent employee with at least six months service (circa
135,000 people), regardless of role or grade.
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Training at Sainsbury is thus aimed at providing employees with skills which will in
turn ensure that the organization has adequately trained employees. The
management at Sainsbury conducts training, to ensure that the employees perform
their required duties with predetermined standards. This means that the employees
are already familiar with the expected results of them undertaking task.
The decision whether to invest in Sainsbury’s or not will be based on ratio analysis.
T he source for the analysis will predominantly be the income statements, balance
sheets and cash flow statements.
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The key steps in financial ratio analysis have been followed. The selected ratios
have been calculated based on the income statements, balance sheets and cash
flow statements. These will be interpreted and finally the judgment will be formed
on the produced information. Firstly, the focus will be on a brief evaluation on the
market position. Secondly, profitability, efficiency and liquidity ratios will be
analyzed. Thirdly, investment ratios will be examined along with explaining
Sainsbury’s dividend policy. Finally, the gearing ratios will be discussed as well as
ratios based on the share price
Sainsbury’s HR has a health and safety office in all their stores; they have the
responsibility for all health and safety policies and training. They advise store
managers about their responsibilities for h+s and make sure that all employees
working in stores are informed about them. This is all to do with health and safety
laws. They place a responsibility on both the store managers and employees.
Human resources record all accidents in an accident book which all employees
have, they also record „near misses‟ so they can see where improvements need to
be made
Human resources train new staff for health and safety jobs which include roles
being health and safety officers, safety committee meeting holders etc. Customers
are also accounted into the health and safety acts for Sainsbury’s HR, these
include:-
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22. Recommendation:
Fast-paced and focused, yet also informal and inventive, our Head Office is the
creative, commercial, management and administrative hub of our entire retail
operation. For such a high-powered and high-profile environment, it's an incredibly
friendly and sociable place to work.
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26. HR Management in the 21st Century: Challenges for the Future:
Parallel with the changes in the global arena, human resource management also
warrants a revisit and implementing changes to adapt with the modern needs of the
21st century. There are an incredible number of pressures on today's organizations.
To name a few: environmental pressures such as increasing globalization, rapid
technological change, and tougher competition. The need for managing the
employees strategically in the 21st century also requires the management and the
organization structure to be more flexible.
27. The Impact of Information Technology on HR Management: Opportunities and
Challenges
PICTURES
Fig: Performance & Reward System
31. Career Development and Training & Development Program:
Learning and Development team works with all business areas to ensure that everyone is
given the full opportunity and encouragement for their talents to flourish. Selfridges wants
to get the most out of each employee’s role because they want to make the most of every
employee’s abilities. Selfridges provides three months' induction and continuous on-the-job
training through which one can take advantage of a broad range of programs and
workshops, designed to help develop employees’ particular sales, management or
technical skills
Selfridges’ HR, like all other businesses, has a safety policy. This is a legal obligation that
they must follow. The policy states in simple terms what the goals of Selfridges are in
relation to health and safety of employees. It also consists of actions that are to be carried
out by the key staff members.
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33. Recommendation
Finding the right talent and clearly defining the manager’s role is key to success in a
retail business. Managers face pressure from a range of responsibilities such as
increasing sales, controlling inventory, hiring, training and managing employees,
minimizing payroll, engaging customers and monitoring shrinkage, so working with
the manager to establish priorities is critical. In addition to increasing productivity,
the process of setting priorities will give insight into a manager’s strengths and
indicate whether the manager has what it takes to be effective.
Primark Challenges:
The ongoing impact of the financial crisis and the changing status of shopping as
entertainment could see changes in Primark strategy. Smaller stores in city centers
aimed at impulse buyers may be profitable options worth pursuing. The company
must also consider whether to enter online retailing, as the prevalence of this
option among their rivals may threaten their future profitability.
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At Primark we know that the real key to its success is a combination of product,
price and the people we have working for Primark. It is always looking for new
people to help to move the business on and adapt it to the ever-changing
circumstances.
Primark announced that it has signed a deal with supplier BSI Management
Systems to implement web-based supply chain audit, compliance and performance
management software to support compliance with ethical standards. The tool,
called Entropy, will help to ensure that independent suppliers, mainly based in
China and South Asia, conform to Primark’s mandatory code of conduct
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42. Recruitment & Selection Process
Recruitment Process
External Vacancy:
You can do this on the Search & Apply page on Primark website. You are presented
with a number of search criteria that you're looking for.
Internal Vacancy:
You can check out how to apply on the intranet, as it has a dedicated portal for you
to apply through.
Screening Process
Confirmation Mail:
When you have completed an application you will receive an email to the email
address that you have provided to it to confirm that it has received your application
within 48 hours.
Initial Screening:
Email:
All you need to do is select the time and date that suits you best and click next. You
will then receive a confirmation email to give you all the details and then reminders
will be sent to you before your interview.
Invited to Interview:
Most first stages with Primark are either a telephone interview or a face to face
interview/selection event with our team of trained recruiters.
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1. Competency Based Question
Experience provides the best predictor of whether a person can do a job, and the
best technique to get all the information from a candidate.
2. Motivational Questions
Motivational questions are used to find out what makes the candidate tick and to
see if the role suits your chosen career path, aspirations, industry etc.
Primark offer a variety of benefits, which we will discuss with you at your
interview in further detail:
Competitive annual leave entitlement
Health insurance (dependent on the role/level/function)
Bonus scheme (dependent on the role/level/function)
Flexi-time scheme for certain head office functions
Variety of shift patterns available to suit your lifestyle.
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44. Career Development and Training & Development Program:
Career Development:
There are three career paths within Primark: Retail Management/ Retail
Assistants, Buying, Merchandising and Head Office.
Primark has a world class Management Development Program to help build
your career at all levels.
Primark encourage ideas, team spirit and passion across all our functions.
As a new employee in any role with it, you will be given a structured
induction program to welcome you into your new role and team. It then offer
various program to either assist to you to become a member of
management, or to develop you further in your role.
Primark advertise promotional opportunities within the business to our
existing employees, it’s something it is really proud of and it shows it is
committed to your development
Training:
Management skills
Leadership
Consumer and employee legislation
Health and safety
Human Resource Management
Policies and procedures
Primark also offers task specific training support for our employees who want to
enhance their existing skills or develop new ones by offering NVQ programs in the
following areas:
Retail/Customer Service
Administration
Team leading
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Figure: Directors‟ remuneration
1. Financial & Retirement
Wage
Wages and benefits paid for a standard working week meet, at a minimum, national
legal standards or industry benchmark standards, whichever is higher.
Pension Plan
Part of parent company ABF (Associated British Foods) pensions, which is UK law
based. They match with your contributions.
2. Non-Financial
Sick Pay
Annual Leave
20 days off plus bank holidays for weekday staff. 10% off at Christmas, and access
to a voucher website which gives you money off gift cards so if you can be
bothered to go on there every time you want to buy something then great.
Bereavement Leave
Leave to the widow/widower and/or orphans of a person who has died
2. Employee Benefit Expense
Primark provides almost£2000 million benefits to its employees in the year 2013
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Women's health
Since 2011 Primark has partnered with BSR, local partners and its suppliers on the
HER project (Health Enables Returns) to provide healthcare and health education to
women working in the factories that make its products.
Primark checks every factory
To make sure these factories meet its standards, it checks every single one
thoroughly. Primark makes sure it's safe and clean, and that the people working in
it are treated well, and paid a fair wage.
Worker empowerment
Provides education and support on vital issues including workplace rights, health
and hygiene, and the importance of children's education.
Green stores
80% of its stores use Building Energy Management systems to control energy
consumption by monitoring lighting and temperature levels.
Educational resources
Primark has worked in partnership with NGOs and other organizations to create a
series of resources about ethical trading & sustainability that can be used by both
teachers and students.
47. HR Ethics
Primark aim to ensure compliance with the United Nations Universal Declaration of
Human Rights in the management of all our businesses. Employees throughout the
group are recruited, trained and rewarded according to performance alone. Whistle
blowing policy and procedures are in place. All businesses are signed up to the
group’s Business Principles and Anti-Bribery and Corruption Policy. A program of
training and compliance has been implemented for all employees. Appointment of
anti-bribery and corruption specialists is present. Businesses work co-operatively to
ensure visibility of reputational risk within supply chains and draw upon best
practice management expertise across Primark.
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48. Recommendation:
Primark is using very strong policies in its HRM. Moreover, it has up-to-date system
in its HR recruitment and selections. But there are some areas that it should need
more focused:
1. It should make its web based recruiting system more user friendly.
2. Should include more training program like simulation or on the job training
program.
3. Should focus more on its retail employees as it is the core of Primark.
4. Interview questions should more related to behavioral and stress as most of
the employees has to deal directly with its customers.
5. Should count more in the external Human Resources in its recruitment.
6. Develop more standardized pay and benefit plan.
49. .Compare and Contrast of HR Practices among M & S, Selfridges & Co, Primark and
Sainsbury’s
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50. Conclusion:
As we have discussed in the previous pages those dominant issues and challenges
which are facing by HR mangers and organization. The first foremost work by the
HR is to developed sound organizational structure with strong interpersonal skill to
employees, and also to train employees by introducing them the concept of
globalize human resource management to perform better in the global organization
context. All these issues and challenges like, work force diversity, leadership
development. Change management, organizational effectiveness, Globalization, E-
Commerce, succession planning and compensation etc, Can be best management
by HR manager when they will work with HR practices, such as rigid recruitment
and selection policy, division of jobs, empowerment, encouraging diversity in the
workplace, training and development of the work force, fostering innovation, proper
assigning of duties and responsibilities, managing knowledge and other functions as
are shown. Nutshell when HR works enthusiastically by keeping all the practices in
mind, competitive advantages can thus be accomplished, the value of human
resource can be improved, organization efficiency can be enhanced, and the
organization will sustain to survive.
References:
David A. Decenzo & Stephen P. Robbins (2014), Fundamentals of Human Resource
Management, Tenth Edition, John Wiley & Sons, Inc.
Jeffrey A Mello, (2003). „Strategic Human Resource Management‟, 3rd Edition.
https://www.marksandspencers.com
http://www.selfridges.com/
http://www.primark.co.uk/
http://www.sainsburys.co.uk/
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CORPORATE ANALYTICAL JOURNAL PAPER
ON
COURSE: EMB-602
Human Resource Management
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Letter of Transmittal
27 August 2015
Dear Sir:
We are very content and appreciative to you for having such a prospect to make a journal
on Human Resource Management. Our journal is on HR Practices on Marks & Spencer,
Sainsbury’s, Selfridges, Primark. To the best of our knowledge we strived to make this
journal informative with pertinent supplementary illumination that makes it useful.
We take this opportunity to thank for your guidance and if you have any queries or
suggestions we would be glad to work on this further.
Sincerely yours,
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Acknowledgement
We are grateful to Professor Dr. M. Mahmodul Hasan, Faculty, North South University
for providing us such an opportunity to do this article and hence learn about HR Various
Practices with respect to Human Resource Management perspective. We deeply indebted to
you Sir for your valid suggestion, trend setting guidelines and sensible advice.
Finally, we want to thank our parents and friends who gave me their moral support and
help for preparing this journal.
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