London Club House’s Strategic Human Resource Management

Importance of Strategic HRM and Values for LCH

The importance of strategic HR management lies in improving the atmosphere, or “creative climate,” for employees (Iqbal, 2019, p. 181). Large companies are always united by ideas and values, which are sincerely followed by employees. Developed strategic HR management keeps employees in the company even in the presence of unsatisfactory aspects (workload, low salary, and no vacation for a long time). According to Choi et al. (2019, p. 529), “Company needs to not only provide motivations but also set up opportunity and ensure the development of employee abilities.” HR specialists will be able to raise the value of the company among young professionals and attract workers from different countries and cultures. To do this, it is necessary to make recruitment more technological and focused on trends and social networks.

HRM and Other Departments

For HRM and its professionals, interaction with employees of any skill level and from any department is relevant.

Despite the general problem with the working atmosphere, conflicts, and dissatisfaction with the bosses, the company currently has two main problems. The first problem is the outflow of personnel who leave immediately after training. The second problem is the upcoming renovation and the inability to close the company during the renovation.

Around the world, many companies and countries suffer from employee turnover. A good HRM will reduce this factor, from which LCH is currently suffering, and increase the popularity of the company, especially among young professionals. It is proposed to rely on outdoor training, which allows employees to make friends with new employees from the beginning and throws them into a crisis situation. It is also suggested to look for on-the-job training, as the vacancies in question do not imply a variety of theoretical skills (Jiang & Messersmith, 2018).

The HR specialist takes responsibility for holding a series of sessions about the upcoming renovation. Employees from all departments (one department is one session for explanations) will be explained why the company is not closed for the period of repair and what is fraught with non-compliance with the new rules.

General dissatisfaction can lead to conflicts, as people will look for ways to vent their anger. The HR specialist will resolve conflicts on the spot and report the results to the manager or CEO. In the event that an important HR employee is fired, the specialist will have one or two conversations with him in an attempt to help resolve the conflict and give motivation. It is possible to involve coaches and psychologists, but it will require money.

Strategic Human Resource Services: Steps and Purposes

The first service concerns competent recruitment, which involves the publication of vacancies, the formulation of requirements for applicants, and interviews. The second service concerns team building, improving motivation, and organized knowledge transfer.

The purpose of the first service is to implement a new recruitment model that allows for retaining new employees. The purpose of the second service is to improve the collective climate and increase employee satisfaction.

Considering Internal and External Factors Before Renovation

The external factors in this section relate to the overall market situation and competition (Boon et al., 2017). Internal factors relate to the climate of the team and the mechanisms for their work.

Internal Factors External Factors
Pay cut due to renovation Competition with other businesses
Lack of attention to employees and their career achievements Advertising on social networks
New employees may fear that their training will be cut or stopped immediately (Al-Ayed, 2019) Development of social networks and website, if possible
The potential churn of customers

Preliminary HR Requirements: Basic Structure

Preliminary HR Requirements: Basic Structure

The recommended organizational structure should eliminate the feeling of a strict hierarchy among employees, which has been complained about (Fahim, 2018). That is why the lower part of the flowchart does not have a vertical separation between staff and managers: for more comfortable work (Collings et al., 2021). However, bolding and underlining indicate who owns the leadership roles.

Preliminary HR Requirements: Recruitment

  1. The development of vacancies and requirements for the candidate.
  2. Posting the vacancy on job search websites and social media.
  3. Advertising of vacancies and working conditions.
  4. The interview of candidates (Wilkinson, 2019).
  5. Bringing them to training and adapting during training.

Expansion of the recruitment process is possible. However, compression is seen as irrational and useless.

References

Al-Ayed, S.I. (2019) ‘The impact of strategic human resource management on organizational resilience: an empirical study on hospitals’. Verslas: Teorija ir Praktika, 20(1), pp.179-186.

Boon, C. et al. (2017) ‘Integrating strategic human capital and strategic human resource management’. The International Journal of Human Resource Management, 29(1), pp.34–67.

Choi, B., Ravichandran, T. and O’Connor, G.C. (2019) ‘Organizational conservatism, strategic human resource management, and breakthrough innovation’. IEEE Transactions on Engineering Management, 66(4), pp.529–541.

Collings, D.G. et al. (2021) ‘Strategic human resource management and COVID‐19: Emerging challenges and research opportunities’. Journal of Management Studies, 58(5).

Fahim, M.G.A. (2018) ‘Strategic human resource management and public employee retention’. Review of Economics and Political Science, 3(2), pp.20–39.

Iqbal, A. (2019) ‘The strategic human resource management approaches and organisational performance’. Journal of Advances in Management Research, 16(2), pp.181–193.

Jiang, K. and Messersmith, J. (2018) ‘On the shoulders of giants: A meta-review of strategic human resource management’. The International Journal of Human Resource Management, 29(1), pp.6-33.

Sareen, D. (2018) ‘Relationship between strategic human resource management and job satisfaction’. International Journal of Current Research in Life Sciences, 7(03), pp.1229-1233.

Wilkinson, A. (2019) The SAGE handbook of human resource management. Los Angeles ; London: Sage.

Wright, P.M. and Ulrich, M.D. (2017) ‘A road well traveled: The past, present, and future journey of strategic human resource management’. Annual Review of Organizational Psychology and Organizational Behavior, 4(1), pp.45–65.

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