OTHM LEVEL 7 DIPLOMA IN STRATEGIC MANAGEMENT AND LEADERSHIP | ASSIGNMENT BRIEFS

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Learner Name Susan Vilogini Sellathurai

Learner Registration No.      
Study Centre Name      
Qualification Title DIPLOMA IN STRATEGIC MANAGEMENT AND LEADERSHIP
Unit Reference No. R/617/5012
Unit Title Strategic Human Resource Management    
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1. I declare that the attached submission is my own original work. No significant part of it has been
submitted for any other assignment and I have acknowledged in my notes and bibliography all
written and electronic sources used.
2. I acknowledge that my assignment will be subject to electronic scrutiny for academic honesty.
3. I understand that failure to meet these guidelines may instigate the center’s malpractice
procedures and risk failure of the unit and / or qualification.

       
___Signed______________ _________________
Learner signature Tutor signature
Date: 07th June 2021      Date:      
 Assessment Marking Sheet
OTHM Level 7 Diploma in Strategic Management and Leadership (RQF)
Strategic Human Resource Management (F/616/2725)
(Please tick the appropriate Box)

Learner OTHM Registration Number

Pass
Final Result
Refer

Pass Grading Criteria

Learning Outcome Assessment Criterion Pass/refer Assessor comments
1. Understand the 1.1 Critically justify the importance of human resource
role of management in organisations.
management of 1.2 Assess the role and purpose of the strategic human resource
human resources. management function and activities in an organisation.
1.3 Evaluate how human resource management is related to
other functional areas.
4. Be able to create 2.1 Assess the business factors to consider before human
a human resource planning.
resource plan for 2.2 Determine human resource requirements in different
an organisation. organisational contexts.
2.3 Develop a human resource plan for an organisation.
7. Understand the 3.1 Explain the purpose of human resource policy.
role of legal and 3.2 Assess the impact of regulatory and legal requirements on
ethical issues in human resource policies in an organisation.
developing 3.3 Assess the impact of business ethics, CSR, and
human resources sustainability requirements on human resource policies for
policy. an organisation.
10. Be able to plan 4.1 Critically analyse the impact of an organisational strategy,
develop human structure and culture on the management of human
 resource resources.
strategies. 4.2 Develop a structured, relevant and comprehensive HR
strategy.
4.3 Critically monitor the effectiveness of human resources
management.
13. Understand 5.1 Critically evaluate the relationships between business
HRM approaches strategy and human resource management.
within 5.2 Explain the implementation and measurement of HR
organisations and approaches using relevant metrics.
their 5.3 Monitor and evaluate a human resource strategy that
relationships supports organisational mission, vision, values and
with objectives.
organisational
performance.
STRATEGIC HUMAN RESOURCES
MANAGEMENT

LONDON CLUB HOUSE

ASSIGNMENT

Student
Susan Vilogini Sellathurai

OTHM LEVEL 7 DIPLOMA IN

STRATEGIC MANAGEMENT
AND LEADERSHIP
Contents

TASK 1 - BRIEF REPORT.......................................................................................................7

1.1 INTRODUCTION......................................................................................................19
1.2 CURRENT ISSUES IDENTIFIED............................................................................19
1.3 IMPORTANCE OF STRATEGIC HR MANAGEMENT........................................19
1.4 SHRM AND ITS ADDED VALUE TO LCH...........................................................19
1.5 STRATEGIC HR SERVICES TO LONDON CLUBHOUSE..................................20
1.6 FACTORS TO CONSIDER BEFORE RENOVATION...........................................20
1.7 PRELIMINARY HR REQUIREMENTS FOR LONDON CLUBHOUSE..............21
TASK 2 – HR PLAN AND MEMO........................................................................................22
2.1. HR PLAN – DETERMINE HR NEEDS...................................................................23
2.2. RECRUITING STRATEGY......................................................................................24
2.3. INTERVIEWING AND HIRING PROCESS............................................................25
2.4. RECRUITING STRATEGY......................................................................................27
2.5. RECRUITING STRATEGY......................................................................................27
2.6. MEMO.......................................................................................................................29
2.7. IMPACT OF POLICES ON ETHICS AND CSR.....................................................32
TASK 3 – HR PLAN AND MEMO........................................................................................33
3.1. IMPACT OF MANAGEMENT AND LEADERSHIP THEORIES ON
ORGANISATIONAL STRATEGY.....................................................................................34
3.1.1 Maslow’s Management Theory..........................................................................34
3.1.2 Theory X and Theory Y Management Theory...................................................35
3.1.3 Transactional and Transformational Theories....................................................36
3.2 ORGANISATIONAL STRATEGIES, STRUCTURES AND CULTURE...............37
3.2.1 Impact of organizational Strategies on the Management of HR.........................37
3.2.2 Impact of Organizational Structure on the Management of HR.........................38
3.2.3 Impact of Organizational Culture on the Management of HR............................39
3.3 LEADERSHIP AND MANAGEMENT ON STRATEGIC HRM............................41
3.4 CULTURE AND STRUCTURE AND THE IMPACT ON PROJECTS AND
STAFF MOTIVATION........................................................................................................42
3.5 DEVELOP, MONITOR AND EVALUATE LEADERSHIP STRATEGY..............43
4 REFERENCE.................................................................................................................46
Hello Everyone, I am Susan Sellathurai and I am representing the company HR Consulting
Services. The club’s mission and vision have been to provide high-quality hospitality at
affordable prices, which has not been attained in recent years. So today I will be presenting
you the importance of Strategic Human Resource Management (SHRM) and how London
Club House could add value to the Club House and explain what Strategic Human Resource
services we could provide. And also the factors that the Club House should consider before
embarking on the renovation and restructure and HR requirements for the organisation
considering the new contract.
1. The fox and hound - very dated and largely unused waiter service cocktail bar

2. 4 function rooms (no in-built meeting room equipment)

3. Rooms have not been refurbished in quite a while.

4. Renovation and maintenance to furniture, fixtures and fittings.

5. Reservations and front office, are still on excel spreadsheet

6. A manual process is used for creating reservation

7. Inefficiency of the systems in place.

8. Defined hierarchy and staffing structure in the departments

9. Staff are not encouraged to make decisions

10. Lack of opportunities and poor training as

11. Staff are not happy with their manager

• Aligning of Club House Strategies and HRM strategies.

• Club House Employee Performance towards achieving its goal

• Creating value & Culture to the Club House

• Efficient Human Resource Management

 Few key factors make SHRM important to the LCH. Globalization, or globalisation, is the
process of interaction and integration among people, companies, and governments
worldwide, Since LCH deals with people from different countries.

 Significant Technological Change - Booking systems, (booking.com, Travel Agents

websites, etc, Assets managing systems, HRIS system, Google ads, Social Media has to be
adopted to be in the market nowadays.

 The economic trend is about how the country economy works in the particular country, its
GDP Growth and Political Changes.

 Talent Shortage happens almost in all the industry. SHRM has to play a huge role in
getting the talented at affordable salary is the key. This will also push the HR to hire new
bloods to the company and train them in the hospitality field to minimize the effect of
talent shortage. Also need to consider AGE, Gender and Population of the state to during
the recruitment.

 Because of this, SHRM is very important to LCH

1) To develop Strategic Competencies: to make sure that the LCH needed standards and
competent and highly motivated employees for achieving sustainable competitive
advantage.

2) To give Sense of Direction: It guides LCH in the right direction so that the business
requirements of the LCH and the individual as well as the cooperative requirements of
its employees are met by creation and attainment of consistent and reasonable HR
policies and programmes.

3) To achieve Integration: Target of SHRM is to give a united framework, so that the

organized HR system works synergistically in accordance with the LCH strategic
objectives.

4) To formulate Business Strategy: by focusing on the measures through which the

organization can use the power of its human resources for the increasing benefits.
 A better Job Analysis to be done to understand the employee shortage, recruiting them,
train them and motivate them to perform well.

 Create an environment for all employees to work together as a team and work effectively
with the management.

 Continuously analysing the competition and its market for any change required to have a
competitive advantage.

 To give employee a feeling of accountability responsibility and proud at work.

 To create a better working environment and career growth within the organisation.
How does the industry work in the current situation on Growth and Decline and the cost to
maintain a labour from hiring to retirement? It is also to focus on the location of the business,
if it a high demanded state or not. It is also important to focus on IT because it plays a major
role in terms of advertising and online bookings.

Also we need to focus on how to increase the productivity and the efficiency of the current
employees through Training and Development. We need to analyse the competition around
the business and how the competitor do businesses. Also we need to focus on Labour demand
and supply and their salary packages. Also we need to forecast on the career growth of
employees.
Proposed Organisational Structure

 Senior Level
 Professional Level
 Junior Level
Firstly we need to do a thorough job analysis to find out the gaps in the process, to find out if
need to create some positions or get rid of some positions to make the process smooth and
fast. Once the Job analysis is done, we need to create job description for all the post and do
any amendments for the existing posts. Once the Job description is done, the finally we need
to do the job specification. It means who will suit this position. i.e. Education, Experience,
Age, Gender, Height etc.
Staff training is an important part as well as the key task of Human Resource Management. It
is the vital path of motivating employees and increasing productivity in the business of LCH.
Employee training and development are the key tasks to help everyone to be more united and
work as a team. LCH could hire experienced employees or train employees to be skilled.
When the LCH trains their own staff, by providing and forming a pleasant atmosphere,
accurate work specification and the passion of work, team spirit will be built between
employees and management team within the process at LCH.
 Determine HR outcomes, Identify HR strengths & weakness, and improve
weaknesses

 Increased emphasis on accountability & Professional responsibility to show

effectiveness HR

 Goal Based evaluation is to find out whether the given goal has been achieved on
the given timeline or not. And process based is to see if the employees are following
exact process protocols given by the management. Also we need to monitor them via
regular reports and meetings and continuous reviews.
TASK 1 - BRIEF REPORT
1.1 INTRODUCTION

The HR Consultancy Service provides a fully fledge SHRM solutions to the London Club
House. This SHRM enable the company to hire skilled, committed and well-motivated
employees to achieve a sustained competitive advantage while accomplishing London
Club House’s Vision and Mission. According to Armstrong (2011), the fundamental aim
of strategic human resources management is to generate strategic capability by ensuring
that the organization has the skilled, committed and well-motivated employees it needs to
achieve sustained competitive advantage.

1.2 CURRENT ISSUES IDENTIFIED

The HR Consultancy identifies few serious issues pertaining to the report which are
namely, unused and Outdated Service Cocktail bar, Function Rooms without equipments,
Outdated Interior and Renovation, Manual booking using Excel Process, inefficiency of
the systems, Hierarchy and staffing structure, Decision making, Opportunities and
training & Unhappy employees with current management.

1.3 IMPORTANCE OF STRATEGIC HR MANAGEMENT

Importance of Strategic HR Management is to align the Club House Strategies and HRM
strategies to work together to achieve the LCH Vision and Mission. It also helps Club
House Employees Performance towards achieving its goal with minimum resources. It
helps create organisation value & Culture to the Club House while maintaining an
efficient Human Resource Management.

1.4 SHRM AND ITS ADDED VALUE TO LCH

Few key factors make SHRM important to the LCH. Globalization, or globalisation, is
the process of interaction and integration among people, companies, and governments
worldwide, Since LCH deals with people from different countries. Significant
Technological Change - Booking systems, (booking.com, Travel Agents websites, etc,
Assets managing systems, HRIS system, Google ads, Social Media has to be adopted to
be in the market nowadays. Cross-cultural factors - LCH will be dealing with employees
and customer with different cultural background and it’s important to understand the
importance of it and practice one culture that will be mutual for everyone. The economic
 trend is about how the country economy works in the particular country, its GDP Growth
and Political Changes. Talent Shortage happens almost in all the industry. SHRM has to
play a huge role in getting the talented at affordable salary is the key. This will also push
the HR to hire new bloods to the company and train them in the hospitality field to
minimize the effect of talent shortage. Also need to consider AGE, Gender, and
Population of the state to during the recruitment.

1.5 STRATEGIC HR SERVICES TO LONDON CLUBHOUSE

The following services will be offered to LCH. It will help to develop Strategic
Competencies: to make sure that the LCH needed standards and competent and highly
motivated employees for achieving sustainable competitive advantage and to give Sense
of Direction: It guides LCH in the right direction so that the business requirements of the
LCH and the individual as well as the cooperative requirements of its employees are met
by creation and attainment of consistent and reasonable HR policies and programmes.
Also to accomplish Integration: SHRMs target is to give a united framework, so that the
organized HR system works synergistically in accordance with the LCH strategic
objectives and to create Business Strategy: by concentrating on the measures through
which the organization can use the power of its human resources for the increasing
benefits.

1.6 FACTORS TO CONSIDER BEFORE RENOVATION

It is significant to consider factors before stepping towards renovations. Firstly to see

how does this industry work in the current situation on Growth and Decline. Need an
evaluation on the industry. Secondly the cost to maintain an employee from hiring to
retirement. Thirdly, it is also to focus on the location of the business, if it a high
demanded state or not. Fourthly, it is also important to focus on IT and Social Media
because it plays a major role in terms of advertising and online bookings.

Also we need to focus on how to increase the productivity and the efficiency of the
current employees through Training and Development. We need to analyse the
competition around the business and how the competitor does businesses. Also, we need
 to focus on Labour demand and supply and their salary packages. And we need to
forecast on the career growth of employees.

1.7 PRELIMINARY HR REQUIREMENTS FOR LONDON

CLUBHOUSE

The performance of the London Club House depends on the Human Resources
completely. It has be forming the Senior Level to Junior Level. Organizational
performance refers to the effects of various organizational processes which take place in
the form of its routine operations (Hussein et al., 2014). Below structure is shown the HR
Plan for London Club House after a complete study and conducted job analysis for each
department. Once the Job Analysis done, recruitment has to happen to recruit very
competitive, highly skilled & motivated employees to the London Club House. And it’s
advised to do analysis on the person on Education, Age, Criminal Records, Dependability
and Physical fitness which highly needed for the London Club House.

Employee training and development at London Club House could be a challenging task
for HR. Almost all the department needs training on all areas pertaining to hospitality. A
proper investment on Training and Development is key. According to Jehanzeb &
Bashir, (2013) organizations are investing more than $126 billion a year on employee
training and development.

Once the Recruitment, Selection and Training is given, it is significant to evaluate the
performance of the employees to identify the gap of the employees and to Determine HR
outcomes, Identify HR strengths & weakness, Identify and improve weaknesses, Justify
use of resources & strategy, Increased emphasis on accountability & Professional
responsibility to show effectiveness HR. The monitoring and evaluation of the
performance of the employees will be on Goal-based evaluation, Process-based
evaluation, Outcome-based evaluation, Regular reports, Meetings, Quality circles,
Progress reviews & Milestones.

There are many reasons which emphasize the need to evaluate the training and
development particularly demand of executives against the amount spent and hours
consumed along with the impact of the training on organization. Economic slump in the
global market is another reason for evaluation, which has increased competition for
scarce resources. (Ahmad and Din, 2021)

TASK 2 – HR PLAN AND MEMO

2.1. HR PLAN – DETERMINE HR NEEDS

According to Cascio (1992), human resource planning can be defined as effort to

anticipate future business and environmental demands on an organization, and to
provide the employees to fulfil that business and satisfy those demands. The London
Club House will have to go through 5 stages of HR plan to ensure the company
strategies are met. These stages will ensure a smooth HR planning and implementation
to have a competitive advantage and performing organisation.

Determine Human Resource Needs

Determine Best Recruiting Strategy

Interviewing and Hiring Process

Training and Development

Performance Appraisal

First of there is a need to Determine Human Resource Needs. This part is deeply
involved with the strategic plan of London Club House. We need to understand the
growth or decline is expected in the organization, how will this impact the workforce
and what is the economic situation and finally what are our forecasted sales for next 5
years for the London Club House.
2.2. RECRUITING STRATEGY

Second, Determine Best Recruiting Strategy. Recruitment strategies contribute in the

implementation of managerial functions in an operative manner (Recruitment and Selection,
2016). Once we have a plan in place, it’s necessary to plan down a strategy addressing how
HR Consultancy will recruit the right people at the right time for the London Club House. As
per the below figure, LCH needs to focus on 3 layers when recruiting. The first Layer which
is Senior Level, where need to hire 4 managers who has experience and skills on the job,
where they can perform well with less supervision bring in sales. When selection of the
employees takes place, it is vital to ensure that they possess the desired qualifications, skills
and abilities that are required to perform the job duties in a well-organized manner
(Recruitment and Selection, 2016).

Figure 1

Second layer, who are professional level, LCH need to hire 5 staff to carry on the task set by
management or senior level. These people are well trained on motivating employees and
know how to get the job done. Hiring these people will be based on how best they follow
system process and take decisions to quickly to solve problems.
The third layer the junior layer, who will have technical experience, with the attitude of
learning and developing them self. In this layer, employees will know what is expected from
them and what need to be done. These employees will follow the instruction and process set
by the layer above them. These layer are very important to the LCH because most of the time
these people deal with customers directly. Below are the ways LCH could advertise their
vacancies to find best in the market.

Ways of Advertising and Recruiting

Junior Level / Professional Level Senior Level

 Job Ads – Job Sites  Job Ads in LinkedIn  Executive Search Process
 Company Websites  Head Hunting  Head Hunting
 Recruitment sites  Recruitment Companies  LinkedIn Jobs
 Paper Advertisement  Employee referral.  Job Offers
 Facebook ads  Company Websites
 Campus Recruiting
 Career Fair
 Recruitment companies
 Internship Programmes

2.3.INTERVIEWING AND HIRING PROCESS

Thirdly Interviewing and Hiring Process have to be done carefully. Once LCH has all the
potential candidates, LCH needs to conduct proper selection process, which is interviewing
and hiring of candidates.

This is a process in which a potential employee is evaluated & assessed by LCH for
prospective employment. This process, the LCH hopes to determine whether the applicant is
appropriate for the role. A job interview precedes the hiring decision and is used to evaluate
the candidate. Thereafter the interview is preceded by the evaluation of applied resumes from
interested candidates, then shortlisting a small number of candidates for interviews. The job
interview is one of the most useful tools for evaluating and assessing potential employees.
This candidate to know about LCH culture and demands of the job.
For Junior Level from the selection level to Hiring will have a long process which has been
show below.

Bulk CV Received Short list Cvs/ Pre Selection Telephone Interview

Personal Interview Assessment Centre Final Interview

Acceptance of the Job Hired

For Professional Level from the selection level to Hiring will have a different way to hire
employees.

Bulk CV Received Short list Cvs/ Pre Selection Telephone Interview

Final Interview Acceptance of the Job Hired

For Senior Level from the selection level to Hiring will have simple hiring process.

Telephone Interview Final Interview Acceptance of the Job Hired

Attributes of the Candidates has higher impact on the organisation. Thus, the selection has to
be 100% accurate. HR Consultancy suggest that attributes shown below are critical in terms
of evaluating the candidate.

General - Mental Aptitude: Applicants’ capacity to learn and process information

Traits: - Personality: Diligence, cordiality, emotional stability, extroversion, openness
to new learning and experience
- Interests, goals and values: Applicants motives, goals and vision
Experiential - Experience: job-relevant knowledge from prior experience
Factors: - Education: Job-relevant knowledge from prior education
- Training: job-relevant knowledge from prior training

Core Job - Declarative knowledge: Applicants’ learned knowledge

Elements: - Technical skills and abilities: Applicants’ ability to complete the tasks
required to do the job
Motivation: Applicants’ willingness to use the effort required to do the job

2.4.RECRUITING STRATEGY

Fourthly, need to prepare the Training and Development to the hired employees. “Training,
in the most simplistic definition, is an activity that changes people’s behaviour” (Mccleland
2002, 7). Based on the Strategic Plan of SHRM, Hospitality training? What training needs are
arising? Is there new software that everyone must learn? Are there problems in handling
conflict and issues? Whatever the training topics are, the LCH should address plans to offer
training in the HRM plan. According to Bell et al. (2003) training is one of the most
appropriate ways to increase the productivity of individuals and meet organisational goals.

For the training and development, there will be more methods in order to train the new
recruits. The methods are below.
1. Indoor Training
2. Out Door Training
3. On the Job Training – Job Rotation
4. Team Building
5. Public Workshop and Seminar

2.5.RECRUITING STRATEGY

Finally, once the Training is given, it is significant to do Performance Appraisal. LCH has
to monitor the results of the investment of time, expertise, and energy, and compares those
with the LCH Strategies. This appraisal will aid LCH to determine HR outcomes, Identify HR
strengths & weakness, Identify and improve weaknesses, Justify use of resources & strategy
& increased emphasis on accountability. There will be methods to monitor the Performance of
the employees. Those are Goal-based evaluation, Process-based evaluation, Outcome-based
evaluation, Regular reports, Meetings and progress reviews.

LCH can monitor the Performance by using Goal-based evaluation, Process-based evaluation,
Regular reports, and Meetings & Progress reviews. Below are the breakdown which has to be
used to evaluate the employees of the LCH.

Senior Level Professional Level Junior Level

Process-Based Evaluation Process Based Evaluation

Regular Report to the Meetings with the Manger
Goal-Based Evaluation
Management Progress Review

To find out overall To find out whether the

To find out overall
department target and process or carried out or
department target is
process are achieved or not. not. Individual targets are
achieved or not. It has not
It has not be monetary met or not. Individual
be monetary valued.
valued and process development has happened
improvement. or not.
2.6. MEMO

To - All Employees of LCH

From - HRM Department

CC - Board of Directors, Trustees and Members

Date - 01st June 2021

Subject - Benefits of HR policies

HR policies is a written guidance for employees and managers on how to handle an array of
employment issues and disputes. At London Club House, it plays a significant role in
practically and effectively implementing LCH HR Strategy. They also deliver consistency and
transparency for employees and managers, guiding to enhance the psychological contract and
create a positive organisational culture.

HR Policies will communicate values and expectations for how things will be done at LCH
and keep the LCH in compliance with legislation and deliver protection against employment
claims. This will implement best practices appropriate to the LCH and support fair and steady
treatment of staff, fairness and transparency. It will also help management to make decisions
that are consistent, uniform and predictable.

These policies of LCH should contain the below factors relating to the Acts that has been
formed by the Government to safe guard both the Employees and Employers. A firm cannot
sack an employee without any procedures and steps followed to fire him. There should be
informal meetings, formal meetings, verbal warnings, written warnings and grievance
procedures. LCH Policies should have a clear guidelines and should be freely available to
read.

• Recruitment and Selection

• Health and Safety
• Equality and Diversity
• Pay; Rewards, Benefits And Expenses
• Working Time and Time Off
• Training And Development;
 • Maternity/Paternity
• Bullying and Harassment
• Discipline, Dismissal and Grievance;
• Performance Improvement
• Confidentiality of Information;

National Minimum Wage

Act became law in 1999,

• Payment based on recommendations of the Low Pay Commission
• Three rates of pay that may be applicable:
- The main NMW rate applies to workers aged 22 and over
- The NMW development rate applies to 18- to 21-year-olds
- The third NMW rate applies to 16- to 17-year-old workers
Who are above school leaving age (not apprentices)

Employment Equality (Religion or Belief) Regulations 2003

The Act provides protection against discrimination of an employee or job candidate on the
grounds of their religion or belief. The regulations provide protection against harassment or
victimisation.
– Harassment – unwanted conduct that violates people's dignity or creates an
intimidating or offensive atmosphere
– Victimisation - treating people less favourably because of something they have
done under or in connection with the regulations
There are limited exemptions from the regulations, for example the appointment of a church
minister where the applicant is restricted to a particular faith.

Employment Equality (Sexual Orientation) Regulations 2003

These regulations apply to discrimination on the grounds of orientation towards persons of the
same sex (lesbians or gays), the opposite sex (heterosexuals) and the same and opposite sex
(bisexuals). The regulations cover direct or indirect discrimination on the grounds of sexual
orientation and the sexual orientation of someone with whom the person associates or works.
The regulations also now provide protection for a civil partner as an equivalent to a married
employee for employments rights such as vocational training or paternity leave.

Employment Equality (Age) Regulations 2006

• These regulations apply to all employers in the private and public sectors.
• The regulations cover employees and other workers, office holders, partners of firms
etc. of any age.
• The regulations affect all areas of employment including:
- Recruitment, terms and conditions, promotion and transfers
- The provision of training
- Provision of benefits
- Dismissal
- Retirement
- Occupational pensions
• The legislation provides for a standard retirement age of 65.
– Compulsory retirement ages below 65 are normally not justified.
– In addition, employees have the right to request to work beyond that age.

Termination of Employment of Workmen (Special Provisions) Act, No. 45 of 1971.

No employer shall terminate the scheduled employment of any workman without –

(a) The prior consent in writing of the workman; or (b) the prior written approval of the
Commissioner. (MADIHAHEWA, 2021)

For the purposes of this Act, the scheduled employment of any workman shall be deemed to
be terminated by his employer if for any reason whatsoever, otherwise than by reason of a
punishment imposed by way of disciplinary action, the services of such workman in such
employment are terminated by his employer, and such termination shall be deemed to include
- (a) non-employment of the workman in such employment by his employer, whether
temporarily or permanently, or (b) non-employment of the workman in such employment in
consequence of the closure by his employer of any trade, industry or business.
(MADIHAHEWA, 2021)
Where any employer terminates the scheduled employment of any workman by reason of
punishment imposed by way of disciplinary action the employer shall notify such workman in
writing the reasons for the termination of employment before the expiry of the second
working-day after the date of such termination. (MADIHAHEWA, 2021)

2.7. IMPACT OF POLICES ON ETHICS AND CSR

LCH management respect employees’ personal side which should be respected and not
disclosed and also promise of protection of personal life. LCH management will value
all employees’ Religious beliefs, Political beliefs and Social beliefs. LCH Management
department will exhibit individual leadership as a role model for maintaining the highest
standards of ethical conduct. LCH Management will be ethically responsible for
promoting and fostering fairness and justice for all employees.

LCH Management protects the rights of individuals, especially in the acquisition and
distribution of information while ensuring truthful communications and facilitating
informed decision-making. LCH Managements also improves Premises and equipment,
be an attentive management, helping to improve working conditions and reduce stress at
work.
TASK 3 – REPORT
3.1. IMPACT OF MANAGEMENT AND LEADERSHIP THEORIES ON
ORGANISATIONAL STRATEGY

3.1.1 Maslow’s Management Theory

Maslow’s (1943) theory of motivation, Maslow says in his need hierarchy

Maslow states that there are at least five set of goals which are called the basic
needs.

Figure 1: Hierarchy of Needs (Maslow 1943)

According to the above structure LCH has to make sure that it always empower
employees to go towards the top so that as a whole company will perform. In
1943, Maslow argued that human beings have an internal needs compelling them
in the direction of self - fulfilment and personal superiority. He stated that there
are five unique position of needs and once it’s satisfy a need at one position of the
hierarchy it will have an influence on our attitude. LCH needs to focus from
Safety needs and above.

2nd layer, Safety needs is more important to all employees at LCH. The absence of
economic safety due to economic crises and lack of work opportunities, these
safety needs will manifest itself in ways such as preference for job security. This
also speaks about employment, resources, health and property.
 3rd layer, Belonging needs is about human needs to feel and have the sense of
belonging and been accepted among social groups in life they choose to belong or
finds themselves in. this could include LCH staff being respected and loved by the
colleagues, reporting manager and the organisation as whole. This will help the
staff of LCH to be more loyal towards the company.

Fourth layer is esteem needs, this layer is respect and trust: Human have a need to
feel respected, this includes the need to have self-esteem and self-respect. This
level LCH employees have to respected and trusted. Employees feel that they
needs to me respected by others. It also includes job recognitions, job satisfaction,
awards, pay increase and promotions as well at LCH.

Fifth layer is self-esteem. At this level, LCH employees seek, high recognition,
become the industry experts, highly respectable individuals in the hotel industry
where people tend to respect from all the industries. This level of needs is the
desire to accomplish everything that one can and to become the most that one can
be (Srivastava 2005, 69.)

3.1.2 Theory X and Theory Y Management Theory

In the 1960s, social psychologist Douglas McGregor developed two opposing

theories that explained how managers' beliefs about what motivates their people
can affect their management style. He categorised these Theory X and Theory Y.
This theory suits the LCH management very well in terms of leadership styles of
Managers at LCH.

If the employees of LCH dislike their work and have little motivation, then,
according to McGregor, you'll likely use an authoritarian style of management to
get things done. . McGregor called this Theory X and if the employees of LCH
take pride in their work and see it as a challenge, then you'll more likely adopt a
participative management style. Managers who use this approach trust their
people to take ownership of their work and do it effectively by themselves.
McGregor called this Theory Y.
 Figure 2: X Theory – Y Theory (Douglas McGregor 1960)

According to the above the current practise is similar to theory X, where

employees at LCH does not feel working and feels demotivated. LCH employees
feels that there managers don’t listens to them and put pressure on them. They
also feel that there is no development in the company and feels that the
management practises the Authoritarian leadership style.

3.1.3 Transactional and Transformational Theories

Transactional theories, focused on the character of supervision, organization and

group performance. These theories proposed that leadership involved using a
system of rewards and punishments. The main supporter of this theory was Burns
(1978). Transformational theories, also known as Relationship theories, focused
upon the connections formed between leaders and followers. Transformational
leaders inspire people by assisting and facilitating group members see the
importance and higher good of the task. These leaders focus on the performance
of group members, but also wanted each employee to fulfil his or her potential.
The leaders with this kind of style often have high ethical and moral standards
Burns (1978).
 Figure 3: Transactional VS Transformational Leader (Odumeru & Ifeanyi 2013)

These two theories works well with their own working environment. Both theories
has its pros and cons which also brings results to the organisation. But based on
the case study of LCH, there is no theories has been practised at LCH since there
is no results have been produced. Both theories explains that employees gets
motivated by both leadership styles, but at LCH it does not show that employees
are motivated at all to work at the LCH.

3.2 ORGANISATIONAL STRATEGIES, STRUCTURES AND CULTURE

3.2.1 Impact of organizational Strategies on the Management of HR

Organizational strategies are plans that integrate goals, policies, and actions into a
unified structure. These organizational strategies have numerous impacts on
HRM. First, the HR system is customized in agreement with the demands of the
mission. (Boxall & Purcell, 2003). One of the mission of the LCH is to improve
productivity of the employees. Productivity is seems to be very challenging at
LCH. These below strategies empowers of the employees to be productive and
efficient in order to achieve the mission of the company.

Encourage communication to promote better communication between staff of

LCH and make it easier for staff members to discuss issues with each other and
with management, which will increase productivity. HR has to create strategies to
hold regular meetings and implement an open-door policy. This gives the LCH
 employees a forum where they can discuss any problems and take quick
decisions.

Automated Systems Implementation - Processing invoices is a time-consuming

process at LCH. Furthermore, one small error can take hours of extra effort for the
LCH accounting department. HR has to install automate LCH accounts payable
processes which will save time, and improve productivity by making the entire
cycle more efficient. A quality software solution can provide a return on
investment for LCH in big way.
 
Provide incentives for Employees. LCH employees may have less of a natural
incentive than owners or management. HR has to plan and increase this by
providing monetary or other physical incentives for productivity to
increase.

Go paperless. HR has to focus on going paperless which is a big boost to the

productivity of LCH, especially in the front office (receptions). This is will make
the process more efficient and effective for the entire LCH and Reduce workloads
of employees is key. HR Should focus on how to delegate workloads that will not
affect the motivation of the employees.

Finally, a proper training and development is need to get the employees to be

productive and produce results to the LCH. Training and development process has
to be planned well to make sure it achieves company vision and mission.

3.2.2 Impact of Organizational Structure on the Management of HR

The organizational structure of LCH could influences its success. Organizational

structure defines how a business is run, which directly affects its efficiency.
Moreover, organizational structure defines how a company is managed and it
involves the employees into different tasks.
Burns and Stalker (2001) first
developed their theory on
management of innovation
In 1961. They found that, in order to
succeed the economic organization
must adapt
Its management structure to
conditions determining change or
stability in the market
It depends on.
Organizations are typically
mechanistic or organic.
Burns and Stalker (2001) first developed their theory on management of
innovation in 1961. They found that, in order to succeed the economic
organization must adapt its management structure to conditions determining
change or stability in the market it depends on. Organizations are typically
mechanistic or organic. Right now based on the case LCH has adopted
Mechanistic culture which clearly shows below. Mechanistic organisation
structure is a pyramid shaped with authority is centralised at the top. LCH also has
a similar structure formed and it follows hierarchy of command. Mechanistic
organisation structure emphasises on narrow span of control where LCH also has
the same span of control. LCH tasks are performed according to discretions and
desires of managers at the top, which is one of the symptoms of Mechanistic
Culture. Currently communication is hierarchical; orders, instructions and
commands flow from top to bottom at LCH. Most of the manager at LCH must be
expecting subordinates to obey and be loyal to superiors and the organisation. HR
 Management could work on the short falls of this mechanistic culture and adopt
organic culture as well to the existing culture.

LCH HR management will have to exercise implementing the below factors

which are symptoms of organic culture to be more productive and efficient. HR
could think of having a flat shaped with authority decentralised to lower levels of
management. Also the command could decentralised to make this easier. HR
could also divide work into general tasks. HR management has to focus on how to
synchronise individual goals with organisational goals. Also tasks are assigned to
people according to their capabilities and skills and not hierarchical positions. HR
can mane communication is a network where it flows in all directions in the form
of suggestions, advises and information rather than orders.

If HR could capitalise using both structure to the LCH, certainly it brings a good
working structure where employees will be motivated to perform well at their
given positions.

3.2.3 Impact of Organizational Culture on the Management of HR

Organizational culture refers to common principles and beliefs within an institute.

The culture helps in forming the social patterns of employees. This shared mind
means distinguishes members of a certain group from another. Organizational
culture is the way of keeping the labour force in line and adjusting them towards
the set goals in an organization (Kosiorek & Szczepańska, 2016). Administrative
culture affects the managing of HR in numerous ways.

First, it influences how recruiting decisions are made at LCH. LCH culture could
determine the kind of potential employees drawn to the organization. LCH culture
has a great influence on HR’s function of training and development. Training
refers to the practice of gaining and retaining abilities (Kosiorek & Szczepańska,
2016). Training and Development includes obtaining a set of skills essential for
furnishing an individual employee to competently execute a designated job.
Training and development allow LCH to add value to its employees. Eventually,
the LCH output is enhanced. LCH has to make sure that only knowledgeable
employees are hired. However, due to fluctuating times, these employees don’t
remain competent (Kosiorek & Szczepańska, 2016). They are required to improve
their skills time after time. Moreover, skills can become outdated and weaken in
the hospitality industry.

For the HR system, training and development are important in obtaining and
maintaining a competitive benefit throughout LCH. This way, the current skills of
LCH employees are increased placing in a better position of offering quality
service to the LCH customer. Hence the HR system will have to devote time on
training and developments (Kosiorek & Szczepańska, 2016). But in some
organizational culture, training and development are given less importance. This
is considering that within this culture, employees are considered to have limited
capacity and couldn’t be improved. Also, organizational culture determines
training content and method. For example, an organization with a role culture
concentrates on training content related to the job as opposed to personal
development. Such matter includes problem-solving skills and interpersonal skills.
This method is based on the belief that the position is more valuable than the
person filling it (Kosiorek & Szczepańska, 2016). Also, decision making is
focussed on top management. On the contrary, an organization with a task culture
aims more on team building improvement of in-group abilities.

LCH culture impacts the training method. Every culture has a certain training it
encourages. For instance, an organization with a role culture supports a formal
and one-way training method. Formal training includes an authorized, designed,
and structured format, but an organization with a task culture promotes informal
and less structured training (Kosiorek & Szczepańska, 2016). Since LCH is task
oriented culture it has to promote informal and less structured training. Informal
training is characterized by involvement discussions, giving feedback,
communication, and sharing among participants. In an informal training would
not be successful in a role culture because in such a culture many rules and
procedures are laid and overstepping them for instance by being accessible is a
violation (Kosiorek & Szczepańska, 2016). Therefore, at LCH only the formal
 training method can be efficient. This proves that LCH culture affects the
managing of HR as the culture determines which training method is accepted.

3.3 LEADERSHIP AND MANAGEMENT ON STRATEGIC HRM.

According to the above statement LCH management was practising X theory

management style which are authoritarian, repressive style, tight control, no individual
development and a depressed culture. Decision were taken by the top management and it
was time consuming process. The LCH culture was role culture. And the culture it was
practising was more like transactional leadership style where decisions were made from
the top management and there were set rules to be followed and if they perform well
reward is given and if they don’t punishment was given. Voelkl (2004) stated that the
effects of leadership and management styles on formulating strategies may be altered
under changing situations, for example, applying transactional leadership style in large
organizations is not advisable but it may be used in a small business. Therefore LCH has
to focus on Transformational leadership style to carry out their business. It will help the
employees develop themselves and take decisions easily. These leadership style always
prefer flat organisational structure. The previous management was not accepting ideas,
suggestions from employees to improve their business but mainly depending on their own
sets of skills to take decisions. But it was not working at all, it pushed the organisation to
fall further down. Since the LCH will adopt transformational leadership style and Y
theory management style, it will help LCH to be more competitive in the market as well
as to perform well in terms of productivity.

3.4 CULTURE AND STRUCTURE AND THE IMPACT ON PROJECTS

AND STAFF MOTIVATION

Based on the analysis done, LCH was practising Role Culture in the organisation. Role
Culture implies to a highly defined structured organisation in which employees have
particular delegated authorities and which are offered security and predictability (Handy
1993:185). In the previous culture, employees were not given a chance voice out their
opinion to the management. Also they were not invited for discussions or decision
 making process. They were left out of the whole process. There were not proper system
to give thoughts or ideas to improve. These practises were really demotivating the staff of
LCH.

Previous Culture of
LCH

Current Culture of
LCH

Figure 4: 4 Classes of Culture (Handy 1993)

LCH should develop a task cultured organizations where teams are formed to achieve the
targets or solve critical problems follow the task culture. In that case individuals with
common interests and specialisations come forward together to form a team. There are
usually four to five members in each team and in such a culture every team member has
to contribute equally and accomplish tasks in the most innovative way. In terms of
culture, LCH HR management will have to exercise implementing the organic structure
to be more productive and efficient. HR could implement a flat shaped structure with
authority decentralised to lower levels of management. Also the command could
decentralised to make this easier. HR can mane communication is a network where it
flows in all directions in the form of suggestions, advises and information rather than
orders. HR could also divide work into general tasks. HR management has to focus on
how to synchronise individual goals with organisational goals. Also tasks are assigned to
people according to their capabilities and skills and not hierarchical positions.

By doing this employees will be motivated to perform well. Their productivity will be
increased because they feel they are respected and valued by the management and the
 organisation. They will also feel pride in working in such an organisation and also feel
accountable for their task.

3.5 DEVELOP, MONITOR AND EVALUATE LEADERSHIP

STRATEGY

Once the full-strength HR Plan is on board; the HR should discuss in detail and agree on
the unified monitoring and evaluation system to evaluate the Leadership Strategy. This
will help in determining what reports are needed, and when to generate these reports and
the outcome of it. There is a need to develop a consensus among the LCH Department
employees whether to go for the Qualitative or Quantitative or both reporting systems.
This can also aid in developing understanding on how they will influence the different
task of the LCH and adopt response planning. To assist in developing a consensus on the
purposes of the monitoring and evaluation of leadership strategy, it may be useful to
determine the information needs of each department heads of the LCH. This information
needs assessment, can be developed in the form of a matrix and can be organized
according to the four departments of LCH and the stakeholders. This could be categorised
in to two stakeholders who are interested in the LCH Business.

Table 1 – Stakeholders

Internal Stakeholders External Stakeholders

Employees Customers
Directors Banks
Managers Suppliers
Investors Labour Departments
Trustees Government Institution

Once the stakeholders are identified, it is important to prepare the 4W’s plan to evaluate
the leadership of LCH. This will help to identified strength and weakness of the
leadership. The evaluations methods will be Goal-based evaluation, Process-based
evaluation, Outcome-based evaluation, Regular reports, Meetings and deadlines. For
each levels of employees and their tasks, these methods will be changed. These
evaluation methods can be used to see if the vision and missing of the LCH is met or
not.
 Goals-based evaluation will determine the actual outcome of a goal when compared to
the goals of the original plan. Performing a goals-based evaluation helps LCH to
further develop successful processes and either discard or reconfigure unsuccessful
ones.

A process based evaluation focuses on the implementation process and attempts to

determine how successfully the employees of LCH followed the strategy laid by the
LCH management initially. HR could check any drawbacks or improvement needs to
further fine tune the process to perform well.

Outcome based evaluation focuses on how well the tasks have been achieved. How
much resources were spent to achieve the particular task and whether its worth for the
company or not.

Table 2 – Monitor and Evaluation

Who? What? Why? When?

• CEO Qualitative and • For management • At the end of the
Quantitative reports decision financial year
on:
• HR Manager 1. Department • To monitor the • On a periodic
activities progress basis (quarterly,
half yearly, etc.)
• Department
2. Department • To help solve the to keep track of
Heads Targets problems progress

3. Department plans • To alter the LCH • Specific

• Whoever process requirement by
4. Department implementation the Audit,
interested in the
finances strategy well on Authorities
development of time
5. Department • For hiring of
the organisation
progress • To organize the new staff
(Directly and human resources
6. Lessons learned and financial • During
Indirectly)
from all above resources Performance
Appraisal
• To cater to the
emerging needs • Monthly
of the Progress Reports
stakeholders
• Financial
Reports
 • Decision making
on any formal
approval or
decline of any
amendment

These indicators are the measurement tools that help LCH to define what will be
evaluated or monitored and record the achievement of intended results of the proposed
intervention to evaluate the leadership of LCH. Both qualitative and quantitative
indicators are needed for assessing the overall impact of LCH and its activities.
Quantitative indicators are those that can be easily monitored over time and through
reporting forms. Qualitative indicators help to highlight good practices, outline the
difficulties encountered and identify gaps in check and response measures.

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