Introduction
Human resource management (HRM) is one of the critical business aspects that determine the competitiveness of an organization in the contemporary world. Employees are significant in the implementation of policies and creation of a brand for the company in any industry. Therefore, it is paramount for a firm to recruit the best talents, train and strive to retain them within the organization to ensure a sustainable competitive advantage. This paper outlines the process of selecting, hiring, training, motivating and retaining workers in a company with specific reference to Wal-Mart Inc.
Recruitment and selection of employees
Wal-Mart Inc. HRM employs various strategies to recruit individuals based on the needs of different positions in the company (Peterson 2005, p 86). Moreover, it focuses on the retail industry-specific methods when selecting their workers. Wal-Mart Inc. is a multinational firm and therefore operates globally making this the basis for their hiring strategies. The organization applies the local factors in identifying the best possible talents (Thomson 2010, p 23). Wal-Mart Inc. uses online recruitment, direct hiring, and recruitment through various academic institutions. The HRM recruitment strategies make sure that the firm gets access to a group of diversified people (Bal and Dorenbosch 2014, p 43). Online techniques increase the number of applicants and referrals enhances the quality of professionals employed. The methods used by the retailer put the firm in a vantage position regarding human resource competitiveness (Peterson 2005, p 86). Wal-Mart Inc. decentralizes its recruitment program to its various subsidiaries from which the branch selects from the local job market.
The selection criterion
The selection criterion at the Wal-Mart Inc. is divided into four main steps. The first stage involves the background check on the applicants which entails reviewing the educational background, professional experience, and personal interests. Secondly, the selection panel looks at the candidate's knowledge, skills, and capabilities (Bal and Dorenbosch 2014, p 43). The stage ensures that the person chosen is highly competent to efficiently perform in this position based on Wal-Mart Inc. needs and standards. The third section of the process is a determination of organizational fit (Thomson 2010, p 23). The applicant must possess the values and behaviors that are similar to those of Wal-Mart Inc. such alignment provides an opportunity for easy integration of the employee into the firm's structure, vision, and culture (Peterson 2005, p 86). Finally, the selection team is identifying the applicant's willingness to work with Wal-Mart Inc. The new employee should also depict the desire to accept the terms of engagement with the company.
Wal-Mart's Employee Training and Development
An excellent human resource is not only built on the recruitment of the best talents around but also depends on the organization's ability to improve the quality of the workers and allow them the opportunity to grow both professionally and personally (Bal and Dorenbosch 2014, p 43). Wal-Mart Inc. conducts a needs analysis for its entire workforce to reveal the suitability of the employees to the business and the level of satisfaction they get from the working environment. All the information concerning staff from all Wal-Mart Inc. locations across the world is sent to the HRM department at the headquarters in the USA (Freeman et al. 2011, p 486). From, here, decisions are made concerning the changes that should be implemented to maintain the company competitiveness (Thomson 2010, p 23). The most targeted areas with the Wal-Mart Inc. training program are sales department. The effectiveness of this process is evaluated through sales personnel performance. The HRM conducts both online and a face-to-face training to the employees. However, physical engagement and instructions are more preferred over the online one.
Apart from organizational training, Wal-Mart Inc. HRM supports its staff to attend seminars and workshops that promote skills and capabilities development of the workers. The company is always committed to offering opportunities to career growth for all interested staff (Peterson 2005, p 86). Additionally, the retail firm assesses individual career and determines his/her development through their performance and positive reports from the store supervisors and managers.
Reward Structure and Motivation
The reward structure of the organization is based on a well-laid performance appraisal system. The program provides feedback to the employees informing them of their progress and ways to improve their productivity in the company (Freeman et al. 2011, p 486). Wal-Mart Inc. has HR software which analyzes the performance of individuals and teams working for the enterprise. The outcome of this evaluation is used to determine the career development path for the workers as well as the basis for reward. However, to achieve fairness, different HR standards are applied for various locations (Bal and Dorenbosch 2014, p 43). Criteria such as quality of customer services, sales volume, efficiency of the supply chain, and effectiveness of the entire business process are used.
Wal-Mart Inc. recognizes that a motivated workforce is a productive one and therefore gives priority to employee satisfaction and individual-organization fit (Bal and Dorenbosch 2014, p 43). The compensation of workers primarily depends on the job level relative to the company structure (Thomson 2010, p 23). Moreover, personal and team performance is also paramount in influencing the rewards to the Wal-Mart Inc. staff. Apart from salaries and wages, the business also uses other forms of incentives to boost employees' morale and improve their productivity (Peterson 2005, p 86). Such techniques include the end of year awards to the best performance based on the appraisal results, promotion from one job level to a higher position, and profit sharing (Freeman et al. 2011, p 486). Wal-Mart Inc. was ranked among the top 100 places at work by Forbes, making it one of the most outstanding companies regarding employee welfare maximization (Peterson 2005, p 86). Its reward initiatives have also paid off significantly, and this is evidenced by the rapid global growth of the retail giant (Thomson 2010, p 23). The properly compensated staff has enhanced the firm's competitive advantage over its rivals in the industry.
Retention
A useful HRM is not only gauged by its capacity to hire highly qualified and talented workforce but also based on the ability to retain these employees for an extended period. One of the benefits of having a worker for long is that he gets to learn and master the organizational structure and culture (Freeman et al. 2011, p 486). Additionally, such employees have a host of experience in the business process specific to the firm. The ability to retain them in the company saves on finances, skills, and talents necessary for achieving the most needed competitive advantage (Peterson 2005, p 86). Wal-Mart Inc. uses a combination of approaches to make sure that it holds on to its workers. Recognition of individual performance is a vital technique applied by the company to attain a high rate of retention. Another method is through benefits based on the employee's position and status; this motivates the workers to strive to grow the ranks to gain more (Peterson 2005, p 86). Finally, Wal-Mart Inc. also advances incentives to its staff according to levels in the organization's leadership structure.
Conclusion
In summary, Wal-Mart Inc. has shown that HRM is a basis for achieving a sustainable competitive advantage in the retail industry. The organization's recruitment and selection strategies ensure that it hires a skilled workforce. Wal-Mart Inc. also trains its staff to fit within the firm's requirements and offers incentives and rewards to motivate and retain its employees.
References
Bal, P. and Dorenbosch, L. (2014). Age-related differences in the relations between individualized HRM and organizational performance: a large-scale employer survey. Human Resource Management Journal, 25(1), pp.41-61.
Freeman, R., Nakamura, A., Nakamura, L., Prud’homme, M. and Pyman, A. (2011). Wal-Mart innovation and productivity: a viewpoint. Canadian Journal of Economics/Revue canadienne d'économique, 44(2), pp.486-508.
Peterson, C. (2005). Employee retention: The secrets behind Wal-Mart are successful hiring policies. Human Resource Management, 44(1), pp.85-88.
Thomson, G. (2010). High-Performance Organizations: The Wal-Mart Stores Inc. Case Study. SSRN Electronic Journal.
