HUMAN RESOURCES MANAGEMENT

REPORT

310926/413879

ARU Student ID: 1415857/1

Date Due: 13th January, 2016.

1
Introduction
The analysis has recognized that the Flyhigh Plc is facing many issues in their airline. As the
competition is increasing day by day in the air line industry, the trouble is also increasing for
Flyhigh, from Ryanair, Easyjetand Flybe. Shortage of pilots and other crew for the
management in the company are taking place that is increasing problems in staffing. It has
affected Flyhigh very badly and restricted the company to stop the further growth plans of
the company for expansion. Flights being cancelled frequently at short notice due to illness,
which adversely affected Flyhigh, as well as destructed the reputation of the company badly
and causing frustration amongst staff. On many occasions, agency staff was the only option
to Flyhigh plc.

The main HR issues in the company

There are various issues a human resources manager will have to face in the industry, and in
this case the new manager will be facing challenges in huge level as he has taken the
responsibility to enhance the condition of flyhigh (Bulatovic, (2011, p.105).

Some of the main issues faced by HRM in flyhigh

Keegan, (2015, p.273) has commented that, several main issues that have been identified in
the flyhigh airline are; Change management is one of the issues of HRM, then the other
issue is leadership as an inappropriate leadership can create huge problem and so it can
increase the challenges of the HRM. Lack of availability of skilled labour in the company as
well as lack of proper planning, all these can generate issues that have to be faced by the
HRM in flyhigh.

Key Issues
Shortage of staffing Flights have been cancelled in the past at regular intervals resulting
in the loss of reputation of the organization. As a consequence the
organization had to resort to agency staffing a number of times.
High Staff Turnover The Managing Director of the organization has had no experience
of managing people and hence fires people at will. There is no
proper exit procedure or employee grievance redressal system in
place.
Low Morale There is a problem with the process of recruitment and the high
turnover ratio has hampered the morale of the organization. There
is no formalised wage structre and wages are increased on adhoc

2
 request.
Poor Communication There is lack of communication between the top management and
the employees.
Favioritism Key positions in the management are held by the relatives of the
managing director and hence the support is blamed for all the
wrong that takes place in the organization.

Here in this case the new head of HRM Robert Walker has to deal with all these issues for
improving the condition of the company.

All the issues need special focus. As the requirement of the airline are in a persistent state of
instability, the initial step that should be taken by the human resources manager is to
determine a technique which can permit for a customary assessment of the requirements and
then employee basis over the assessed requirements (Francis, 2010, p.240). There are
abundant diverse levels of positions from stewardess to maintenance personnel, from
executives to pilots in the industry. For recruiting successfully and therefore staff every of
these diverse requirements is possible for the human resource management; while they
formulate line of communications by every department (Grzybowska, 2011, p.67). With the
aim of accessing their particular demands and then on the basis of the assembled information
the recruitment plans should be formulated. As per the challenge of the ever-changing
requirements of the airline industry the airline human resources managers job is intricate.

Robert Walker should have organized his task for resolving the issues. After identifying the
issues he has to formulate different plans to deal with different issues. As like, change
management needs better training for development. Then proper leadership must be provided
to motivate the employees in the company. Then correct recruitment and hiring the skilled
and professional labour to improve the services and to enhance the progress of Flyhigh plc.
The HR head should have to give focus to all these issues and points to meet the objectives of
the company (Touo, 2010, p.45).

As per the research, it has been recognized that HRM of company get influenced by various
reasons. There are several factors that affect the HRM of the company. This can be
demonstrated more accurately with PESTEL analysis;

3
Political:Political factor can influence HRM of airline industry enormously; political
surroundings can control the HRM of airline and can restrict the manager to take any
significant decision. Flights can also get cancelled if any supreme authorities have asked to
do so. In Flyhigh plc, as it is a low cost airline it can easily be controlled by political power
(Whitaker, 2014, p.40).

Economic: Economical factor is also one of the significant factor as without economical
support no organization can perform its function. Here the industry is airline so it needs
bigger financial investment for generating advance and comfortable services to their
customers. As this Flyhigh company is already a low cost budget airline and with all the
problems taking place in this airline, the company is facing huge economical issue that is
influencing the condition of the HRM (Vashishth, 2012, p.160).

Social: Social factor is also a point that can influence the airline. If society is facing
inflation, they can ignore trips and travelling in flights, this can affect the industry in a
negative way, whereas when business men are acquiring proper profit they will go for
expensive flights and this may affect the industry in a positive sense. Basically, it varies as
per the demands and financial status of the society.

Technology: Technology effect the airline industry is a fact. With the introduction of new
and advanced technology the pressure of the airline industry has quiet decreased, but the low
cost budget airline like Flyhigh cannot afford such expensive technologies. This may create
effects on the reputation as well as over the demands of the Flyhigh.

Environment: The environment can control or effect the management of the airline in
many ways. Like the environment among the competitors can influence the work to perform
with more improvements. As well as following the environmental rules so that the operations
of the Flyhigh must not harm anyone, whether the users or the competitors or the society,
staff or anyone else.

Legal: Legal factor is the factor over which organization concentrates in true sense. As if
any legal element gets ignored, then the company may, subject to pay plenty for it. Flyhigh
airline follows entire legal regulation of the airline industry. But legal factors do affect the
airline industry vigorously.

4
With this complete analysis the condition of the Flyhigh airline and its HRM get apparent.
The challenges or issues of the HRM and what things are going inside the Flyhigh airline
have been understood by the learner with the analysis and preparing this report.

Changes in recruitment and selection process

Organisation recognise the crucial part their people play in achieving and sustaining a
competitive edge, and they are therefore aware of the need to attract people of the right
calibre.
Because of continuing skills shortages and the resultant war for talent, talent management
has become well established as an HR priority and continue to be recognised as being of
strategic importance even during difficult economy times (CIPD, 2009d).

Recruitment is commonly referred to as theattractive phase (e.g. Murphy. 2008b) and can be
further defind as:

All activities directed towards locating potential employees

Stimulating the interest of potential applicants
Attracting applications from suitable candidates. (Foot, M. & Hook, C. sixth ed.
March 2011)

Figure.1: Selection Procedure

Source: (Failte Ireland, 2015)

5
According to the findings of the analysis it has been recognized that modification is important
in recruitment and selection process of Flyhigh. The new head of HRM Robert Walker has to
formulate different steps for better recruitment. With the research the recommended
procedure will be;

1. Recognizing vacancy and evaluate requirement

The frist thing an organization should analyze is why the vacancy has arise in the first place.
If the problem is with the business process then the same thing will repeat itself. Before
opting for people from outside the organization should consider if the process can be
managed without the post or if anyone from the exiting workforce canbe promoted or not.

2. Job Analysis

A proper description should be developed before the commencement of the recruitment

procedure. Not only does it help to analyze the suitability of the candidate but also enables
the organization to manage employee performance. Hence a job description should have the
following:

Educational qualification
Work Experience
Skills and Knowledge
Physical Attributes
Personality/Desposition
Communication Skills
Personal Circumstances

3. Attracting Candidates

If existing employees can be employed to fill the slot, they should be given an opportunity as
the same would be cost effective and would boost the morale of the employees. However
where the vacancy cant be filled up internally the organization can approach candidiates
through various mediums like websites, recruitment agencies etc. The advertisement should
be crafted keeping in view AIDA.

4. Screening Candidates

6
Where the organization has received a huge number of applications lesser number of
candidates should be screened for a longer time to come up with the right candidate. As a
consequence various screening procedures should be in place which can narrow down the
hunt.

5. Carry out interview

The interview should be conducted using the WASP approach where there is a formal
Welcome, Aquire Information, Supply Information and Plan and Part.

6. Selecting and Appointing Candidates

For the selection of the candidates a proper assessment criteria should be developed as the
same would be able to negate the amount of subjectivity associated with the procedure. A
proper procedure should be in place for the appointment of the candidates.

7. Induction and training

An induction process is very important for an arganization as it has a long lasting impression
on the employee. On top of it, the same allows the employee to be productive in the shortest
span of time and set the attitude of the employees. There should be an on job ad off job
training program in place.

8. Appriasal

The other key point which is missing from the entire process if the evaluation of the
performance of the employees. Until and unless the performance of an employee is evaluated
a proper pay structure can not be incorporated. For instance there willbe no gorunds on which
the organization would be able to give salary hikes to its employees. Also the organization is
not aware of the underperformers hence, there is no training programs in place.

Risk and rewards of the recommended changes

There are also some risks while implementing the recommended changes in the recruitment
or selection process. As it is not guaranteed that the changes will bring the better outcome or
will meet the set objectives of the Flyhigh plc. There are possibilities that these changes can
prove to be unsuccessful and can lead the Flyhigh in more losses. Baron, and Armstrong,
(2010, p.67), said that these changes will be expensive for the company and it will be a risk
taking procedure to take loan for modification as, if the procedure or changes does not affect

7
the Flyhigh as per the assumed estimation then the company can leads towards the decline of
it.

Whereas, it is important to take risk with positive assumption as there is no other option for
the Flyhigh Plc. however if the assumption or the set objectives get meet with the
modification in the company then it will prove as a reward and this reward will help to gain
the reputation of the Flyhigh plc back and will increase the business.

Analysis of the implication for employees to the management

Even with the difficult economic circumstances, some 69% of employers were still
experiencing problems with the retention of their employees, with managers and
professionalsbeing the most difficult to retain (CIPD, 2010a) (Foot, M. & Hook, C. sixth ed.
2011)

The analysis has been conducted on the basis of SWOT and PEST analysis.

SWOT analysis:

Strength Weakness

The new recruitment process will The multi layered interview process will
strengthen the skills of the employees. be a bit time consuming for the
The employees will get equal employees.
oppoprtunities for promotion. The employees will not be provided any
Aprropriate training will improve the salary hikes until they are proven to be
performance of the employees. efficient.
The employees will receive
remunerations on the basis of their
performance.
The employees will be appointed for the
job as per their experience and skill this
will enhance their performances.
Opportunity Threats

The changes made will provide the The existing employees might face the
employees the opportunity avail suitable threat of competition projected by outside
positions based on their experience and candidates with more experience (Stone,

8
 knowledge. 2010, p.65).
With the change in the process of
operation staff will learn more and will
become more skilled
The change will let the employees to
avail equal opportunities towards career
development (Budrose, 2015, p.13).

PEST analysis:

Political:

The employees of the concern will be treated in accordance with the employment laws such
as Equality Act, Minimum Wages Act.

Economic:

The changes made will enable the employees to avail better positions and rise in salary
through improvement of skills and performance.

Social:

The proposed change will encourage employee diversity and equality. And more over, this
would allow the employees to train themselves while being educated about the culture of the
organization

Technical:

The employees will get access to new technology and they will be provided appropriate
training to handle advanced technologies employed by the organization.

Recommendations/Conclusion
To ensure success, Flyhigh must bring some chnges in its management and business model.
Some of the useful are:
It must focus on its services to meet the passengers minimum expectations.
The company should include the employees in the decision making process.

9
 As many other rivals are also following low cost strategy, Flyhigh plc can bring
certain innovations into its service process.
Internal communication should be encouraged for better transparency and motivation.
It should develop its public image by increasing Corporate Social activity.
For maintaining low cost fare, it should emphasis on the financial aspects.

The overall study is based on the case of the Flyhigh, with the study of the case the learner
will able to understand what is exactly going on in the Flyhigh Plc. The report consist the
entire analysis of the conditions, the main issues of the HRM has been identified and some
recommendations have also been provided as per the analysis of the complete case. The
recommendations have been provided to enhance the condition of the HRM and to take better
steps for change in selection and recruitment process.

10
References list

Book

Foot, M & Hook, C. (2011). Introducing Human Resources Management, sixth ed.

Baron, A. and Armstrong, M. (2010). Human capital management. London: Kogan Page Ltd.

Budrose, C. (2015). A study of refinement of the police recruitment and selection system
(Commonwealth of Massachusetts). Cambridge, Mass.

Martin, J. (2011). Human resource management. Los Angeles: SAGE.

Stone, R. (2010). Human resource management. Milton, Qld.: Wiley Australia.

Journal

Bennett, E. (2014). Introducing New Perspectives on Virtual Human Resource

Development. Advances in Developing Human Resources, 16(3), pp.263-280.

Bulatovic, J. (2011). Analysis and risk assessment resources planning project introducing
information system. IJBCRM, 2(2), p.105.

Keegan, A. (2015). Faculty Recruitment and Selection. Higher Education Abstracts, 50(4),
pp.273-273.

Francis, H. (2010). The changing face of HRM: in search of balance. Human Res Manag J,
16(3), pp.231-249.

Grzybowska, K. (2011). The social aspect of introducing changes to the organization.

International Journal of Human Resources Development and Management, 7(1), p.67.

Touo, H. (2010.). Gender Equality, Legislative Recruitment Process and Selection of Other
Political Executives in Modern Politics: Some Lessons from Cameroon. SSRN
Electronic Journal, 6(8), pp.40-50

Vashishth, M. (2012). Role of IT in HRM: Opportunities and Challenges. PARIPEX, 3(4),

pp.159-160.

Whitaker, K. (2014). Principal role changes and influence on principal recruitment and
selection. Journal of Educational Admin, 41(1), pp.37-54.

11
Appendix

Figure: 1

Processes measured in the planning and operations stage of the airlines

Figure: 2

The different factors in the air transportation industry

12
13