All the stakeholders of Retail Industry

1. HRM in Retail
Dr Pardeep Poriya (Asst.Professor)
Govt. College Sec 9,
Gurugram

2. Introduction
• Human resources is involved in every aspect of the employment process from
creating the job descriptions, advertising for positions, interviewing, hiring and on
boarding of new staff. Then they need to insure that all employment laws are
followed and employees are well trained and feel part of the organizational culture.
• HR professionals wear many hats in a day and the ever changing landscape of
employment law keeps them in a constant state of learning, updating and
improving. The human resources department of even the smallest retail business is
important in helping secure the right employee to fill the right job!

3. Performance Measures
• The human resources (HR) division of a business organization handles the
hiring and training of new employees and administrative duties regarding the
company’s staff. Some of the concepts human resource departments’ use to
measure performance is: productivity, employee engagement and turnover.
HR maintains records and conducts regular assessments of these
performance measures for various reasons including employee satisfaction
and keeping production high.

4. Productivity
• Productivity
• Retail productivity is the rate at which commerce is being initiated by a
business. HR management measures productivity in order to determine
competitiveness against other comparable retailers. Retail stores, as with most
modern-day businesses, are always evolving therefore; evaluating productivity
is an important component in determining what works for the company as a
whole. High productivity can lead to expansion of a retail company and have
influence over other components of an organization. Productivity is one of
the most important factors in determining progress within the retail market.

5. Engagement
• Employee engagement is the relationship employees have with their retail store and their
particular job within the business. High employee engagement has a direct correlation to
high levels of work productivity and loyalty to their retail business. If an employee is
exhibiting a high level of engagement with their company, employee morale tends to be
elevated. Many companies have come to rely on HR for organizing activities for their retail
businesses in order to keep engagement levels high. This may come in the form of
organizing social events or specialized training sessions. “Executives from around the world
say that enhancing employee engagement is one of their top five global business strategies.
Not only does engagement have the potential to significantly affect employee retention,
productivity and loyalty, it is also a key link to customer satisfaction, company reputation
and overall stakeholder value

6. Turnover
• Turnover in the human resources sector is the rate to which employees
depart a company. Human resource management may measure performance
by the increase or decrease of turnover within a retail organization. Turnover
is typically recognized as a negative connotation in most businesses because
of the cost it takes to train new employees as replacements for the employees
who leave. In some instances turnover’s drawbacks can be gauged against its
benefits.

7. Steps of Human Resource Management
• Human resource management must take various steps in order to properly execute their jobs in building a productive
workforce for their retail business. As a new employee goes through the processes of their particular job within their
retail company they would expect to be properly trained, supervised and then compensated for their work. Some of
the more modern methods of recruitment for HR teams consist of using social media to get the word out about
vacancies within a retail company. Websites like LinkedIn and Facebook are excellent tools for the creation and
circulation of job postings. Other methods include online postings with websites such as Indeed and Monster.
• Online recruitment is not necessarily inclusive for finding new hires. Another approach would be to conduct a hiring
seminar or job fair which provides the potential new recruits face-to-face interaction and a more personal
experience. Once a new employee has been recruited, the HR team will interview and then hire the prospective
employees they believe would be the best fit within their retail team. During the interviewing and hiring process it is
important for the HR manager to accommodate the qualified candidates and provide them with a positive hiring
experience. This will make for a cohesive transition into the company and can reduce possible turnover in the future.

8. TRAINING AND SUPERVISION
• The next step for HR management once new-hires have been established
and begin their experience within the retail market, would be to ensure their
employees are properly trained so that they may perform their jobs capably.
New-hires and newly promoted candidates will need some form of training
to perform their jobs and in some instances to develop their performance
and productivity. The first step for HR would be to establish what type of
training each individua

9. Compensate
Once an employee is hired and trained HR’s job is not over. They must continually constitute
determining factors for employees. In most cases in retail organizations, part time employees
are paid hourly and are typically not offered the same benefits that full time employees are
eligible.
“Compensation and benefits comprise the total rewards package that an employee receives for
performing a job. Compensation is considered direct pay, since it is the amount of money the
employee receives. Benefits are indirect pay, since they are monetary equivalents that can be
converted later into cash or used to pay for selected expenses.” HR management teams will
determine at the outset what each individual employee will be paid and communicate that
directly with bookkeepers and payroll in order to ensure employees receive the correct
compensation and benefits to which they are entitled.

10. Challenges in HRM
• Regardless of the size or type of retail store one is managing, human
resource management will face unique challenges that are exclusive to their
division of the organizational structure. Besides just turnover being a
challenge, HR might face some other issues such as organizational change,
compliance with laws and liability issues, and employee development duties
such as determining qualified candidates and employees passing background
requirements.

11. Organizational Change
• Retail organizations must continuously improve and change in order to keep up
with their competition. As with any division of a retail business HR management
should plan for the long-term and implement strategies which are conducive with
the evolving times.
• “To succeed in the market, organizations need to develop strategies and
organizational practices that allow them to be truly ambidextrous—to pursue both
incremental and radical change—on all platforms”For HR teams, change can
sometimes lead to lower morale, employee engagement and productivity. HR can
help to give employees a better understanding of why change can be advantageous
and give the retail store’s personnel an explanation of what is expected of them.

12. Liability and Compliance with Laws
• One of the other components of HR management that is ever-changing is employment
laws. Ignoring changing employment laws can mean liability on behalf of a retail company.
This could lead to lawsuits, poor corporate image or even the downfall of a retail
business. Regardless of the type or size of a retail organization HR must make compliance
with labor laws on every level a priority.
• One of the tools HR management can use to circumvent liability issues with their
employees is a personnel handbook which is typically given to an employee at the outset of
their employment. “Personnel handbooks can be considered contracts . . . policy, procedure
and administrative manuals, can also be considered contracts.”HR management might
practice the usage of broad terminology in clauses for such manuals for instance “other
inappropriate behavior” or “for any reason as deemed by management” in order to reduce
future liability issues with their employees.

13. Employee Development
• Regular human resource administrative duties include recruitment and training of
new employees and keeping up to date on development for current employees. One
of the issues faced by HR at the outset when hiring a new employee could be that a
chosen candidate may not make it past the background requirements. In this case
HR will likely have to start from scratch in the recruitment process
again. Development of current employees might consist of keeping up on
certifications or training courses for promotional candidates. Training can be costly
and time consuming. In order to provide the proper balance HR might consider
using training which can be provided online or even enlisting senior management to
provide instruction and guidance.

14. Refrences
• https://www.shrm.org/resourcesandtools/tools-and-
samples/toolkits/pages/sustainingemployeeengagement.aspx ↵
• BATT, R., & COLVIN, A. (2011). AN EMPLOYMENT SYSTEMS APPROACH TO TURNOVER:
HUMAN RESOURCES PRACTICES, QUITS, DISMISSALS, AND PERFORMANCE. The Academy of
Management Journal, 54(4), 695–717. http://www.jstor.org/stable/23045107 ↵
• Abbott, J. B. (2011). Compensation and Benefits. In W. D. Folsom (Ed.), Facts on File Library of American
History. Encyclopedia of American Business, Rev. ed. (Vol. 1, pp. 128–129). New York: Facts on File. ↵
• Järventie-Thesleff, R., Moisander, J., & Villi, M. (2014). The Strategic Challenge of Continuous Change in
Multi-Platform Media Organizations—A Strategy-as-Practice Perspective. JMM: The International Journal On
Media Management, 16(3/4), 123–138. doi:10.1080/14241277.2014.919920 ↵
• Shaughnessy, Mary Angela, SCN,J.D., PhD. (2016, Spring). Legal issues in human resources
management. Momentum, 47, 48–51,13. ↵

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