Critical Analysis of HRM practices on performance management of employee in China

A case study

INTRODUCTION

For quite some time now, there has been a noticeably growing enchantment with the West in
China. It is especially evident amongst the younger generation that incorporates Western
fashion, lifestyle, and cuisine into their everyday life. The well-known fast-food chain
McDonald’s is one of those Western brands that has managed to enter the Chinese market
successfully. In fact, McDonald’s is currently one of the most popular fast-food chains in this
country. Therefore, it might be interesting to see how McDonald’s in China has evolved over the
years, as well as how the Western brand managed to maintain its popularity over time.

The success of any business is dependent on the quality of its production and service which is provided
to its worthy customers. Thus, neither the quality of production, nor the efficient consumer loyalty can
be accomplished without an effective individual management strategy set up. It considers the
procurement ,development, and use of assets, including financial and also human resources, that
organizations need to deliver products and services their customers need .At
McDonald's, their employees are their most essential asset because .

 try to recruit the best, hire the best, and give the best work environment ( Scribd, 2016).

Employee Involvement in Decision Making

Involving employees in the decision-making process not only empowers them to contribute to
the success of an organization, but also saves the company time and money in increased
productivity and reduced outsourcing. using employees in the decision-making process, rather
than outsourcing, saves money, time and offers the company long-term reliable assistance
from those who know the corporation well. Hiring an outside consulting firm is expensive and
can take up valuable resources in fees and the time spent updating outside consultants in
various aspects of the company. However, employees are already aware of these processes,
offer insightful knowledge of the company needs, and understand the policies of the company
overall.

In addition to, the commitmentto their employees is shaped on the basic truth "We value you, your
growth and your contributions" andthis is, they strive to attain through their activities consistently.In
accordance with the McDonald's recruitment policy, the positions are usually advertised in the
restaurant. The organization’s recruitment history demonstrates, this is the best strategy for hiring
quality

staff, and also McDonald

’s uses local job centres, profession fairs and other local offices with the clearmessage targeted at the
right group of audience. After the final interview the manager rate the candidate’s responses. And the
successful applicant, demonstrates the skills and behaviours that have been recognized

as being key to the position. In the last McDonald’s welcome their all new workers into the business

through the welcome meeting, which they have to attend. It provides an overview of an
organization,containing, job role, food, hygiene and safety training, policies and procedures, Rewards
and training anddevelopment, etc. (Ukessays, 2015)To conclude, it can be said that the resourcing and
development are the most instrumental strategy ofMcDonald's in the achievement of its goal and stay in
their position where it stand presently.

Following are the recommendations to enhance the implementation and success of the three
strategies mentioned above:

 Performance-related initiatives: To improve and enhance the results and

success of the reward management strategy, the company must take care that there is
a higher level of fairness and equity while framing the reward structure for all the
employees. If there would be any kind of biases, then it would not offer adequate
results. The higher level of fairness and equity will motivate the employees to work
hard and improve their overall performances. Thus, there are chances to enhance the
implementation and success of the performance-related initiative by developing a
fair reward system.
 Culture-related initiatives: To improve and enhance the results and success of
the culture improvement strategy, the company must take care that there are
continuous learning programs in the organization. These programs will ensure that
the company has its emphasis upon the development of the employees and a people-
centric culture is being adopted in the organization. Thus, the training sessions will
surely enhance the implementation and success of the culture related initiative
 Engagement-related initiatives: To improve and enhance the results and
success of the decentralization and informal culture strategy, the company must take
care that there is an adequate level of authority and decision making power is being
offered to all the employees. There must be open-forum discussions which should
take place in the company so that the employees can share their views and thoughts
as well as involve in decision making. This will ensure that they are considered as a
vital part of the company and thus will improve and enhance the implementation
and success of the engagement related initiative. The employees can also provide
with feedback forms to check whether the strategy has worked or not. Assessment of
the feedback forms would help in analyzing the success rate of the strategy.

Human Resource Planning- The human resource planning is an indispensable part as it

comprehends Human Resource department to identify the current gap in the existing
manpower of the organization. Constantly increasing the number of employees in Mc
Donald clearly depicts that it is growing, expanding, and introducing new products at a good
pace (Cerrito and McLean, 2010). The need of clear recruitment policies can be easily
understood by anyone, as this is the only way to bridge the gaps by filling in the appropriate
candidate.

Recruitment and Selection Portfolio

Figure 1: Recruitment and Selection chart

Growth in productivity and financial performance due to objective selection

The
head of McDonald’s China, the head
of McDonald’s Asia, and the president of the APMEA region all started
as crew members in a restaurant.
Says Denise Broz, McDonald’s
director of global talent management, “Identifying the right people
to be future leaders and creating the
right development opportunities for
these individuals is what makes a
difference.”
Emphasis on customer focus

McDonald’s seeks out individuals with the ability to become customer focused. This theme is
emphasized in recruitment advertising and continues in preliminary screening. The right attitude is seen
as more important than technical ability. In a copycat world, the company believes that the best way to
stand out from the crowd is to satisfy all the customers, all the time. Later in the selection process, the
company also looks at specific skills and general knowledge. Applicants who pass the initial screening for
store management jobs are invited to work for three to five days in one of the restaurants before a final
decision is made. This gives applicants the chance to try out the job, and provides McDonald’s with the
opportunity to see how they function in the environment in which they will work. Both the potential
recruit and the manager under whom he or she works fill out an evaluation form which plays a large part
in determining whether a job offer should be made. The company is strongly committed to staffing
locally and promoting from within. This helps to attract people because they know they can move up if
they work hard. It also means that McDonald’s has managers who understand both the corporate and
local cultures

Importance of detailed planning

The training centers teach managers such detail as the temperature at which hamburgers should be
cooked and how to inspect restaurant facilities to ensure quality standards are met. Managers are also
taught how to give performance reviews, how to listen and what to do if a person becomes defensive.
Managers, in turn, pass the details on to their staff. The McDonald’s way of careful planning is a lesson
for every business. The multinational company can deploy its human resource talent globally to address
local concerns. This requires flexibility and creativity but the recipe is open for any company to follow.
The sheer scale of the McDonald’s operation makes it a force to be reckoned with in human resource
management. According to the company’s own calculations, McDonald’s conducts more training than
any other US organization, including the US army. A staggering one-eighth of the US workforce has
worked at McDonald’s. In its international operations, the company is clearly achieving an effective
blend of US human resource practices and host country norms. Hamburger University and its
“hamburgerology” curriculum may seem a little over the top to some, but who can seriously challenge
the McDonald’s recipe for global success? This is a précis of an article entitled “Big Mac’s McGlobal HR
secrets,” which was originally published in Personnel Journal, Vol. 75 No. 4, pp. 46-54. The author was
Charlene Marmer Solomon.

Mcdonald advertises their job vacancies on their website and by connecting with other
online job-seeking websites. They use their own personal department for the
recruitment of the talented person in order to ensure their objectives of recruitment and
selection which includes

 Identifying the right candidate for the job post.

 Keeping the cost of the selection low

  Ensuring the skills and qualities must be met and developing the process for the
identification of them in the candidate.

 Making sure that candidate is highly motivated to want the job and identifying
their capacity to stay for the job role provided

 To make sure that recruitment and selection practices come out as effectively as
possible.

Now, let’s take a look at the achievement of Mcdonald’s in the HRM activity of
recruitment and selection.

As the other organizations do the recruitment throughout the year, McDonald’s also
does the same.

McDonald’s recruits their managers and assistants internally rather than externally as
the other organizations because it makes the process easier and only less training
would be required as the candidate is very well aware of the job role.

To be more aware of the job roles and posts, HR staff of the McDonald prepa\res
descriptive job description which describes the job title, department, location,
responsibilities, purpose, and job duties.

McDonald’s promotes 50% of their salaried managers within the company.

In the selection process, McDonald’s uses an application form that mentions the
questions to get an idea of applicant qualification, knowledge, skills, and experience.

Since the interview is the most important part of the selection of the employees in the
company, therefore, McDonald short-listed their potential employees after the interview
has been done. The process of interview for Mcdonald’s starts from conducting the
process with the area manager or restaurant manager at the nearest branch.

McDonald’s believes in conducting face-to-face interviews where interviewers can

assess the behavior, confidence, and capabilities of the applicants and how they come
across as a person. Therefore, this selection and rejection process is carried out until
the right numbers are filled the vacancies with the wanted quality. Also, McDonald’s
arrange an induction for a new employee that can be valued for the long term. However,
the induction process begins even before the candidate is offered the job.

The highly competitive and changing market of today requires quick and effective response. To be highly
competitive, managers are realizing that the success of a business enterprise depends largely on the
efficient selection of its Human Resources [1]. In human resource management, recruitment is the
foundation for selection process [2]. Recruitment involves using application forms, resumes, interview
schedules, employment and skills tests and reference checks to evaluate and screen job candidates [3].
Selection is the process of choosing from numerous applicants a suitable candidate to fill a job position.
Selection in modern organizations can be said to be anchored or rooted on the Biblical saying that; many
are called but a few are chosen”. Selection is among the major functions of human resource department
and as well an important first step towards creating the competitive strength and the strategic
advantage for the organization. Searching for, and obtaining potential job candidates in sufficient
numbers and quality and at the right cost is the best way for organization to get the most appropriate
people to fill its job positions. Productivity is one of the most challenging issues related to manufacturing
and service organizations. Productivity usually relates to efficiency (how many valuable resources are
used relative to what it produced) and effectiveness (measuring the ability of the manufacturing or
service process to produce the desired result). This can be achieved if the selection process of an
organization is devoid of nepotism and chance to meet the challenging constraints affecting the
organization [4]. The importance of adhering to selection process is vital for organizational
competitiveness and a failure to approach this function effectively will result to selection of wrong and
underperforming employees which will in turn lead to low level of productivity .

 High productivity depends on the hiring of people with the skills and expertise
needed to execute certain organizational functions and contribute toward the
advancements of its vision and objectives (Boxall & Purcell, 2016). Organizations
can easily obtain technology and capital for the advancement of firm objectives.
However, it is difficult to acquire a staff of highly-qualified and committed
employees who fit properly into their job roles. This challenge explains why firms
should practice caution when conducting recruitment and selection processes.

One of the most important roles of recruitment and hiring is to bring in fresh talent
into an organization. In many organizations, recruitment is conducted to replace
vacancies created by employees who have either left for other corporation or
retired due to various reasons. Creativity and innovation are important factors
that are critical in the development of an organization’s competitive advantage
(Boxall & Purcell, 2016). Therefore, it is inevitable for companies that want to
enhance their performance to hire individuals with specific qualifications and
abilities. Surveys have shown that the most innovative organizations record high
organizational performance because of their ability to compete effectively with
 other corporations (Ekwoaba at al., 2015). A major advantage of appropriate
selection decisions is the enhancement of organizational effectiveness, the
validation of reward and development strategies, and the promotion of successful
leadership
(Druker, 2003)

Druker, J., 2003. Strategy and Human Resource Management20031Peter Boxall and John Purcell.
Strategy and Human Resource Management. Basingstoke: Palgrave Macmillan 2003. xii + 287 pp., ISBN:
0‐333‐77820‐0. Management Decision, 41(5), pp.523-524.

6he use of these strict selecti on processes ha#e been ignored by many organizations, and this
has affected the performance of the employeesa n d t h e o r g a n i z a ti o n i n g e n e r a l ! . o l l o ) i n g
t h i s o b s e r # e d t r e n d , t h i s s t u d y s e e k s t o e9amine the effect of the predominant selection
methods on organizational performance

Enhance profitability through Training And

Development Of Of Their Employees
Effective staff training and development initiatives extend beyond the traditional
orientation for new hires. These are not ad hoc courses that staff periodically attend
when necessary.  It's taking a purposeful, coordinated, and systematic approach to
training that matches individual development with management objectives. In order to
achieve operational goals, such as improved performance, productivity, quality, and
customer happiness, the management can invest in a good training program. 

Some of the main benefits of a robust training program for an organization include:

 Centralized system for all employee documentation

 Easy access to your organization's overall learning progress
 Easy tracking of employee training
 Increased efficiency that results in financial gain
 Increased capacity to adopt new technologies and methods

Create courses user group (select users) assign training Attending training attempt quiz
fail/pass course

5 stages of effective training program

Assess performance

Identify skill gaps

Establish business goal

Choosing training method

Conduct training method

Once the candidate is selected, McDonalds beings training programs with the one hour
of orientation. Each branch of McDonald has their own video set ups and technological
resources which helps in the description of the operations and practices to the
employees. So, it is everyone’s job to involve in the ongoing training process of
MacDonald. Thus, all the employees receive induction training with the followed
structured development program based on the employee position. After completing the
initial training, all the employees have to pass Observation check list (OCL) to become
successful in the particular area.

However, every employee of McDonalds in the start is stayed at the 21 days of

probationary period which in evaluating the performance of the employees.

MacDonald’s Human Resource Planning

Manpower planning is one of the functions of management and it is highly indispensable in the
achievement of organizational goals. There is need to plan for the various resources that
organization use, especially the human resource which happens to be the most crucial of all the
resources in the organization (Anya, Umoh and Worlu, 2017). This is because, it is the
personnel that coordinate and utilize other resources toward the attainment of organizational
goals. Besides, in this era of global competition and struggle for market share in the business
space, it is only the organizations with the right caliber of personnel that can survive the intense
competition in the business environment. In other words, the route to competitive advantage is
the acquisition and proper utilization of the manpower in the organization (Lunenburg, 2012).
When organizations are provided with everything they need to succeed excluding the personnel,
the composition of the workforce will be the determining factor in the achievement of
competitive advantage (Noe, 2012). Therefore, manpower or human resource planning is at the
heart of personnel management. This underscores the need to plan, recruit, train and place
employees whether new or old in order to ensure effective and efficient functioning of the
organization (Ezeani, 2006). In the opinion of Amin and Islam (2013), the main aim of
manpower planning is to maintain the most appropriate staffing of all calibre of personnel across
the organization departments and section. It is not just the number, but it includes the mix of
different skills requirement in the organization. This is because, the essence of planning in this
regard is to have the right people, in the right number, with the right knowledge in the right
jobs, in the right places, at the right time and at appropriate cost to the organization. As could
be seen, the process demands that the planner or planners should have good knowledge of the
entire units of the organization being served.

Human resource planning is an essential part of the management to hire the right
people by using perfect training and development programs for them. Therefore,
ultimately it helps in the achieving the MacDonald’s goals and vision. In order to meet
the McDonalds aims and objectives successfully, it is the responsibility of the human
resource management team to identify the effective way and problems that company
while recruiting the best candidates and getting the proper solution.

Now, lets the objectives of Human resource planning in Mc donalds in order to ensure
that organization has right staffing method at the right time and for the right skills.

MacDonald’s Achievement In The Human Resource

Planning
Just like other business organizations, McDonalds want the assistance of the staff for
their daily activities. McDonalds ensures their key role in the operations must be fulfilled
by the staff.

Thus, HRM strategy planning of mcdonalds also ensure that their planning must match
the need of selecting potential employees not the ones that goes the against the roles
and posts. This builds the suitability of the employees and prevents the company from
number of problems such as
  High levels of poor productivity

 Employee job dissatisfaction

 high levels of absenteeism

 complains of the customer

 employee replacement

 Unpleasant feeling among the staff member

Methodology

Training and Development

Performance Appraisal

Reward and Compensation

Employee Empowerment

Job Satisfaction

Employee Performance

MCDONALD’S
CORPORATION 5
developing employees so
that they may contribute
new talents to the
Company. The
improvement of staff
performance and an increase in
employee understanding of the
economic
and operational environment
are also ensured by this
program. Other ways that
McDonald's
teaches its human resources to
produce synergy through the
effective combination of
human
resources in various
departments include:
i. Offering training and
development
ii. Preserving a competent
workforce.
iii. Facilitating employees based
on abilities and skills.
iv. Delivering insights into the
Company, particularly to new
hiring employees.
McDonald's assesses the
performance of its workers by
involving the suitable changes
in
their management to guarantee
that they stay focused on further
developing the client experience
inside the association. For
associations that look to
assemble their progress for the
time being
and eventually, the human
asset arm is coordinated so
that it allows all employees
to foster
abilities and knowledge
(UKEssays, 2018).
MCDONALD’S
CORPORATION 5
developing employees so
that they may contribute
new talents to the
Company. The
improvement of staff
performance and an increase in
employee understanding of the
economic
and operational environment
are also ensured by this
program. Other ways that
McDonald's
teaches its human resources to
produce synergy through the
effective combination of
human
resources in various
departments include:
i. Offering training and
development
ii. Preserving a competent
workforce.
iii. Facilitating employees based
on abilities and skills.
iv. Delivering insights into the
Company, particularly to new
hiring employees.
McDonald's assesses the
performance of its workers by
involving the suitable changes
in
their management to guarantee
that they stay focused on further
developing the client experience
inside the association. For
associations that look to
assemble their progress for the
time being
and eventually, the human
asset arm is coordinated so
that it allows all employees
to foster
abilities and knowledge
(UKEssays, 2018).
MCDONALD’S
CORPORATION 5
developing employees so
that they may contribute
new talents to the
Company. The
improvement of staff
performance and an increase in
employee understanding of the
economic
and operational environment
are also ensured by this
program. Other ways that
McDonald's
teaches its human resources to
produce synergy through the
effective combination of
human
resources in various
departments include:
i. Offering training and
development
ii. Preserving a competent
workforce.
iii. Facilitating employees based
on abilities and skills.
iv. Delivering insights into the
Company, particularly to new
hiring employees.
McDonald's assesses the
performance of its workers by
involving the suitable changes
in
their management to guarantee
that they stay focused on further
developing the client experience
inside the association. For
associations that look to
assemble their progress for the
time being
and eventually, the human
asset arm is coordinated so
that it allows all employees
to foster
abilities and knowledge
(UKEssays, 2018).
developing employees so
that they may contribute
new talents to the
Company. The
improvement of staff
performance and an increase in
employee understanding of the
economic
and operational environment
are also ensured by this
program. Other ways that
McDonald's
teaches its human resources to
produce synergy through the
effective combination of
human
resources in various
departments include:
i. Offering training and
development
ii. Preserving a competent
workforce.
iii. Facilitating employees based
on abilities and skills.
iv. Delivering insights into the
Company, particularly to new
hiring employees.
McDonald's assesses the
performance of its workers by
involving the suitable changes
in
their management to guarantee
that they stay focused on further
developing the client experience
inside the association. For
associations that look to
assemble their progress for the
time being
and eventually, the human
asset arm is coordinated so
that it allows all employees
to foster
abilities and knowledge
(UKEssays, 2018).
developing employees so
that they may contribute
new talents to the
Company. The
improvement of staff
performance and an increase in
employee understanding of the
economic
and operational environment
are also ensured by this
program. Other ways that
McDonald's
teaches its human resources to
produce synergy through the
effective combination of
human
resources in various
departments include:
i. Offering training and
development
ii. Preserving a competent
workforce.
iii. Facilitating employees based
on abilities and skills.
iv. Delivering insights into the
Company, particularly to new
hiring employees.
McDonald's assesses the
performance of its workers by
involving the suitable changes
in
their management to guarantee
that they stay focused on further
developing the client experience
inside the association. For
associations that look to
assemble their progress for the
time being
and eventually, the human
asset arm is coordinated so
that it allows all employees
to foster
abilities and knowledge
(UKEssays, 2018).
developing employees so
that they may contribute
new talents to the
Company. The
improvement of staff
performance and an increase in
employee understanding of the
economic
and operational environment
are also ensured by this
program. Other ways that
McDonald's
teaches its human resources to
produce synergy through the
effective combination of
human
resources in various
departments include:
i. Offering training and
development
ii. Preserving a competent
workforce.
iii. Facilitating employees based
on abilities and skills.
iv. Delivering insights into the
Company, particularly to new
hiring employees.
McDonald's assesses the
performance of its workers by
involving the suitable changes
in
their management to guarantee
that they stay focused on further
developing the client experience
inside the association. For
associations that look to
assemble their progress for the
time being
and eventually, the human
asset arm is coordinated so
that it allows all employees
to foster
abilities and knowledge
(UKEssays, 2018).
 People:

McDonalds understands the significance of both consumers and employees. It understands the truth
that happy workers can serve properly and led in happy customers.

McDonald’s

 restaurant constantly does Internal Marketing as this strategy becomes effective itwill lead
automatically to the success of external marketing.

McDonald’s does a lot of internal as well as External Marketing. They have found t

hat it isextremely important to show employees the proper respect and courtesy that they deserve and
byallowing for them to give input about things they think should be improved or worked on is a great

way of keeping everyone happy. If customers didn’t f 

eel a great sense of appreciation when theywalk into a location they are much less likely to come back
and be repeat customers. By doing

research and taking surveys, McDonald’s executives are finding out what people want and making

sure that customers and employees are completely satisfied. McDonalds has a target group ofFamilies
with children because it is considered a treat for the children and easy for the parents. Itis considered
more of an open, public atmosphere when compared to a fancier sit down restaurant.

They offers playgrounds and toys for the children at many locations. McDonald’s also

targets people without a lot of time who need a quick meal. They offer a drive through for
convenience,which brings you delicious food to you fast and at a convenient price.

Conclusion
Effect of internal as well as external factors on the recruitment process of Woolworths is discussed
at length in this report. The internal factors comprise of the firm size, recruitment and selection
policy, human resource department and its efficiency, human resource planning, the cost involved,
expansion and growth. The company is successful in expanding because these factors play a positive
role in the recruitment and selection process of the company. Additionally, the external factors
including legal, economic, social, and political also influence the recruitment and selection policy of
the organization in the positive and constructive manner. From this paper, it can be concluded that
McDonald's has implemented several initiatives in order to improve the performance of the
employees, the organizational culture and the engagement of the employees with the organization.
It is concluded that with its performance related initiative, it offers adequate rewards to the
employees so that they can motivate and work efficiently. With its culture-related initiative, it
develops a more people-centric culture which also boosts the zeal to work in a more productive
manner. The company offers a level of freedom to the workers to be comfortable at work which as
a result enhances their efficiency, productivity and engagement level. McDonald's focuses on
developing a more decentralized working environment so that there can be a better level of
engagement in the organization.

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