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1. Introduction ...................................................................................................................... 1

2. HR processes ..................................................................................................................... 1

3. Applying HR processes in the situation .......................................................................... 3

4. Conclusion ......................................................................................................................... 5

5. References.......................................................................................................................... 6

1. Introduction
It is necessary for businesses to develop human resource (HR) processes in order to ensure the
achievement of business objectives through utilising human resources in an effective manner.
A chain of restaurant, Vegemite Delight, with three restaurants in Melbourne has tendency to
expand its market share through opening two restaurants, once located in Melbourne and once
in Carlton. The paper would identify HR processes in general and select the three most
fundamental processes to activate intention of opening new restaurants.
2. HR processes
All of the HR process that HR department will need to activate in the situation of opening new
two restaurants in Melbourne and Carlton include the followings according to Monks and his
1. HR planning of labour demand forecasting
2. Recruitment process
3. Workplace negotiation process
4. Workplace health and safety
5. Talent retention and development
6. Strategic reward management
In terms of forecasting labour demand, HR will project the number of labour that the company
needs to fulfil its strategies in both short term and long term, detailing each function such as
the number of employees in sales, customer services, accounting and finance, production, and
specifying kinds of employment contracts such as full time, part time or seasonal contracts. In
addition, HR also need to consider educational degree, the level of technical and soft skills,
sources to access appropriate staff from inside the organisation through rotating employees or
outside the business through headhunt companies or available candidates in labour market. It
is also necessary to determine the balance between demand and supply of staff to ensure no
overstaffing or understaffing. Labour demand forecasting plays an important role in HR
processes since it would not only assist the business to establish effective and efficient HRM
programmes but also ensure smooth business operations without staff deficiency (Mayo, 2015).
Recruitment would be defined as the process of finding and hiring suitably qualified and
experienced candidates from inside or outside the organisation for a job opening. In the past,
people in charge of recruitment process followed the practice of ‘best fit’ – the best candidate
for the position, which means the highest qualified candidate in terms of techniques would be
the best for the position. However, HR recently take concentration on ‘culture fit’, which
describes how well a person could fit with the business culture and the existing team. The
business world has witnessed the trend of globalisation over past few decades, and thus
environmental fit has become a vital factor in recruitment process. The organisation would
suffer huge damage when recruiting the wrong person, such as increase of further recruitment
costs, loss of competitive advantage in labour market, negative effect on business brand, loss
of key staff, to name but a few (Fidgeon, 2008).
It is likely that workplace negotiation plays an important role in HR processes. Conflicts would
occur due to increase in workload, reduction in salary, differences in culture of global work
environment, changes in organisation structure and mechanism. Normally when it comes to
conflicts, abundant of negative effects in workplace could be listed such as increase in hidden
competition in a team cooperation, increase in negative emotion such as fear, frustration,
anxiety, lack of teamwork, breakdown in communication and even escalation of conflict.
Notwithstanding, if the business could well manage conflict, it might be benefited by raising
awareness of conflicts among employees, and thus heightening morale and strengthening
existing relationship in workplace (Kalter et al., 2018).
Many businesses nowadays focus on workplace health and safety (WHS) since they have to
suffer from detrimental impacts of the lack of WHS. In case staff is absent due to injury, the
business will not only lose productivity and working time of machines but also waste more
costs to replace staff with temporary employees. Once a key employee is absent due to
unhealthy workplace, business operation would be interrupted and current projects would be
postponed, which negatively affects other employees’ productivity. Besides, the more
accidents happen, the higher cost to claim insurance premium for employees occur, not to
mention medical cost within the business. Hence, it is necessary for business to concentrate on
WHS to develop appropriate sufficient preventive work system as well as rehabilitation
program (McCullagh and Berry, 2015).
The fast changing world requires business to quickly adopt with new innovations and rapidly
adapt to changes. This means business has to have plan for talent retention and development in
order to remain competitive advantage in the global business world. It is necessary for business
to conduct induction and orientation for new employees since it would reduce anxiety in the
first few weeks as well as generate development of positive attitudes, job satisfaction and long-
term commitment to the business. Additionally, for the purpose of talent retention, business
should implement performance-related reward scheme which presents business recognition of
past performance of employees both collectively and individually to improve staff performance
in the future (Andreason, 2015).
3. Applying HR processes in the situation
In case of Vegemite Delight, it is likely that labour demand forecasting, talent retention and
development, and strategic reward management could be seen as the three most important
processes. Labour demand forecasting is to ensure Vegemite Delight to possess the right people
with the right skills. Two new restaurants in different locations with 30 tables per each requires
Vegemite Delight’s HR to adequately plan labour demand in order to assist HR department
itself to establish and conduct effective human resource management programs such as
training, optimize business costs relating to recruitment, training and development, and
minimize the risk of staff deficiency which is considered the most important factor of operating
restaurant. Immediately running out of staff would detrimentally affects service quality,
leading to less return customers to the restaurant and decrease in profit accordingly (Urban,
2013). HR needs to consider how many front staff such as customer service staff and back
office staff such as chef or cashier in a timely and cost effective manner. It is necessary to
determine required skills for staff. For example, chef is required to possess ability of well
cooking corresponding with luxury restaurant, front staff such as customer service employees,
waitresses or cashier are needed to have experience in working with customers to create
friendly and outgoing attitude when serving. Apart from that, considering whether to rotate
several staff from three current restaurants to two new restaurant to cooperate and instruct new
employees in the first stage of operating new restaurants is a huge concern for HR. Therefore,
some recommendations for HR to implement this process as follows:
1. Consider employee sources could come from both inside and outside the business
2. Determine the number of needed employees, the number of available staff in current
restaurants which could rotate, and the time they are needed to implement induction
and orientation training.
3. Select employees with sufficient appropriate competencies and skills to be rotated.
More importantly, discuss with those employees about the rotation and other benefits
for rotation.
4. Select the way to employ outside employees, social media or head hunters.
In terms of talent retention and development, it is undoubted that human resource is one of the
most critical factor to generate competitive advantage for business and strengthen current
business position in the market. The fact remains that the cost of learning and development
investment is not able to cover the cost of fill in vacancy when employees leave the business
rapidly. Therefore, talent retention has become a serious concern for business in the
competitive market. Besides, employees nowadays to go work not only to earn money to afford
living but also to look for opportunities to develop themselves of competencies and skills (Hall
and Atkinson, 2006). Conducting training courses would assist employees to be aware of
acceptable level of job performance in the workplace and provide them appropriate skills to
achieve acceptable level or even outstanding performance level. Several steps to achieve talent
retention and development would be as below:
1. Assessment employees’ needs in terms of work environment and training course. For
example, with the feature of restaurant, employees may wish to work with flexible
time. Working time could be divided into three shifts per day then employees could
choose the best working time for their schedules. Besides, front staff needs training
programs in relation to soft skills of communicating with customers, dealing with
fastidious customers, to name but a few.
2. Formulate instructional objectives based on needs to consider the top priority of need
3. Develop learning and development in terms of training methods, contents.
4. Obtaining employees’ feedback after training course to know whether they are
benefited from the course
5. Evaluate success of the learning through employee performance and customer
When it comes to reward scheme, it would be seen a gift for employees’ performance in a
specific period of time in the past, such as achieving sales targets, good attitudes and high
quality of service to attract customers to return restaurants many times. Reward is an important
factor to enhance employees’ productivity and job performance. Employees will realise
recognition for their contribution to the restaurant. It should be financial rewards by
remuneration, development rewards by professional training, or social rewards through flexible
working time (Pellerin and Cloutier, 2017). To implement reward scheme, the restaurant
1. Design reward system through preparing reward philosophy, kinds of rewards (fix
rewards based on holiday, performance rewards), target payment date
2. Communicate reward system in details to employees clearly to create a fair treatment
with all employees
3. Conduct performance assessment before paying performance rewards to discuss
effective and ineffective factors in employees’ work performance for their future
improvements, and to avoid conflicts of different level of rewards among employees.
4. Conclusion
It would be said that any HR processes play an important role in human resource utilisation.
Lacking any process is likely to have negative impacts on business operations. In the situation
of Vegemite Delight, labour demand forecasting, training and development, and rewards
should be put an emphasis for the purpose of opening new restaurants. Other processes are also
vital; however, selecting the more important processes in specific cases would help the business
utilise human resource effectively.
5. References
Andreason, S. (2015). Will Talent Attraction and Retention Improve Metropolitan Labor
Markets?. SSRN Electronic Journal.
Fidgeon, R. (2008). Online interviewing tool boosts recruitment at Proximity
London. Strategic HR Review, 7(5).
Hall, L. and Atkinson, C. (2006). Improving working lives: flexible working and the role of
employee control. Employee Relations, 28(4), pp.374-386.
Kalter, M., Bollen, K. and Euwema, M. (2018). The Long-Term Effectiveness of Mediating
Workplace Conflicts. Negotiation Journal, 34(3), pp.243-265.
Mayo, A. (2015). Strategic workforce planning – a vital business activity. Strategic HR Review,
14(5), pp.174-181.
McCullagh, M. and Berry, P. (2015). A Safe and Healthful Work Environment. Workplace
Health & Safety, 63(8), pp.328-332.
Monks, K., Kelly, G., Conway, E., Flood, P., Truss, K. and Hannon, E. (2012). Understanding
how HR systems work: the role of HR philosophy and HR processes. Human Resource
Management Journal, 23(4), pp.379-395.
Pellerin, S. and Cloutier, J. (2017). The effects of rewards on psychological health in the
workplace: Underlying mechanisms. Canadian Journal of Administrative Sciences / Revue
Canadienne des Sciences de l'Administration, 35(3), pp.361-372.
Urban, S. (2013). Restaurant Work Experience as Stepping Stone to the Rest of Labour
Market. Nordic Journal of Migration Research, 3(2).