The paper “ Strategic Human Resources Management Practices at Good Energy Group” is a motivating variant of case study on human resources. Good Energy is a UK based company situated in Chippenham. It is the only electricity company in the UK that supplies 100% renewably based electricity with its fuel mix. Initially, Good Energy company was located in 1997 with the name Ofex, but later in 2013, the management changed its name to Good Energy. In 2012, Good Energy was voted the best energy company in the UK in terms of excellent customer service getting 78% votes ahead of Utility Warehouse and Ecotricity.
The company endeavours to achieve success have been recognized with various awards such as Best buy for green by Ethical Consumer magazine, Micropower Award for Innovation and the British Renewable Energy Company Award among others. The company is driven by its commitment to suppliers' clean energy at an affordable price. 1.0 IntroductionBamberger and Meshoulam (2000) define strategic human resource management as a proactive management of employees in an organization. It needs thinking of the future, and planning methods for an organization to better satisfy the demands of its workers, and for the staff to better satisfy the demands of the organization.
This can influence the way work is carried out at a business place, enhancing everything from hiring processes and employee training plans to assessment methods and discipline. SHRM comprises of general human resource elements like hiring, payroll, performance, and also entails working with staff in a mutual manner to improve retention, enhance the quality of the job experience, and exploit the common benefit of service for both the employer and the employee (Boxall & Purcell, 2003).
This paper widens the horizon of SHRM to consist of HRM practices and practices of various companies both local and multinational. In an interview with the chief executive of a medium-large sized enterprise in the UK, Good Energy Group, Juliet Davenport describes how the problems associated with Strategic HRM practices affect the company. 2.0 Student interview with Good Energy Group manger Steve WallaceThe student: how has selection and recruitment affected the performance of Good Energy Group? Juliet Davenport: Recruitment and selection make a core part of the main activities essential for human resource management at Good Energy Group.
Recruitment is an activity that influences most crucially on the performance of the company. While it is acknowledged and believed that poor decisions during recruitment have affected Good Energy Group performance and limit goal realization before, we can equally claim that the past Human resource managers took a long time to identify and adopt new; effective recruitment strategies that can enhance the performance of this company. I cannot say that we have reached where we wanted best I can attest that so far we have seen improvement in the effectiveness of the employees.
The past management failed to recognize that acquiring and retaining quality talented employees is crucial to the success of Good Energy Group. Just as Greer (1995) claims the job market becomes more and more competitive and the on-hand skills become more diverse, our human resource department has become more selective with their choices. Wrong recruiting decisions can create long term negative impacts such as high training. When I joined the company, we had to carry out continuous training to ensure employees are updated with the changing nature of work.
In this process e had to set funds that otherwise would have been used in other projects. Training denies company time that can be used in production. At the same time, when employees are subjected to continuous, they start to think that their skills are overlooked; such issues result in inefficiency in Good Energy Group.
Andrew, H 2012, AIM Investor: Good Energy, London, Cleantech Investor.
Bamberger, P, and Meshoulam, I 2000, Human Resource Management Strategy, Thousand Oaks, CA: Sage.
Boxall, P. and Purcell, J 2003, Strategy and Human Resource Management, Basingstoke, Palgrave.
Breaugh, J & Starke, 2000, Research on employee recruitment: So many studies, so many remaining questions, Journal of Management, vol. 26, no. 3, pp 405434.
Budhwar, P 2000, Strategic Integration and Devolvement of Human Resource Management in the British Manufacturing Sector, British Journal of Management, 11, p. 285–302.
Chang, Y., Wilkinson, A & Mellahi, K 2007, HRM strategies and MNCs from emerging economies in the UK, European Business Review, 19(5), p. 404-419.
Giles, G 2012, Good Energy Group to raise 4 million in placing as makes AIM debut, Proactive Investors UK.
Greer, C 1995, Strategy and Human Resources, Englewood Cliffs, NJ: Prentice-Hall.
Hoopes, D., Madsen, T & Walker, G 2003, Guest Editors’ Introduction to the Special Issue: Why is There a Resource-Based View? Toward a Theory of Competitive Heterogeneity, Strategic Management Journal, 24, pp. 889–902.
Juliet, D 2009, Open letter to Good Energy's customers and other interested parties explaining its ROC retirement policy (Press Release), Good Energy.
Mello, J 2006, Strategic Human Resource Management, South-Western, Thompson.
Leopold, J., Harris, L., and Watson, T 2005, The Strategic Managing of Human Resources, Harlow, Prentice-Hall.
Rausch, P., Sheta, A & Ayesh, 2013, Business Intelligence and Performance Management: Theory, Systems, and Industrial Applications, Springer Verlag, U.K.,
GEG 2013, Company structure and Directors, viewed 13th May 2013 from http://www.goodenergygroup.co.uk/about/company-structure-and-directors