Analysis Of Unilever

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Based on the mission of an organization and its HR philosophy, HRM relates to strategically aligned practices towards employee management (Shani, Divyapriya and Logeshwari 2011). Influenced by the beliefs of a company’s leadership, as well as by its culture, values, and external environment, HR philosophies “are able to further define how employees are to be treated” (Schuler, R. S., Dowling, P. J., & De Cieri, H., 1993). A summarised illustration of Unilever’s SIHRM can be found in the appendix (appendix 1).

As a large multinational, Unilever recognises the importance of its employees and their influential impact on business success, which has become even more crucial in a faster-changing working environment, in which higher flexibility and
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This is also evident by the membership of Unilever’s Chief HR Officer, Leena Nair, in the Unilever Leadership Board (ULE). However, in order to manage their people effectively to achieve their business goals, the HR strategy needs to be in consensus with Unilever’s organisational strategy and values, in order to “maximize organisational effectiveness” (Wright & Ulrich, 2017). The company does this by focusing on three main areas within people management. The first focal point being on practices regarding the well-being, potential, learning, and rewarding of an employee. Next, the development of highly responsive and empowered culture in which people network in an entrepreneurial setting , and thirdly by enhancing personal thrive and talent with respect to the individual employee, building a company that is driven by…show more content…
Due to new technological advances and a fast-changing business environment, task relevant skills and capabilities are expected to change. In fact, Unilever argues that more than a third of the desired skill sets will change by 2020. At the same time, 60% of its workforce are expected to be Millennials, a generation with different work attitudes and needs in contrast to the generations before. For this reason, Unilever intends to further provide a skill and personality enhancing work environment that addresses the needs, safety and well-being of the people, which fosters a higher level of ongoing commitment between Unilever and its employees. As a result, people are more likely to remain at Unilever. According to Lepak and Snell (1999), Unilever’s strategic focus relies on developing their human capital internally (commitment-based focus), since the skills and capabilities are critical to the firm’s business success, as well as unique due to the needed knowledge that can’t be sourced outside the company (appendix
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