Evaluate the most important factor Aldin should consider before changing the HRM approach at GC if the takeover goes ahead.

Mark scheme

Marking points from the official mark scheme (May/June 2025). The mark or mark type is shown in brackets.

1. [K] Hard versus soft HRM approaches.
2. [K] Need for whole company integrated HRM approach.
3. [K] General links with motivation
4. [K] Flexible employment contracts versus full-time contracts
5. [K] Highly motivated employees make for better productivity and low labour turnover
6. [K] Target setting may help to meet overall objectives
7. [K] Flexible employment contracts may mean needs of the business are met, but full-time contracts may lead to higher employee satisfaction and loyalty
8. [K] Changing HRM strategy may involve costs, such as redundancy payments or recruitment.
9. [K] A takeover will be successful if HRM can integrate strategies
10. [K] Nature of the workforce: Hard HRM may be suitable for less skilled workforce. Soft HRM may be more suitable more skilled workforce.
11. [APP] WCP seems to follow a soft HRM approach.
12. [APP] WCP has gained a reputation as an ethical employer.
13. [APP] Labour turnover at WCP is low.
14. [APP] GC seems to follow a hard HRM approach, possible culture clash may result.
15. [APP] Flexible employment contracts used by GC contrast with full-time contracts at WCP.
16. [APP] Consideration by Aldin of an integrated consistent approach after takeover of GC.
17. [AN] Soft HRM at WCP has led to motivated workers and low labour turnover and therefore less costs of recruiting and training new employees.
18. [AN] Flexible employment contracts at GC, targets and ‘boring jobs' suggest hard HRM leading to high turnover. However, flexible contracts suit some workers who have other commitments, and they may be very productive when at work.
19. [AN] Flexible contracts, such as zero hours mean workers are present when needed by the business and this may lead to lower wage costs and increased profits.
20. [AN] After the takeover of GC, WCP may want to change HRM approach at GC, may lead to higher motivation and productivity.
21. [AN] If many workers at GC are low skilled then the hard HRM approach may lead to efficiency and targets achieved.
22. [EVAL] A judgement about the most important factor Aldin should consider before making the change.
23. [EVAL] Hard HRM approach at GC would be hard to change and will take time and careful management of change
24. [EVAL] There will be costs as well, have these been considered?
25. [EVAL] Managers at GC may not be willing and/or able to change their approach
26. [EVAL] It will also depend on the nature of the workers at GC, are they mainly unskilled?
27. [EVAL] HRM approach needs to fit with the company's social and ethical objectives
28. [EVAL] What exactly might success mean in HR terms? More profit? More motivated workers?
29. [EVAL] Might there be room for more than one approach?