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Managing Human Capital And Leadership 5 Assignment Answer

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Introduction - Managing Human Capital And Leadership

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This report discussed about the managing human capital and leadership and role of HR manager in the company. Various models and approaches of HR Strategy help the organisation in order to control all resources and work of person effectively. NANDOS use online method of recruiting and selecting knowledgable and skilled candidates who meet the minimum criteria of business. Approaches to human resource development also help the business entity to achieve long term goals and objectives in limited time period. Company use different types of motivation theory and leadership model in order to encourage employees towards business tasks and projects.

Human capital is identified as a measurement of capacity, education, attributes, skills and experience of labour. With the help of these, they can influence their efficiency capacity and achieving potentials goals and objectives in an effective manner. Managing human capital is known as essential role of HR in the company. One of the main responsibilities of HR is to recruit and select knowledge and talented candidates who easily fulfil business tasks appropriately. Leadership is known as an art of motivating and encouraging a large number of person towards attaining a common target and goal (Alpkan and et. al., 2010). It is an effective procedure by which a manager influences, guides and directs the work and behaviour of others.

This report is based on NANDOS which is an international dining restaurant in Malta, South Africa. They produce Peri-Peri Chicken and other food items to customers at reasonable cost. This assignment shows approaches and models of the business organisation as well as process of recruitment and selection related to strategic HR initiatives. Various approaches of human resource department and their improvement area are also discussed in this study. In order to motivate and promote employees, company use classical motivation theory which are determined in this project. Characteristics of effective leader which is also discussed in this assignment.


This report mainly consists Five task which are identify the role of human resource manager in the selection and recruitment process. Whole project discussed about how to motivate and encourage employees, so in this business use different types of leadership and motivation model.


Relevant model and approaches of the business organisation to management of its HR

NANDOS is a Private and Casual dining industry in all over the world. It was found in the year 1987 by Dick Enthoven at Johannesburg, South Africa, Malta, etc. Founders of this company are Robert Brozin and Fernando Duarte. This business was famous and popular for their quality and tasty Chicken as well as related Portuguese cuisine products. They provide different dining options such as late night dinner, Brunch, Lunch, serves Alcohol, free Wi-Fi, Takeout, Wheelchair Accessible, Waitstaff, Seating, Highchairs Available and other facilities. They started their business operations in more than 20 countries (Andrews and Boyne, 2010). In order to attract a large number of the customers towards quality products and services, firm uses different kinds of communication channels such as advertisement, promotion, sponsorship, etc. So it is beneficial for company to increase their annual sales and revenue in a quick way.

Model and approaches of the company: Primary aim and objective of NANDOS is to provide quality products and services to their potentials and target customers at reasonable cost. The human resource management as the design, maintenance and implementation of strategies to handle person for optimum performance of business, including the creation of processes and policies to assist these strategies in an effective and efficient manner. The link between the business and HR strategy are explained in the certain context (Birasnav, 2014). These are identify as a strategies decision in respect to the policies and practices used by the business management in the activity of developing, training and selecting the knowledge workers and to control and motivate them.

There are basically three types of HR model which are used by NANDOS in their business operations which are:

Illustration 1: Model of Human resource Strategy

Controlled Based Model: It is known as an effective and essential approach of business growth and success. In this, company monitored all labour processes in order to gain efficiency and higher profitability in an effective manner. This model includes different aspects such as individual, technical and bureaucratic outcomes and process based controls. All these are applied where the connection of less certain (Birasnav, Rangnekar, and Dalpati, 2011). It is valuable for the restaurant in order to addressing different issues and overcome with them. This aspects gives an effective method for establishing or initiating a common structure for communication passim the process of design while assisting the model of development cycle. In this, role of human resource manager is to give accurate guidelines to their workers so that they can work with full efforts and attain desired goals and objectives of business organisation in limited time period.

Resource Based Model: This approach chiefly emphasis on the strategy value of person and assets as well as continuous learning in the organisation. In this SHRM (Society for human resource management) has its main emphasis on the external threats and opportunities. This approach is very important and essential for company to identify their internal strengths in an effective manner. With the use of this model, NANDOS see their available resources as key to business performance (Buller and McEvoy, 2012). It is important for the firm to sustain and gain competitive advantages essentially. This tool is valuable for the enterprise to analyse their internal resources as well as assess weakness and strengths of firm resources. NANDOS is a fast food restaurant worldwide and motive of it is to gain maximum profits and revenue in comparison to other competitors.

Integrated Model: It is also valuable and useful model for the restaurant in order to controlling the worker compliance. This theory mainly characterised into two parts, including development and acquisition. It is chiefly emphasis on internal human capital and attaining of personal and organisational goals. This model includes four steps which are followed by the human resources of company in their business operations and functions. All these are described as below:

  • Infancy: In this, all team members of NANDOS mainly lay on the support and direction of leader.
  • Adolescence: In this, process authority of leadership is entirely challenged. So, HR manager solve different conflict regarding disagreement occur, values emerges, coalitions and subgroups etc.
  • Adulthood: In this phase, HR manager or leader should formulated structure of roles so that unity within team can be observed.
  • Maturity: In this process, performance enhance as the group become clearer regarding their objectives and duties.


Critical analysis of selection and recruitment in link to strategic human resources initiatives

Recruitment and selection process is very essential of the human resource department (Burgoyne, 2012). In this activity, they HRM plays as an important role to hiring person either externally or internally, who achieve the long term goals and objectives of company. This process is usually identify as a sound and legal technically. The human resource of NANDOS takes the duties and roles of searching knowledgable and talented candidates, who meets some criteria of firm. In order to encourage candidates, company follows internal and external methods of recruitment. Both approaches are essential for the organisation to attract pool of the prospects for the vacant position. They also provides online recruitment system to the person who are interested for the empty post in the company. In this process all applier can submits their curriculum vitae by online activity.

NANDOS apply online recruitment process which is essential and valuable for the company in order to attract million candidates (Caza and et. al., 2010). It is beneficial for the restaurant to save their time, decreed the hiring cost, Easily access to workers etc. So it is a main reason behind applying this process. This process includes different steps which are described as below:

Listing Jobs on organisation Websites: In this process company introduce their job position in own websites. So in this job applier can give their all documents on business sites. So it is beneficial for the organisation to save their hiring cost and attract large number of the candidates who are interested for this job.

Posting jobs online: It is also main step which is follow by the enterprise to recruiting knowledgable and skilled candidates with the help of online process. In this company used different sides such as niche and Monster sites like MediaBistro.

Using LinkedIn: In this process, NANDOS may post their vacant position on professional and LinkedIn site. In this business entity may be analysis candidates to hiring best person (Coff and Kryscynski, 2011). It is also beneficial for the enterprise to save their recruit cost.

Social recruiting: In current scenario, large number of the business are using social hiring to source applicants for job on Twitter, Facebook and other sites. NANDOS use Facebook apps in order to recruit best one from pool of applicants.

Job application process: In this activity, all information, related to recruitment and selection are done. Under this data, including getting and interviewing a job offer, cover and resume letters, References checks, background, applicant testing and other information.

Interview process: It is identify as a process for asking and telling some questions in a systematic manner. In this manager of the company ask various questions about candidates background, education etc.

Hiring Process: It is known as last activity for recruiting knowledgable and skilled candidates who meet several criteria of business as well as achieve long term goals and objectives of them. This process including, employment testing, job offers, background checks and other essential information.

Recommendation: Business entity can follows proper selection and recruitment activity which is described as below:

Promotion: It is very essential for the company to encourage their workers at higher level which is mainly based on employees performance in employment. NANDOS can motivate their workforce to another job which promote them in order to perform all task in better way (Dalakoura, 2010). It is also improve their future performance, skills and knowledgable.

Provide training and development program: Company should give better training to their staff members where they easily increase its basic skills. In this business should tries to emphasis on real work of restaurant staff so that they can acquire new skills and activities in their job.

Effective use of social media platform: Since the company is already using social medial channel in order to stimulate the interest of people towards their vacant position. But, they not effectively using it as they are not frequently updating about current opening on such sites. Thus, NANDOS is recommended to effectively use digital media platform and create their own page that depicts current vacancy.

Use internal and external approach of recruitment: Both methods are essential for the business, so they should use this approach in order to achieving desired goals and objectives (Dimov, 2010). This aspects includes different points, such as questionnaires, advertisement, campus recruitment, etc.


Discuss different Approaches to HRD and their area for improvement

Human resource development identify as a framework of enterprise for assisting workers to develop their individual and organisational abilities, knowledge and skills. HRD includes different opportunities such as employee training, career development, tuition assistance, mentoring, coaching, succession planing etc.

Approaches to the HRD: There are different approaches of human resource development which is follows by NANDOS in their business operation and functions. Focusing on keeping their workers fulfilment so that they get business goals. NANDOS hire person on daily basis, and spend approx 30% revenue for workers. All these methods are described as below:

Strategic human resource framework approach: It is one of the main and essential approach of the business entity in order to increase capabilities and practices of organisation. Strategic direction of HR mainly emphasis on be influencing for the person for the all house and company (Gates and Langevin, 2010). In this, business strategy, HRD practices and organisational ability are main components for the company to achieve objectives and targets of company.

Integrative Framework: With the use of this framework business determined three ways through which human resource development practices can engage to company performance. It is important activity of NANDOS to building their capabilities, enhancing employee satisfaction, shaping clients and employees satisfaction. This aspects focusing the all HRD system by taking innovative practices and plans.

Human capital appraisal approach: This aspects includes mainly 5 phases in administration of Human capital including, clarification, assessment, Design, implementation and monitoring stage. Business organisation use this approach for providing different benefits such as recruitment, retention, rewards and performance management, career development, succession training & planning, organisational structure and human capital enablers. All these stage are important for the company in order to retaining human capital with the area of HCM to ensure that all field which are acceptable to respective strategies.

PCMM approach: It is known as People Capability Maturity Model, main aim of company using this approach is to give accurate guidance and direction to enhance the organisation ability (Guest, 2011). It is also very essential for the business entity to attract, organise, develop, retain, and motivate the person about their work and performance. This model states that business enhances practices of management through defined, repeatable, initial, optimising and handled ground of maturity.

Integrated System approach: It is effective and essential approach of the HRD to implement and design perfect system of HRD at workplace. This strategy mainly focusing on achieving business objectives and providing higher satisfaction of workers.

HRD score card Approach: This approach give a link between business targets and human resource operations. It is identify that HRD make accurate impact on business that should be developed in form of HRD competencies, system, business and culture linkages. Manager of the NANDOS use a human resource scorecard in order to evaluate functions of HR in an efficiency and effective manner (Gutiérrez, Hilborn and Defeo, 2011). It is also important for the administrator to producing workers behaviour which assist in attaining the business's strategic goals.

Scope of improvement: There are many improvement scope for the company to establish new policies and plan in order to enlarge their business operation. NANDOS provides different facilities and products to the customers in order to fulfil satisfaction level of employees in an effective manner. They plan an effective policies in respect to all person who are working in the restaurant and attain long term objectives of company.

There are different scope to improve business performance such as promotion, job rotation, understudy, Mentoring, and task evaluation. All these are also essential approach to improve growth and success of employees. Promotion is very essential tool in providing better satisfaction towards achievement of business goals. Another is job rotation, it is also essential for doing all tasks and projects of company in limited time period. With the use of this technique, company train their workers towards making long relation with business.


Classical theories of motivation

Employees are main component in any company. To make company stepping upward company have to take care of its employees so that they can get motivation to work with more confidence (Jiang and et. al., 2012). Motivated employees give good performance and try to enhance image of NONDOS.

Theory X and Theory Y: In the words of Douglas McGregor, as per this theory personnel company is divided in two sections. They are X and Y. Theory X states that these people does not to work as per saying of management. They does not like to take responsibility. Hence to make them working management of company use punishment as their substitute. Theory Y says that personnel under this category are aware of their task and responsibilities. Management of NONDOS has to decide which employee will categories under what group.

Hierarchy of Needs: This theory is also need as Maslow's need hierarchy theory. In this technique there are five stages which employee want to satisfy. If these needs gets satisfied they got satisfaction and they work with more energy. It starts from bottom where physiological needs is present. It include basic need of human being i.e. clothes, food and shelter. Above it safety need is present it means employee should feel secure about job. If employee get feeling of security there is no fear in mind so it help in good quality work. At third level feelings of belongingness, that states employees does not only work for money. There should be feeling of love and affection (Ling and Jaw, 2011). At fourth level Esteem need is categorised. It means feeling of respect at work place. At last self actualisation is present. This is utmost and highest level of satisfaction.

Equity Theory: This theory is stated by John Stacey in 1960. As per this theory, there is equal weightage in what they perform and the outcome of it. There is direct relation between efforts given and what they are getting from it. If performance of employees is good then reward will also provided to them. This process is beneficial for company as well as staff. This increases morale of employees and there is feeling of equality in NOMDOS.

Hawthorne Effect: Hawthorne Effect theory of motivation was developed by Henry A. Landsberger in 1950. This theory states that regular check should be done over performance of employees. This examination works as motivation for employees, hence they will perform their best to be in good books. Individual will get reward as per their performance . This creates the feelings of competition in organisation and ultimately this will increase productivity of organisation (Luthans and et. al., 2010). Hawthrone theory talks about main six aspects. They are: Psychological contract, communication, socialise, group activity, recognition, workers interest. These factors plays vital role in motivating employee in NONDOS.

Proposing Hybrid Theory for NANDOS:

Hybrid means combination of different types of theories. Which are provided by different authors to provide guidelines how to motivate employees. Any organisation cannot apply single theory for all personnel. Hence organisation can use different theories to motivate employee and increase productivity and consumer satisfaction. NANDOS deal in hospitality sector hence they have to give quality to their product and services. Motivation will help in providing long term relations with customer. Employees are the main part in hotel industry. They have to deliver best services to customer so that there is good image in society, this will generate revenue for company. Satisfied employee will try to achieve organisational goal, with which their own objectives are too satisfied. Different personality have different ways through which they get motivated.

Equity theory will help in generating equality and feeling of competition among personnel in organisation (Makri and Scandura , 2010). In Theory X Theory Y there is reward as per behaviour of employee. There is concept of reward ans well as punishment. Maslow theory tells about different stages of satisfaction, if they get satisfied individual will work with more dedication. NANDOS will be beneficial if they apply different theories as per characteristics of employee. This will help in motivating employee and provide good services and product. Also beneficial for enhancing their business unit and employee retention as well.


Recommendation to the business discuss the characteristics of effective leaders

There are lots of companies who have efficient leaders. These managers have capabilities to gain competitive advantage and these are persons who are liable for firm's success. But some associations are there who have mediocre leaders who do not have calibre to attain organization goals in correct time duration. There are some characteristics that a leader must posses to become a good and efficient spearhead (Nyberg and et. al., 2014). Qualities stated as beneath:

Personable: There are some leaders who are successful in bringing employees together without making any remarkable conversation with them. A leader must posses quality of having conversations with its team on personal level so that individual level conflicts can be solved out. Success of any spearhead depends on his quality of making workforce satisfied so that they can work appropriately and will gain objective of corporation. Leaders can make their juniors satisfied by listening their problems and making relevant resolutions for removing that issues. This action will improve performance of employees and ensures success of corporation. In every sort of association employees want that their manager must have listening quality who should concern about workers and must have friendly nature. This type of friendly nature of manager creates joyful working atmosphere at workplace.

Visionary: A leader who is successful knows the ways by following them firm can attain goals in best efficient manner because they have vision in their mind and they follow that vision until it is not attained by different tools and techniques. Manager can attain unity in workforce by following their vision that helps in achievement of corporation's target in limited time duration. Motivational: Motivation is the factor that becomes reason behind hard working of every employees and it is a responsibility of spearhead to motivate its team in best possible way and this will bring high working quality in organization. It is a general acceptance that association's can not obtain their objectives with their manpower and this human resource need motivation whether tangible or intangible from their manager (Ployhart and Moliterno, 2011). This provision of motivation from leader side ensures strong position of association in marketplace. Tangible motivation includes rewards, compensation, incentives, fringe benefits etc. Intangible motivations are signs, recognition, remarks etc.

Becoming an effective leader: Some leader have inborn qualities that make them an effective spearhead but it is not sure that they know to take advantages of these characteristics. Manager gets experience and growth by their risk taking abilities. As time passes they get to know how they can get benefits from their abilities and what are ways in which these capabilities could help. Leadership qualities help spearhead to make strategies of goal achievement. For e.g. workers of NANDOS made an experiment with a dish and they got failed in that experiment very badly and they received negative feedback and this activity brought low morale in employees and like this learning can be taken from this task.

Model of leadership: It is very important and essential for identifying the characteristic and quality of leader in maintaining business performance (Stevens, 2010). There are various models of the leadership which is apply by the leader in order to solve conflict and misunderstanding between the managers and employees. All these models and styles are described as follows:

Illustration 2: Model of Leadership

Situational leadership model: This theory identifies that both manager and leader adopt this style as per the business situation. This aspect can be accountable in each and every situation which is essential for the business administrator. In this, employer use their characteristic and maintain all situation in an effective manner.

Contingency leadership model: This style used where, they no specific way to make effective judgement and develop cooperation in a systematic manner. In this style, manager of the hotel use their quality and characteristic in order to reduce all conflict or misunderstanding rise in among the workers (Wright and McMahan, 2011). Contingent leader has better skill to analysis the situation and overcome them effectively. In this morale, language, behaviour attitudes, values etc. of a business leader effect on its decision-making activity.

System leadership model: It is one of the important and essential model of business development and success. It is applied by the NANDOS in order to enhance business performance and attain sustainability in comparative marketplace. At the period of implementing effective strategy, this style render an knowing better base to administrator.

Justification of the leadership model which is important and essential for the leader to encourage their employees regarding work (Zarutskie, 2010). Above all these models are significant for the business manager in order to maintain long term relation and reduce conflict among the members. Characteristic of the leader is essential in different style of leadership to achieve long term goals and objectives of organisation in an effective and efficient manner.


As per the above mentioned report, it can be concluded that human capital and leadership are essential for the business success and growth. Company use online method for recruiting knowledgable and talented candidates who meet certain criteria of business and achieve desired objectives of them. In order to motivate and encourage employees business entity use different kind of motivation theory in an effective manner. Characteristic of leaders also very important in different situation of business. There are various model of human resource strategic which is used by the organisation in regards to control all resources and person who are working in the organisation. Approaches to HRD which is also helpful for the long term growth and success of company.


Books and Journal:

Alpkan, L. and et. al., 2010. Organizational support for intrapreneurship and its interaction with human capital to enhance innovative performance. Management decision. 48(5). pp.732-755.

Andrews, R. and Boyne, G. A., 2010. Capacity, leadership, and organizational performance: Testing the black box model of public management. Public Administration Review. 70(3). pp.443-454.

Birasnav, M., 2014. Knowledge management and organizational performance in the service industry: The role of transformational leadership beyond the effects of transactional leadership. Journal of Business Research. 67(8). pp.1622-1629.

Birasnav, M., Rangnekar, S. and Dalpati, A., 2011. Transformational leadership and human capital benefits: The role of knowledge management. Leadership & Organization Development Journal. 32(2). pp.106-126.

Buller, P. F. and McEvoy, G. M., 2012. Strategy, human resource management and performance: Sharpening line of sight. Human resource management review. 22(1). pp.43-56.

Burgoyne, J., 2012. Management learning. In Encyclopedia of the Sciences of Learning (pp. 2090-2092). Springer US.

Caza, A. and et. al., 2010. Psychological capital and authentic leadership: Measurement, gender, and cultural extension. Asia-Pacific Journal of Business Administration. 2(1). pp.53-70.

Coff, R. and Kryscynski, D., 2011. Invited editorial: Drilling for micro-foundations of human capital–based competitive advantages. Journal of Management. 37(5). pp.1429-1443.

Dalakoura, A., 2010. Differentiating leader and leadership development: A collective framework for leadership development. Journal of Management Development. 29(5). pp.432-441.

Dimov, D., 2010. Nascent entrepreneurs and venture emergence: Opportunity confidence, human capital, and early planning. Journal of Management Studies. 47(6). pp.1123-1153.

Gates, S. and Langevin, P., 2010. Human capital measures, strategy, and performance: HR managers' perceptions. Accounting, Auditing & Accountability Journal. 23(1). pp.111-132.

Guest, D. E., 2011. Human resource management and performance: still searching for some answers. Human resource management journal. 21(1). pp.3-13.

Gutiérrez, N. L., Hilborn, R. and Defeo, O., 2011. Leadership, social capital and incentives promote successful fisheries. Nature. 470(7334). pp.386-389.

Jiang, K. and et. al., 2012. How does human resource management influence organizational outcomes? A meta-analytic investigation of mediating mechanisms. Academy of management Journal. 55(6). pp.1264-1294.

Ling, Y. H. and Jaw, B. S., 2011. Entrepreneurial leadership, human capital management, and global competitiveness: An empirical study of Taiwanese MNCs. Journal of Chinese Human Resources Management. 2(2). pp.117-135.

Luthans, F. and et. al., 2010. The development and resulting performance impact of positive psychological capital. Human resource development quarterly. 21(1). pp.41-67.

Makri, M. and Scandura, T. A., 2010. Exploring the effects of creative CEO leadership on innovation in high-technology firms. The Leadership Quarterly. 21(1). pp.75-88.

Nyberg, A.J. And et. al., 2014. Resource-based perspectives on unit-level human capital: A review and integration. Journal of Management. 40(1). pp.316-346.

Ployhart, R. E. and Moliterno, T. P., 2011. Emergence of the human capital resource: A multilevel model. Academy of Management Review. 36(1). pp.127-150.

Stevens, R. H., 2010. Managing human capital: How to use knowledge management to transfer knowledge in today’s multi-generational workforce. International Business Research. 3(3). p.77.

Wright, P. M. and McMahan, G. C., 2011. Exploring human capital: putting ‘human’back into strategic human resource management. Human Resource Management Journal. 21(2). pp.93-104.

Zarutskie, R., 2010. The role of top management team human capital in venture capital markets: Evidence from first-time funds. Journal of Business Venturing. 25(1). pp.155-172.


Model of Leadership. 2017 [Online]. Available through: <>.

Model of Human resource Strategy. 2017. [Online]. Available through: <>.

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