Competitive Advantages Of HRM

Furthermore, it is stated that HRM practices can also be categorized on the basis of their emphasis into three sets viz., quality focus, cost reduction, and differential innovation (Guest, 1997). The importance of effective HR practices can be judged by the fact that with the effective execution of HR practices, the employees tend to be more committed to their work and they go the extra mile to add to organization’s benefit.

“Lean is a systematic approach to identifying and eliminating waste (non-value-added activities) through continuous improvement by flowing the **product at the pull of the customer in pursuit of perfection.” Lockwood [24].

“Lean means creating more value for customers with less” (Krejewski, L., Ritzman, L.P., & Malhotra, M.K., 2013). Implementing this into a project can make the project very successful at a lower rate of cost and time. There are five steps in allowing the lean process to work successfully. This process is easy to remember but not always easy to achieve. Specifying the value from the customer’s point of view of the product that the customer is interested in purchasing is the first step. Identifying all the steps of value for the product the customer wants to purchase and eliminating the steps that are unnecessary is the second step. Creating a sequence of steps that flow in a consistent fashion and will flow smoothly toward the customer is the third step. Introducing the flow of the product that the customer is interested in purchasing and allowing the customer to pull value from the product is the fourth step. The fifth and final step in the lean technique process is “as value is specified, value streams are identified, wasted steps are removed, and flow and pull are introduced, begin the process again and continue it until a state of perfection is reached in which perfect value is created with no waste” (Lean Enterprises Institute, 2015).

Schuler and Jackson (1987) propose the model of Human Resource Management as the business strategic policies and practices of the organization. This framework is to achieving competitive advantage in different industry condition. They argue for fit in different industry condition and business strategic. It includes innovation, quality enhancement and cost reduction. This business strategic associated with particular employee role behaviors and HRM policies and practices.

Schuler and Jackson (1987) propose the model of Human Resource Management as the business strategic policies and practices of the organization. This framework is to achieving competitive advantage in different industry condition. They argue for fit in different industry condition and business strategic. It includes innovation, quality enhancement and cost reduction. This business strategic associated with particular employee role behaviors and HRM policies and practices.

Lean is an approach that can be used in every organization to increase customer satisfaction, decrease costs, improve quality, and increase the output, by eliminating waste and creating value (Manos & Vincent, 2012, p.1).

Lean is defines the manufacturing philosophy that reduces the time between the shipping and customer demand, which based on the systematic method by eliminating waste, that means giving the customer what they want when they want it, and don 't waste whatever. Rahmana, Sharif and Esa (2013) suggested lean production is mentioned to improve the company 's performance from the philosophy in reducing waste in order. That means, lean system destination is the decrease cost by removing the non-value activities, which they are applying a category of tools and techniques for checking and eliminating defective in the production process. In the Evenort Company should emulate the five overriding principles of lean thinking in terms of implementing lean that there is guarantee the company has been driving correctly in the lean manufacturing (Cardiff 2015) as can show in table 1.

Lean Manufacturing logic, tools and techniques were developed by many industrial innovators in the 19th and 20th centuries but it was mostly popularized by Toyota 's successes with Lean after World War II. Lean is all about economy of motion and the reduction of waste in any business. Most of the Lean concepts are part of Industrial Engineering curriculum offered by many colleges and universities.

There are a few theories supporting the act of HRM. Two of these theories; Resource-based View and Ability and Motivation and Opportunity theories give off an impression of being the most well-known theoretical frameworks used in the studies that connect HRM and organizational performance. The Resource-Based View (RBV) theory which mixes ideas from organizational economics (Penrose, 1959) and strategic management (Barney, 1991) has it that HRM conveys included worth through the strategic development of the organization’s rare, significant, difficult to emulate and difficult to substitute HR. The RBV sets up that competitive advantage no more lies in regular assets, technology or economies of scale, subsequent to these are anything but easy

Lean must be brought into the discussion as a possible means of supplementing and strengthening lean manufacturing in situations where its principles may fall short. In this Project we want to emphasize on three methods

The article first appeared in the "International Journal of Human Resource Development & Management." It addresses the role of HR in a lean enterprise, explores a major crisis of trust at Toyota 's plant in Georgetown, Ky., and how it responded by reorganizing the HR function.

The paper explains about the ?work efficiency and effectiveness? in processes of HRM. The ?human resources management? is the procedure of hiring and making representatives with the objective that they end up being more essential to the affiliation. HRM fuses driving occupation examinations, orchestrating workforce needs, selecting the perfect people for the business, arranging and get ready, supervising wages and remunerations, giving points of interest and spurring powers, surveying execution,

The main reason why organizations need to have a strategy to become lean is because of the changes inside their industry. This is occurring from increasing amounts of competition in the global marketplace. For many firms, this is forcing them to seek out ways to: continually innovate, meet customer demands and maximize profit margins. To achieve these objectives means: reducing costs dramatically and being the first to deliver the cutting edge products consumers want. Those firms that are able to achieve these benchmarks will maintain their lead. (Kawaumra 2011, pp. 108 109)

Figure 1 provides a conceptual framework of lean principles across the supply chain of the enterprise thereby yielding value to the customer. Lean thinking helps in providing flexibility to the needs of the customer. Emphasis is also put on organization of workplace which leads to more simplified work environment. Ease of access in the workplace and good ergonomic designs are some of the by-products of lean thinking methodology. Lean enterprises are more adaptable to changing market trends and also provide prompt delivery to products and services. [3]

At present then, the contribution of HRM in improving a firm’s performance and in the overall success of any organisation (alongside other factors) is being highlighted in the literature (see e.g. Guest, 1997; Schuler and Jackson, 2005; 2007).