Human resource management (HRM) concepts are strongly tied to management effectiveness as well as an organizations overall success. In this report the author will examine the importance of a strong human resource department and how that influences the day-to-day running of the business. “Increasingly, what makes organizations effectiveness is how they organize staff and manage their human capital. It’s important for organizations to have the right amount of financial capital and hard assets, but it is the soft assets that are progressively the difference makers between successful and unsuccessful firms.”(Forbes, 2014) HRM is growing in use, especially since the mid 90’s, expanding its potential to be use as a vital resource to the organization.
There are three management roles that HR normally falls into, those being administrative, operational, as well as strategic. While the administrative and operational roles are important more HR management is transforming into strategic contributors. In a morphing society management is exposed to issues never faced before such as: “organizational cost pressures and restructuring; economics and job changes; globalization of organizations and HR; workforce demographics and diversity, HR technology; and measuring HR impact through metrics” (Mathis, pg. 8).
Due to all the previous mentioned aspects HR having a “seat at the table” is important for the future planning and state of the organization. By bringing the HR role into the
Dr. Ulrich goes on to support the need for HR in today’s business world. He feels that there are 5 critical challenges that businesses face: Globalization, profitability through growth, technology, intellectual capital, and change (Ulrich 126). Conversely, these things do not matter on a competitive scale. All businesses need these things to survive, but they can be attained and copied. The only competitive weapon left is organization (Ulrich 127). That is where Ulrich believes HR plays its most vital role. The differences between the leading businesses in their respective markets is their organization. Top-tier businesses are run efficiently with good HR relations. For businesses to take the next step towards maximizing their operations, they must change the culture surrounding HR and train their HR teams to become sufficient in promoting higher employee morale. Ulrich is convinced that senior operating managers must value the “soft” matters, define and hold HR accountable for its results, invest in innovative practices, and upgrade HR professionals (Ulrich
The role of a Human Resource department is ever changing in today’s volatile business environment. Over the years HR have become strong strategic partners within an organization by providing functions such as recruitment,
Human Resource Management (HRM) is all about balancing the organization’s people and processes to the best to achieve the goals and the strategies of the organization, as well as the goals and the needs of employees. The main role of an HR manager is to fulfil the integrating business operations and strategies across a wide array of culture, products, and ideas, while effectively delegating work among human resource specialist and line management. There are many key functions of a HR manager to the organization. Some of the key functions of a HR manager are
This change in the role of HR has been steadily increasing and recently “has intensified due to changes, among others, in increased competition and workforce demographics” (Payne, 2006). This makes the function of the HR manager an exciting area of business to consider when evaluating the planning and strategy of a company.
The role of a Human Resource department is ever changing in today’s volatile business environment. Over the years HR have become strong strategic partners within an
Today 's fast-paced, competitive business environment has resulted in "rediscovery" of the human resource management function as a group that may be able to enhance firm competitiveness and performance by being "strategic" (Dyer & Kochan, 1995; Ulrich, 1997). Strategic Human Resource Management is a term describing an integrated approach to the development of Human Resource Strategy that will enable the organization to achieve its goals (Armstrong, 2005). Whiles strategy is an action that managers take to attain one or more of the organization’s goals. Strategy presents a general direction set for the company and its various components to achieve a desired state in the future. This results from the detailed
In any organization it is important for HR to touch all levels of the organization and to understand the organization’s environment. An organization who values their employees cannot afford having a human resources department that does not function in a strategic partner role. Human resources professionals, in organizations are equipped with the knowledge, skills and abilities to work with talented senior leaders in an organization. They have the ability to successfully partner with each department within an organization to understand the overall business. HR professional can assist in designing strategic plans to balance the needs of the organization, the employees and the stakeholders. HR can help align efforts of the various functions within the organization with the established goals. They can support the organization’s functions by recruiting, developing and retaining company team members who are crucial. HR should be the driver of the organization’s values. They must not only focus on internal tasks but must step outside the box and fully understand the organization as a whole, how it operates, the competition and what could influence the organization's progress. They must be able to handle change, perform environmental scanning, understand outsourcing and processes
HR Function has evolved from a traditional people management foyer to a value added consulting service provider that accelerates improvement and development in all facets of operations. In order to fully capsize functionality of HR in organizational structure, HR capabilities should be aligned with organizational strategies designed to achieve set targets. This requires introducing meticulous changes in current HR Policies and revamping the structure and procedures to reinstate the roles and responsibilities of HR function to emerge from being compliance and administrative focussed to a decisive role that fosters partnership with Management team/Executive council. Once HR Policies are established it will be critical to measure, monitor
In my role as HR, I need to be prepared for the rapid changes in the business environment; organizations are increasingly looking at human resource as a unique asset that can help provide a sustained competitive advantage., I will ensure the HR strategy is in alignment with the business strategy of the company I am responsible for. Obviously, my ultimate goal is to provide a full-fledged effort to ensure the productive and fruitful integration between HR strategy and Business strategy.
The role of HR in the present scenario has undergone a sea change and its focus is on evolving such functional strategies which enable successful implementation of the major corporate strategies. In a way, HR and corporate strategies function in alignment. Today, HR works towards facilitating and improving the performance of the employees by building a conductive work environment and providing maximum opportunities to
Today, the human resource has developed more than those functions. HRM needs to launch and maintain cordial relations between management and the employees (Bhatt, 2014, para.1). It needs to design a system that not only protects employees’ benefits but also preserve their legal rights. Also, it needs to help workers in managing their career plans by providing them proper and accurate training and guidance (Bhatt, 2014, Objectives of HRM section, para.1). It needs to construct and endorse ground-breaking cultures and beliefs that help in the growth and success of the
No matter what the size of a business, it is important to have a Human Resource Management (HRM) plan in place. According to Dessler (2013), small companies employ over half the population working in the United States and many individuals graduating over the next several years will either work for a small business or become an entrepreneur. Many small businesses do not have a dedicated human resource manager, so it is imperative that the business owner has a set of “practices and policies to carry out the personnel aspects” of the organization (Dessler, 2013, p. 2). In this paper, I will look at five areas of HRM necessary for a small business owner to have established policies, in order for the business to succeed and grow, “a company’s human capital is defined as the collective productive capacity of its employees” (Endres, Chowdhury, Camp & Shulze, 2013, p. 64). HRM is the process and function of effectively and fairly managing that human capital. The areas of HRM to be discussed are: recruiting, hiring, training, talent management and compensation, which all have an impact on the bottom and line play a key role in the overall strategy of the business.
The role of the human resources (HR) department can play a significant role in the success and achievements of an organization. The department, which has evolved from the
Whether an organization consists of five or 25,000 employees, human resources management is vital to the success of the organization. HR is important to all managers because it provides managers with the resources – the employees – necessary to produce the work for the managers and the organization. Beyond this role, HR is capable of becoming a strong strategic partner when it comes to “establishing the overall direction and objectives of key areas of human resource management in order to ensure that they not only are consistent with but also support the achievement of business goals.” (Massey, 1994, p. 27)
HR employees can become strategic contributors to company success. Transforming the HR function into a strategic contributor can take your workforce strategies to the next level and increasing the value of your human capital to accrue distinct competitive advantages.