The Relationship Between Hrm Practices And Employees Performance From An Islamic Perspective Essay

The purpose of this reflective paper is to show my understanding along with what I have learned about HRM (human resources management) and the different way HRM impacts the success behind every business, along with the rules and regulations that go with it. Over the last five weeks I have learned quite a bit about HRM and will reflect on that throughout this paper. “Human resource management is the managing of human skills and talents to make sure they are used effectively and in alignment with an organizations goals.” (Youssef, 2012). I will be including the things I learned throughout the last five weeks in this

Gomez-Mejia, L., Balkin, D., & Cardy, R. (2012). Managing Human Resources (7th ed.). Upper Saddle River, N.J.: Prentice Hall.

With the ever increasing pace of change in the world, today’s market leader can be out of business tomorrow if the organisation fails to adapt to the changes around it. One of the key assets of each organisation is its human capital, i.e. the knowledge, skills and abilities of its staff. If the organisation is to adapt,

HRM and performance is part of a wide-ranging area of study in this field. The advancement of theory and research on links between HRM and performance started in the 1980s.There has been a lack of consensus in developing a theory of HRM and performance, (Guest et al, 2012). Boselie et al, (2005) determined that up until his review RBV

Human Resource Management (HRM) is the terminology used to illustrate formal systems devised for the management of people within an organization. It is the method of managing an organization or company that is directly related to the employees of that particular organization. The success of a business often rely heavily on the performance of managing human resource. Maximizing the desires and benefits of an organization and helping a business grow by rewarding employees to help motivate and push them in their performance is one of the main aim of HRM. By doing this, it will have a positive impact on both the company and it’s entire organization.

HRM is typically seen as comprising a range of practices, spanning the acquisition of employees, employee development, and employee retention (Stone & Meltz, 1993). Quresh, et al (2010) quoted that human resource management is linked with all the managerial functions involved in planning for recruiting, selecting, developing, utilising, rewarding, and maximising the potential of the human resources in an organisation. Job satisfaction, morale, optimism, and turnover are key drivers of organisational performance (Becker & Gerhart, 1996).

One of the most useful definitions of Human Resources Management (HRM) is “ HRM involves all management decisions and practices that directly affect or influence the people or Human resources who work for the organization”. - By Fisher,

Human Resource Management (HRM) is now a term which is now widely used, yet loosely defined (Guest, 1987). So, what is HRM? What does it mean and what is its focus? “The focus on HRM is on managing people within the employer – employee relationship. Specifically it involves the productive use of people in achieving the organisation’s strategic business objectives and the satisfaction of individual employees needs.” (Stone, 1998) Derived from this and certain theories addressed later in this research, HRM in the field of organisational behaviour engages a set of policies designed to maximise organisational integration, employee commitment, flexibility and quality of work. With this perspective, and rapidly changing trends, it is no

Effective Human Resource Management (HRM) is becoming an increasingly indispensable facet for organisational competitiveness and success (Guest et. al., 1994). Due to the employment relationship being a continuous and open-ended contract, employees can improve or restrict actual work effort, dependent on the multitude of dynamic factors which influence their happiness, motivation and attitude towards the organisation, thus defining HRM’s role as they’re required to place emphasis on optimizing an interdependent relationship between employees and employers. If HRM can effectively perform their role, this

Human resource management is represented as “a strategic and coherent approach to the management of an organization’s most valued assets – the people working there who individually and collectively contribute to the achievement of its objectives (Armstrong and Armstrong, 2009)”. There are studies focus on the relationship between HRM and performance, mainly includes financial outcomes, operational outcomes and HR-related outcomes (Dyer and Reeves ,1995), but there are few studies directly confirming that HRM results in superior customer experience. Paauwe and Richardson (1997) presented a literature review including studies which confirms the relationship between HRM outcomes

Much of the research on the link between HRM and firm performance has looked at single HR practice such as compensation or selection, while others attempted to look on the impact of combining different HR practices to improve firm performance (Becker & Gerhart, 1996). Pfeffer (1998, as cited in Tyson, 1997), for instance, put forward a seven-principle best practice which he believed is universally applicable. The seven best practice HRM elements include; employment security, selective hiring, self managed teams, high compensation contingent on organizational performance, extensive training, reduction of status difference, and information sharing. Theoretically, bundling several HR practices should produce greater performance effects than any of the individual human practices (Dyer & Reeves, 1995). However, in reality, there is no single standardized bundle of HR strategies that is universally applicable for all organizations. Each firm might require different bundles of HR strategies to improve its organizational performance. Wood (1999), for example, emphasized the integration of different HR policies if they are to work effectively and proposed that the HR systems should be in line with the business or competitive strategy of the organization if they are intended to improve organizational performance.

This study mentioned the concept of dimension in human resource management (HRM) from Islamic management perspective, and suggested that most of the modern HRM functions

The primary focus of HRM strategy is the manner in which the HR department aligns general activities, policies and procedures with the opportunity imperatives of the organization. Such relevant HRM expertise constitutes nothing less than a powerful strategic opportunity. Methodology The original purpose of the audit’s companion review of the literature was to find other empirical studies of the airline industry regarding HRM practices, from an applied perspective, with which to compare and contrast the results of the audit presented later in this article. None were found. This is consistent with the findings of other researchers. M. L. Thomas (1997), author of the book, A Portfolio Management Approach to Strategic Airline Planning, comments on the scarcity of research in the area of airline management. “In reviewing the literature on international aviation, it is clear that researchers tend to analyze the industry at a macro-level. Although it has gained much attention recently . . . the topic of international commercial airline management suffers from a lack of theoretical and empirical work, and the scarcity of literature from a microeconomic perspective.” According to J. Eaton (2001), author of the book, Globalization and Human Resource in the Airline Industry, research is particularly difficult because “Airline managers are even more secretive and defensive about academic research than

The human resource manager is considered as a strategic partner in an organization; as a result, the HR manager plays a significant role not only in the growth of the business, but also in ensuring that the goals of the business are achieved. The HR manager also performs an advocacy role, which is central to the organizational success of companies in the airline industry. The advocacy role includes ensuring that the workplace is safe and healthy, and that employees are happy, motivated and contribute effectively toward the achievement of the organization`s goals. Similarly, human resource managers play an important role as agents of change, which is important in improving any company in the service industry. In this regard, the human resource management function is responsible for initiating and implementing change strategies for companies operating in the airline industry (Boyd 2001, pp440). Furthermore, for companies in the airline industry HRM plays a significant role in ensuring job satisfaction, managing employees in their informal groups, motivating employees, conflict management, team development, personality development, change management, human relations, leadership and communication within the organization (Robbins and Tim 2009, pp99).

As the world is turning out to be more aggressive and unstable than any other time in recent memory, producing based enterprises are looking to increase upper hand at all cost and are swinging to more inventive sources through HRM practices (Sparrow, Schuler, & Jackson, 1994). HR practices has been defined by (Smallbusiness.chron.com, 2016) as “the means through which your human resources personnel can develop the leadership of your staff.”