What Is Human Resource Management?

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Globalisation is the latest business concept through which companies are integrating their business functions, processes and strategies across the globe taking advantage of the economic growth and culture of countries overseas. This approach increased the significance of Human Resource Management in an organization to a great extent in promoting sustainable development, of all aspects in most industries. HRM not only manages the employees of the company, but is also helps managers adapt to the changing global corporate atmosphere (J. C. Bradley, 2014). HRM plays a key role in attaining effectiveness of service deliverables which completely relies on the end product and person delivering the service. It is important that the most…show more content…
Therefore, the HR manager needs to collaborate with other operational managers to understand the success criteria and improve business results. The strategic approach to HRM implemented should be capable of creating a competitive advantage through the company’s most valued asset which is human skills. The two important factors organisations need to pay attention to while considering International strategy are cost efficiency and customisation. International Strategy is further subdivided into three segments based on the nature of the market – Global (Ethnocentric Orientation - uses uniform strategies across all business), Transnational (Geocentric view – Global strategies on major corporate issues but permits business unit develop local strategies on other issues) and Multidomestic Strategies (Polycentric orientation - Produces a diverse mix of strategies to adapt and meet needs of each business) (Stone, 2014). A Strategic Model when implemented should reflect a realistic process taking into consideration all factors that persuade the decisions made, the degree to which the business and HRM strategies are planned, applied and evaluated. It should also have the potential, explaining the ‘fit’ between business strategy and HR policies to determine the extent the strategies have been realised (Analoui, 2007). HSBC one of the best banks in the
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