What is Human Resource Management

The human resource management is the function within a company which focuses on management of, recruitment of and giving direction for the people who work in the company. Employees are considered as an important resource, because without their effective support, goals and objectives cannot be attained by company. Therefore, HRM is initial concerned with staff dimension in organization management. As the business institution is a body of human entity, so their training, recruitment, motivation for accomplishment of goals, abilities and skills development along with their effective management, for the reason to make them well committed with the work are very important in an organization. Such activities are included in the range of HRM activities (Global Human Resources Management and Organizational Development, 2013). Thus, it can be referred to as the function that comprises four main activities namely development, recruitment, motivation and maintenance of human resources. In another term, it can also be defined as management division that is basically concerned with relationship of organization with its manpower, among employees as well as with whole group and also with individual employees. The below essay is inculcating about requirement of developed human resource management function together with adequate quality of staffing to compete in globalized market (SEQUERTH, 2008).

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Organizations are being affected by range of trends, such as technology changes, globalization, modifications in manpower demographics and the pressure to show that their employees are contributing effective value in business. Globalization puts forth lot of challenges to the human resource management. It involve alignment of business strategy with HRM, ways to expand worldwide corporate strategy, building an international corporate culture, developing best leaders and creating or leading change (Armstrong, 2012). Moreover, companies also required to compete on global level for talent. Technological changes have created an impact on the conventional HRM practices management. For example, the usage of online recruiting and e-learning has enhanced exorbitantly. Shifts in trends of employee’s demography are major characteristics of existing globalized marketplace too. Issues are faced by HR managers in recruiting, sustaining as well as in involving employees in business activities. Therefore, a very critical process in business nowadays is talent management (Beardwell and Claydon, 2010).

Thus, with respect to all such events it becomes essential for organizations to maintain a highly functioning HRM discipline along with well trained and developed employees. One of the main reasons behind companies paying considerable attention to their workforce is the firm’s nature in present atmosphere. Given that there has been a rapid move towards an economy dependent on services, it has become very important for organizations to involve in their area to maintain the productivity and motivation of their employees (Bratton and Gold, 2012). Moreover, in other sectors, such as other conventional and manufacturing industries, the obligation to stay competitive implies that organizations required adopting strategies that optimally utilize the talent of their human resources. This changed landscape of business has surfaced, because of paradigm shift in way employers and companies see their manpower. Instead of considering them merely as resources, managers are now adopting such tactics or policies in which greater value is provided to people (Dowling, Festing and Engle, 2007).

The HRM importance has increased in manifolds due to changing environment of business. The HRM practices are now being seen through a prism of complete strategic goals of organization, rather than a separate shade that presumes a micro approach. The companies are now promoting a holistic outlook towards HRM that ensures that there are no more any piecemeal approaches and tactics entangle themselves completely with the goals of business. For instance, if requirement of training for workforce are addressed simply by utilizing obligatory training on mechanical areas, the firm loses both direction and time spent on training. Thus, an organization that takes its policies seriously with regards to human resource management will ensure that training is given on focused and topical methods (Laroche and Rutherford, 2007).

There are several changes occurred in the present environment of business. Further, issues that the companies HRM are facing will likely to change in near future. Thus, if corporations desire to remain vigorous then they required to develop their functions of HRM accordingly. Varied functions of HR, such as selection, recruitment, performance management, training and development, benefits and compensation, etc. all required to be incorporated nicely with an aim to enabling the business to retain its competitive advantage (Laroche and Rutherford, 2007). However, several organizations have failed in identifying the range of benefits that prevail over the costs associated with having untrained and underdeveloped human resource. The importance of effective hiring plus retaining manpower is quickly catching velocity amongst HR managers. The key function of all in this period is having an adequate system of training plus development in workplace. For that reason, it is very essential for organizations to coach as well as develop their employees to remain at the forefront of rivals (Marchington and Wilkinson, 2008).

The activities of training and development influence the organizational behavior in today’s globalized business environment in two facets. The first characteristic is that training plus development enables employees to perform their task effectively. As the abilities and competencies of employee’s increases, it also leads to improvement in performance of the company (Pilbeam and Corbridge, 2006). Thus, it can be assumed that there is positive or direct connection among training and development of manpower plus organizational success. Moreover, employees who are trained and developed are highly self motivated. One more way in which T&D can impact behavior of organization is that it boosts ability of staff members to make valuable decisions. Further, it builds their competencies to take higher responsibilities and create their willingness to attain goals of business (Torrington and, 2009).

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Apart from training and development, another important function of HRM is in relation to recruitment of people. In the marketplace there is literally the war of talent within different firms. Organizations are positioning employer branding strategies for attracting as well as retaining workforce. Furthermore, companies are becoming very conscious to retain their manpower, as both money and time are invested in the process of their recruitment. Earlier the trend was that people used to go to big firms for their jobs, but nowadays companies required searching in the market for talented person (Bae and Lawler, 2000). Besides this there has been a paradigm shift in employer-employee relationship. Though, hiring new individuals is an expensive exercise for the business venture, but it is essential as well-trained staff add in providing competitive advantage to company. At times right person for right job is selected by HR manager and treated adequately; the employees will not only give good results but also stay for long time with the organization. A company may have finest physical resources and latest technologies at place; however, if it not has proper staffing system then will required to put additional attempts to get desired outcomes (Bhagat and, 2002).

With the dynamic scenario of business, several new disciplines in human resource management field have emerged. It is basically due to rising demands of changing environment. This new HRM approach aims at attaining maximum satisfaction of employees and thus making them strive in the direction of company’s success. The key objective is to develop the work culture and motivate the workers properly. It involves many practices, such as reward management, performance management as well as talent management. At present scenario almost every business implements innovative equipment, machine and technology (Boselie and Paauwe, 2005). Employees are life blood of business and no matter how mechanized and automated systems are deployed at workplace, but manpower is pre-requisite for operating those machines and doing intellectual work. Thus, having a specialist mechanism of staffing is imperative for business. It calls for specialism on parts of HR managers. The significant role is played by human resource management in undertaking organizational work in a smooth manner. They manage supply and demand of company and hence required numerous individuals available at right places (Collins and Clark, 2003). The HRM also makes continuous attempts to retain valuable staff in business. It helps organizations in developing strong relations with the entire team of employees by dividing different tasks into clear defined roles or responsibilities. In addition to this, by providing varied growth and development chances, the HRM department also promotes a value driven culture at workplace. HRM also ensures that the human resource in organization is used at an optimum level and the best is drawn out of them for attaining competitive edge. Moreover, the highly developed system and practices of human resource management leads to low attrition rate and absenteeism of employees in an organization (Crouse, Doyle and Young, 2011).

Motivation is another important function of HR that supports in retaining the employees by increasing their loyalty with business. A range of motivational activities are in practice from long period. By having developed function of HRM at place, the organization aims to transform its traditional practices of motivation into successful measures for retaining the employees. In today’s multinational organizations diverse workforce is employed which demands different things from their management. Further, there is a need to give an adequate direction to the efforts and activities of all staff members. In this respect, effective management of human resource is of great importance (Huemann, Keegan and Turner, 2007). It is also assumed that people having distinct, behaviors, cultures and needs are more capable to work in a team and give their best potential for the success plus growth of business. Furthermore, HR department provides necessary guidelines that are supportable in making important decisions and strategies for business. With this regards, this can be clearly stated that besides managing the disparate manpower in an organization, HRM also guides in decision making as well as problem solving procedures. On the other hand, the activities of HRM by more or less are affected by internal and external environmental changes. Internal factors that affects the system are changes in senior level management polices and strategies. External factors involve legal, political, social, technological and social changes in outer environment of business (Khatri, 2000).

There has been a drastic change in company’s human resource behavior, in comparison to previous generation. At present the dynamic atmosphere including external and internal factors of company influence the employee’s behavior at workplace. The demand of people has changed in relation to professional environment, standard payrolls and several additional needs or preferences that in turn have altered the HR professional’s duties and activities (Kiessling and Harvey, 2005). Because of the dynamic desires of personnel, the organization required to focus more on employee’s development by cutting unnecessary costs, which also helps in improving the human resource performance. In comparison to previous scenario that was relatively longer, present days tenure is restricted, as the upcoming period is uncertain, which is forcing companies to enhance their standards of employment. The company is concentrating on retaining employees for long with the business by implementing several tactics (Lengnick-Hall and Moritz, 2003).

As per the dynamic market requirements, there is few sophisticated modification in human resource management practices. The changes have been seen more in terms of policies, as the rapid growing human resource in the market has adopted new trends by leaving the traditional practices. Moreover, human resource management norms have been updated. In this context, several strategies have been implemented by companies to improve their structure of HRM. The inflection in latest global aspects of business has forced the firms to adopt with innovative course of practices and actions for development of employees. The HR professionals are putting their best in company, so that management can change their strategies and polices according to changing environment (Richard and Johnson, 2001).

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Hence, after reading the above essay it can be conclude that role of developed HRM together with specialist staffing is very essential in helping an organization survive in globalized place of market. It is increasingly attaining much significance in businesses just like other functions of finance, production and marketing. The HRM function of recruitment, selection, motivation, training and development holds essential place in companies in present scenario. Thus, every organization should make sure that they have a developed function of human resource management at places, which can facilitate employing skilled person. This will enable the firm to gain competitive edge in long run (Soliman and Spooner, 2000).


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