How to Conduct Modern Enterprises’ Human Resource Management
Introduction
Human resource management in modern enterprises does not mean responsibilities only for the HR Department. It is the work of the whole enterprise, especially for the senior management. Human resource management is being considered much more valuable. The nature of enterprise management is to realize a certain goal of the enterprise. It refers to activities carried out for training, exploiting, utilizing and coordinating, in virtue of limited resources. The object of enterprise management is various resources related to the targeted goal. It includes human, money, material, time and information (2003). There is not only coordinating work against limited resources but
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They are a lack of initiative to exploit human resources so as to improve enterprises’ operating performance and to promote enterprises’ sustainable development. The final goal is to realize planned human resource usage pattern and to realize enterprises’ strategic goals based on strategic human resource management (2006).
To support enterprises by human resource management Human resource management is the booster for enterprises’ long-term development. How to use human resource management to support enterprises’ strategies? Firstly, to change the positioning of human resource management. HRM needs to be improved from the lower level to the higher level. Before, HRM is to assist other departments in accomplishing certain assigned tasks. Now, it should be a weapon for enterprises to achieve competitive advantages. It is no longer an executor for enterprises’ operation strategies but participates in the decision-making process. At the same time, it can help enterprises reach competitive advantages with various designs and practices of HRM system, during the execution of the strategy. Secondly, HRM needs to change its role to serve for customers instead of still being for management administrative service. It has to set up the HRM system that aims at customers, so as to make an HR department change from a cost center to profit center. Senior HR managers
Human resources will be consider as important issue when there is a focus of achieving organizational goal and objectives or revising of company policy, employee issues or whether it’s an issues of delivering products and services to the user. Human resource management ensures that organization hold the desired skills required to perform the operations effectively and efficiently. HRM focus on two main factors which are appropriate approach and activities. It refers to the procedure of managing the staff like performing recruitment then selection and doing placement, promotions or termination. It consists of different aspects like planning, profession guidance, job design, training, reward scheme, diversity and protection.
Business environment is facing a rapid change that reminds the business management to focus on its core competencies to survive and sustain in the competitive environment. The core competencies can be developed by strategic human resource management. According to Armstrong (2006) employees are the valued assets for a company. The strategic human resource management is mainly developed in accordance to the fact that human resources need to be managed strategically for the company to enjoy sustainable competitive advantage.
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
Wright and McMahan (1994) define strategic HRM as “the pattern of planned Human Resource deployments and activities intended to enable the organisation to achieve its goals.” A HR function should impact the success of an organisation; a policy must remain current and suitable to both the internal and external environment. Ulrich and Lake (1990) affirm, ‘HRM systems can be the source of organisational capabilities that allow organisations to learn and capitalise on new opportunities.’
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.
The economic environment in nowadays dynamic, it is fairly important for organisations and managers to recognise the curtail of Human Resource Management. It is clear that Human Resource Management (HRM) has become one of the most recommend management strategy in the modern business (Leopold and Harris, 2009). Human Resource Management is a technique process of managing people in the workplace to enable and enhance organization performance (Leopold and Harris, 2009). This theory involved the responsible to attracting, selecting, training and managing people which make employees become more valuable to the organisations. It invests effect in learning and development at work. Also to communicate with all employees at each level to reward successful employee relations (Wilton, 2011). Human Resource Management plays a very important role in the operation strategy and management concerns in work organisations of all kinds (Leopold and Harris, 2009). In aim to justify this statement by evaluate the benefit and importance of Human Resource Management in contemporary work organisations. This essay will focus on analysis the advantages of use Human Resource Management in business also underline by explain more detail about the different HRM strategy brings benefits and give competitive advantages impact to the organisation success. Then summarise by a general conclusion on the importance of HRM in contemporary work organisations.
This paper has been written to describe in detail a little bit about Human Resource Management. There are several key topics that are covered throughout this paper. The first section consist of material that describes what human resource management is in detail. The next section that is covered is concerning what the primary function of human resource management is. The last section that is covered is the role that human resource management plays in an organizations strategic plan. Human Resource Management is a very important key to any business there are many areas that relies on the people that work in this field. Working in this field takes a lot of dedication and time not only as a person but as a
communication and the overall functionality of the firm. Here, HRM activity plays a vital role
Over the last centurary, Human Resource Management (HRM), the function within an organization that focuses on recruitment of, management of, and providing direction for the people who work in the organization and also performed by line managers (Heathfield), has exploded with interest and its prominence has increased greatly. However when used strategically it is the way it puts the needs of the organisation first and helps it achieve its goals and objectives by guiding it down the correct path. Every organisation has goals and objectives to help it grow and better its organizational performance, which comprises of the actual
Human resource (HR) department that is highly administrative and lacks strategic integration fails to provide the competitive advantage needed for survival, thus losing its relevance. Huselid and Becker (1997) found that there were noticeable financial returns for the organisations whose human resource management (HRM) systems have achieved operational excellence and are aligned with business strategic goals. According to Ulrich (1998), one of the four roles of HR personnel is to become strategic business partner. Youndt and Snell (1996) find that firms employing HR practices according to the stated strategy are regarded to have better performance.
Those days, HRM was considered as administration and nothing much. It centered around routine tasks such as record keeping and maintenance. And it was also known as personal administration (Managerial auditing journal, 2003) and the HR those days did not interfere in the strategic plans of the organization. Higher level managers considered HRM as something which was not necessary for the organization because it did not contribute to productivity and the profit levels of the organization. But today HRM has gained more importance in most organization. Most executives viewed human capital as a cost needing to be controlled or minimized. Now, they realize that employees contribute significantly to the financial performance of the organization. This fresh perspective on the value
As storey (2001) explains that human resource management concept is typical approach to business which quest to achieve competitive advantage through the strategic disposition of dedicated and committed human work force using array of values, culture, personnel and structural techniques. In simple word Human resource denotes to employees that help to run and drives an organisation which is also the main workforce of any organisation or company, which includes all the jobs and duties linked to the organisation and management of each personnel forming strategic and management foundation of an organisation. When the basic principles of management were redefined the issues of human rights and welfare arises and was later studied and researched the major concern for an organisational success. This management of humans related rights and welfare was first named as ‘personnel function’ and later renamed as “human resources”. This purpose became the usual approach for the entire organisation to develop their qualitative and strategic planning. In ordinary meaning, HRM is a process of managing function dealing with humans as the business or organisation’s key resources, and by setting objectives in an effective way in order to gain organisational and individual goals.
According to (Armstrong & Taylor, 2017) HRM can be explained as a strategic, unified and comprehensible passage to the hiring, developing and comfort of employees in organisations. Thus, HRM essentially focuses on corresponding Human Resources (HR) with fundamental and functional requirements of the company to
Human resource management is a role within corporations that aims to motivate and enhance the human capital inside the organisation through designing and implementing policies and practices that will add value to the business (Stone, 2013). Due to the ever-changing environment, increased competition and cost-consciousness and basic human resource activities becoming automated or outsourced provides the need and opportunity for a profound change to human resource management to occur. Organisations need to maintain their competitive advantage by adapting quickly to changing opportunities, causing a need to adapt strategic human resource practices. Human resources need to identify strategic goals of organisations to use as a basis for policies and procedures implemented on human capital, with the aim to focus
Strategic human resource management is the approach of dealing with the human resource that backings long haul business objectives and result with a strategy system. This technique on the human resource concentrates on the long individuals’ issues, coordinating assets to future needs, and full scale worries about quality, structure, qualities, culture and duty to the human resource in a business firm. The human resource administration spins around the procuring of workers, train end finance and how to associate with the representatives to meet the needs and benefits of the organization. The approach on the human resource and its administration is a critical factor of the business which characterizes how the undertaking