How Effective HRM Practices Helps To Increase The Organizational Performances?

Functions of HRM in enhancing productivity and employee satisfaction

How Effective HRM Practices Helps To Increase The Organizational Performances?

In the modern business environment, majority of the business entities have a nicely developed human resource departments in the primary organization structure. As every company is made of people, developing their knowledge and skills, enhancing their talents, acquiring their services, motivating them so that they can give high level of performance as well as making sure that they are maintaining their commitments is very important in order to accomplish the goals and objectives of the organizations. It helps the organization to achieve success in its business (Patel, Messersmith and Lepak 2013). In this way, the team HRM plays its important role in every business environment. This paper seeks to elaborate on the role of HRM practices in improving employee satisfaction and development. It will also shed light on how effective HRM practices helps to increase the organizational performances.

Functions of the HRM play a crucial part in enhancing the productivity and performance of the business and at the same time in assuring employee satisfaction. This in turn can provide the company with a clear insight view of the competitive edges as well as it openly contributes to the overall success of the organization in general. Effective HRM policies and practices enable the organizations to effectively deal with the HR related issues in a strategic manner (Brester 2017). This further allows the workforce to provide services which are high in quality, regardless of the external and internal challenges to the company. Sufficient HRM policies facilitate the business entities to give utmost importance to their complete business strategies. The HR department of an organization also makes it easy for it to attract new, talented and practical workforce as well as to retain competent and high performing employees (Cania 2014). It helps to supports the managers and the several different groups of employees while they are adapting to the change in the organization as well as enables the use of skills and knowledge for deciding how the work is going to get done.

Although there are companies which still do not consider the HRM as an important function of the management, but it is undeniable that the human resource team does play a great pant by helping and contributing immensely to the notable success of many corporations today. The employees undoubtedly represents the most essential asset of the organization as the employees are well involves in the operations of the business and with the same, enables the process of decision-making to occur (Porter and Kramer 2019). In addition to this, it can also be said that the employees are the top most costly asset of an organization as because of the fact that around 70% of the total budget of the company is allocated to its labor force (Koski and Pajarinen 2013). Hence, it can be said that employees are indeed a valuable asset that can make any business developed and profitable. This makes it important to look after the fact that whether they are satisfied with their job and work. Therefore, it is very important to identify proper HR practices and policies on which the employees can depend in a bit so that to put up its success in the very industry.

Importance of employees as valuable assets of an organization

Job satisfaction is one of the major prominent correlates of the innovative Human Resource practices (Renwick, Redman and Maguire 2013). It is a sense of being fulfilled by the demand that an employee might have in terms of both psychological and physiological esteem and it inculcates in the employees a positive state of mind. It is linked to both the job design and motivation as these factors helps in determining the level of satisfaction of the employees at their job place. The employees are usually regarded as the most fragile element of an organization in context to satisfaction and hence, taking care of their satisfaction level falls under the responsibilities of the HR department of the companies (Sutton 2014). HR department are bound to manage the employees by implementing different methods and techniques of training, hiring, motivating, and all the other plans that are related to the workforce. They play a major part in the organizational success as job satisfaction is determines by the policies and practices of the human resource. Human Resource team plays a crucial role in the overall organizational success as the level of job satisfaction is determined by the policies and practices of the Human resources management department. The job design, job enrichment, job rotation, organizational citizenship behavior, employee appraisal and compensation plans are all some of the most dominated issues for the employees inside an organization.

Most of the companies employ a well-written document that is entitles with the HRM policies and practices that the HRM department is expected to follow lawfully for the betterment of the organization. Such practices and policies are significantly consisting of the recruitment and selection processes, human resource planning, total rewards and training and development of the employees (Dries 2013). These practices are basically planned for allowing the complete success of the company. Therefore, there is high need to care for the human resources and regard them as the strategic associated of the company. They must be involved in all the functional level of the management, which signifies that they must be assessing the employee performances at diverse levels in order to identify the individual performances of each employee working in the organization and their effect on the overall productivity of the company. For the low performing workers, the HRM department could advise and make the necessary improvements so that to enhance their performances (Bos-Nehles, Van Riemsdijk and Kees Looise 2013). Moreover, the human resource team must focus and male use of the time and efforts in order to support the business while planning, implementing and the controlling process.

Role of HRM in managing employee satisfaction and job design

The Human resources activities like that of recruiting the talented and skilled candidates within the workforce, developing the candidates during the time they are working for the company and finally retaining them influences positively the basic performance of the organization by relating the individuals to the business, operational as well as strategic aspirations of the company (Jafari, Akhavan and Nourizadeh 2013). It also helps the organization by providing improvement, retention of the skilled workforce and possession that could bring in high level of productivity, innovation and flexibility as well as retaining such individuals who fit the organizational culture and the much planned requirements of the organization.

Furthermore, the training, education and development process could also have a positive impact on the business performance of the entities by enlarging and enhancing their proficiency foundation and developing the competence essential levels among the employees (Nicolaescu, Alpopi and Zaharia 2015). Such processes also encourage flexible learning which takes place when the employees dynamically want to achieve the skills and knowledge which can further support the organizational goals and helps in mounting the learning climate within the company. It opens up a medium of growth in which, along with training and mentoring, thrives the self-managed learning as well. Increase in motivation and commitment could have a positive effect on the performance of the organization through ensuring that the employees are paying attention in their respective working activities, are constructive and at the same time, it also ensures that they are happy in working for the company. Along with this, it also ensures that the employees are decisive for accomplishing the objectives and goals of the organization.

Moreover, the recruitment and the selection process also help in increasing the production of the organization. Recruitment is the process of identifying that the organization seeks to employ someone until the time when the request form for the position or designation has reached at the organization (Perkins and Arvinen-Muondo 2013). There are mainly two kinds of recruitments, namely, internal recruitment and external recruitment. The internal recruitment signifies that the company is targeted towards fulfilling the job posts that are unoccupied from within the very company. The external recruitment, on the other hand, implies that the company is looking to fill up the vacancy from any candidate who is suitable, belonging outside the organization. Efficient recruitment policies and practices help the company to know- which is the appropriate source of recruiting in order to fill the vacant job placement (Basak and Khanna 2017). Through this company can mentor as well as train the new labor force so that to sustain the position of the very company and to teach them regarding the future motives, plans, objectives and directions of the company.

Hence, from the above discussion it is clear that Human Resource Management” href=”https://#”>Human Resource Management is basically concerned with the process of ensuring that the tasks of proper policies and practices by the people within the organization, recruitment and selection procedures, employee loyalty, training and development of the employees, performance appraisal, employee motivation, the rewards and compensations are also put in place. In other words, it is concerned with the dimension of the people in the management. Hence, the HRM practices, when done effectively, do have the potential to improve the level of development and satisfaction of the employees and with the same, it also helps in improving the organizational performance.

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