Role Of Human Resource Management In Enhancing Organizational Effectiveness

Core HR elements for managing the workforce

Discuss about the Human Resource Practices in Organization.

Land, labor, and capital are the main assets that are used by any of the business corporations for executing the operations and functionalities and these are the factors that enable the business entity to earn profits. These are the assets of the firm that aids the entity in earning revenue and leads towards success and growth. Human resource is one of the most valuable assets for any of the business corporation. Human resource is also considered as one of the base pillars of the organizational structure. This pillar offers the varied range of strength and opportunities for future developments and maintains a sustainable position in the business environment (Cascio, 2018). As the human resource is one of the cores and empirical factor for any of the enterprise the business entity is required to make appropriate provisions for managing and maintain the same. HR managers are the authorities that are considered as liable and obliged for the execution of practices and process for managing and maintain the workforce within an organizational structure. The HR managers are required to make provisions for motivational activities that will inspire the individuals for working more with a greater level of dedication and that will lead in an increase in their efficiency and effectiveness in the delivery of services. Timely motivation provides s sense of encouragement and provides the boost to their dedication level. All of the mentioned practices are directly connected to the effectiveness of an organization. Hence managing human resource has been considered as one of the integral and crucial tasks for any of the business firm. The below-presented review has been based on the reasons for which it has been proved that the HRM is contributing to boosting and increasing the effectiveness of an organization. 

One of core and integral factor on which organizational effectiveness is made totally dependent is having right people in the organizational structure. Right and skilled individuals, at right time for the right profile and right job and this all, should be done appropriately as per the changing trends and requirements of the business organization.  Ideal individuals can be gotten by playing out the part of Human Resource (HR) practices (Derous and Fruyt, 2016). The following presented are the core HR elements of that can be used by the business corporation and association and also by utilizing HR exercises in a building firm. As indicated by the author, One of the prime method for dealing and managing the business relationships which emphasizes that utilizing capabilities and capacity of the workforce is basic to accomplishing manageable upper hand, this being accomplished through a particular arrangement of incorporated work strategies, software engineers, and practices.”

Significance of employee satisfaction in organizational effectiveness

On the basis of presented analysis, it has been clearly defined by Klimova, et al., 2016) that human resource management ought not only to deal with enrollment, pay, and release, but rather likewise ought to expand the use of the organization’s HR in a more prime level. For presenting the role and obligations of HRM a business corporation, the author has described a portion of the HRM segments. For example, Labour advocate, human capital designer, utilitarian master, key accomplice and HR pioneer and so forth. A vital part of an association’s business center and heading towards accomplishing abnormal amounts of competency and intensity would depend especially upon their human resource management operations.

After executing a research, Rathore, (2017) justified that that staffing, preparing, pay and performance evaluation is fundamentally imperative instruments in the HR hones that shape the association’s part in fulfilling the requirements of its partners. Partners of an organization include primarily of investors who will need to procure on their speculations, clients whose needs and wants for top-notch items or administrations are met, representatives who need their employment in the association to enthusiasm with sensible remuneration and reward framework and in conclusion, the group who might need the organization to contribute and take an interest in exercises and activities identifying with the ecological issues. Regular standards and systems of human asset administration must be clung to by the association which shapes essential rules on its practices (Dickmann, Brewster and Sparrow, 2016). Cooperation among bringing down levels of staff and the administration ought to be made and kept up to aid different edges that would consider fundamental in dispensing with correspondence breakdowns and encourage better relationship among specialists. The administration ought to underline on great corporate culture keeping in mind the end goal to create representatives and make a positive and helpful workplace (Ekwoaba, Ikeije and Ufoma, 2015).

To improve the challenges faced by the organizations after globalization, human resource practices have been adopted. It was believed by the company owners that only one thing can bring organizational change is human resource management. The article by () describes as to how human resources are effective for achieving the goals of an organization. The employees develop better strategies to compete in the market. The financial resources, sales and marketing and other functional areas of an organization are effectively managed by using the principles of human resource management (Goldstein and Passmore, 2017). The author says that HRM practices bring remarkable improvements in the competitive advantage of an organization. There are various threats in the market which can only be handled by human resources. The author concludes by describing the importance of employees in an organization. Companies are able to make social relations and to enhance the customer relationships. Companies should choose best HRM practices to increase their economic value within the market.

Training and development for enhancing employee productivity

Shen and Benson, (this journal describes about the role played by the HRM in increasing effectiveness of an organization. A company can gain profits by managing their resources with a proper sequence, therefore, using human resource practices, companies can create buyer persona which helps them to know the requirements of a customer. It is not easy to handle the customers. But considering accomplishment of long-term goals, companies have to build better relationships with customers. This journey begins with identifying stakeholders for a project, and then interviews are taken to know the specific needs of customers. Another key issue that rise in the companies is the proper management of suppliers. Most of the suppliers cheat organizations by contracting with higher expenses for bringing leads. Efficient human resources are capable of identifying such fraud cases and they could make the suitable business strategy to connect with various customers.

The most convenient option for the organizations is to choose social media as their communication channels. Companies can directly connect with the high-level executives of some another company by using LinkedIn. This is the place which can bring more and better leads for an organization (Guo, Rammal and Dowling, 2016).

Next key issue is the price of product or service. Customers are very much affected by the prices. They do not like to bargain more often which in turn creates the loss to the companies. Human resources make strategies which benefit the customers as well companies also. This is done by providing discount and offers to the customers. Services with affordable prices are what liked by a customer. Therefore, the role of human resource management is vital for an organization to maintain its effectiveness and also contributes to its growth and development. 

Employee satisfaction is also one of the key issues of human resource management. This is important because the employees who are not satisfied with the workplace or business process tends to make mistakes which the companies are not able to afford. In general, employees are affected by the salary package they are receiving from the company. Talented and skilled employees require better package despite their experience (Hjartardóttir and Lundeborg, 2017). Companies have to manage this critical issue as it affects the business procedures. Unsatisfied employees are the threat to the organization as they continuously make mistakes in their work like inefficiency and errors. The human resource managers have to be conscious enough when they perform recruitments. Fixed criteria should be adopted so that employees get satisfaction from the work they do and could effectively accomplish company’s objectives.

Organizational performance and the role of human resources

According to the author, the prime criteria to have efficient employees is making provision of professional training sessions to the newly hired employees. Training and development practices for employees enhance the productivity of the organization (Kang and Sung, 2017). This motivates the employees to work with dedication and increases their enthusiasm to achieve the various targets of an organization. The training procedures also assure that each of the employees can manage task at their own level. Although the tea leaders and managers help them to resolve their issues, the employees can represent their skills after their training is completed. But this strategy does not work for every organization as they are not able to afford a trainee and the required resources to provide training for the employees. This limitation creates complexity in the work processes because it is difficult to trust the new employees for handling clientele. Training helps employees to know the dos and donts of managing clientele for an organization. Training plays a vital role in the process of human resource management (Rudolph, Toomey and Baltes, 2017). It enhances the skills of employees and sometimes employees can explore new ways of doing business.

After training and development come the organizational performance which is largely affected the kind workforce an organization has (Ramdhani, Ramdhani and Ainissyifa, 2017). Goals of an organization include the addition of more number of customers, increased sales, and increased profit and to attain a higher rate of competitive advantage in the market. The technological, social and political changes affect the organizational performance. Human resources are said to be those assets of an organization who contributes to meeting expectations. The cooperation between employees and teamwork contributes effectively in process of decision-making. The efficient human resources of an organization deliver success for the company’s vision and mission statements. This also improves the culture and ethics of an organization. The attitude and behavior of an employee affect the business strategies developed by the employees. The term strategic human resource management provides a path which can be adopted by the organizations to manage the employee behavior. The representation of a company is by the set of employees working in an organization. Poor organizational staff leads to the loss of financial resources and the decrement in the competitive value (Li, 2015). However, this issue can be managed by implementing principles of strategic human resource management for an organization. Researchers have proved that this is the feasible solution to detect the key issues occurring in an organization and thereby finding a reliable solution. Strategic HRM is used to distinguish between the different organizations according to the products and services they give to the customers. It can be analyzed what kind of business strategies those companies are using and then construct new strategies for the organization. When developing a business strategy, the activities of competitors is considered to know and understand how they are capable enough to attain success in the market. It is because most of the companies sell same products and services but only a few of them are capable to achieve a better business value in the market (Nasurdin, Ahmad and Tan, 2016). Strategic HRM provides different tools and strategies for the organizations that focus on making the employees satisfied with their work. This also provides various policies that improve quality and productivity of an organization. Performance is not only limited to the employees of an organization but with also the upper-level management that is team leaders, managers, and other high-level executives. 

Benefits of improving organizational performance are that it builds the competitive strength of an organization (McCarthy et al., 2017). The potential risks of an organization can be resolved by implementing business strategies. This also trains the employees to handle critical projects and to efficiently deal with customers. Organizational performance represents the work culture of an organization and attracts number of customers to actively participate in purchasing the products or services from that organization. As the customers believe in purchasing services or products at reasonable prices with better quality, companies should enhance their organizational performance.

References

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Derous, E. and De Fruyt, F. (2016) Developments in Recruitment and Selection Research. International Journal of Selection and Assessment, 24(1), pp.1-3.

Dickmann, M., Brewster, C. and Sparrow, P. eds. (2016) International Human Resource Management: Contemporary HR Issues in Europe. New York: Routledge.

Ekwoaba, J. O., Ikeije, U. U., and Ufoma, N. (2015). The Impact of Recruitment and Selection Criteria on Organizational Performance.

Goldstein, H. and Passmore, J. (2017) The Wiley Blackwell Handbook of the Psychology of Recruitment, Selection and Employee Retention. US: John Wiley & Sons.

Guo, Y., Rammal, H. G., and Dowling, P. J. (2016). Global talent management and staffing in MNEs: An introduction to the edited volume of international business and management. In Global Talent Management and Staffing in MNEs (pp. xv-xxiv). Emerald Group Publishing Limited.

Hjartardóttir, F. H., and Lundeborg, L. (2017). Managing a Global Workforce: International Human Resource Management as a Strategic Tool.

Kang, M. and Sung, M. (2017) How symmetrical employee communication leads to employee engagement and positive employee communication behaviors: The mediation of employee-organization relationships. Journal of Communication Management, 21(1), pp.82-102.

Klimova, A., Rondeau, E., Andersson, K., Porras, J., Rybin, A. and Zaslavsky, A., 2016. An international Master’s program in green ICT as a contribution to sustainable development. Journal of Cleaner Production, 135, pp.223-239.

Li, T. (2015). Nestle Employee Recruitment Research. International Journal of Business and Social Science, 6(4).

McCarthy, J.M., Bauer, T.N., Truxillo, D.M., Anderson, N.R., Costa, A.C. and Ahmed, S.M. (2017) Applicant perspectives during selection: A review addressing “so what?,”“what’s new?,” and “where to next?”. Journal of Management, 43(6), pp.1693-1725.

Nasurdin, A. M., Ahmad, N. H., and Tan, C. L. (2016). The role of staffing and orientation practices in predicting service-oriented organisational citizenship behaviour. Asian Academy of Management Journal, 21(2).

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Rathore, P. S. (2017) Significance of training and hospitality skills for hotel employees. International Journal of Engineering and Management Research, 7(3), 53-56.

Rudolph, C.W., Toomey, E.C. and Baltes, B.B. (2017) Considering age diversity in recruitment and selection: An expanded work lifespan view of age management. In The Palgrave Handbook of Age Diversity and Work (pp. 607-638). Palgrave Macmillan, London.

Shen, J. and Benson, J. (2016) When CSR is a social norm: How socially responsible human resource management affects employee work behavior. Journal of Management, 42(6), pp.1723-1746.