Human Resource
Management & Business Performance
Human Resource Management
(HRM) has emerged in the last decade as a significant field from its earlier
roots in personnel management, industrial relations, and industrial psychology.
People management and high performance teams have become key functions and
goals for managers at all levels in organizations.
Nowadays it is
practically understood that high quality people management can provide firms
with a source of competitive advantage that it is challenging for competitors
to imitate.
HRM focuses on
different aspects of a company. Primarily it links with organizational
structure of a company and that is known as the reporting layer. Therein every
staff is supervised and duties and responsibilities are assigned. Moreover the
correct implementation of HRM practices too are significant.
HRM plays a major role
in business development / performance since it covers a vast area as shown
below.
- · Recruitment's (based on education, experience, requirement of the
company)
- · Trainings (on subject knowledge, attitudes, customer service,
etc...)
- · Employee satisfaction (through nondiscrimination)
- · Performance based increments, Rewards for target achievement
& Promotions
- · Other benefits (health insurance, annual trips, holidays or
payment, etc...)
- · Disciplinary actions / firing
When these determinants
are carefully reviewed and managed, the quality of the product (good or
service) is automatically assured. Ultimately that builds a strong base in the
Company generating a good brand name. Consequently, staff retention is quite
potential and that reduces employee turnover. In addition to that, the
efficiency and productivity can be expected from the retaining human resources
which lead to increase of sales / business and the growth of company.
Vice versa, the wrong
implementation of HR practices may cause failure of business.
hi aslam,Ensuring a continuous flow of leadership talent is a core function of the human resource organization. Succession planning involves identifying potential leaders among the ranks and developing their skills so they can eventually replace today's leaders. Using mentors to coach rising stars, providing them with the education and training they need to succeed and demonstrating management's confidence in the new leaders can help them make the transition from operational or middle management positions to senior-level roles.
ReplyDeleteHi Aslam,
ReplyDeleteMeasuring HR practices in an organization is challenging. Large amount of research data to be extracted, assuming that all employees within the organization is treated equally. Combining these assumptions of equality, with one or just a few informants reporting the Human Resource Management, data can lead to erroneous measurements of which HR practices, that are executed and to what extent they are utilized in the given organizations.
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ReplyDeleteDear Aslam, it is exactly correct every single movement of HR has direct impact to the business goals and vice versa.
ReplyDelete
ReplyDeleteHi Aslam,
Yes, as you mentioned HRM has an immense impact n the structure of the organization. People who work together in an organization need a defined system or a structure in order to assure smooth functioning of operations which might in turn can empower a committed and engaged workforce.
As a HR person I do understand the importance of correct implementation of HRM practices. Good HR practices can lead towards better performance of individual and the entire organization as a whole. It was really interesting to go through this article as it emphasizes some very important points in a very simple way.