Last but not least, suggest and evaluate recommendations to overcome the challenge faced by HRM. Importance of HRM HRM is important to every organization as it concerns with the “people” dimension (DeCenzo and Robbins, 1996). Every organization uses a range of capitals to make their businesses function. These capitals can be in the form of cash, machineries, goods or facilities to generate revenues for organizations (Noe et al., 2014). Regardless of the industry of the organization, it must have people to make these capitals functional and generate revenues.
Financial performance of an organization depends to a large extent on effective operational performance which is a function of people, process and technology. For effective interaction with technology and process, people within an organization have to be competent with the required knowledge, skills and abilities. Competence of individuals is an important factor that decides operational effectiveness in terms of providing quality products and services at a shortest time. HRM practices such as selection, training, work environment and performance appraisal may enhance the competence of employees for higher performance. HRM rarely has a direct impact on firm performance as business logic of its effect requires that HR drives firm performance through its contribution to effective strategy execution which is the basis shareholders value and is a system of intermediate outcomes.
Employee performance is one of the most factors that effect on the performance of the organization. The successful organization understands the importance of HR practices as a critical factor directly affects and contributes on the performance (AL-Qudah, M. K. M., Osman, A., Ab Halim, M. S., & Al-Shatanawi, H. A., 2014). The success of any organization depend on its employees behavior and their decision, although there are many other factors contribute in that success, such as the organization size, the environment in what it operate and its activities. Employee performance within an organization can be defined with a variety of ways including their behavior, attitude and motivation to achieve goals (Ali and Jadoon, 2012). Performance is associated
Section B- Managing HR assignment A) Outline and explain the purpose and importance of workplace planning to a HR department. “Workforce planning is an essential tool for anticipating possible future developments and maintaining a well-structured workforce of an appropriate size, which is able to meet the changing needs of the public service in a cost efficient manner” OECD(2011) (1) Workforce planning is a process to measure and compare the current workforce with the future demand in relation to the organisations strategy and business planning process. An organisation operates most effectively when the right people with the right knowledge, skills and abilities are deployed correctly. A good plan will help an organisation with avoiding staff
Individual performance has become a growing area for organisations to focus on as managing job performance is important in achieving the organisations overall goals as it is concerned with how people work, how they are managed and developed to improve performance and how to maximise their contribution to the organisation(Atkinson and Shaw ,2006:174). Saks and Gruman (2011:127) state that most of the performance management processes focus on establishing performance goals for employees, assessing performance, and providing feedback.The exception to this process is the performance appraisal process developed by Murphy and DeNisi (2008).The difference with these performance measures were that they were aligned to business strategy, technology and organisational norms. Saks and Gruman (2011:127) further confirm that models of performance management generally follow a sequence of activities within established timelines such as performance agreement, goal setting, performance monitoring, performance appraisal and feedback.Atkinson and Shaw (2006:176) argue that the manager plays an important role in motivating, coaching and enabling performance, organising resources and facilitating any development
As we are going to use the Human Resource Practices as an independent variable so there is a discussion about it. The Human Resource Management practices consist of the process of recruitment & selection, process of skills development, performance appraisal activities as well as development of human resource policies, and keeping of human resource records within the organization (Kotey& Slade: 2005). The past research shows that HRM Practices play an important role to increase the productivity of the organization by developing the skills and motivation level of the employees. HRM practices play a vital role to attain the business objectives through well-established strategies of the innovation or technical expertise of the workforce in the
Difference between human resource management and personnel management Human resource management is a strategic approach to managing employment relations which emphasis that leveraging people’s capabilities is critical to achieving sustainable competitive advantage , this being achieved through a distinctive set of integrated employment Policies Programmers & Practices. a lot about the importance of human resources for any organization. The human resources refer to the qualities possessed by the work force or employees in an organization. These qualities include knowledge, values, skills, abilities, cognition, beliefs, commitment, etc., possessed by the employees, without which any organization cannot grow or achieve their objectives. Bratton and Gold (2007) defines HRM as ‘a strategic approach to managing employment relations which emphasis that leveraging people’s capabilities is critical to achieving sustainable competitive advantage, this being achieved through a distinctive set of integrated employment policies, programmes and practices’.
Moreover, another impact that this theory has on organizational strategy whereby Charismatic leaders at CIBCFCIB can minimize various types of behaviour by increasing competent employees. For example, selecting experienced employees and delegate authority to them for resolving problems (Yukl and Mahsud, 2010). This will lessen the stress of management and leadership to guide the team effectively towards accomplishing the organisational
Nowadays, the employee is seen as a corporation’s most valuable asset and therefore, any person in a supervisory or managerial role needs to understand how to care for this major benefit. All companies must comprehend that the marketplace is the environment for business, but employees through their ability to deliver
Human resources management deals with the management of people in an organization. It is assessed and accepted that human resources are the main component of an organization and the success or failure of the organization depends on how effectively this component is managed. The organizations objectives and strategies are achieved, if the personnel policies and procedures are will connected and mainly contribute in that direction. The organization excels other competitors, if the organization climate managerial behaviour and corporate culture have an impact on the organization activates. The culture and organization values have to be reinforced and for that the continuous efforts on the part of human component of the organization activities