The Role Of Hrm In The 21st Century

In this era of the 21st century, Human Resource Management is much different compared to the past, filling out of paperwork for all employees was a role of the past to what Human resource managers do. Today, they manage all sections or a particular department in a company and have the responsibility to manage and shape employees to run the business in its correct path by providing strategies. Strategies include analysis of jobs which supports organizations' mission, goals and culture. Their roles also include hiring the right candidates, compensation of employees, providing upgrading by training or development and managing employee’s performance through reviews.

Human Resource Management simply means a planned approach that utilizes a system

The most challenging problem which most firms face today is retaining and finding employees. In accordance to Society for Human Resource Management surveys conducted on firms, 59% of its respondents included difficulty in retention and recruitment of talent as their top challenges. There is a trend for people looking for new jobs whenever the economy becomes better and people tend to think that the "grass is greener on the other side" which leads to people trying be open for more employment options. Another problem in retaining employees is there is a high number of aging workers in today's context due to the "baby boomers" aging today. They are a valuable assets as they have gained mass amount of knowledge and experience throughout the years which they had excelled in. When they leave, they leave with their experience and skills with them, losing valuable resource for the company. To replace those who are about to retire, Human Resource department have to find and select new employees. There are estimated about 40 million new employees entering workplace against 70 million Baby Boomer generation leaving the workforce in the United States. This is a serious issue as lack of manpower could cause the company to shutdown or productivity level will drop. Within the new generation entering the workforce, these graduates and new employees are looking for companies that follow a 'work life balance' approach. They prefer to have a balance of work hours and personal time for family or activities they are interested in. Not all companies could adopt the work life balance as competition is tough and some companies have to work beyond the office hours for continuous source of revenue to be generated. Once again, these companies have difficulty finding suitable workers that are willing to work