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HUMAN RESOURCE (HR) - Assignment Example

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Based on stiff competition that firms have continued to experience, effective management of human resources has become a paramount aspect that is used by companies in order to remain competitive…
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HUMAN RESOURCE (HR)
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?Running head: HUMAN RESOURCE (HR) 29th April Introduction Based on stiff competition that firms have continued to experience, effective management of human resources has become a paramount aspect that is used by companies in order to remain competitive.Human resource management (HRM) entails the strategies that are adopted by firms in their effort to retain the productivity of their staff. Performance management on the other hand covers the strategies put in place by companies to evaluate the performance of their employees. It is important to note that regular evaluation of employees is a vital strategy that ensures any deviation from the company policies is noted and the necessary steps undertaken. This paper critically analyzes the role of strategic management approach to human resource management as well as performance management. Strategic management approach to human resource management According to Armstrong and Long (1994) universal access concentrates on the best practices directed on the main four objectives of the management policies that should be met so as to get the expected organizational result.Similarly,universalistic approach assumes that there exist some best management practices which if put into practice will result to the best performance by the organization. Bannister and Bennett (1995) further argues that first the manager must conduct a personnel selection based on a test so as to determine their potential to have positive contribution to an organization. Further they argue that recognition of training to be an activity that is continuous is another strategic role to human resource management. Bramble (1996) depicts that strategy implementation mainly focuses on techniques managers use to put into practice their policies. It gives information on activities dealing with styles of leadership, organizational structure, control systems, information and human resource management. The corporate level strategy gives overall corporation the direction in regard to philosophy, growth and management of various units of business. The strategy further determines corporations that firms aspire to work with and the business units to be acquired, sold or modified. Clark (1992) made a formulation which includes low-cost leadership in which his aim was to increase organizations share in the market by embracing the lowest cost per unit and price in comparison to the competitors.On the other hand, differentiation strategy stipulates that managers show a discrepancy in their products and services in relation to those of their competitors found in the industry. This makes it possible for customers to be willing to pay an extra coin. Deery and Walsh (1990) supported the four models relating to strategic orientation. Defenders according to him are companies which have a product line that is limited and where the management strives to improve the existing operations efficiency. Prospectus have considerably product lines that are broad and their main focus is innovation of products and opportunities in market.Analysers operate under markets that has two unrelated products, one stable while the other is variable. In this case, senior managers put emphasis on efficiency in areas that are stable and innovation in variable areas.Finally; reactors are those companies which do not have consistent structure, culture and strategy relationship. In this orientation, responses from senior management to changes in the environment and pressures seem to be strategic adjustments that are piecemeal. The role of strategic management approach to human resource management as stipulated by Moore business school is initiating mentoring programme aimed at making new employees be at into par with the rest relating to policies or any project in progress. A company must assess, coach or train employees to help them work better. Companies that invest in their employees produce high quality products. Strategic human resource management makes the work of the manager to be simple since there is no wastage of time monitoring employees since they are self driven. Human relations proponents have reasoned that in social relationships that are work- based productivity or cooperativeness with the management is shaped by the status of a worker or his role in the group. Gardner and Palmer (1997) argue that managers are supposed to view their employees as assets rather than variable costs, this can be demonstrated by rewarding them appropriately. Superior performance by workers is evident when organizations embrace new technology and use other available resources for competitive advantage. According to Kantar (1983), employee’s knowledge, social relationship and expertise provides capabilities which increases organizations competitive advantage.Organisations should concentrate in training their employees as opposed to acquiring new ones to do the same job. Psychological contracts which concentrates in nurturing social relationships result to trust and respect between employees, this further controls the target which is the outcomes. Paternalistic approach offers opportunities for learning and promotion that is internal to employees who comply with the stipulated rules. Nankervis and Compton (1994) argue that strategic management approach to human resource management is also responsible for the specification of characteristics of employees required to do a given job. Managers should also guarantee their employee of continuous job and where they work freely without fear. It should also select the right workers in the right manner since better trained employees are more productive than poorly trained ones, they also reduce the cost incurred for retraining. Strategic management approach also focuses on giving wages higher than the one in the market; this in return attracts highly qualified applicants and send a signal that the organization values its employees. It also advocates for incentive pay to employees who lead to high profitability as a result of their efficiency, such employees consider the act as fair.Employee involvement which may be either by owning shares and also sharing profits makes them feel part of the organization. Employees also need to be provided with information concerning productivity, operations and productivity. This makes them feel part and parcel of the organization. Thompson (1987) elaborates that participation and empowerment encourages decentralization in case of decision making hence allowing worker participation thus empowering them control the work process. Further, it is imperative to initiate teams that are coordinated to work together. Stone (1991) argues that training and development of skills provides employees with necessary skills to perform their jobs. This does not only make it possible for managers and employees undertake their task competently but also it shows the organization commitment towards its employees. Strategic approach to human resource management also allows cross utilization and cross training which entails training of workers so as to perform different tasks. This leads to the fact that the work becomes interesting and provides flexibility to management in relation to scheduling work. Symbolic egalitarianism which means equal treatment in work for instance eliminating reserved parking and special diet for a particular group among others makes employees feel comfortable regardless of their social status. Mayo (1995) argues that the strategic human management approach also deals with wage compression which entails reducing the difference between the pay among the employees working in a given industry. This is important because it leads to the feeling of comfort and all employees feel important. In a situation where strategies in an organization are integrated fully, human resource specialist can report directly to the managers at higher levels this is a clear indication of strategic approach to human resource management. Performance management Ulrich (1996) argues that performance management has different roles in an organization which mainly revolve around employees. They include authorization, support and funding employees for resources required to carry on management and performance activities. It also entails support of initiatives towards measurement of the account. Likewise, it is responsible for actions taken to employees as a result of non compliance to stipulated rules and regulations. In addition, it deals with action taken upon reports taken concerning measurement of activities in an organization. Performance management further acts on information received in corrective actions that are direct and also information got through measurement briefing. Performance management is responsible for ensuring that plans involved in project management are completed. It also aims at effective governance and team improvement so as to cope with all issues at the right time. Jonathan (2010) depicts that non compliance issues are also resolved timely during performance management. It also keeps team members alert so as to take part in proper role while conducting measurement activities. Performance management is additionally focused at project planning and later come up with costs for resources, schedule on time and estimate defects. It also analyzes reports and interprets them and preferably takes appropriate actions depending on performance measures that are available. Wright (2011) also comes up with monthly graphs and charts aimed at reporting progress of projects to the employees and managers. To the employees due to the fact that the whole process of performance management revolves around them play the role of drafting agreements on performance together with their respective line managers and hence mingle in the entire organization. The role of HR in performance management is pursuing a given particular strategy so as to achieve organizational goals and objectives. Performance management on the other hand entails offering rewards as a result of a job that was done. This may include time off, gifts, promotion and holidays among others. Conaty and Ram (2011) argue that an effective performance appraisal offers an incentive for good performance and may broaden the chances for career development in future. Performance management may assist one to identify ways to improve performance and may offer an opportunity for discussion on direction on career and prospectus. Performance management gives employees a chance for training hence improving their career. Performance management assists one to identify strengths and weaknesses. It further gives employees a chance to exchange views while away from the normal work pressures. The employees must monitor their daily progress and make note of difficulties encountered and achievements got. They should also remain open always and implement what has been positively commented by customers especially if it is at per with organization policies. They should also keep asking for feedback from the managers concerning their performance so as to know on where to improve their performance (Jonathan, 2010). Workers should not feel disregarded when negative comments are given but instead they should use them so as to improve on their skills. The performance management also enables employees to seek for new opportunities and coaching so as to improve on their skills and be more efficient in their undertakings. In any firm, performance management is used by managers to access strengths and weaknesses so as to know on areas to give priority first. It also enables managers to determine which way they will use to improve on skills, knowledge and abilities. Weiner (2000) reasons that another role of performance management is to link the performance agreement and development plan. According to him, effective performance management must align employee’s day-to-day actions with the organization objectives and also provide accountability based on performance expectations. It also allows documentation of individual performance so as to support career planning decisions and compensation. Performance management also allows for documentation of legal information that support decisions thereby reducing disputes. Performance management develops a psychological contract that is positive, this is of importance because it is directly link higher commitment, satisfaction of employees and consequently better employee relation which translates to improved and effective performance (Rotter, 1966). Conclusion Strategic management approach to human resource management is important in any organization because it deals solely with employees who are the most important resource in every organization. Managers must always make strategies that involve employee input, they should involve the employees in decision making since employees are the one who will be held accountable by the rules made in an organization.Employees should also be valued and given an environment that enables them to work well.On the other hand, performance management is aimed at making employees work based on the objectives and policies of their organization. Performance management must work harmoniously with strategic management so as to achieve the organizational goals. Managers must always strive to see that employees remain the most valuable asset in any organization.This is the secret towards achieving all organizational goals. References Armstrong, M. and Long P. 1994. The Reality of SHRM, Institute of Personnel and Development. London: Sage. Bannister, B. and Bennett R. 1995. Managing Human Resources in Hong Kong. Hong Kong: Pitman. Bramble, T. 1996. Strategy in Content: The Impact of Changing Regulatory Regimes on Industrial Relations Management. London: Counterpoint. Clark, R. 1992. Australian HRM – Framework and Practice. Boston: Houghton Mifflin. Conaty, B and Ram, C. 2011. The Talent Masters: Why Smart Leaders Put People Before Numbers. London: Crown Publishing Group. Deery, S. and Walsh, J. 1990. Industrial Relations, Contemporary Analysis. Sydney: McGraw. Gardner, M. and Palmer, G. 1997. Employment Relations. Melbourne: Macmillan. Jonathan, E. 2010. The Changing Environment of Professional HR Associations. New York: Macmillan. Kanter, M. 1983. The Change Masters: London: Counterpoint. Mayo, E. 1945. Hawthorne and the Western Electric Company. London: Harvard Business School. Nankervis, R. and Compton, L. 1994. Reading in Strategic Human Resource Management. Sydney: McGraw. Rotter, B .1966. Generalized expectancies for internal versus external controls of reinforcement. New York: Macmillan. Stone, J. 1991. Reading in Human Resource Management. New York: Macmillan. Thompson, A. and Strickland, J. 1987. Strategic Management. Texas: McGraw. Ulrich, D. 1996. Human Resource Champions. The next agenda for adding value and delivering results. London: Harvard Business School. Weiner, B. 2000. Interpersonal and intrapersonal theories of motivation from an attributional perspective. London: Harvard Business School, Wright, P.2011. Building Organizational, Functional, and Personal Talent. New York: Macmillan. Read More
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