Role of Human Resources in Organization
Realization of Importance of Human Resource
Vision for using Human Resources for Organizational Success
Role of HR Manager in Workplace Environment Creation and Motivation
Importance of Merritt-based Promotions
Realization of Importance of Human Resource
Companies and organizations can gain market leverage and achieve competitive advantages through effective management of its human resource. Thus, it plays a critical role in an organization or a company. Given the cut-throat competition in the global and the local markets as well as the declining importance of the impact of outside forces on stability, organizational effectiveness and development become critically dependent on management of human resources (Mondy, Noe & Gowan, 2005).
Most of the companies in the modern business require to function and develop in a relatively constant volatile environment and market condition. It is important that companies improve continuously for the purpose of creation of a sustainable competitive advantage in a volatile and highly competitive market environment (Edwards, 2009). The role of the employees in every organization is gaining prominence and importance in relation to companies gaining sustained levels of competitive advantage and this has enhanced the importance of the efficient management of the employees or human resources (Oh, Blau, Han & Kim, 2015).
While there is practical evidence of links between human resource management and a positive organizational performance, a large number of researchers have been able to establish a positive statistical relation between the two. This has also granted importance to human resource management and its role in better business performance (Mohd.Yusoff, Abdullah & Ramayah, 2009). Measurement of the financial aspect related to human resource management for an organization has similarly gained importance especially in relation to the development of implementation of ideas and the gaining of knowledge about the results in the implementation of human resource management.
Vision for using Human Resources for Organizational Success
According to researchers Goldsmith, Lyons and McArthur (2012), the enhancement of organizational effectiveness is enabled by a well thought out and a careful planning and implementation of human resource management (Goldsmith, Lyons & McArthur, 2012). The proactive aligning of the plans for human resources within the scope of the company objectives as well as the strategic plan of the company makes this possible. Since it is necessary that the policies that are formulated for the management of human resource are in line with the greater or overall objectives and strategic plan of a company, there is hardly any need for any separate document for the planning and management of human resources. In order to achieve the maximum financial gains from the investments made in human resource, the planning and the policies for the available human resources in an organization should be managed and allocated accordingly.
Since the overriding company objectives need to be considered while preparing and planning for human resource management, there is also a requirement for the assessment of issues, the implications as well as the challenges that are resultant from strategic business strategies. Hence answers to such challenges need to be included in the plans and programs for development of human resource (Morgan, Harkins & Goldsmith, 2005).
Researchers Lahteenmaki and Laiho says that there are differences between the modern concept of human resource and its management and the attempt to add value to an organization through its human resources and the development of organizational effectiveness and the traditional concept (Owumi & Ajayi, 2013). In modern business, human resources are considered to be part of the critical business activities of an organization (Mitsuhashi, Park, Wright & Chua, 2000).
Supporting the long-term goals of the organization is considered to be the primary goal of human resource and its management in modern organizations. Apart from catering to the traditional role that has been cut out for it for employees, efficient management of human resources in modern business also prepares employees for future possibilities that are resultant of the overall company goals and policies chalked out for the development of the organization. This has created a varied role for the human resource manager in the modern business. The HR manager is expected to understand and implement strategies and measures that can cater to the employees' macro concerns apart from doing the regular work of roll maintenance and attendance, payroll preparation and allocation of leave etc. Such employee macro concerns relate to the quality of facilities, the work culture in the organization, the organization structure, present and intended work ethics and commitment and values (Miah & Bird, 2007).
The changing role and the concept of the modern human resource management have made researchers and practitioners claim that it has now become dynamic, complex and evolving. This change is necessary to meet and to adjust to the challenges continuously thrown up by the ever changing business environment. In place of generalized policies and theories for the management of human resources strategies and policies are formulated to suit the diverse and specific needs of organizations. In a nutshell the functions and roles of a modern day human resources organization can be depicted by the diagram below.
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Among the roles and responsibilities of the modern day human resource department is the creation of organizational structure. Included in this aspect of management of human resources are the roles of hierarchical systems within an organization and the reporting of relationships between individuals and departments. Effective human resources management also defines the grouping of various components in line with the organization requirements and the degree and the span of control with respect to the structure components. The number of employees that are necessary for deployment for meeting the demands of staffing at present and in the future is also decided by human resources departments in consultation with the company management (Gollan, 2010).
The advantages of the human resource department or management undertaking a certain degree of responsibility for the development of organization structure is that they are in a better position to understand the needs of the company as well as the needs and demands of the employees. Creating the right organizational structure helps the company in achieving the desired performance levels and the business objectives. In modern day management of human resources, a manager identifies the components on a chart along with the information that is necessary. The role of individuals in relation to specific planning can then be ascribed by the human resource department in combination with the management which often results in a better output with respect to the expected advantages or gains from organizational structure.
Researchers like Camps and Luna-Arocas, (2009) say that the identification of the primary work processes necessary for the organization and completion of all the stages of the work is also among the roles of the modern HR management system (Camps & Luna-Arocas, 2009). Human behavior is factored into this function while identifying the work processes. Related to this role of HR management is the initial task related to designing the final product or service delivery and the requirement of human resource for each of the steps. Effective conduction of this role helps organizations to make effective plans that are related to the optimum allocation of human resources. Thereby maintenance of quality and increasing the effectiveness and efficiency of companies is made possible.
There are also many issues that have grown in salience for HR professionals as the globalization trend continues to encompass the globe. As populations continue to disperse, diversity in the global community has expanded from simply cultural and ethnic heritage and their related differences, to include different perspectives on social ethics, gay rights, religious, and political differences among others. As a result of the continuous mixture of cultures and ideologies that are largely driven by globalization, education is the most important aspect to fostering an appreciation for cultural diversity and this is promoted by HR departments through training and development programs that focus on these issues. The capability of an individual to function in diverse environments and business settings that have a level of cultural diversity and develop the performance through training interventions can be defined as cultural intelligence or CQ and has become an important aspect to HR (Ang, 2006).
The vision for human resource in modern management, therefore, tends to make sure that organizational effectiveness is achieved with the combined efforts of the managers and human resource management professionals where the later plays the role of a consultant and the former a facilitator. While creating a congenial environment at work which can lead to maximum output from the employees, according to Stanton and Nankervis (2011), this is also necessary to reduce conflicts (Stanton & Nankervis, 2011). Therefore, in this manner, efficient management of human resources makes the possible reduction of internal conflicts and the smooth running of various departments within the organization.
Role of HR Manager in Workplace Environment Creation and Motivation
Motivating employees is an important aspect of creating an effective team within organizations and delivering of objectives that the organization expects. Researchers like Armstrong (2009) define motivation of humans as objective directed behavior or the reason for which an individual does something is defined as motive (Nolan, 2013). Along with managers and organization leaders, HR often plays a very important role in motivating employees. Often this is done through providing recognition and rewards for excellence. Among many other factors, employees are motivated to work better by proper assessment of efficiency and dedication at work by the HR department (Armstrong & Armstrong, 2009).
Various activities of the human resource department help in the creation of commitment and love towards an organization among employees. One such method that can be employed by human resource managers and departments is engaging with the employees and including them in the decision-making process. A part of the process of empowerment of employees is the engagement of the employees. Researchers have concluded through this process of empowerment of employees it is possible to create a sense of belonging among the employees with the organization.
This longing or belongingness to the organization helps companies in times of change apart from working well throughout the year in creating an environment for better output and reducing employee attrition. Keeping employees motivated in times of change and getting employees ready for a change which facilitates the process of change is one of the roles of modern day human resource professionals (Stanton & Nankervis, 2011). This can be achieved through continuous exercises, policies, and measures to enhance employee motivation and employee participation in the decision-making process. Human resources department can enhance this process through creation and maintenance of an efficient mechanism for communication between the employees, and the between the employees and the managers and the management of the company. Some mechanisms include performance-based financial incentive structures. Profit sharing models allow HR to include employees in the overall financial performance of the company, while models such as gain sharing efforts are usually geared towards specific functions such as cost reduction measures and each of these incentive structures have considerable evidence that suggests their motivational value to employees (Weitzman & Kruse, N.d.).
Companies and organizations need to change or adapt to changes in the immediate business environment or in the case of short or long-term strategies. Since employees are now considered to be among the core capabilities of modern business organizations, possessing a committed, engaged and empowered set of employees would help them more easily see the benefits of a change or would be easy to convince about the benefits compared to employees who feel detached from the organization. Therefore, employees who feel more attached to the organization are more easily aligned to the company objectives - especially in an atmosphere of change (Younger, Younger & Thompson, 2011).
As a human resource manager, the professional has to primarily deal with human beings in the form of employees. While dealing with a number of things at the same time, an HR professional also needs to maintain an orderly approach to things. Hence being organized and possessing the ability to multitask is necessary as they have to deal with more than one issue and more than one employee on a typical day at the office. Hence in order to keep employees engaged, and motivated an HR professional has to possess a keen sense of analysis of situations and be able to distinguish the white from the gray.
As a part of the process of creation of a conducive working environment, an HR manager also would require eliminating or, at least, reduce as much as possible interpersonal conflicts as well as conflicts between employees and the company management. This can be done by establishing efficient and smooth channels of communication with the employees and creating an environment where employees manage to communicate between themselves. This is one of the critical aspects of the modern HR management process and as an HR manager facilitating seamless communication is a skill that has become essential. This can be achieved through regular and extensive contacts with the employees, creating opportunities for contact and meetings at work and off work between the manager and the employees (Younger, Younger & Thompson, 2011). This creates opportunities where misunderstandings can be identified and eliminated through mutual consultations. This also helps in greater exchange of ideas and helps in fostering of and generation of new ideas.
Reduction of conflict is also made possible by HR managers through negotiations. This is one of the additional skills that modern HR managers need to possess. The business process in a modern day requires HR managers to interact and negotiate with various people -- especially the staff and the management. There is always potential for a negotiating situation since the HR department most often is responsible for monitoring adherence to corporate policies and intervene if needed. Thus, this is a part of the process of and the ability of HR managers and other members of the department to communicate effectively (Mondy, Noe & Gowan, 2005).
Communication skills also come in handy for the HR manager when he has to communicate company policies to the employees of the HR department is also one of the primary modes through which the company communicates it policies. Communications are thus very critical and an essential requirement of any modern day HR manager (Bullivant, 2015). Hence, the creation of conducive work environment, motivating and engaging with employees can be achieved through efficient communication. Conflicts at work and delivery of company policies are also effectively dispersed if the HR department, headed by a proficient manager, possess good communication skills and is able to develop good personal and professional relations with employees.
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