Assessing HRD Need is Important in Developing Strategic HRD - Essay Example

Introduction The value of human resource development (HRD) as a key strategic tool in modern organizations cannot be denied. In fact, it could be noted that HRD can help towards the improvement of the employee performance – either in the short or the long term. The role of HRD in modern organizations has been extensively emphasized in the literature; emphasis is given though on the potential complexity and the increased needs of HRD plans, a fact that has led to the assumption that the development of effective HRD policies requires the active support of both the employer and the employees. Current paper focuses on the examination of a particular aspect of HRD: the development of strategic HRD process. Reference is made specifically to the relationship between this process and the assessment of HRD need. The examination of the literature published in the particular field has revealed that indeed the accurate and appropriate assessment of HRD need can increase the chances for the successful development of strategic HRD process; however, the terms under which the interaction between the above two activities/ processes can be developed are not always clear. It seems that the conditions in the internal and the external organizational environment can affect the level at which the assessment of HR need affects the development of strategic HRD process. All the potential aspects of the above relationship are examined and critically analyzed in this paper using examples – as possible – from relevant organizational practices. 2. Human Resource Development – role and forms The establishment of HRD policies in the workplace has been proved to be a challenging task; despite their value, these policies have also important requirements, which have to be appropriately addressed so that the targets set by the planners of these policies to be achieved. The challenges that HRD policies have to face in the modern market can be understood by referring to their characteristics and common forms. In this way also, the requirements of these policies will be clearer understood and justified. In accordance with Werner et al. (2008) HRD is indispensable part of the HR plans developed in enterprises of all sizes; however, the forms of HRD that each of these enterprises decide to implement is differentiated – usually being depended on the organizational needs, the resources available and the benefits expected. Indicative forms of HRD are the following ones: ‘the training sessions for employees in various departments, the career planning projects and the participation in a wide change effort of the organization’ (Werner et al 2008, p.4). It is also noted that the development of effective HRD policies is depended on the existence of the relevant resources; for this reason, before proceeding to the establishment of a particular HRD plan, the managers involved need to ensure that the resources required for the execution of the plan are available – or, at least, that they will be available in the short term (Werner et al. 2008). Through a similar point of view, Reid et al. (2004) noted that HRD is a key process for enterprises of all sizes; however, it is explained that not all employers manage to understand the needs or the value of the specific process. Moreover, the ability of managers to respond to the needs of the HRD policies is often limited – under the influence of personal perceptions on organizational priorities and values (Reid et al 2004). At the next level, Reid et al (2004) state that the responsibility of managers involved in HRD policies can be differentiated – more specifically, differences have been identified in ‘managerial responsibility for learning, development and training’ (Reid et al. 2004, p.118) – a fact that it is negatively criticized by the above researchers. It is suggested that the responsibility of HR managers for the various phases of the HRD process should be equal securing their high level of engagement to the relevant projects. On the other hand, in the study of Wilson (2005) it is noted that HRD focuses on the ‘personal growth of the individual but not related to a specific present or future job’ (Nadler et al. 1990, p.18 in Wilson, 2005, p.7). The above description of HRD highlights the key aim of HRD in modern organizations: the personal growth of employees. However, the fact that HRD is not related to the requirements of a specific position can lead to the following assumption: the requirements of HRD processes may be differentiated within each organization in accordance with the perceptions of the HR managers on the needs of employees in terms of their personal growth – even if certain standards can exist in this field – for instance, the improvement of the employees’ IT skills is one of the standard forms of personal growth in the workplace. In certain organizations, the development of other personal skills, for instance the public relations (PR) skills or the language skills might be considered as a priority compared to the development of the employees’ IT skills. The potential existence of different hierarchy of priorities in regard to the elements of the HRD process is also revealed through the existing definitions of HRD: in accordance with McLagan et al. (1998) the HRD aims to support both the individual and the organizational development (McLagan et al. 1998, p.1, in Wilson, 2005, p.10). Moreover, Watkins (1989) focused on the interpretation of HRD as a tool for increasing ‘the learning capacity at the individual and the organizational level’ (Watkins 1989, p.427, in Wilson, 2005, p.10). It is made clear from the above views that HRD process is closely related to the organizational needs; for this reason, its phases need to be aligned with the organizational environment and take into consideration the resources available. A different perspective of HRD process is presented in the study of Joy-Matthews et al. (2004); in accordance with the above researchers, the key aim of HRD development is the use of appropriately customized learning methods aiming to help employees realize their skills and capabilities but also their potentials – not just regarding their current position in the organization but in relation to the workplace in general (Joy-Matthews et al., 2004). In any case, it is noted that HRD process is differentiated from other organizational processes – like training or learning – even if elements of these processes may be incorporated in the HRD schemes in order to help towards the achievement of the targets set by these schemes’ developers. The view of Joy-Matthews et al. (2004) in regard to the content and the role of HRD process is slightly differentiated from the perceptions on HRD process that were published in the past – indicatively, reference should be made to the definitions of HRD presented above. However, the independency of HRD from learning – as highlighted in the study of Joy-Matthews et al. (2004) is not total – at the level that learning is the most common tool for supporting the growth of employees; in this context, any potential contradiction in regard to the form and the requirements of HRD, as a strategic tool of enterprises worldwide, is eliminated. The framework of the HRD, as described above, has to be carefully studied in order to understand the level of dependency of HRD on certain factors – reference is made specifically to the assessment of HRD need as a critical factor for the development of strategic HRD process, an issue analyzed below. 3. The assessment of HRD need, as a factor influencing the development of strategic HRD process 3.1 Assessment of HRD need – description, requirements, challenges As explained above, the HRD process can be quite complex; meeting its requirements can be a challenging task for HRM practitioners. However, the risk for potential failures can be minimized through practices and theories, which have been already tested in the particular field. A practice of such kind is described in the study of Werner et al. (2008); in accordance with the above study, the HRD process should be developed in four phases: ‘needs assessment, design, implementation and evaluation’ (Werner et al. 2008, p.26). It is made clear, through the above view, that needs assessment is a critical part of the HRD process – in fast needs assessment is the first part of the specific process. The importance of needs assessment for the success of the HRD process is further explained in the study of Werner et al. (2008) by referring to the definition of needs: ‘needs’ in terms of HRD process is a term used in order to explain either ‘a current deficiency or a new challenge’ (Werner et al. 2008, p.26). At the next level, it is made clear that the assessment of needs (as part of the HRD process) in modern organizations refers to the following activity: the careful overview and evaluation of the organizational environment, the allocation of tasks and the performance of employees in regard to the demands of their position (Werner et al. 2008). The successful completion of the specific phase of the HRD process, i.e. of the assessment of the HRD needs, requires that all the parts of this phase are effectively addressed. More specifically, the identification of HRD needs, as described above, needs to be followed by the assessment, or else the evaluation, of these needs using a series of specific criteria, as chosen by the HR practitioners. In large firms, the above activity can be quite demanding requiring the active support of the top management team – an issue highlighted in the study of Hargreaves et al. (2000). In the above study it is made clear that the top managers of the firm have to participate actively in the assessment of HRD needs; it is noted that this participation has usually the form of meetings through which the top managers are informed on ‘needs of the organization in terms of recruitment and training’ (Hargreaves et al. 2000, p.20). By becoming aware of the needs of their organization in terms of training and recruitment, the top managers can decide on the scope and the priorities of their organization’s HRD policies. The level of influence of the assessment of HRD needs on the development of the firms’ strategic HRD process is analytically discussed below. 3.2 How the assessment of HRD needs can influence the development of strategic HRD process As noted above, the assessment of HRD needs is a critical part of the HRD process; the specific phase of the HRD process can have a critical influence on the successful completion of the particular process. This view can be made clear by referring to the practical implications and elements of the relationship between the HRD needs and the HRD process. In accordance with Grieves (2003) team working is extensively expanded in organizations worldwide; in the context of team working, individuals are asked to cooperate with others for the achievement of the required target. However, often, individuals are not prepared, or not appropriately skilled, in order to respond to the needs of such scheme. At this point, a training program would help individuals to understand their obligations, rights and potentials as members of a team (Grieves 2003). It is assumed that in organizations where team working is established in all organizational departments, such training sessions would be available aiming to prepare the individuals who enter the workplace for cooperating effectively with the other members of their team. From this point of view, the HRD process of the particular organization should include appropriate mechanism for assessing the needs of each individual in terms of team working and offer to him the necessary support (Hansson 2007). The alignment of the HRD process and the assessment of the HRD needs as developed in organizations which characterized by extensive use of team working is an indicative example of the level at which the assessment of HRD needs can influence the HRD process. Another similar example can be identified in the case of organizations, which are heavily based on the identification of employees with unique skills – for instance, firms operating in the music industry or those operating in the computing industry; in the above firms, appropriate talent management systems are often required for supporting the needs of the organizations for high skilled employees (Mathis et al. 2008). It is assumed that, in the above firms, the strategic HRD process should ensure the development of all necessary initiatives so that these systems are appropriately monitored and managed. In the above organizations, the HRD process is heavily based on the assessment of HRD needs – including the needs for material/ software that can support the assessment of the organization’s HRD needs. Another positive effect of the assessment of HRD needs on the strategic HRD process is the fact that through the above assessment, the HR managers are able to identify those employees who can best serve the organizational needs – referring to the appropriate skilled personnel, as indicatively presented in Figure 1 below. Figure 1 – The three dimensions of expertise (Malloch et al 2007, p.605) On the other hand, in the study of Kandula (2004) it is made clear that one of the key targets of HRD process is to help the organization to develop a competitive advantage towards its rivals. However, this target cannot be achieved if the actual organizational needs are not identified and assessed in advance. In this context, the reason for which the assessment of HRD needs can influence the strategic HRD process can be identified to the fact that HRD needs are of primary importance for the achievement of organizational objectives (Kandula, 2004). If the HRD needs of a particular organization have not been served, then it is not possible for the specific organization to take initiatives for further growth; from a similar point of view, such growth could not be achieved without appropriately skilled employees. From this point of view, also, the assessment of HRD needs has to be considered as an indispensable part of the HRD process. A similar explanation regarding the relationship between the assessment of HRD needs and the HRD process is giving in the study of Sims (2006); in the above study it is made clear that the power of HRD needs on the HRD process can be identified simply by referring to the key mission of HRD process. This mission, in accordance with Sims (2006) is ‘to prepare and develop people and learning systems in order to achieve their highest performance and meet the strategic goals’ (Sims 2006, p.3). However, the above target could not be achieved if the HRD needs were not identified and assessed in advance; by serving these needs the HR managers can ensure that the organizational objectives will be achieved – either in the short or the long term. The above assumption is based on the fact that employees have the most important role in the development of organizational activities and their performance can directly affect the performance of the organization (Swart et al 2005); for this reason reference should be made to the training needs of employees and managers – as explained through the literature. In order for the appropriate HRD plan to be proposed it is necessary that the performance and the training needs of employees are periodically assessed and evaluated (Wilson et al. 2001). In any case, it should be taken into consideration that the perceptions of managers on employees’ training needs vary (McDowall et al. 2010). In a recent study it is noted that the training needs of employees in the 21st century would include: ‘(1) teamwork, (2) inspiration-motivation, (3) creativity, (4) mentoring, (5) keeping current, (6) proactiveness, (7) active listening’ (Kalargyrou et al 2011, p.1). Additionally, alternative schemes of HRD may be introduced in organizations with specific needs or high volume of work; for instance, the corporate intranets as suggested in the study of Denton (2007); the Internet also has been proposed as a means for responding to the training needs of employees (Tao et al 2006). As for the personal development of managers, this is considered as quite important for their performance within the organization (Longenecker et al. 2005); In the research developed by Amos-Wilson (1996) among UK NGOs, it was proved that the most common problems related to the development of managers have been ‘the dissatisfaction, the lack of systematic approach and the evaluation’ (Amos-Wilson 1996, p.15). In any case, the value of management training cannot be ignored (Loo 1991) - a fact which is indicated in the relevant practices of multinational firms, such as Unilever (Reitsma 2001). Moreover, Margherita et al. (2009) note that the choice of management training programs needs to be based on appropriate criteria – taking into consideration the organizational needs, culture and resources – an issue also highlighted in the study of McGurk (2010). The training needs of employees and managers – as explained above – need to be addressed by relevant training and support programs, which have to be part of the firm’s HRD process – showing, again, the dependency of HRD process on the HRD needs. From a different point of view, the dependency of the HRD process on the assessment of HRD needs can be identified at the following point: under certain circumstances an organization might need external support. Reference is made to the practice of outsourcing, which can be quite common in organizations operating in various industries. However, in order for such projects to be developed it is necessary that the relevant organizational needs are identified in advance; then the appropriate HRD policies can be designed and developed. In this context, in organizations that are highly based on outsourcing – due to their volume of activities – the HRD process is considered to be highly depended on HRD needs (Simmonds et al 2008, p.4). In these organizations, if these needs have not been assessed and evaluated in advance, the chances for the establishment of a successful HRD process are few. A key example of the importance of HRD needs for the strategic HRD process is the case of Xerox Corporation – referring to the relevant firm’s practices in 1970s; the above corporation adopted benchmarking aiming to improve its HRD process. On the other hand, benchmarking emphasizes on ‘the evaluation of products, services and work processes’ (Smith 2006, p.401) referring to organizations which are considered as quite successful in their industry (in terms of the quality of their products and/ or services). The effectiveness of benchmarking, which is a form of assessment of HRD needs, on the improvement of HRD process of Xerox further verifies the valuable role of HRD needs for the strategic HRD process. Another example of the potential power of HRD needs on the development of HRD process can be identified in the case of Hilton; the firm’s HRD process is based on the following target: the core values of the organization – i.e. customer, quality, people and profit’ (Maxwell et al. 2004, p.178) – need to interact so that the organizational aims to be achieved. Such perspective requires the alignment of the strategic HRD process with the actual organizational needs (including the HRD needs); in this way, the role of the assessment of the HRD needs in the development of strategic HRD process is, once again, verified. In any case, the relationship between the HRD needs and the HRD process cannot be considered as standardized; the aspects of this relationship can be differentiated under the influence of different theoretical perspectives and different market conditions. This fact is highlighted in the study of Storberg-Walker et al. (2008) where emphasis is given on the fact that ‘the contemporary HRD research and practice are products of discourse rather than products of rational objectivity’ (Storberg-Walker et al. 2008, p.434). This means that the actual aspects of the relationship described above can be different than those described in the literature, as presented above. This fact is also verified through the relevant study of Sambrook (2009) where the continuous change of HRD process is highlighted. Moreover, it is explained that the above trend has the following result: since the status and the requirements of HRD process are continuously changed, its dependency on HRD needs is also continuously differentiated. The critical HRD framework has been used for explaining the changes in the relationship between the HRD process and other processes (Sambrook, 2009). 4. Conclusion Through the examination of the relationship between the HRD needs and the strategic HRD process – as highlighted in relevant studies – the following issues have been revealed: a) the level at which HRD needs influence the strategic HRD process is differentiated across organizations with different culture, aims and size, b) the ability of HR managers to assess their organization’s HRD needs is, under certain circumstances, limited; in this case, failures and gaps may be identified in these firms’ strategic HRD process – since this process is not based on the firms’ HRD needs, c) the dependency of HRD process on HRD needs can ensure the development of effective HR policies, a fact that secure the growth of the organization involved, either in the short or the long term. In any case, the following fact needs to be taken into consideration: the assessment of HRD needs can positively influence the strategic HRD process but it is required that the HR managers involved in the relevant activities are appropriately skilled (Adhikari 2010). Otherwise, the potential benefits of the assessment of HRD needs will not be acquired. References Adhikari, R. (2010) Human resource development (HRD) for performance management. The case of Nepalese organizations. International Journal of Productivity and Performance Management, vol. 59, no. 4, pp. 306-324 Amos-Wilson, P. (1996) Management training in UK NGOs: a small survey. Journal of European Industrial Training, Vol. 20 Iss: 1, pp.15 – 19 Bierema, L. (2010) Resisting HRD’s resistance to diversity. Journal of European Industrial Training, vol. 34, no. 6, pp. 565-576 Denton, K. (2007) Corporate intranets: how can they give a new meaning to training and development? 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