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2. Critically examine the benefits that effective HR practices can bring to an organisation - Coursework Example

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The length to which effective HR practices has impacted an organisation’s performance has come out as the central issue the field of Human Resource Management. Several initial reports suggest that human resources practices have a transformative positive effect as far as…
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2. Critically examine the benefits that effective HR practices can bring to an organisation
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"2. Critically examine the benefits that effective HR practices can bring to an organisation"

Download file to see previous pages all of them is human resource, that provides the organisation with continued competitive advantage (Inyang,2011).Thus there is a rising consensus that efficient management of an organisation’s human resources is important to its success (Inyang, 2011).Effective management of individuals as organisational assets as well as the adoption of suitable HR practices, strategies and policies greatly enhance the profitability and performance of an organisation.
A rising number of researchers have studied the effect of particular HR practices on organizational performance .Even though there exists several HR best practices capable of affecting both collectively or independently on the performance of an organization; results are usually difficult to interpret. For the purposes of this paper we shall discuss 7 HR practices that were originally put forth by Pfeffer in 1998 and which can be anticipated to greatly benefit the performance of any organisation. In his influential research, Pfeffer compiled the following 7 HR best practices; firstly, employment security, secondly selective hiring, thirdly teams that are self-managed and decentralization in making of decisions, fourthly moderately high compensation subject to organizational performance, fifthly extensive training, sixthly minimised status barriers and distinctions including language, dress, office arrangements, differences in wages across ranks and finally widespread sharing of both performance and financial information through the entire organisation(Pfeffer,1998).
The above HR best practices will be discussed below in detail together with the benefits that they can bring to the organisation. Through compensation policy as HR practice, the employees efforts will be evaluated and rewarded which will in turn impact positively both employee as well as organizational performance(Cardon & Stevens,2004).Employee incentives usually differentiates the rapid-growth firms from the slow growth ones. Organisations that are ...Download file to see next pagesRead More
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