Primary Function of Human Resource Management - Coursework Example

Human Resource Management Name: Tutor: Course: Date: Introduction The aim of this essay is establish the primary function of Human Resource Management (HRM) as one that develops a human organization which wins in the marketplace. HRM is in a sense getting things undertaken through people and remains one of the most effective employee utilization and selection to achieve organizational goals and strategies alongside the employee goals and needs (Werner et al. 2012). HR department appreciates that skilled and talented people in the current market place are expensive and competitive. The human resource function in today's highly competitive and rapidly changing environment has increasingly played a crucial role in determining the ultimate failure or success of the organization. Human capital in many companies is important for successful operations. It is a very difficult obligation to obtain the best employees through selection and recruitment. Maximizing on the full potential of every employee is one of the ways of succeeding in a dynamic and competitive environment (Byars & Rue, 2006). The essay agrees with the statement that the primary function of HRM as one that develops a human organization which wins in the marketplace. Primary role of Human Resource Management Human Resource Management (HRM) is the effective employee utilization and selection to achieve organizational goals and strategies alongside the employee goals and needs. Line management and Human resource specialists share the responsibility of human resource management. The functions of human resource management have primary and secondary perspective (Ulrich et al. 2008). The primary functions of HRM include human resource planning, equal employment opportunities, staffing, compensation and benefits, employee relations, human resource development and health safety and security. Human resource organization is in essence human resource development in which organizational members compile the competencies and skills required to meet current and future job needs. However, Sims (2007) disagrees and notes that human resource development or human resource organization is only one of the eight primary functions of management. HR planning concerns both current and future needs and supplies by analysis of external market and making changes to strategic plans. Equal employment opportunity is the moral and legal roles through discriminatory practices, policies and procedures required in appraisals, training, and compensation and hiring. Selection and recruitment refers to identification of applicants for future and current openings for evaluation and assessment for placement and selection decision (Storey, 2001). Benefits and compensation is the incentives tied to teams and individuals, competitive benefits package and equitable internal wage structure. Employee relations concerns labor relations, unionized organizations and relate to a communication system that addresses grievances and problems. Safety, health and security promote health and safe work environment including health and wellness programs, employee assistance programs and safety training (Michie & Sheehan-Quinn, 2001). In addition, secondary functions are job design and organization refers to job definition and inter-departmental communication. Performance appraisal systems and performance management maintains accountability across the organization. Information and research systems are essential in making informed HR decisions. The market for employees is more competitive than any other market today. Organizational challenges have made potential employees to broaden understanding of a firm as a favorable work place. Grant (2008) agrees that the firm can successfully bring the best applicants through the hiring and recruitment process. The firm knows that employees need to understand company’s commitment and goals thus providing them with structures and environment in order to get motivated to offer optimal productivity. The human resource function in today's highly competitive and rapidly changing environment has increasingly played a crucial role in determining the ultimate failure or success of the organization. Ulrich and Smallwood (2005) argue that effective management and discovery of human resources has brought about success that was once wholly dependent the ability organization to organize natural resources. However, People leadership and management are not only about developing a holistic ‘feel good’ atmosphere, but it also connecting the right behaviors and attitudes needed to the marketplace. To influence people behaviors, leaders communicate organizational values (Werner et al. 2012). Communication relays values and making them visible by actions. Between their behaviors and words, leaders create coherence. The clarity on values enables leaders to influence organizational culture and people to live by them. The human resources function, in general, has its employees responsible for all the processes and practices that impact company’s productivity. Managers in the old workplace directed employees to work in teams, share decisions and manage other tasks. The new workplace has employees yearning to participate in firm management. Ulrich et al (2008) objects to the sole primary function of human organization and learn that HR is not only running a cost center but also required to improve organizational profits and revenues. Long term survival is one way of being competitive in the current business environment. Productivity is the end result of efficiency and effectiveness. Time available from people compliments material, facility and monetary resources (Simons, 2011). Improving efficiency of the people is the primary role of the HR function since firms committing less human resources are edged out by better resourced organizations. Therefore, the principal reason for HR management is improving efficiency of human beings. The HR can only sanction but not directly control employee activities. HRM from the perspective of some companies have multiple roles of contributing to profit making, ensuring quality and enhancing other business goals through support of operations. Wright et al. (2008) learns that the department is solely responsible for a range of activities such as unemployment compensation, outplacement, testing, and labor law compliance. This means that the department collaborates with other functions in quality improvement and productivity, discipline, performance management and employment interviewing. Depending on the size of the company, HR roles and responsibilities differ. The factors are industry, company management value system, workforce characteristics and the size of the company. Some firms assume full HR responsibilities while others share with IT, operations and finance (Mathis & Jackson, 2008). The department also advises top management in some organizations while taking full decisions on training and staffing after a go ahead from the top management. Human resource management in a sense gets things undertaken by people. Every manager's responsibilities in organizations have been eased by creation of specialist division that offer expert service committed to ensuring efficient performance of the human resource function (Simons, 2011). People in a many organizations are termed as ‘most valuable assets’ but the cliché has been critiqued by many who perceive it as far removed from reality. Many organizational employees experience the aspect of being undervalued, underutilized, poor motivated and undertrained hence not meeting their true capability (Storey, 2001). As compared to the past, many organizations at the moment experience change that must be absorbed and managed. Implementation of business strategies to overcome challenges in small and large organizations is only through recruitment of the right people to deliver the strategy. Skilled and talented people in the current market place are expensive and competitive (Hakeem, 2006). To existing employees, taking on new staff can be disruptive and time consuming in terms of ‘cultural awareness' creation. This also affects organization knowledge, process or product and new staff members’ experience. Mathis and Jackson (2008) learns that organizations vary in functions, size, aims, employers appeal, complexity, construction, the physical product nature, and so is the of human resource management contribution. However, the ultimate role of the function is in ensuring that business all times has the correct staffing levels with right number of people, relevant skills and addressing business needs. The human capital should not be understaffed or overstaffed in total with respect to a work grade or discipline. Simons (2011) agrees that the Human resource management strategy is motivated by issues well thought out, detailed and precise such as the marketing strategy. Human resources management strategy if not carefully crafted do not lead to failure but will lead business process to failure. Human capital or resources are required to trigger discussion, promote thought, develop sound HR strategy and diagnose the organizational environment (Huselid et al. 2005). HR roles have changed in an environment of shrinking market share, declining revenues, depleting shareholder value and increasing costs. The HR is relied upon in bringing sustainable value to the company. Only five years ago, HR buying decisions were not sophisticated as it is today. Companies are now finding it convenient to add value by tapping into the technology and expertise of HR professionals hence reducing on costs. Implementation of business strategy is through freeing up internal resources. Lengnick-Hall and Lengnick-Hall (2006) appreciate that HR today achieves effective employee relations by timely and structured dissemination of information meant for employees. It is easier to understand the plans of the organization, their needs and objectives. Management in the new business order of today looks up to the HR department to lead on initiatives directed on workforce performance, satisfaction, productivity improvement (Hakeem, 2006). This is its primary role but it can also add value and intervene across the enterprises by assisting them to achieve goals. With a myriad of functional areas, human resources constitute responsibilities of staffing and recruitment to training and development and benefits and compensation. In the past 20 years, human resource profession has evolved and changed owing to the dynamics of the HR profession. Smith and Kelly (2007) understand that HR practitioners have found that the profession needs to bring value to the firm. HR is getting more pressure to act outside its traditional roles of employee benefits administration, payroll and record-keeping. The core of HR traditionally comprising many transactional functions is currently being outsourced so that the organization concentrates on leadership development activities and talent management (Huselid et al. 2005). Regarding strategic roles, many HR departments and functions are not actively engaged. They are bound by many factors depending on the size of the firm. However, Smith and Kelly (2007) learn HR has multiple human resource activities involve managing a workforce and conducting business. In supporting the organizations’ operating plans and business strategies, some HR functional areas are more important than others. According to some research 52 percent of respondents said that employment, recruitment and staffing were critical areas of HR professional 29 percent mentioned training and development while another 29 percent citing employee benefits (Huang, 2000). This shows that HR in supporting the business strategy takes to the perspective of developing, building and maintaining the workforce. Few people think that the HR needs to assume fully the roles of affirmative action research and international human resource management. Organizational psychology believes that organizations’ success is not solely based on sustainable competitive advantages and market realities. There is a lot more to company success. Human capital is the most important asset. Hakeem (2006) notes that the cognitive aspects which are qualitative make or break the organization while quantitative component such as figures and facts are important for successful management. HRM suggests that employees need to apply both group and individual psychology in order to commit their employees into achieving organizational goals. Human resource is important for the whole function since it evaluates and understands the needs of employees hence assisting the organization to develop best performing and loyal employees. In modern organizations, the HR department consults with the general management for broader decision making (Grant, 2008). The main goals and responsibilities are; attraction of new employees, employee development and inspiring people to work for the organization. HR motivates and trains employees by communicating socially responsible behavior and ethical policies. It plays a role of providing solutions, making employees efficient and clarifying organizational problems. Maximizing on the full potential of every employee is one of the ways of succeeding in a dynamic and competitive environment. Human capital in many companies is important for successful operations. It is a very difficult obligation to obtain the best employees through selection and recruitment (Cannel, 2004). Human elements in the organization should receive a lot of attention hence the need to employ HR techniques to overcome challenges. There is need to improve organizational culture, cognitive and qualitative aspects as well as their quantitative goals. Conclusion The essay has established that the primary function of HRM as one that develops a human organization which wins in the marketplace. The department is solely responsible for a range of activities such as unemployment compensation, outplacement, testing, and labor law compliance. This means that the department collaborates with other functions in quality improvement and productivity, discipline, performance management and employment interviewing. However, the management in the new business order today looks up to the HR department (Byars & Rue, 2006). They are expected to go beyond their primary roles, add value and intervene across the enterprises by assisting them to achieve goals. The essay ultimately agrees with the statement that the primary function of HRM as one that develops a human organization which wins in the marketplace. Reference list Byars L & Rue L 2006, Human Resource Management (8th edn). New York: MacGraw- Hill/Irwin, pp 371-383. Cannel M 2004, Personnel Management: A Short History. London: CIPD. Grant T 2008, Recruitment and Retention: The Quest for the Right Talent. Bangkok: Logan Press. Hakeem F 2006, Vitality of Human Resource Management. Business & Finance Review. New York. 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