To What Extent Does Human Resource Technology Add to an Organizations Competitive Advantage - Coursework Example

Student Name: Tutor: Title: New Technology Course: Date: July 3th, 2014. Title of Brief: To what extent does HR technology add to an organization’s competitive advantage? Issue: Human resource technology has changed the manner in which operations are accomplished within the human resource department in any organization. Both quality delivery of goods and services has led to development of competitive advantage of many companies. Technology becomes a very important weapon to be used in human resource management for attainment of efficiency, objectivity and effectiveness. The achievement of organizational objectives is enhanced if technology is instituted effectively within the organization. Challenges of human resource technology involve dealing with the change that comes with it and ensuring employee commitment and morale is maintained (Waddill & Marquardt, 2011). The use of technology cannot be done in exclusivity; there should adequate consultation that involves all members of the organization in order to minimize conflicts and resistance to change. This executive brief examines the importance of HR technology to an organization with regard to enhancing its competitive advantage. Background: The application of technology within human resource management has increased tremendously over the years. The use of human resource information systems has extended from merely being used generally for administrative purposes to being used in areas such as selection, training, recruitment, and e-learning (Jamrog & Overholt, 2004). Currently technology is being applied in support of integrated call centers self-service and shared services environments. As technology continues to advance companies can use information systems in several human resources processes in an apt way for generation of information and knowledge. Such a move will lead to increased competitive advantage. In today’s competitive world, there is need for application of technology in human resource management to ensure efficiency and effectiveness. New market scanning and research can be done at a lesser cost when technology is applied well in an organization. Many organizations introduce technology in human resource functions without considering the impact it will have on employee commitment and morale. Technology cannot completely replace the place of employees in an organization and their concerns and worries have to be addressed prior to adoption of technology. The planning and procuring process has to be done in consultation of many members of the organization as possible. Discussion and Analysis Competition has become an ever increasing challenge for organizations regardless of the industry of operation. This calls for the need for firms to develop competitive advantages in order to keep up with competition in the market. The use of suitable information technology can be applied in human resource management to create competitive advantages. Data storage alone is not enough without utilization of information systems that enhance the various functions of the organization. Human resource technology enhances integration and sharing of information among different departments of the organization (Baxter & Sommerville, 2011). As a result, problems and challenges can be detected at an early stage and dealt with. Human resource technology can vary from simple spreadsheets using in calculating simple sums to sophisticated human resource information system solutions. Technology has transformed the manner in which human resource functions are performed injected urgency and efficiency. Materialization of competitive advantage is achieved through investing in diversity and maximizing their potential though strategic human resource management. Technology enhances flexibility and the ability of the organization to deal with different issues within the human resource environment. It is via human resource technology that an inclusive workforce is plausible because there are structured opportunities meant for self-disclosure and sharing, enhanced understanding of diversity in culture, manifested flexibility for varying preferences and needs, noticeable unwritten rules and mutually satisfying systems of conflict resolutions (Pasmore, 2001). Technology in human resource leads to quick performance of functions at the work environment. The use of CCTV cameras has elicited a lot of controversy with a regard to an ethical workplace where workers feel safe. In some circumstances accountability has been enhanced. Use of human resource technology can be challenged by dogmatic beliefs of organizational members. This is explained by the mental models transformation theory that presents personal beliefs collection as a mental model. A mental model is an inner concept representation that consists of similarities to the external structures that are manifested. Flowed mental model places the foundation of false beliefs that contributes to resistance to change that is needed during the implementation of human resource technology in an organization. The learning process has to be elaborate to enhance adaptation to change that comes with technology (O’Brien, D. 2009). The learning process through mental process double loop is shown below: Modrak Operating Group (MOG) has been in the realm of business for more than fifty years. MOG required a system that did away with paystubs and the process of mailing or hand-delivering paychecks. Web-based direct system was the best thing to be developed. MOG did not mind the implementation of Empower and its capacity to integrate with systems that were already in place but was elated at the pace which the implementation team unified applications and dealt with any situations that occurred (Waddill & Marquardt, 2011). This shows the importance of human resource technology since it leads to increased efficiency and profitability. Human resources within the company can be utilized maximally to the benefit of achieving both long-term and short-term objectives and goals of the company. Self service systems like in McDonald’s outlets have led to efficiency and cutting down of costs that would have been used on extra workers. From a socio-technical perception, each organization consists of interacting sub-systems. Consequently, every organization possesses a set of visions, goals, and values, recruits people with skills, attitudes and mindsets, working within a physical infrastructure, applying tools and technologies, working with practices and processes, and involve sharing some cultural norms and assumptions (Chi, 2005). Challenges in the implementation of technology in human resource management are presented in the social-technical systems theory. The theory calls for having a balance between social and technical subsystems in the organization. The management should not concentrate on one side like technological advancement and overlook staff training and development (Khandekar & Sharma, 2005). There should always be a balance between the two sides. Social and technical systems have to be developed side by side, the consequences of change have to be managed by the affected groups; the technical-social system has to be a continuous process that is punctuated by evaluations and reviews (Dauda, 2009). The technical-socio system theory can be presented by the model below. Technology can be applied in a variety of human resource functions like performance evaluation, recruitment and selection, training and development, compensation and benefit, employee retention, health and safety, and work-life balance (Carayon, 2006). Technology can be used for effective communication between employees and managers. Both downward and upward communication has been enhanced through the application of technology in human resource. Organizations with communication systems that are effective have led to increase in motivation and commitment of employees (Condrey, 2010). Effective communication in an organization can be facilitated through appropriate use of technology. Options/Implications Use of technology in human resource management has serious implications for the organization. Technology cannot be implemented without contemplating the impact of change. New technology will automatically lead to changes in operations within the organization or call for further training of employees. Human resource technology requires a supported and trained workforce to handle the changes that come with it. Use of technology may call for change to organizational structure, job design and human processes. The organization to be prepared to deal with the aftermath of introduction of technology in human resource functions. Synergy and integration is enhanced leading to achievement of team goals controlled by performance management systems (Chanda, 2007). Workers appraisal becomes easy and feedback from the workers makes delivery of service better. Human resource technology needs free-flow of knowledge exchange among different groups within the organization. Development of technology has to consider the negative consequences it will have on the workforce. Despite enhance interaction between employees and management; conflicts can arise following the need for further training and having flexibility skills to use technological functions. Recommendations Any organization intending to integrated technology into its human resource functions has to adequately prepare all members prior to the implementation. Use of technology will lead to change functions and operations and members of the organization have to be prepared for this change. Consultation between the management and employees prior to introduction of new technology has to be an ongoing process. The balance between technical and social systems should be ignored. The organization should not spend so much on technology programs and have nothing for employee training and development (Ozutku & Ozturkler, 2009). The aftermath of technology implementation should not be an imminent source of conflicts and confrontation in an organization. After implementation of new technology there should be evaluation and follow to determine the performance of the systems and how integrates the human resource functions. Workers should not be alienated from the information technology systems. A technological system that results in rifts and conflicts within an organization has to be discontinued before the effective are manifested through poor production. References Baxter, G., & Sommerville, I. 2011, Socio-technical systems: From design methods to systems engineering, Interacting with computers, 23(1), 4-17. Carayon, P. 2006, Human factors of complex socio-technical systems, Applied Ergonomics, 37, 525-535. Chanda, A., 2007, Strategic Human Resource Technologies: Keys to Managing People, SAGE Publications India, New Delhi. Chi, M. T. H. 2005, Common sense conceptions of emergent processes: Why some misconceptions are robust, Journal of the Learning Sciences, 14: 161–199 Condrey, S.E., 2010, Handbook of Human Resource Management in Government, John Wiley & Sons, London. Dauda, Y., 2009, Managing Technology Innovation: The Human Resource Management Perspective, Peter Lang, London. Jamrog J & Overholt M. 2004, Building a Strategic HR Function, Human Resource Planning, 27(1): 51–62. Khandekar, A. & Sharma, A. 2005, Organizational learning in Indian organizations: a strategic HRM perspective, Journal of Small Business and Enterprise Development 12, (2): 211-226 O’Brien, D. 2009, Human reasoning includes a mental logic, Behav. Brain Sci. 32, 96–97 Ozutku, H., & Ozturkler, H., 2009, The Determinants of Human Resource Practices: An Empirical Investigation in the Turkish Manufacturing Industry Ege, Academic Review, 9, (1): 73-93. Pasmore, W. 2001, Action Research in the workplace: the Socio-technical Perspective. In P. Reason & H. Bradbury (2006) Handbook of Action Research: Concise Paperback, London; Sage Publications, 38 -48. Waddill, D. & Marquardt, M., 2011, The e-HR Advantage: The Complete Handbook for Technology-Enabled Human Resources, Nicholas Brealey. Read More