The Effective Management of Human Resources Is Essential for Business Success - Coursework Example

The Effective Management of Human Resources is Essential for Business Success Name Course Lecture Date Introduction Human resource management is mostly underestimated in the work environments. On the other hand, painstaking and adequate HRM is likely to retain and establish a more qualified, well cooperating and lastly increasing the growth of the organization, profitability and its growth. Human resource managers need to ensure that the employees in an organization are happy, are in the right jobs and that they are provided with opportunities so as to upgrade their skills from time to time. Management of employees in an organization is a major contributing area in regard to organizational success. In a market economy the success of a business is chiefly dependant on the best use of all the available resources such as material resources, financial resources and the human resources in the organization. Through an accurate and precise combination of the above stated resources there is attainment of the set goals. Nevertheless, the most complex and significant component that is essential for attainment of business success is the human resource. Literature review Organizations all over the world are under constant pressure to keep improving their performance continually. Based on Becker and Gerhart 1996 and Dany, Guedri and Hatt 2008 there are some major trends which are the driving forces to the competitive pressures and include aspects such as advancement in technology, globalization as well as increase on the deregulation of markets globally. These kinds of changes tend to have a great impact on the ability of a country to maintain its competitive position. When organizations lack an efficient workforce they are more likely to lose their ability to compete with other competitors in the industry both internationally and locally which is more likely to lead to poor performance of the organization and this the organization may receive little to no success at all (Igwe, Onwumere, & Egbo 2014). Based on Udo-Udoaka 1992, the idea of human resource is termed as the engineering, managerial, technical, scientific, craft as well as all the other skills which are developed and at the same time employed so as to create, design and develop an organization and it also manages and operates the productive and the economic institution and the service enterprise. Human resources are therefore composed on the individuals who work in an organization either employed on a temporary or permanent basis but they eventually make up the most essential part of the resources of an organization. For organizations to achieve the required level of success they need to have the right type and number of employees managed in an appropriate manner to ensure that the organization achieves the organizational goals and the employees achieves their personal goals (Igwe, Onwumere, & Egbo 2014). Purpose and functions of Human Resource Management (HRM) for business success and importance of HRM has for business success The purpose and functions of human resource management are mainly divided into three main segments that is; the managerial sections, advisory functions and operative functions. Under the managerial functions human resources managers are expected to undertake basic managerial functions such as directing, organizing, planning and controlling. In regard to planning managers need to plan in advance so as to come up with the goals and procedures and policies to be followed so as to achieve the set goals (Dany, Guedri & Hatt 2008). After the establishment of objectives HR managers need to come up with plan as well as programs to attain the objectives and goals and this also entails the coming up with organizational structures to aid in the various operations. In the direction function the HR managers encourages the employees to work effectively and willingly for the achievement of the goals. In simpler terms the direction function should guide and at the same time motivate the employee to accomplish the outlined programs. Motivation may be in term of salary administration, career planning, uplifting employee morale, welfare of the employees, adhering to safety requirements and the development of cordial relationships. The last function in the managerial segment is controlling and relates to the regulation of activities in regard to the plans which have been formulated based on the organizational objectives (Igwe, Onwumere, & Egbo 2014). The HRM purpose and functions that relates to the operative function related to employment, employee training and development, employee compensation, ensuring good working conditions for the workers and industrial relations just to mention a few of them. In relation to the advisory function HRM offers advises to the management team in the evaluation and formation of procedures, policies and personnel programs. The departmental heads are also advised on issues relaying top hob design and analysis, manpower planning, recruitment and planning, training, performance appraisal and placement. HRM need to be viewed through the prism of the general goals of organizations as opposed to a standalone tint that adopts a micro approach. With time HRM is of create importance to organizational success and organizations need to make use of a holistic perspective of HRM that ensures that the strategies and HRM policies entangles itself totally with the goals of the organization. Thus, organizations need to make use of training strategies that are well suited to the organization since by using inappropriate strategies the employee may be de-motivated and a lot of resources may be lost in terms of time and money (Dany, Guedri & Hatt 2008). Relevance of training to business in the 21st century Training seems to be of great relevance to business in the 21st century. Building the 21st century workforce will mainly develop training so as to keep at pace with the changes that are occurring in the various industries and more so in relation to the technological advancements. With time a great number of jobs that are being performed in the 21st century calls for some level of computer skills. Executives in the workplaces calls for a workforce that is equipped with skills that surpass the basics of writing, reading and arithmetic with the aim of growing their organizations (Caldwell, Truong, Linh & Tuan 2011). Employees in the 21st century need to have skills such as problem solving skills, critical thinking, creativity and innovation, communication and collaboration. Training seems to be of great importance since though proficiency in writing, reading and arithmetic were the traditionally entry level thresholds for employees in the job markets but the 21st century organizations requires and expects more from their employees. Training needs to be offered by employees for them to solve problems, think critically, collaborate, innovate and communicate effectively. Thus, the training seems to be of great importance to business such as the 21st century since it ensures that organizations are at par with the technological advancements and those they are able to compete favorably with their major competitors in the industry. Also through training the employee skills will be improved, therefore training of employee needs to be a continuous process in all organizations and it should involving doing way with aspects that do not add value and adopt ones that add value with the changing times (Caldwell, Truong, Linh & Tuan 2011). Why fair and transparent recruitment processes is a major area of concern and how it affects business success Fair and transparent recruitment process is a major area of concern since if the organization gets the process right they are almost halfway to the success since they have in a way minimized any probable employee issues that are more likely to occur in the future. At the same time if the recruitment process is not fair and transparent they will be a wide range of implications to the organizations now and in the future (Jain 2011). Consequently, it also seems to be surprising since some employers still get long in the process at times due to ignorance and neglect. Fair and transparent recruitment is a major issue of concern since when done wrong it is likely to have an effect on the organization and its eventual success. Fair and transparent recruitment is likely to affect the success of business in a positive way since before recruitment for an existing and new positions time need to be invested in the summing up of information about the job and its nature and conducting a work and job analysis of the roles. This will be of great benefit in that the functions will be clearly outlined, the work patterns any new technology that have been introduced over time and skills needed that the previous candidate for the job did not posses but were necessary (Jain 2011). Conclusion Based on the above discussion, human resource management seems to an important issue in organizations and it plays an essential role in the success of a business. The purpose and functions of human resource management are mainly divided into three main segments that is; the managerial sections, advisory functions and operative functions with the major ones being controlling, planning, directing and organizing. The discussion also notes that training seems to be of great relevance in the 21st century as there are many kinds of changes occurring all over the globe. Therefore, for organizations to ensure improved productivity they need to engage in continuous training of their employees. Recruitment process also need to be fair and transparent so as to get the right candidates for new and existing positions this will be essential in ensuring the success of a business since the candidate will have the required skills and qualifications. References Becker, B & Gerhart, B 1996, The Impact of Human Resource Management on Organizational Performance: Progress and Prospects, Academy of Management Journal, vol. 39, pp. 779-801. Caldwell, C, Truong, D, Linh, P & Tuan, A 2011, Strategic Human Resource Management as Ethical Stewardship, Journal of Business Ethics, vol. 98, pp. 171-182. Dany, F, Guedri, Z & Hatt, F 2008, New Insights Into the Link Between HRM Integration and Organizational Performance: The Moderating Role of Influence Distribution Between HRM Specialists and Line Managers, The International Journal of Human Resource Management, vol. 19, no. 11, pp. 2095-2112. Igwe, A, Onwumere, JUJ & Egbo, OP 2014, ‘ Effective human resource management as a tool for organizational success’, European Journal of Business & Management, vol. 6, no. 39, pp. 210 – 218. Jain, M 2011, Employee Retention Strategies for Organizational Success, Journal of Social Welfare and Management, vol. 3, no. 1-2. Udo Udo-Aka 1992, Human Resources Development and Utilization Policies and Practices in Nigeria. ASCON: Ibadan Spectrum Book Ltd. Read More