Assignment on Human Resource Management

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HUMAN RESOURCE MANAGEMENT
TOPIC: How HRM contributes to organisational efficiency and effectiveness
INTRODUCTION
Human resource management is often related to employee relation and personnel
management by industry experts. Whenever such terms are described, people take it as an
image of efficient managers who works for bringing effectiveness in work for organisations.
HRM can be defined as a process in which people are managed in organisations to perform
work in structured and well built manner (CANIA, 2014). HRM performs tasks in many
fields that are related to each other like staffing, payroll setting, retention of employees,
performance management and change management (Bianca, 2017). While the work is
performed, HR managers take care of company’s activities and objectives. The role of HRM
encompasses management of humans from a macro perspective way in organisation and
manages people by building relation between employees and managers. Some MNC’s and
big companies call HRM as people managers and people enablers who practice people
management. The actual role of HR manager’s are not limited to manage people only but to
ensure fulfilment of employee and realisation of organisational objectives (Management
Study Guide, 2017).
The HRM function is taken as a critical factor in organisations as they support
managerial functions and adhere to organisational procedures and policies. For example, HR
department in companies perform jobs relating people that combine various elements for
enhancing work efficiency. The jobs that are mostly performed by HR professionals are
mentoring employees, providing support at the time of appraisals; training, hiring, grading
and making pay structures (Human Resource Excellence, 2017). There are people who have
misconceptions about HRM who think that HR managers are required only during the time of

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employee’s complaints or at the time of appraisals. But the actual function of HR managers
has emerged as a chief function in which HR professionals are cynical and proactive in
nature. That means at the time when the need for crisis management is predicted, HR
managers are anticipated to take actions immediately instead of waiting for crisis to take
place and resolve only after effect of it is recognised. Therefore by considering issues in
impulsive stage, the HRM retains work efficiency in organisations. Earlier factories and
workplaces observed lockouts and strikes in their manufacturing and services sectors as not
much evolvement of HR practices were given importance in day to day work practices. With
the evolvement of HR practices and HR theories, the professionals have become cultured and
transformed themselves from thoughtless mode to positive mode. By understanding the
grievances and feedback of staffs, the HRM’s focuses on preventing crisis taking place in
both internal and external related work function of organisation. This element of HR, which
has increased in recent times, shows the increase in amount of effectiveness in work culture
among people (Itika, 2011).
Strategic human resource management aligns business strategies with HR practices in
order to achieve organisational goals. The objective behind HRM professionals is to confirm
that HR strategies meet all the objectives behind its formation and acquire the core objective
i.e. bringing work efficiency in employees (CANIA, 2014). In order to retain such quality
various theories are been inculcated in HRM so that their work is carried in more systematic
manner. One of the most recognised theories in HRM is General systems theory that consists
of basic organisation’s function i.e. interacting with internal and external environment. No
organisation can stay alive without making interaction as they provide with inputs and
outputs at the time of progression. Customers generally gives feedback after using products
or services and thus organisations can make corrections on the part where negative feedback
is obtained. The general systems theory helps management understanding the components of

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organisation’s systems and other departments like accounting, marketing, staffing, etc. For
any organisation to develop in growth oriented way they have to remain competitive and each
department shall support each other. For example, in organisation if recruitment department
makes error, it can affect whole company’s performance as wrong people will get
accommodated at wrong positions. In the same way if HRM are not contacted at processing
stage or is not utilised in effective manner, the quality of production and service decrease
which reflects through feedback mechanisms (Ibrahim, 2014).
With growing IT and service sectors, HRM is been recognised as a foundation of
competitive advantage in organisations (Human Resource Management as
Competetive Advantage). It must be considered in the same manner in which technology
and capital is treated. Since HRM contribute towards organisational objectives and promotes
basic business functions, it cannot be overseen by firms. As they are specialist in managing
people, the organisations depends highly on HRM teams to foster managing feature in their
function. If real world examples are taken into account, it can be seen that organisations are
dedicating their “people managers” function solely to strategic human resource departments
who enables the maximum utilisation of available resources (IGWE, 2014). Contingency
theory in HRM was introduced by Evan’s Martin that states that in order to adopt specific
strategy for gaining maximum gains, managers has to stipulate their knowledge since
organisations has to operate in complex environments and risks. According to Martin no one
theory can prove to be the best for managing people in organisation (Anzalone, 2017). The
strategies adopted by corporate depends on other environmental factors and policies which
are closely studied and undertaken by HR professionals to make ultimate strategies for each
function. HR professional on the other hand needs to possess qualities like supportive,
directive, participative and goal achieving. This theory helps HR managers to determine their
participating style and the amount of components required to fit in each function. To increase