Business Issues and the Contexts of Human Resources

Business Issues and
the Contexts of
Human Resources

Table of Contents
ASSESSMENT................................................................................................................................3
Task 1 Four contemporary external factors which can impact on the Function of HR and
company both.........................................................................................................................3
Task 2 Forces which give shape to the HR agenda of the Organization..............................4
Task 3 Strength and weakness of Pestle analysis and 5 forces which can be useful for HR
manager in making business environment.............................................................................6
Task 4 Stages of the strategic management and role of HR manager in the strategic
management............................................................................................................................7
Task 5 contribution of the Human resource manager in the business ethics and accountability
................................................................................................................................................9
Task 6 Performance evaluation and HR support to maintain performance ........................10
Task 7 Different sources of business data and HR planning to support ..............................12
REFERENCES..............................................................................................................................14

ASSESSMENT
HRM is strategic approach to the effective management of the employees and workers in
the company. HR manager of the company is responsible for recruiting employees in the
company and after the recruitment and selection HR managers provide training to those
candidates, so they can understand the task and develop necessary skills for task. HRM also help
organization to achieve competitive advantages through skilful workforce.
Task 1 Four contemporary external factors which can impact on the Function of HR and
company both
There are Four Contemporary external factors which can effect the probability of the
organization in both positive and negative way, this can effect the HR functions as well. Those 4
external factors are political, economic, social and technological. They are described below :
Political
This is the major factor that can impact on organization business. it is because any change
in government will result in changing laws and regulations. Also, it can also change employment
laws. Thus, it will directly impact HR function as the have to form and develop new polices and
work accordingly. HR department also ensure that organizational work culture is developed and
maintained as per political laws and environment. Similarly, organization will also have to
comply with these laws. With the introduction of the new workplace compliance standards HRM
department of the organization will be contentiously under the pressure to stay with the
governmental laws (Alvi, Prasad and Segarra., 2019).
Economic
Economic conditions are responsible to give shape to the economy. In this there are
factors such as GDP, inflation, currency rate, income level, etc. Thus, change in any of those
factors will impact on organizational expenses, resources, operational cost and other expenses
related to management and training of employees. Moreover, HR may have to give more salary
to workers due to high inflation. Also, HR may have to relive some staff due to downfall in GDP
(Baum., 2015). This can affect the profitability of the company so it is important for the HR
department to make strategies and plan to prepare against the economical conciliation.
Technological
Technology is also an external factor because when new technology come in workplace
of organization then HR manager of the company is responsible for implementing this

technology and associated resources within organization. HR department also conduct training
sessions for employees so that they technological advancement can be integrated with employee
performance and operational tasks. In organisation HR department also install high and advance
software to manage HR activities. Therefore, technological changes will highly impact on HR
functions.
Social
It is related to change in taste and preference of people, their needs, etc. The change in
this will directly impact on organisation. With social changes and preferences organisation is
required to bring significant changes to its product specifications, service features and other
marketing aspects. The failure to do so will make the organisational services less effective and
less competent. Moreover, it will also affect HR functions. The social trends and beliefs
influence the organisational culture and team work practices. Thus HR department ensure that it
respect the social beliefs and values effectively so that more productive team and work culture
can be maintained by HR department and employee productivity can enhanced. Besides this, HR
needs to fulfil employee needs to retain them for long term (Collings, Wood and Szamosi.,
2018).
Task 2 Forces which give shape to the HR agenda of organisation
Forces shaping the HR agenda
One of the important role of HR manager of the organization is to acquire resources for
the company to keep up with the accelerating needs of the business and to ensure the stability
and growth of the company. There are 4 forces of the HR agenda.
Urich 4 model- this model is related to organizing HR functions. It is used by large scale
organization. There are 4 key roles defined in it that are HR business partner, change agent,
administration expert and employee advocate. He focused on HR functions rather than its roles.
This has enabled in shaping organisation agenda. Now, they are communicating with internal
stakeholders. There is change in their strategy
Best fit and practice – this is another force that is shaping HR agenda. Here, two concepts are
included. The best fit means that HR strategy has to more efficient and linked to business
environment. Best practice means that HR practices are to be followed to gain competitive
advantage regardless of industry. It must focus on increasing employee performance and
generating positive outcomes. In this strategies are developed to follow right practice in HR.