HRM and Business Strategies

This assignment delves into the integration of Human Resource Management (HRM) with business strategies, covering topics such as responsible management education, the evolution of HR information systems, and the role of intellectual capital on firm performance. It also touches upon social media usage in hotel human resources, gender roles and organizational practices in China, and the impact of intercultural influences on managing African employees of Chinese firms in Africa.

‘THE EVOLVING ROLE OF HR
IN THE CONTEMPORARY
BUSINESS WORLD’

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Evaluating and assessing the range of factors which impact an organisation as well as HR
function.......................................................................................................................................1
TASK 2............................................................................................................................................3
2.1 Critically analysing the unique forces responsible for shaping HR agenda..........................3
2.2 Describe usage of and then in a considered manner compare and contrast at least two
different analytical and strategic tools........................................................................................4
2.3 Precise the key stages in strategy formulation......................................................................5
2.4 Highlighting HR's contribution within the ethics and accountability of business................6
TASK 3............................................................................................................................................7
3.1 Evaluating the performance in business................................................................................7
3.2 Provide sources in context to business and contextual data and their support in strategy
formulation, planning etc............................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES .............................................................................................................................10

INTRODUCTION
Globalization has paved the way for the business organizations to expand their business
in new market areas (Cavusgil and et.al., 2014). Role of HR is changing in the contemporary
business world and thus it has become imperative for the organizations to develop strategies for
achieving competitive advantage for the business. Present report describes about diverse range of
factors that gives impact on the organisation and HR functions that are performed in the
business. In addition to that selection of unique forces that are shaping the HR agenda has been
explained. Moreover, two analytical tools that could be used by business for evaluating business
environment has been done. Furthermore, selection of ways through which business performance
can be evaluated.
TASK 1
1.1 Evaluating and assessing the range of factors which impact an organisation as well as HR
function
Globalization has paved the way for the business organizations to expand their business
in new market areas. It is critical that strategic approaches should be used by the business
organizations for gaining huge success and growth. Human resource are one major significant
assets of any firm who contribute for accomplishing the goals and objectives of the venture in
successful manner. In addition to that there are various factors which gives impact on the
organisation and HR functions. Current market and economic conditions are major contributors
that affect the HR functions of any venture.
Brexit has given major impact on the functioning of the companies in U.K. After Brexit
rules and policies framed by European Union will not be going to get implement on the U.K.
New rules and policies will be formed by the government and all the organizations working
across U.K. Will be liable to follow the policies and rules that are formed by new government.
Existing HR legislation will be changed and thus procedures through which Human resource is
managed in companies will also be going to get changed. Further, general election in UK that has
taken place on 7 May 2017 are also going to give major impact on existing HRM practices that
are performed in the organizations (Baum, 2015).
In the new government policy Conservative party has made commitment towards ending
the tax payers funded Six figures payoffs for the public sector workers. New legislation which
have been framed by new government will be affecting the various HR legislation that are
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followed in the entity. In the Post Brexit Era UK will be having More freedom for deciding and
implementing various rules and regulations framed by current government working in the nation.
In addition to that technological trends that are followed in the nation also affect the HRM
working practices (Solnet, Kralj and Baum, 2015). Advancement in technology has supported for
improving the existing HR practices and with this it has become easier for managers to perform
the HR functions in effective manner. Moreover, use of innovative technology has also helped
for carrying out the HR functions in effective manner.
Recruitment and selection procedures are executed in effective way by making use of
advanced technology and with this training and development of staff members is also done in
proper way. Computer and software systems also help for performing various HR functions in
more effective manner (Elkeles, Phillips and Phillips, 2016). Social trends that are presently
running in the society also gives impact on the organizations and various types of HR functions
running in the society. Social trends such as use of social networking sites, social media and
other connectivity mediums have reduced the gap among people and thus it has become
individuals to get in touch with each other.
It has become easier for people to get connected with each other and employee referral
schemes have become easier for implementing. Employee referral schemes have becomes easier
to implement and through this talented and suitable candidates are hired in the organisation. Use
of social media platform also supports for reaching to large number of candidates and inviting
them to fill vacant positions in the firm. Moreover, Demographic trends also gives impact on the
working of the organizations. Globalization has paved way for individuals to work in leading
organizations and thus more talented and suitable candidates are working in the organizations
across UK (Aswathappa, 2013).
Difference in language, cultural barriers, geographical backgrounds and other areas and
due to that difference is observed in the demographic profile of individuals that are working in
the enterprise. Furthermore, it is a challenging task to manage vast number of employees that are
coming from different geographical and demographic backgrounds. External factors are
important as they contribute towards making improvements in the HRM practices that are
performed in the entity (Chebbi and et.al., 2015).
Advanced technology is also helping for opportunities for business to Make
improvements in the existing practices that are used by them. Asian markets including India,
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China, Pakistan and other high population countries are offering high consumer base and it is a
high market where companies can offer their products. Climatic factors such as changes in
environmental and other climatic conditions also gives impact on the management of Human
resource and due to that impact is being observed on the HR functions that are performed in the
entity. In addition to that there are some internal factors which affect the functioning of HR
department in the entity. Organizational structure and organization culture also affects the overall
performance of the firm. Further, changes occurring in the organisation in maintaining
sustainability and changing roles of managers and supervisors. Increasing specialisms and roles
of managers and supervisors are also listed in the factors that are giving impact on the HR
functions that are executed in the company.
TASK 2
2.1 Critically analysing the unique forces responsible for shaping HR agenda
The agenda of HR are shaped by ample factors. HRM strategies have been responsible
for enhancing the business practices. The productivity of an organisation is enhanced by the aid
of business strategy. The effective strategies help in constituting and evaluating the diversified
range of procedures within the organisation.
With the aid of human capital evaluation, the associated agenda of HR gets formulated in
an effective manner (Gibbs, MacDonald and MacKay, 2015). Since it involves determining the
costs in relation to people along with their values, it proves to be an important element. This
involves the role of formulating an entire new team. Also, the overall performance of the firm is
taken under consideration thereby formulating ways in which this could be improved. With the
day by day increasing expansion of business, the influence exerted by international forces tends
to increase. So, the HR agenda will be focussed upon hiring of people that are readily able to
adapt the changing environment.
However, discussing about the key aspect of gradually changing labour-market, every
firm requires the employees to be possessed with skills. So, considering the environment of UK,
definitely a trained and skilful labour force is needed to face the challenges of consistently
changing economy and business environment (Kavanagh and Johnson, 2017). So, the part
involved in developing and recruiting better employees has to be emphasized.
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Also, it has been evaluated that with the aid of HR Profession Map, emphasizing on areas
relevant with the current role could be easily done. It provides HR a set of necessary business
discipline to be treated as a priority. The sustainability of an organisation could be achieved by
the help of deeply driven business practices, and also by formulating action based insights
through conceptual understanding (Xing and et.al., 2016). With the aid of effective
understanding and insights provided as an outcome, situation-based and prioritised HR strategies
could be easily developed.
2.2 Describe usage of and then in a considered manner compare and contrast at least two
different analytical and strategic tools.
It is critical that organizations working in different sectors should make use of innovative
and effective tools so that evaluation of external and internal factors should be done properly.
There are various tools that are used by the organization and it supports them in evaluating the
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Illustration 1: HR Profession Map
(Source : HR Elements, 2016)

external and internal environment of the business (Kostova, Marano and Tallman, 2016).
PESTLE is an innovative tool that is used by the organisation in which evaluation of external
business environment is done and on the basis of that strategies and action plans are prepared.
There are six areas which are evaluated in PESTLE and it comprise of Political, Environmental,
social, technological, legal and economical (Lee Cooke and Xiao, 2014).
All these elements are evaluated and on the basis of that action plans and strategies are
formed by the management of the firm. One more analytical tool that is sued by the organisation
is SWOT analysis which is used for evaluating the internal environment for the business. In this
tool Strength, Weakness, Opportunities and threats are evaluated and on the basis of that analysis
of internal environment is done. SWOT and PESTLE are two tools that is used by the business
for evaluating the external and internal environment for the business (Meihami, Varmaghani
and Meihami, 2014). SWOT analysis is used for identifying weaknesses and strength of the
business and with this opportunities available with the firm for enhancing their profit and sales
are also evaluated through this. Further external business environment can be evaluated by
making use of PESTLE analysis so that impact of external factors on the performance of the
business can be evaluated.
2.3 Precise the key stages in strategy formulation.
Human resource department play a vital role in formulating strategies and it supports for
carrying out and performing all the operational practices in effective manner. There are various
methods that are used in an entity for designing strategies and on the basis of that entire practices
and procedures of the entity and on the basis of that action plans are formed. Strategy is basically
is an plan that is formulated for meting the future requirement of the entity.
It is described as the course of action that is taken for directing the staff members and
performing the operational process in effective manner (Moncrief, Marshall and Rudd, 2015).
Best practice approach is an innovative tool that is used by the organisations for formulating the
strategies and on the basis of that all the operational activities in the business are performed.
According to this approach assumptions is there that there exist a set of best HRM practices
adopting them will inevitably support towards accomplishing better and effective organisational
performance. Management of firm can identify best practices and on the basis of that action
plans can be formulated for making improvements in the existing practices and procedures that
are used in the enterprise. Idea of best practices proves appropriate for identifying and evaluating
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the underlying principle that could be used for improving the practices that are currently
followed in the organization.
2.4 Highlighting HR's contribution within the ethics and accountability of business
Ethic is usually defined as the professional behaviour followed in every business
organisation. Also, for the purpose of benefiting the people of community, organisations are
often found to undertake some initiatives that come within the corporate social responsibility.
This way a positive impact is created on the minds of people. In order to manage the overall
business of the company in an effective manner, corporate governance is also included as am
important factor (Reynolds and Teerikangas, 2016). All of these tend to involve a certain degree
of HR's role.
Entertaining ethical culture within the organisational premises tends to be an effective
indicator that good-governance is followed. So, in order to achieve this, the behaviour of the
diversified workforce at the workplace have to be managed accordingly. The HR is highly
responsible for offering policies that are equitable and transparent as well. Not just policies, there
has to be an inclusion of diversified process as well that would be assisting the same. Also, their
role is to analyse and further assess improvements in the acceptable or not-acceptable
behaviours. The HR is also found to be highly concerned with compliance culture. So, they are
accountable for formulating and further implementing most appropriate policies & procedures in
ensuring ethical-practices and good-governance. Recruiting, selecting and promoting procedures
have to be implied with the agreeable terms of codes-of-conduct. In addition to this, appraisals
for the performance which also include the much expected behaviours in an organisation come
under the HR responsibilities (Doherty, Meehan and Richards, 2015). So, henceforth, HR has
high contributions in further shaping the organisation thereby making it ethical.
Although, certain examples have been determined in which unethical performance was
shown by HR in the case of Uber. Herein, the ex-employees were found to be responsible for
sparking the reforming the company's culture. The increasing cases of sexual-harassment were
not being paid attention by the HR since according to them, this would disrupt the image of their
top-performers or could even damage the business's financial health. So, herein, the strategic role
of HR was definitely lacking. This leads to the conclusion that HR are the basis of maintaining
the ethics within an organisation.
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TASK 3
3.1 Evaluating the performance in business
The management in performance plays a crucial role for evaluating consistent growth
within a company as well as attaining sustainable development. To assess this, modern and
traditional approaches could be utilised.
Though traditional approach can bee utilised to assess the performance but only a
retrospective viewpoint is achieved through it regarding the competitive position uphold. It can
also be evaluated that the techniques under this approach tend to be rather outdated considering
the presently changing business scenarios. Also, this approach is in other terms related to the
financial elements involved in the particular business (Barnes and Adam, 2017). Though finance
is an important term determining the overall success of business , but such type of approaches do
not depict the main reason behind the obtained results. Also, these don't give a clear indication
regarding the areas in which improvements have to be implemented for fulfilment of the strategic
objectives. In comparison, modern approach proves to be rather beneficial since by its aid, one
gets an effective idea about the overall performance of company. Adding more to this, the areas
of improvement that need to be assessed for attaining the sustainable development.
On seeking ample of organisations, measuring of the HR performances is definite need.
HR performances measurement helps in assessing and further adding values to the objectives of
organisations. This is achieved by formulating the organisational entities in a way according to
the set objectives. There are ample of companies who effectively manage their HR
performances. This is achieved by managing the absence of employees in a timely manner. Exit
interviews are also being undertaken (Johnson, Lukaszewski and Stone, 2016).
For the measurement of contribution given by HR, various techniques are used. The
company evaluates the key performance indicators that how much they have been assessed by
HR. Another technique is utilised as well called the balanced scorecard. It constitutes 4 main
perspectives : business-process, learning-and-growth, customer and financial as well. These 4
perspectives allow an effective overlook upon HR functioning within the organisation and
accordingly lead to the development of metrics.
Commenting upon the role of HR in the procedure of business planning, they majorly
contribute towards the enhancement of organisation. These are responsible for doing the research
work regarding the implementation of business plan. They also play an effective role in finding
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out the talented young candidates suitably satisfying the criteria for job. However, they have an
additional role as well regarding the factors associated to culture-based and employment laws in
international market which has been targeted. In comparison, in the phenomenon of change
management, HR have an effective role to play. They are responsible for identifying the required
knowledge that would be assisting in formulating the project teams required for change
management.
3.2 Provide sources in context to business and contextual data and their support in strategy
formulation, planning etc.
It is critical that appropriate data and information should be made available so that plans
and strategies should be formed and on the basis of that strategies should be formulated for the
business. There are various sources through which data is collected for the business and it
supports for making strategic plans for the organizations. These data supports for planning and
making strategies for the enterprise.
Internal sources of data comprise of HR metrics through which data for retention and
engagement is taken. These data can further be utilized for making action plans and strategies for
future. In addition to that external sources of data includes UKCES through which employers
conduct survey and on the basis of that data and information is collected which is further used by
employers of the organisation for (Getis and et.al., 2014). UK commission for Employment and
skills publish data and information related to the employees. This data can be used by the
employers for making strategic plans and providing better and conductive working environment
for the organisation. Internal and external both the source of data provides an effective way
through which required information and details could be collected for performing the business
functions. It will help the organisation to make effective action plans so that all the operational
process are executed in better and effective manner. Moreover, there are various ways that could
be used by business for performing their performance in effective manner.
CONCLUSION
Summing up the present Essay it can be concluded that Role of human resource
management is changing with the trends running in the external business environment. There are
diverse range of factors that gives impact on the organisation and HR functions that are
performed there. Current market and economic conditions are listed in some external factors that
affect the activities of the human resource department. Brexit has given impact on the external
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business environment. In addition to that internal factors also affects the business functioning.
There are two effective tools that could be used by business firms for evaluating their internal
and external environment and it comprise of PESTLE and SWOT analysis. These tools can be
used by the business organisations for analysing their internal and external business
environment.
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REFERENCES
Books and Journals
Aswathappa, K., 2013. Human resource management: Text and cases. Tata McGraw-Hill
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Barnes, E. and Adam, C., 2017. The Importance of Human Resources in a Globalised Economy:
A Conceptual Framework. Canadian Journal of Applied Science and Technology. 5(2).
Baum, T., 2015. Human resources in tourism: Still waiting for change?–A 2015 reprise. Tourism
Management. 50. pp.204-212.
Cavusgil, S. T. and et.al., 2014. International business. Pearson Australia.
Chebbi, H. and et.al., 2015. Building Multiunit Ambidextrous Organizations—A Transformative
Framework. Human Resource Management. 54(S1).
Doherty, B., Meehan, J. and Richards, A., 2015. The business case and barriers for responsible
management education in business schools. Journal of Management Development. 34(1).
pp.34-60.
Elkeles, T., Phillips, J. J. and Phillips, P. P., 2016. The Chief Talent Officer: The Evolving Role of
the Chief Learning Officer. Taylor & Francis.
Getis, A. and et.al., 2014. Introduction to Geography. McGraw-Hill Education.
Gibbs, C., MacDonald, F. and MacKay, K., 2015. Social media usage in hotel human resources:
recruitment, hiring and communication. International Journal of Contemporary
Hospitality Management. 27(2). pp.170-184.
Johnson, R. D., Lukaszewski, K. M. and Stone, D.L., 2016. The Evolution of the Field of Human
Resource Information Systems: Co-Evolution of Technology and HR Processes. CAIS. 38.
p.28.
Kavanagh, M. J. and Johnson, R. D. eds., 2017. Human resource information systems: Basics,
applications, and future directions. Sage Publications.
Kostova, T., Marano, V. and Tallman, S., 2016. Headquarters–subsidiary relationships in MNCs:
Fifty years of evolving research. Journal of World Business. 51(1). pp.176-184.
Lee Cooke, F. and Xiao, Y., 2014. Gender roles and organizational HR practices: The case of
women's careers in accountancy and consultancy firms in China. Human Resource
Management. 53(1). pp.23-44.
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Meihami, B., Varmaghani, Z. and Meihami, H., 2014. Role of Intellectual Capital on Firm
Performance (Evidence from Iranian Companies). International Letters of Social and
Humanistic Sciences. 1(1). pp.43-50.
Moncrief, W. C., Marshall, G. W. and Rudd, J. M., 2015. Social media and related technology:
Drivers of change in managing the contemporary sales force. Business Horizons. 58(1).
pp.45-55.
Reynolds, N. S. and Teerikangas, S., 2016. The international experience in domestic mergers–
Are purely domestic M&A a myth?. International Business Review. 25(1). pp.42-50.
Solnet, D., Kralj, A. and Baum, T., 2015. 360 degrees of pressure: The changing role of the HR
professional in the hospitality industry. Journal of Hospitality & Tourism Research. 39(2).
pp.271-292.
Xing, Y. and et.al., 2016. Intercultural influences on managing African employees of Chinese
firms in Africa: Chinese managers’ HRM practices. International Business Review. 25(1).
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Online
HR Elements, 2016. [Online]. Available through : <https://ciprianarhire.wordpress.com/hr-
elements/>. [Accessed On : 27th July 2017].
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