Factors Affecting an Organisation & HR Function

Human Resource
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TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAINBODY...................................................................................................................................3
Factors affecting an organisation & HR function............................................................................3
1.1 Comparison between two tools..............................................................................................3
1.2 Pestle Analysis and it’s impact on HR function....................................................................4
Organisation and Hr strategy and practices.....................................................................................6
2.1 Key forces that influence HR agenda....................................................................................6
2.3 Key stages of strategy formation and implementation and roles of HR................................7
2.3 Role of HR in strategy formulation and implementation and business planning..................8
2.4 HR contribution to business ethics........................................................................................8
Responding to change......................................................................................................................9
3.1 Business performance analysis tool.......................................................................................9
3.1 Role of HR in business planning...........................................................................................9
3.1 Role of HR in change management agenda...........................................................................9
3.2 Range of different sources of business and data that can use for business planning...........10
3.2 Three business area need to be focused...............................................................................10
CONCLUSION..............................................................................................................................10
REFERENCE................................................................................................................................11
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INTRODUCTION
Human resource is a person who manage group of people or employee in the company
and involves number of operations i.e. recruiting, firing, training and motivating employee in the
organization. The main aim of the human resource to leads high productivity in the employees
working so that easy to meet organization’s objectives over the time. Human resource handles
numerous functions of the business effectively. To understand role of HR has an example of
Heritage Textile organization which has specialization in handicraft textiles. Organization offers
wide variety products i.e. textile and handicraft items to the customer. The report includes
different factors that impacts on an organization’s business and it’s HR function.
MAINBODY
Factors affecting an organisation & HR function
1.1 Comparison between two tools
Attributes Pestle Analysis Swot analysis
Definition It is analytical tool that is used to analyze and
supervise the macro-environmental factors
which impacts on organization performance.
It influences the development of strategic
thinking for a effective understanding of
strategic planning. It contains various factors
i.e. political factors, economical factors,
socio-cultural factors, environmental factors
and legal factors (Barney, 2017).
It is strategic planning
technique that is used to
support a person or
organization determine
strength, weaknesses,
opportunities and threats that
is related to business
competition.
Goal The main goal of the framework is to develop
understanding about various factors which
affects the market environment for a
company.
While the main goal of the
Swot analysis is to identify
strengths, weaknesses and
threats of company so that
easy to take competitive
advantage in the business
market.
Application The model is specially designed to analyze As compared, this model is
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external environment of organization. It also
supports company to build sustainable
business performance.
used to analyze internal
environment of business and
determines it’s capabilities
and resources and threats.
Heritage Textile is manufacturing company which has firm in partnership. It
manufactures wide variety products through numerous fabrics i.e. organic cotton, silk, satin and
wools. Organization has largest collection of Chashmere & Pashmina Shawls which is received
by all over the world. It occupies famous designers and fashions boutique owners in UK, Italy,
France, Spain, Germany and USA.
1.2 Pestle Analysis and it’s impact on HR function
Political factors
Political factors contain government regulations and legal issues such as tax policy,
employment laws, environmental regulations, trade restriction and tariffs and political stability
etc. gives impact on organization performance.
Positive impact
Employment laws is one of the main political factors that gives positive impact on
organization performance because government recruit job vacancies for those employees who
does not have job or does not get opportunity to work effectively (Achinas and et.al., 2019).
Whereas company gets positive opportunity of the factor because it is easy to improve high
turnover of employee within workplace. While government also promotes company because it
helps to decline unemployment rate by recruiting high number of employees for the job. This
factor gives positive impact on HR function as well such as Heritage Textile has low
productivity at the workplace due to this unable to manufacture bulk products. So, human
resource implements recruitment strategy whereas political factor influences decision-making
process of HR.
Negative impact: Trade restriction gives negative impact on HR function as well as company’s
performance. HR makes plan to expand business in different countries by trading products.
While trade restriction give negative impact on the HR planning because according to
governmental rule a organization cannot trade it’s products in various countries at a time as
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