The Importance of Human Resource Management Policies to Organizational Success

IMPORTANCE OF HUMAN RESOURCE MANAGEMENT POLICIES 1
Research Paper: The Importance of Human Resource Management Policies to Organizational
Success
Name
Institution
Course no
Date

IMPORTANCE OF HUMAN RESOURCE MANAGEMENT POLICIES 2
The Importance of Human Resource Management Policies to Organizational Success
Introduction
Human Resource Management (HRM) is an organizational body that is tasked to
undertake organizational activities such as conducting job analysis, planning, recruiting
workers, training and orienting, solving disputes, evaluating performance, managing salaries,
and communicating with employees. Each organization is characterized by an HRM unit to
undertake all the aforementioned functions; however, an organization without a good HRM
setup is likely to suffer from problems relating to organizational management. An effective
HRM is recognized to formulate effective policies and practices that are posited to ensure
organizational success.
Literature Review/Background of the Study
HRM is a significant organizational body arguably behind organizational success.
Numerous organizational policies are designed by HRM are posited to either help in
organizational success or failure. Several studies have been conducted to determine the role
of HRM in organizational success; the results from the studies illustrate various impacts of
HRM Policies on organizational success. Some of the notable researches are the research by
Hamadamin and Atan that tried to determine the impact of strategic HRM the competitive
sustainability of an organization. The research revealed significant impacts of strategic HRM
on the competitive sustainability of the organization.
Significantly, the research by Margherita and Bua (2021) elucidates the role of HR
practices in the development of Operator 4.0; operator 4.0 is the ability of workers to operate
swiftly to ensure the integration of novel digital technologies. Considerably, HRM extensive
researches denoted the role of HRM practices such as organizational learning, organizational
culture, planning, recruiting, training, motivation, job analysis, and decision making among
others on organizational growth (O’riordan, 2017; Alshammari, 2020; Eneh & Awara, 2016;

IMPORTANCE OF HUMAN RESOURCE MANAGEMENT POLICIES 3
Criveanu & Cartina, 2018; Samwel, 2018). Significantly, Gill and Meyer, (2011) using the
Universalist and contingency model developed by Dewar and Weber (1979) and Fred Fielder
(1960s) respectively attempted to evaluate the significance of HRM policies and practices
and found some correlation on the importance of soft and hard practices on organizational
growth.
Moreover, notable research by Leghari, Suleman, Leghari, and Aslam (2014)
evaluated the role of HRM practice in the performance of the organization and employee
retention and found a vital influence on HRM practices on organizational performance and
employee retention. Equally, the research by Hassan (2016) that determined the influence of
HRM practices on employee’s performance in the Pakistan textile industry denoted
significant impact of HRM practice on employee performance. Therefore, this study is
essential because it is important to have a clear understanding of the importance of having an
effective HRM body in organizations.
Problem Statement
In the modern business world, organizations need to strategize and put themselves in a
competitive position so that they do not lose track when competing with other organizations
in this highly competitive market. Organizations need to implement a value-creating strategy
that has not or has not been implemented by other organizations to have a competitive
advantage and realize success. Most of the implementation and creation of the value-adding
strategies are conducted by the HRM body in the organization. Therefore, it is necessary to
determine the significance of HRM, the policies and practices they create, and how they
contribute to the organization’s success.
Purpose Statement
The purpose of this research is to evaluate the importance of the policies that HRM
design and how they affect the organizational activities leading to the success of the