Advantages and Disadvantages of HR Management Options

This article discusses the advantages and disadvantages of different HR management options such as external consultants, outsourcing, internal HR service, internal non-human HR service, and merging business units. It also includes a PESTLE analysis of A+ Education Group, Tuition Centre.

Running head: MANAGING HUMAN RESOURCES
MANAGING HUMAN RESOURCES
Name of the Student
Name of the University
Author Note

1MANAGING HUMAN RESOURCES
Question 1 – Advantages and disadvantages of the following options
Answer -
(a) External consultant
Gains – The expertise levels of perspectives of outsiders or external consultants can
help in increasing the skills and abilities that are gained by the firm. Engagement of the
service consultants in various activities can support the formation of different strategies.
Consultants hired for the purpose of training can increase productivity of the firms.
Shortcomings – Knowledge that is possessed by the external consultants related to the
company is quite less which can lead to conflict in the workplace. Communication and
quality related concerns can lead to formation of a gap for external consultants (Stone and
Deadrick 2015).
(b) Outsourcing
Gains – The firm is able to gain many experts with the support that is provided by
proper outsourcing. Various jobs that are outsourced to the employees can be accomplished
properly with help of outsourcing.
Shortcomings – The firm can also lose control over employees and operations due to
excess outsourcing of jobs. Unseen costs can affect costs of the firm in a negative way
(Sparrow, Brewster and Chung 2016).
(c) Internal HR service
Gains – The reduction of time that is taken by employees in order to adjust to work
environment is a part of the internal HR based facilities. Recruitment based costs are also
reduced in the process of internal recruitment of the organizations.

2MANAGING HUMAN RESOURCES
Shortcomings – The employees can be dissatisfied due to high levels of internal
recruitment within the firms (Stone et al. 2015).
(d) Internal non-human HR service
Gains – The knowledge related to different needs of staffs and gaps that are a part of
the operations are analysed in detail by the internal non-human HR based services.
Shortcomings – The recruitment processes of the firms are not taken into
consideration by the internal non-human based HR services in the modern organizations
(Sparrow, Brewster and Chung 2016).
(e) Merging business units
Gains – The access of huge amounts of cash are gained with the help of merging of
different business units. Variation is also considered to be an important part of the advantages
that are provided by mergers to the organizations.
Shortcomings – The investments that are made by the firms with respect to merger of
the business units is considered to be an important disadvantage that is faced by them (Stone
and Deadrick 2015).
Question 2 – PESTLE analysis of A+ Education Group, Tuition Centre
Answer -
Political factors – Political situation that is developed in Malaysia and effective
stability business environment have an impact on various policies that are formed by the
educational institutions like the A+ Education Group. Government of Malaysia is also able to
influence education policies and levels within the country.

3MANAGING HUMAN RESOURCES
Economic factors – The position of third wealthiest country has been gained by
Malaysia in the region to which it belongs. The GDP of the country has improved in the year
2014 due to improvement in economic conditions of Malaysia. The value of currency of
Malaysia had however fallen in comparison to Dollars in the last few years. Labour expense
can also have an influence on various industries in Malaysia. Education based system of the
country is affected by the levels of steadiness in the economy (Frynas and Mellahi 2015).
Social factors – The social aspects related to dynamic leadership have an impact on
the operations of various organizations that belong to different industries in Malaysia. The
policies that have been formed by the government were mainly targeted towards urbanization
in the country. Different social issues that have an influence on the organizations include
poverty, exploitation and unemployment as well (Helfat and Martin 2015).
Technological factors – The firms have taken steps related to extensive of
technologies and outsourcing different jobs as well. The development of effective
infrastructure of the firms are also based on the usage of technologies. Various education
organizations are also affected by high levels of usage technologies. Internet is able to
improve the operations of the classrooms and can improve the operations of the educational
institutions as well (Wolf and Floyd 2017).
Legal factors – The laws implemented in Malaysia are influenced by the legal aspects
in Great Britain. Malaysia had gained independence from the British in 1957 and laws in the
country are affected by the Australian and Indian legal factors. Criminal code implemented in
Malaysia is also related in a huge manner by criminal code of India. Laws and regulations
formed in the education industry also influence A+ Education Group (Helfat and Martin
2015).

4MANAGING HUMAN RESOURCES
Environmental factors – The levels of deforestation and pollution have affected
Malaysian environment negatively in the last few years. The diversity in ranges of fauna and
flora in Malaysia is huge that are however affected by the deforestation that has taken place
in the country. The operations of the firm are developed in order to reduce the levels of
impact that they have on the environment of the country (Frynas and Mellahi 2015).

5MANAGING HUMAN RESOURCES
References
Frynas, J.G. and Mellahi, K., 2015. Global strategic management. Oxford University Press,
USA.
Helfat, C.E. and Martin, J.A., 2015. Dynamic managerial capabilities: Review and
assessment of managerial impact on strategic change. Journal of management, 41(5),
pp.1281-1312.
Sparrow, P., Brewster, C. and Chung, C., 2016. Globalizing human resource management.
Routledge.
Stone, D.L. and Deadrick, D.L., 2015. Challenges and opportunities affecting the future of
human resource management. Human Resource Management Review, 25(2), pp.139-145.
Stone, D.L., Deadrick, D.L., Lukaszewski, K.M. and Johnson, R., 2015. The influence of
technology on the future of human resource management. Human Resource Management
Review, 25(2), pp.216-231.
Wolf, C. and Floyd, S.W., 2017. Strategic planning research: Toward a theory-driven
agenda. Journal of Management, 43(6), pp.1754-1788.