Human Resource Management: Skill Shortage Impact Analysis Essay

This essay explores the significant impact of skill shortages on human resource management and the broader business environment. It highlights how a lack of essential skills among employees can negatively affect productivity, efficiency, and overall company performance. The essay discusses the crucial role of human resource managers in addressing this challenge through effective recruitment, training, and development strategies. It also provides recommendations for companies to mitigate the adverse effects of skill shortages, such as investing in employee training programs, fostering a culture of continuous learning, and improving recruitment processes to attract and retain skilled workers. The paper emphasizes the importance of skilled employees in achieving organizational goals, improving brand image, and driving innovation, while also addressing the challenges associated with unskilled labor, including increased costs, decreased productivity, and potential damage to company reputation. Desklib offers additional resources and solved assignments for students studying human resource management.

Individual Essay

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Recommendations........................................................................................................................4
Conclusion ......................................................................................................................................6
References........................................................................................................................................7

Introduction
Human resource managers plays a significant role in evaluating the working of the
employees and other functions of the company. In order to develop an efficient working structure
of the firm, it is necessary for the management to hire a responsible manager. As he is the one
who has all the authorities to take any decision regarding the selection, removal and other aspects
which are required in the business institution. But, recently it has been noted that there are
numerous of trends revolving around the business industry, which are continuously affecting the
activities of human resource manager (Al Mhdawi, 2020). This essay is about one of those trends
i.e., shortage of skills among the employees and how it can affect the management of the
company in different ways. This essay will also discuss about the role of manager to handle this
situation properly and its impact on the performance of the human resource manager.
Main Body
Skills are that important element for the employees which are able to provide the various
opportunities them. There are various companies who are looking for recruiting such individuals
with lots of which are operating in different industries. Business skills are positively impact their
performance and productivity (Tian, 2019). Successful in the workplace is also depend on
business skills such as communication, marketing, negotiation, team work and so on. Business
skills helps the individual employees to understand both the external and internal factors which
helps to influence the company growth and improve the performance. Along with it helps to
carrying out the company objective which support to contribute in performance. Now a days if
any individual person wants to get a job, so they need to ensure that, it having some essential
skills which helps get a better job (Díaz, Barge-Gil and Heijs, 2020). Business skills are very
essential for keep the company running smoothly. Skills are require in these days such as data
analysis skills it helps to identify the trends and try to making the data- driven business
decisions. Leadership skills helps the company to guiding the team towards the success while
carrying the business project. If skills are shortage in the employees so it will effect the business
environment and impact negative to the human resource development. If Human resources
management hiring the wrong candidates who are not having enough skills which they need, so
they have to face some problems such as wastage of time and cost. Because if they spend time
and money to provide training for their new hires and manager will be responsible for
monitoring them but still they are not able to performing well, then this will impact the

performance of the company. Wrong candidates and unskilled candidates result in loss of the
productivity and efficiency. When company invest their money, time and energy to provide
training and they getting poor- performing and negatively impact the business for a long- run
(Yeh, 2021). Although it also damaging the employees morale, one bad apple can spoil the
bunch of apple, so when Human resource manger spend valuable efforts, money and time, so
they need to ensure that they iring right candidates for the right job and bad hiring will effect the
rest of the team may become disappointed. Unskilled employees face problem to doing work on
team and they are not able to perform well and this will effect the workplace of the company
(Guo, Zhang and Ding, 2019). Along with unskilled employee will impact the quality, they are
not able to produce a high quality products and services. The blend of unskilled and untalented
service will dissatisfied the customers and do poor quality of the products. It also impact the
production and miscellaneous cost, the production rate will be decrease when the worker are not
able to perform well. Untalented representative would be invest extensive time to doing their
duties and they certainly leads the mistakes and injurious which will impact negative to the
productivity level. Reputation cost unskilled will also effect the company image, because when
employee are not bale to perform well or doing mistakes again and again so this will decrease the
image of the company (Remya, 2022). Skills employees are very important for the company, if
company choose skilled candidate for the right job, so it will helps the company to achieve their
target more effectively and efficiently. Recruitment is the basic portion of the Human resources
department and in this operation HR manager try to attract the skilled and proper qualified
applicants for a job role (Kim,Yoon, and Jei, 2020). Along with Selection is the activity of
choosing and identifying the accurate candidate for the job role although after completing this
procedure it provide proper training to their hiring candidate to rising their skills and knowledge.
But if in case Human resources manager hiring the wrong candidate, so it will effect the business
performance and productivity as well as, it will suffer by their outcomes in cost of lower
presentation' so its crucial to select impressive candidate for the job role which can be more
effective for the company growth.
Recommendations
If the company get the well skilled and knowledgeable employee for their organisation,
so they get many opportunities and benefits in their future. Skilled employees helps to reduce the
risk and wastage of cost and time, although they are able to satisfied the customer need and

doing efficient work. Skilled candies are ability to perform well in tough situation although they
can manage their more efficiently and the doing more productive work (Mantulenko, Zotova and
Makhovikov,2020). Along with they are more aware the current position of the market and
skilled employees are more passionate and energetic to compare of unskilled employees, they
always aware to grab the opportunities. Although skilled candidates helps the company to
improve their brand image and support them to achieve their target in right way, along with they
give new and innovative ideas to the company to resolve the problem and increase the
productivity of the company which is good for an organisation goal. Along with skilled
candidates are more ethical to compare the unskilled workers, they are able to maintain the
workplace environment of the company and they are having good leadership quality and they are
multitasker. They are more loyal and reliable for their work and also they having more
knowledge and ides to doing their work more effectively. Unskilled work effect the performance
of the company along with organisation have to face many challenges. If Human resource
manager hiring unskilled labours, so they need to train them closet and give job- training to
ensure the work performed as specified, unskilled workers have a lack of basic skills. Along with
those workers are not skilled to operating the specified types of machinery in their organisation,
having a risk to manage them. Although unskilled workers also decrease the productivity of the
company and they take much time to complete their task to compare the skilled workers. Poor
interpersonal skills having lower degree of education and experience and they impact negative
impaction on customer services, along with they personally damage the company reputation
because of their lack of communication skills. However unskilled workers paid the less than
professionally skilled labours and they may stay with their company for a short period of time
before looking for the higher potions. To resolve the problem of this Human resource manager
need to give a proper training to their employees , so that they are able to learn new skills which
is require for their job and get the enough knowledge which helps them to resolve the problem.
Along with they need to giving group activities for their unskilled workers, so that they are able
to learn team work and doping effective communication which is necessary for satisfied the
customers. Although manger need to ensure that they are asking feedback and opinion for their
unskilled workers, so that they feel motivated and try to work on their weaknesses. Company
need skilled workers to improve their productivity and achieve their target and now a days
mostly company need skilled workers who have knowledge of advance knowledge, so that they

are not face difficulty to working in new environment. Current time company need to train their
employees to keep up with their technical changes and employees also feel motivated and
encourage to their work.
Conclusion
In this essay it discuss the topic of unskilled employees and what problem faced by
Human management development because of this. Skills are very necessary for an individual
without this they are not able to perform well in their job and they also face difficulty to mange
their work. Along with now a days mostly company want skilled candidate who having enough
knowledge and skills of days market, so that they can mange their work more effectively. In this
essay it discuss that opportunities and challenges faced by company, because of unskilled
labours. Such as unskilled labour have a chances to doing mistakes and productivity level also
goes down, although they need to require more time and training to understand the work.

References
Books and Journals
Al Mhdawi, M.K., 2020. Proposed risk management decision support methodology for oil and
gas construction projects. In The 10th International Conference on Engineering, Project,
and Production Management (pp. 407-420). Springer, Singapore.
Díaz, G.A., Barge-Gil, A. and Heijs, J., 2020. The effect of innovation on skilled and unskilled
workers during bad times. Structural Change and Economic Dynamics, 52, pp.141-158.
Guo, S., Zhang, P. and Ding, L., 2019. Time-statistical laws of workers’ unsafe behavior in the
construction industry: A case study. Physica A: Statistical Mechanics and Its
Applications, 515, pp.419-429.
Kim, J., Yoon, J.C. and Jei, S.Y., 2020. An empirical analysis of Okun’s laws in ASEAN using
time-varying parameter model. Physica A: Statistical Mechanics and Its
Applications, 540, p.123068.
Mantulenko, V.V., Zotova, A.S. and Makhovikov, A.E., 2020, April. Digital transformation of
the labor market: Values and competences. In International Online Forum named after
A. Ya. Kibanov" Innovative Personnel Management” (pp. 321-328). Springer, Cham.
Remya, R., 2022. Interstate Migrant Workers in Kerala: An Assessment of Welfare Measures in
the State of Kerala. Journal of Polity and Society, 13(2), pp.161-176.
Tian, Y., 2019. Workers by any other name: comparing co-ethnics and ‘interns’ as labour
migrants to Japan. Journal of Ethnic and Migration Studies, 45(9), pp.1496-1514.
Yeh, J.H., 2021. Assigning Unskilled Workers on the Production Line According to the Fuzzy
C-Means Clustering Method. Science and technology reports of Kansai University= 関関関関関関関関関関関, 63, pp.53-66.