Challenges Faced by Managers in HR Management: A Report

This report provides an executive summary of the challenges faced by managers in the Human Resource (HR) department. It delves into environmental challenges such as rapid change, workforce diversity, globalization, and technological advancements, alongside organizational challenges like cost control, quality improvement, and restructuring. Furthermore, the report addresses individual challenges encompassing productivity, empowerment, ethical responsibilities, and job security. The report also provides an introduction, a detailed discussion of the various challenges, and concludes with a summary of the key issues and potential strategies for HR managers to navigate these complexities effectively. The report emphasizes the need for proactive measures to address these challenges and ensure the smooth functioning and success of the organization.

Running head: MANAGERIAL CHALLENGES IN HR MANAGEMENT
Managerial challenges in HR management
Name of the Student
Name of the University
Author Note

1MANAGERIAL CHALLENGES IN HR MANAGEMENT
Executive Summary
The aim of the paper is to find out the challenges faced by the managers in
organizations in order to manage the human resource department. This paper will talk about
the issues and challenges affecting the performance and structure of an organization and the
role played by the human resource managers to ensure the smooth functioning of the
organization. Due to the rapid increase of such problems inside and outside of an
organization, strategies and measures to be taken by the managers for resolving such
challenges and issues in the organization to reduce attrition are also mentioned in this paper.

2MANAGERIAL CHALLENGES IN HR MANAGEMENT
Table of Contents
Introduction................................................................................................................................4
Discussion..................................................................................................................................4
Human resource management issues.........................................................................................4
Environmental challenges......................................................................................................4
Rapid Change.....................................................................................................................4
Work Force Diversity.........................................................................................................5
Globalization......................................................................................................................5
Technology.........................................................................................................................5
Job and family roles...........................................................................................................5
Organizational challenges......................................................................................................6
Controlling costs................................................................................................................6
Improving quality...............................................................................................................6
Developing distinctive capabilities....................................................................................6
Restructuring......................................................................................................................7
Individual challenges.............................................................................................................7
Productivity........................................................................................................................7
Empowerment....................................................................................................................7
Ethical and social responsibility.........................................................................................7
Brain-drain.........................................................................................................................8
Job insecurity.....................................................................................................................8

3MANAGERIAL CHALLENGES IN HR MANAGEMENT
Conclusion..................................................................................................................................8
References..................................................................................................................................9

4MANAGERIAL CHALLENGES IN HR MANAGEMENT
Introduction
The companies embrace human resource management because it is beneficial for the
companies. Although human resource management helps companies in various ways, it has
various issues and challenges that managers have to face in the areas related to performing
duties. The rapidly changing business denotes that the human resource management issues
will continue evolving in the coming years. Managers work on the challenges and the issues
in order to prevent the obstructions that arise within the organizational activities. Thus,
identification of these issues is required. This paper will talk about these challenges and
issues. (Nankervis et al. 2016)
Discussion
Human resource management issues
 Environmental challenges
 Organizational challenges
 Individual challenges
Environmental challenges
The environmental issues are due to the external causes that exist outside an
organization and that affect the functionality of organizational management. The
environmental challenges are as follows –
Rapid Change
The world is rapidly changing and thus the organizational managers should be
adapting new ideas and ways to prevent the organization from disappearing from the

5MANAGERIAL CHALLENGES IN HR MANAGEMENT
marketplace. The human resource team should be adopting such measures and policies that
can provide new scope and opportunities for the organization.
Work Force Diversity
The change in the organizational environment creates both threats and opportunities
in the department of human resource in an organization. Managers should be adopting
policies to help in the diversion of the work force of the employees (Bratton and Gold 2017).
Globalization
The challenges due to globalization are affecting the human resource department of an
organization. Competition between foreign and domestic companies is massively increasing
because most of the organizations are becoming global (Brewster, Chung and Sparrow,
2016). Thus, the human resource team can play a major role in making the organization wider
and global.
Technology
In the field of telecommunication and computer, technology is growing at a great
speed. New techniques are replacing the old ones (Cascio 2015). Therefore more skilled
workers are required in order to cope up with the pace of technology advancement. Thus, the
human resource department should update the expertise and skills of the employees.
Job and family roles
In recent years, both husband and wife work in organizations in order to take care of
the family. This puts a burden especially on women to balance both professional and family
life. In various organizations human resource policies favors the employees who has served
the company for 10 years. Other norms like the working hours are also very rigid in many
organizations. Working men and women suffer as the training and the selection procedures
are tough. Thus, this issue should be taken care by the human resource department.

6MANAGERIAL CHALLENGES IN HR MANAGEMENT
Lack of skills
The expansion of the service sector is mainly due to the technological change, legal
change, change in the preference and taste of the customers. These in turn affects the
managing style and structure in business organizations. Currently the schools and colleges
train students according to the recent requirement (Lewicka 2013). Therefore, the employees
lack the technical knowledge required to cope up with the new technologies.
Organizational challenges
Organizational challenges are due to the internal issues of an organization. The
human resource managers take care of these issues before the situation gets critical
(Aswathappa 2013). The organizational challenges are as follows-
Controlling costs
The competitive position of an organization can be attained by lowering the cost and
strengthening the cash flows. The cost of labors are thus minimized through the system of
effective compensation that involves strategies and rewards. The human resource team should
re-establish employees work along with improving the safety and health issues of the
working culture. These measures will effectively reduce the labor cost.
Improving quality
The improvement of quality is required in most of the organizations to attain
competitive stability. Lack of quality in management programs will lead to the production of
bad quality products or services.
Developing distinctive capabilities
In order to attain competitive advantage, people with extra-ordinary competence in
particular area should be employed.

7MANAGERIAL CHALLENGES IN HR MANAGEMENT
Restructuring
Restructuring the organizational structure creates challenges for the employees. Most
of the organizations these days outsource the human resource department and other
departments creating various hazards in the organization. Thus human resource team should
consider this issue and work on it to overcome it.
Individual challenges
The decisions of individual employee affect the working culture of an organization.
Organizational issues also arise due to ill treatment towards the employees. The challenges
faced are as follows-
Productivity
Productivity denotes the value added by an employee in a specific product or service.
The augmented result per employee is reflected as augmented productivity. Thus, human
resource department should take care of the career development and training if individual
employees.
Empowerment
In recent days, individual employees show more control on the work provided in
comparison to their supervisors. Employees stay motivated, enthusiastic and committed due
to the empowerment. Thus, HR department should find ways of keeping the employees
motivated to perform better.
Ethical and social responsibility
It is a part of organizational duties to serve the society. This is the basic principle for
the organizations to be social (Hwang and Wang 2013). The human resource department
develops code of conduct that employees have to follow in order to create an awareness of
the social responsibility.

8MANAGERIAL CHALLENGES IN HR MANAGEMENT
Brain-drain
News ideas are encouraged in most of the companies to cope up with the
advancement. Managers play a major role in utilizing the ideas. Many companies are not
welcoming such efforts and hence employees are not getting enough motivation to worth
with the organization.
Job insecurity
Downsizing and restructuring creates a sense of job insecurity amongst the employees
of the organizations. Employees desire to work where the future of the employee is certain.
Many organizations terminate their employees during the period of ruthless competition.
These should be taken care by the human resource department in order to reduce attrition.
Conclusion
It can be concluded that the challenges of the human resource practice is increasing
day by day. The organizations are facing various problems like employee attrition, dealing
with various cultural people, managing diversity of the work force, informational and
technological training. The human resource department should use different strategies to
ensure a balanced working environment in an organization. Non-monetary and monetary
measures are to be taken to keep the employees motivated. Proper evaluation of performance
and career development ideas should be encouraged in order to reduce mobility.

9MANAGERIAL CHALLENGES IN HR MANAGEMENT
References
Aswathappa, K., 2013. Human resource management: Text and cases. Tata McGraw-Hill
Education.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Brewster, C., Chung, C. and Sparrow, P., 2016. Globalizing human resource management.
Routledge.
Cascio, W.F., 2015. Managing human resources. McGraw-Hill.
DeCenzo, D.A., Robbins, S.P. and Verhulst, S.L., 2016. Fundamentals of Human Resource
Management, Binder Ready Version. John Wiley & Sons.
Hwang, K.P. and Wang, M.K., 2013. The impact of ethical issues on privatization: Employee
perceptions of HRM systems, job satisfaction and organizational loyalty in the Taiwan
telecommunications industry. African Journal of Business Management, 7(6), pp.381-400.
Lewicka, D., 2013. Supporting innovation through HRM practices–importance of
motivation. International Journal of Innovation and Learning, 14(2), pp.217-240.
Nankervis, A.R., Baird, M., Coffey, J. and Shields, J., 2016. Human resource management:
strategy and practice. Cengage AU.