HRM's Impact on Sustainable Organizational Performance & Success

This report provides an overview of Human Resource Management (HRM) and its impact on creating sustainable organizational performance and business success, using Toyota as an example. It defines HRM, discusses the generic competencies required of HR professionals, and outlines typical roles and responsibilities such as HR advisor and HR officer. The report highlights the importance of effective communication and proactive skills for HR personnel. It contrasts hard and soft HRM models, emphasizing the significance of talent acquisition, employee retention, and workforce planning. Furthermore, it examines the influence of external factors like economic conditions and social culture, as well as the impact of globalization and legal frameworks on HR policies. The report also addresses the role of leadership styles, organizational culture, and employee experience in organizational development, highlighting the importance of adapting to a changing environment and fostering employee learning and development. Desklib offers a variety of resources, including similar reports and solved assignments, to aid students in their studies.

Human Resource Management

INTRODUCTION
• Human resource management is the strategic approach which provides knowledge, principles to
achieve the competitive advantage of the business.
• HRM has a very wide scope in the areas like recruitment, performance, talent acquisition,
training and development etc. Toyota is MNC and the manufacturer of the cars.
• Toyota became as the first largest car manufacturer in the year 2008.
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Impact of HRM in creation of sustainable organizational
performance and business success-
Definition:Human Resource management is the process of managing the people in an
effective and efficient manner of an organization. It involves training of the employees,
recruiting skilled and talented people, retaining the talented people in the organization.
The generic competencies the HR must have is-
Design of people strategies- People strategy is used to determine that how much HR
attracts , retains and grow the employees for accomplishment of goals and objectives of
the organization. HR of Toyota having this competence will help them to design the
proper people strategy so that the goals and objectives can be achieved(Lopez-Cabrales
and Valle-Cabrera, 2020).
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TYPICAL ROLES AND RESPONSIBILITIES OF HR-
HR advisor- Dealing with HR queries in overall
business, updating the job descriptions, advising the
managers on recruitment process, compile the data as
well as point of contact in hiring and selection
process.
HR officer- Planning and managing the talent
acquisition, organizing counselling for policies,
creating and managing the on boarding plans of the
organization.
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SPECIFIC SKILLS OF HR-
Effective communication- As the main specialist area of
the HR is to hire the skilled employees for the
organization for this they have to meet every day the new
people, for taking interview they have to interact with the
new people so it very important to have this skill in the
good HR. Toyota's HR have good communication skills
which will help them in effective dealing with the new
people. It will also help them in solving the conflicts in
the organization.
Tenacity and proactive- Tenacity is the term which
means having determination to achieve the goals and
proactive means always ready for solving and facing the
circumstances instead of giving excuses. 04/03/22

STRATEGIC HRM-
Softy and Hard models of HRM-
Hard HRM focusses mostly for workforce needs to be recruited if needed and Soft
HRM considers employees as the important part of the organization. The main
features of hard models are regular changes in the number of employees, little
transparency in the business, lower wages.
The main features of Soft models are it focusses more on the long term planning of
the workforce, empowerment of the employees, democratic type of leadership.
Organizational Performance-
Impact of HRM on organizational performance-
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SEVERAL METHODS TO MEASURE THE
ORGANIZATIONAL PERFORMANCE-
Financial Measures- This method is related to the
organizational performance to its effectiveness and
profits. These financial measures are then showed in the
annual report of the organization for the shareholders.
Customer Measures- This method of measure is related
to the customer attraction towards the organization.
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Contribution of HRM in recruitment and retaining the
talented and skilled employees-
Resourcing the organization-
HRM has contribution in workplace planning and data analytics. Workforce planning
is perpetual process done to determine and understanding the needs and workforce of
the organization. Toyota HRM takes the decisions by understanding the needs of the
organization which help them to achieve the goals and objectives. Data Analytics is
the process of recording all the data of the employees of the employees who are not
working as well. Toyota's HRM keeps the data of the employees recorded so that it can
be used whenever required.
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TYPE OF LABOUR-
There are two types of labour market as internal and
external. Internal market is jobs and employees in the
company whereas external market jobs and employees
outside the company.
Skilled shortages affects the recruitment as there is much
need of the skilled employees in the organization and
there is lack of skilled employees leads to difficulty in
filling the vacancies in the organization
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IMPACT OF RELEVANT LEGISLATION
Data protection act- This impacts the businesses as data protection act is very
important to follow by the organizations as it provides all the rules to how to use the
personal data of the organization. As not following the data protection the managers,
directors are liable for not following the rules as they get notice by the government.
Recruitment and selection-
Different models of recruitment and selection-
On Demand Recruitment- This recruitment is done only for the specific time that is
for some project.
Contingency hiring- This recruitment is widely used and this is based on some terms
and conditions with the candidates of the company.
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STAGES OF RECRUITMENT PROCESS
There are 5 stages in recruitment process-
Recruitment planning- The first step is to plan the process
by evaluating the needs of workforce in the organization.
Strategy Development- After knowing the needs and
qualifications of the candidates, next is to develop the
strategy to recruit the candidates for the organization.
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DIFFERENT TYPES OF SELECTION METHOD
Competencies based selection- It is the behavioural bases process of interview which
allows the interviewer to gain the specific information about job related behaviours
based on the experiences of the candidates.
Resume sorting process- In this process, the recruiter chooses the employees from the
top candidates from all the resumes. This shows that the company chooses only the top
candidates.
Toyota company uses competence based method to select the best candidate for the
organization.
The laws and regulations which can be considered while recruitment process are
Age Discrimination employment Act, Equal pay Act, Illinois Human Right Act,
Immigration Reform and Control Act.
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