A Comprehensive Study: The Impact of HRM on Organizational Success

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RUNNING HEAD: Impact of Human resources management on organization 0
Name of the student
Topic- Research proposal Impact of Human resources management on the organization
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Impact of Human resources management on organization 1
Table of Contents
Table of Contents.............................................................................................................................1
1 Abstract....................................................................................................................................2
2 Background of topic................................................................................................................2
3 Purpose of statement................................................................................................................2
4 Research points........................................................................................................................2
5 Introduction..............................................................................................................................3
5.1 Background of the topic....................................................................................................3
6. Organization development...........................................................................................................3
6.1 Benefits of the training and development program implemented by HRM..........................3
6.2 Training and development................................................................................................4
6.3 Training and development component..................................................................................4
6.4 Motivation to employees.......................................................................................................5
6.5 Responsibilities of the HRM.................................................................................................5
6.6 Establish the relation between organization development and employees growth...............5
7. Summary..................................................................................................................................6
7 Research Methods....................................................................................................................7
8 Reliability and Validity............................................................................................................7
9 Research Ethics........................................................................................................................7
10 Research Limitation.................................................................................................................8
11 Feasibility of the research........................................................................................................8
12 Summary of the research.........................................................................................................8
13 References..............................................................................................................................10
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1 Abstract
With the changes in economic conditions, each and every organization needs to manage their
employee through the separate department called human resources management. It not only
mitigates employee's issues but also assists them to find valuable resort to solve their issues. This
report analyse impact of Human resources management on the organization. It also evaluate
HRM practice and its impact on the organizational performance. It is considered that HRM
practice assists in increasing the overall outcomes and productivity of the organization. With the
proper management of HRM practice, a big organization could easily reduce the employee
turnover at large as well.
2 Background of topic
It is analyzed that Human resources management practice helps an organization to manage their
business effectively. The competitive advantage and core competency are highly based on the
experienced employees. HRM practices help the organization to retain talented employees in the
processing system. It is identified that if the company does not have HRM practice then it may
lead to demotivation of employees and may result in increased employee turnover (Scullion, &
Collings, 2011).
3 Purpose of statement
The main purpose of the statement is to identify all the positive and negative impact of HRM
practice on the organization. It also analyses how HRM practice helps the organization to
competitive advantage and core competency to lead the market (Veenendaal, & Bondarouk,
2015).
4 Research points
ï‚· Impact of HRM practice on the organization?
ï‚· Organization demand and outcomes for HRM practices
ï‚· The strength of HRM practice and turnover
ï‚· Strategic human resources management and its impact on the organization
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5 Introduction
In this research paper, Impact of HRM practice on organization has been taken into
consideration. Human resources management is an important department of the organization that
makes people who work there, to responsible towards direct and indirect organization goal. If
proper HRM practices are undertaken then it may not only create competitive advantage and core
competency but also result in increased outcomes of business.
5.1 Background of the topic
Human resources management has become necessary department of a company which allows it
to overcome all the possible issues in the management of employees. It deals with the following
points such as employee's motivation, safety, wellness, benefits training and administrative
compensation, organization development, and training of employees (Kasemsap, 2017).
6. Organization development
The impact of Human resources management and HRM policies on the employee's productivity
is significant for the achievement of set objectives and goals of the complex business.
HRM practices analyze all the key issues and problems faced by employees in the organization
and pursue them to perform better and effective manner. It indulged in managing, recruiting,
selecting and staffing of employees in the organization (Olson, et al. (2018). If proper
recruitment, selection, and staffing process are not undertaken then it may destruct the business
process of organization. The motivation of employees also depends upon the training program
and rewards system introduced by the organization. If HRM practice is not implemented in
organization then it will increase the complexity of the process system and will also result in
mismanagement of the organization (Briscoe, Tarique, & Schuler, 2012).
6.1 Benefits of the training and development program implemented by HRM
There are several benefits which organization could undertake after adopting the HRM practice
in the business process such as increased productivity, high motivation to the employee,
reduction in employee turnover and reduced cost of capital. It could be determined as the
function to guiding employees, to obtain competencies to achieve the organization goals and
objectives Veloso, Tzafrir, & Enosh, (2015), However, in order to this, HR to be successful, it is
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Impact of Human resources management on organization 5
required an employee to comprehend their present and future expectation to develop their
abilities and exploit to maximum potential. It will increase the overall productivity and efficiency
of the business. HRM practice is based on the quantitative analysis to make sure that right sort of
employees are available in the organization when needed. It focuses on creating and influencing
employees to put extra efforts for the betterment of the organization (Briscoe, Tarique, &
Schuler, 2012). The HRM of the organization analyze all the internal and external factors which
affect the employees (Sani, & Maharani, (2015). After that, employee's oriented policies are
framed to motivate employees to motivate them to put extra efforts. If employees do not feel
satisfactory while working in the processing system of an organization then it may destruct the
quality of the services and products of the company at large (Ulrich, et al. 2005).
The main impact of HRM practice on the organization would be based on the core
competency of employees to perform work. HRM motivate employees to work efficiently and
mitigate their organization issues in best efficient manner. In addition to this, it also establishes
the proper nexus between organization's goals and objectives with the employee’s development.
6.2 Training and development
The development of the organization is based on the training and development of employees.
Human resources management of organizations evaluates all the internal and external factors
which could be used by managers to implement proper training programs (Vermeeren, Kuipers,
& Steijn, (2014). This process will not only strengthen the employee's performance in the
process but also make them more employable. Therefore, HRM department is set with a view to
promoting employees to work ethically and efficiently. However, proper training program
implemented by HRM is used to make employees more employable and suitable for the process
work of the organization. Therefore, it could be inferred that proper HRM practice needs to be
aligned with the business strategy and organization development (Scullio. & Collings, 2011).
6.3 Training and development component
The training and development of employees are the key supporting factor to make employees
more employable. The main components of the training and development of employees is staff
training, staff expedition and orientation. After that, it field supervision and supervision is done
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Impact of Human resources management on organization 6
by the management to assess the employability of the employees. In the end, accurate
assessment, evaluation and feedback is used in the training and development process to identify
the shortcoming in the implemented training and development process of organization
(Vermeeren, Kuipers, & Steijn, (2014).
6.4 Motivation to employees
Employees are the key pillars of the organization. They should be motivated by the organization
in timely manner either by reward system or by providing them work satisfaction. Company by
establishing nexus between employees’ growth with the organization development could set a
good motivation for them (Ulrich, et al. 2005)
6.5 Responsibilities of the HRM
There are several responsibilities of the Human resources management of organizations which
includes training and development of emplyees, evaluates all the internal and external factors and
make employees more employable for the benefit of the organization and employees at large.
The strength of HRM practice and turnover
HRM practices focus on the increase the overall productivity and turnover by strengthening the
employees' performance. It is considered that if employees are shown proper direction, training
and motivation then they will tend to put extra efforts in their work process. The main impact of
HRM practice on the organization is related to motivate employees, managing the business
process system and reducing the employee turnover (Vanhala & Ritala, 2016)
6.6 Establish the relation between organization development and employees growth
HRM practice provides clear instruction and motivation program for employees. It endeavoured
towards creating employees oriented organizational culture so that employees could put extra
efforts to increase overall outcomes and productivity at large Donate, et al. (2016), HRM of the
organization evaluates various factors such as motivation to employees, hiring of experts
employees and reducing the employee turnover. It also focuses on the establishment of
organizational development with the employee growths (Kavanagh, and Johnson, 2017.).
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7. Summary
It is observed that the organization culture, internal and external factors may affect the
employees and company and nature of business have not been taken into consideration. The
impact of HRM on the organization is also influenced by other factors such as policies, rules, and
organization process system and organizational culture. If proper HRM practices are undertaken
then it will increase the overall employability of the employees, development of the training and
development program for employees. However, due to the word limit and extent of research,
descriptions of these points are not done in this research paper. The main focus of this research is
to identify how HRM practice would give the positive impact on the business functioning of the
organization (Donate, et al. 2016).
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Impact of Human resources management on organization 8
7 Research Methods
This research method reflects the technique used to gain the pertinent data on the Impact of
Human resources management on the organization. In this research, primary and secondary data
sources would be used to collect the valuable data. In this research, observation, seminars,
monkey survey and personal meeting with the employees and management of various companies
would be done as part of primary research method. However, secondary sources such as the use
of journals, official gazettes, and other documents would be analyzed to collect the quantitative
and qualitative data of the research. Moreover, in this research, positivist philosophy would be
used to gain the factual knowledge on the research topic. The quantifiable and qualitative
research has provided the deep understanding of the research topic by employing the trustworthy
measures such as observation and qualitative methods. It is most suitable for the study because
quantitative information is highly supported by the positivist philosophy (Khan, 2015)
The research method has been used to collect the data from the target respondent in this
research. In the same relevance’s, two research methods such as primary and secondary research
methods have been used to collect the data. The primary research method is used by the
researcher to collect the information from the originators by involving the variety of the research
methods. The primary research includes the personal contact with the person or respondents who
are selected in this research with a view to obtaining relevant information (Scullion, & Collings,
(2011).
8 Reliability and Validity
The reliability and validity of this research support the trustworthiness and accuracy of
the data collected. It supports the literature section and assists in gaining adequate information on
the research topic.
9 Research Ethics
The research ethics is highly dependents upon the validity, authenticity, reliability of the
research work. It defines the values, norm and guidelines which play important role in the
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Impact of Human resources management on organization 9
research process. It significantly assists in gaining information from the respondents and at the
same time strengthens the confidentiality of data.
10Research Limitation
This research conducted on the impact of Human resources management on the
organization. The main limitation of the research is wide feedbacks and its impact on the
numerous numbers of employees. It is evaluated that while gathering data from the respondents,
we have lack of faith that whether they would provide the confidential personal information in
filling online questionnaires. In addition to this, a researcher also faces issues in gaining
authentic information from the authentic secondary sources due to the copyright issue. However,
with the changes in historical data or amendment in work culture, this research work may need
be varied with the changes in organizational culture (Hill, 2008).
11Feasibility of the research
In this research, projects seek an answer to the question whether the HRM practice would
provide the negative or positive impact on the organization. This research topic allows the
researcher to gain the pertinent information and look forward to the situation which has not
happened yet (Veenendaal, & Bondarouk, 2015). This research will allow the organization to
increase the overall outcomes and maintain effective management of employees. However, it has
divulged that the impact of HRM practice on the organization will be positive which will reduce
the cost of production and increase the overall productivity in determined approach (Hassan,
2016).
12Summary of the research
After analyzing all the collected data from the various sources, it could be inferred that HRM
practice will put the positive impact on the organization. However, in case of small organization,
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it will increase the overall cost of production which may not be the good indicator for the future
growth of the business. Nonetheless, in case of the big corporation, HRM practice focuses on
reducing the complexity of the business process and motivates employees in best efficient
manner.
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Impact of Human resources management on organization 11
13References
Briscoe, D., Tarique, I., & Schuler, R. (2012). International human resource management:
Policies and practices for multinational enterprises. Routledge.
Donate, M. J., Peña, I., & Sanchez de Pablo, J. D. (2016). HRM practices for human and social
capital development: effects on innovation capabilities. The International Journal of
Human Resource Management, 27(9), 928-953.
Hassan, S. (2016). Impact of HRM Practices on Employee’s Performance. Int J Acad Res
Account, Finance Manag Sci, 6, 15-22.
Hill, C. (2008). International business: Competing in the global market place. Strategic
Direction, 24(9).
Kasemsap, K., (2017). Organizational learning: Advanced issues and trends. Knowledge
management initiatives and strategies in small and medium enterprises, pp.42-66.
Kavanagh, M.J., & Johnson, R.D. eds., (2017). Human resource information systems: Basics,
applications, and future directions. Sage Publications.
Khan, M. T. (2015). Human Resource Development (HRD) Concept from Narrow Organization
(HRM) Based on Wide Socioeconomic Perspective.
Olson, E. M., Slater, S. F., Hult, G. T. M., & Olson, K. M. (2018). The application of human
resource management policies within the marketing organization: The impact on business
and marketing strategy implementation. Industrial Marketing Management.
Sani, A., & Maharani, V. (2015). Relationship between Human Resource Management (HRM)
Practices and Organizational Performance Moderated by Organizational
Commitment. Australian Journal of Basic and Applied Sciences, 9(7), 185-188.
Scullion, H. & Collings, D., (2011). Global talent management. Routledge.
Ulrich, D., Brockbank, W., Yeung, A. K., & Lake, D. G. (2015). Human resource competencies:
An empirical assessment. Human resource management, 34(4), 473-495.
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Impact of Human resources management on organization 12
Vanhala, M., & Ritala, P. (2016). HRM practices, impersonal trust, and organizational
innovativeness. Journal of Managerial Psychology, 31(1), 95-109.
Veenendaal, A., & Bondarouk, T. (2015). Perceptions of HRM and their effect on dimensions of
innovative work behavior: Evidence from a manufacturing firm. Management revue, 138-
160.
Veloso, A., Tzafrir, S., & Enosh, G. (2015). How employees perceive HRM practices:
Differences between public and private organizations. Human resource management
challenges and changes, 19-36.
Vermeeren, B., Kuipers, B., & Steijn, B. (2014). Does leadership style make a difference?
Linking HRM, job satisfaction, and organizational performance. Review of Public
Personnel Administration, 34(2), 174-195.
Zhang, J. A., Edgar, F., Geare, A., & O'Kane, C. (2016). The interactive effects of
entrepreneurial orientation and capability-based HRM on firm performance: The
mediating role of innovation ambidexterity. Industrial Marketing Management, 59, 131-
143.
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