The Essential Role of HRM: Staffing for Success in a Global Market

Verified

Added on  2023/04/26

|8
|3037
|161
Essay
AI Summary
This essay explores the critical role of Human Resource Management (HRM) and strategic staffing in enabling organizations to compete effectively in the globalized marketplace. It highlights the impact of globalization, technological changes, and evolving workforce demographics on HRM practices. The essay emphasizes the importance of aligning business strategy with HRM, building international corporate culture, developing leaders, and managing change. It further discusses key HRM functions such as recruitment, training and development, performance management, and compensation, all of which contribute to retaining a competitive advantage. The essay concludes that a well-developed HRM function and specialist staffing are essential for organizational success in the current dynamic business environment, enabling companies to attract, retain, and motivate employees while adapting to internal and external changes.
Document Page
HUMAN RESOURCE
MANAGEMENT
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
The human resource management is the function within a company which focuses on
management of, recruitment of and giving direction for the people who work in the company.
Employees are considered as an important resource, because without their effective support,
goals and objectives cannot be attained by company. Therefore, HRM is initial concerned with
staff dimension in organization management. As the business institution is a body of human
entity, so their training, recruitment, motivation for accomplishment of goals, abilities and skills
development along with their effective management, for the reason to make them well
committed with the work are very important in an organization. Such activities are included in
the range of HRM activities (Global Human Resources Management and Organizational
Development, 2013). Thus, it can be referred to as the function that comprises four main
activities namely development, recruitment, motivation and maintenance of human resources. In
another term, it can also be defined as management division that is basically concerned with
relationship of organization with its manpower, among employees as well as with whole group
and also with individual employees. The below essay is inculcating about requirement of
developed human resource management function together with adequate quality of staffing to
compete in globalized market (SEQUERTH, 2008).
Organizations are being affected by range of trends, such as technology changes,
globalization, modifications in manpower demographics and the pressure to show that their
employees are contributing effective value in business. Globalization puts forth lot of challenges
to the human resource management. It involve alignment of business strategy with HRM, ways
to expand worldwide corporate strategy, building an international corporate culture, developing
best leaders and creating or leading change (Armstrong, 2012). Moreover, companies also
required to compete on global level for talent. Technological changes have created an impact on
the conventional HRM practices management. For example, the usage of online recruiting and e-
learning has enhanced exorbitantly. Shifts in trends of employee’s demography are major
characteristics of existing globalized marketplace too. Issues are faced by HR managers in
recruiting, sustaining as well as in involving employees in business activities. Therefore, a very
critical process in business nowadays is talent management (Beardwell and Claydon, 2010).
Thus, with respect to all such events it becomes essential for organizations to maintain a
highly functioning HRM discipline along with well trained and developed employees. One of the
main reasons behind companies paying considerable attention to their workforce is the firm’s
1
Document Page
nature in present atmosphere. Given that there has been a rapid move towards an economy
dependent on services, it has become very important for organizations to involve in their area to
maintain the productivity and motivation of their employees (Bratton and Gold, 2012).
Moreover, in other sectors, such as other conventional and manufacturing industries, the
obligation to stay competitive implies that organizations required adopting strategies that
optimally utilize the talent of their human resources. This changed landscape of business has
surfaced, because of paradigm shift in way employers and companies see their manpower.
Instead of considering them merely as resources, managers are now adopting such tactics or
policies in which greater value is provided to people (Dowling, Festing and Engle, 2007).
The HRM importance has increased in manifolds due to changing environment of
business. The HRM practices are now being seen through a prism of complete strategic goals of
organization, rather than a separate shade that presumes a micro approach. The companies are
now promoting a holistic outlook towards HRM that ensures that there are no more any
piecemeal approaches and tactics entangle themselves completely with the goals of business. For
instance, if requirement of training for workforce are addressed simply by utilizing obligatory
training on mechanical areas, the firm loses both direction and time spent on training. Thus, an
organization that takes its policies seriously with regards to human resource management will
ensure that training is given on focused and topical methods (Laroche and Rutherford, 2007).
There are several changes occurred in the present environment of business. Further,
issues that the companies HRM are facing will likely to change in near future. Thus, if
corporations desire to remain vigorous then they required to develop their functions of HRM
accordingly. Varied functions of HR, such as selection, recruitment, performance management,
training and development, benefits and compensation, etc. all required to be incorporated nicely
with an aim to enabling the business to retain its competitive advantage (Laroche and
Rutherford, 2007). However, several organizations have failed in identifying the range of
benefits that prevail over the costs associated with having untrained and underdeveloped human
resource. The importance of effective hiring plus retaining manpower is quickly catching
velocity amongst HR managers. The key function of all in this period is having an adequate
system of training plus development in workplace. For that reason, it is very essential for
organizations to coach as well as develop their employees to remain at the forefront of rivals
(Marchington and Wilkinson, 2008).
2
Document Page
The activities of training and development influence the organizational behavior in
today’s globalized business environment in two facets. The first characteristic is that training
plus development enables employees to perform their task effectively. As the abilities and
competencies of employee’s increases, it also leads to improvement in performance of the
company (Pilbeam and Corbridge, 2006). Thus, it can be assumed that there is positive or direct
connection among training and development of manpower plus organizational success.
Moreover, employees who are trained and developed are highly self motivated. One more way in
which T&D can impact behavior of organization is that it boosts ability of staff members to
make valuable decisions. Further, it builds their competencies to take higher responsibilities and
create their willingness to attain goals of business (Torrington and et.al., 2009).
Apart from training and development, another important function of HRM is in relation
to recruitment of people. In the marketplace there is literally the war of talent within different
firms. Organizations are positioning employer branding strategies for attracting as well as
retaining workforce. Furthermore, companies are becoming very conscious to retain their
manpower, as both money and time are invested in the process of their recruitment. Earlier the
trend was that people used to go to big firms for their jobs, but nowadays companies required
searching in the market for talented person (Bae and Lawler, 2000). Besides this there has been a
paradigm shift in employer-employee relationship. Though, hiring new individuals is an
expensive exercise for the business venture, but it is essential as well-trained staff add in
providing competitive advantage to company. At times right person for right job is selected by
HR manager and treated adequately; the employees will not only give good results but also stay
for long time with the organization. A company may have finest physical resources and latest
technologies at place; however, if it not has proper staffing system then will required to put
additional attempts to get desired outcomes (Bhagat and et.al., 2002).
With the dynamic scenario of business, several new disciplines in human resource
management field have emerged. It is basically due to rising demands of changing environment.
This new HRM approach aims at attaining maximum satisfaction of employees and thus making
them strive in the direction of company’s success. The key objective is to develop the work
culture and motivate the workers properly. It involves many practices, such as reward
management, performance management as well as talent management. At present scenario
almost every business implements innovative equipment, machine and technology (Boselie and
3
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Paauwe, 2005). Employees are life blood of business and no matter how mechanized and
automated systems are deployed at workplace, but manpower is pre-requisite for operating those
machines and doing intellectual work. Thus, having a specialist mechanism of staffing is
imperative for business. It calls for specialism on parts of HR managers. The significant role is
played by human resource management in undertaking organizational work in a smooth manner.
They manage supply and demand of company and hence required numerous individuals
available at right places (Collins and Clark, 2003). The HRM also makes continuous attempts to
retain valuable staff in business. It helps organizations in developing strong relations with the
entire team of employees by dividing different tasks into clear defined roles or responsibilities.
In addition to this, by providing varied growth and development chances, the HRM department
also promotes a value driven culture at workplace. HRM also ensures that the human resource in
organization is used at an optimum level and the best is drawn out of them for attaining
competitive edge. Moreover, the highly developed system and practices of human resource
management leads to low attrition rate and absenteeism of employees in an organization (Crouse,
Doyle and Young, 2011).
Motivation is another important function of HR that supports in retaining the employees
by increasing their loyalty with business. A range of motivational activities are in practice from
long period. By having developed function of HRM at place, the organization aims to transform
its traditional practices of motivation into successful measures for retaining the employees. In
today’s multinational organizations diverse workforce is employed which demands different
things from their management. Further, there is a need to give an adequate direction to the efforts
and activities of all staff members. In this respect, effective management of human resource is of
great importance (Huemann, Keegan and Turner, 2007). It is also assumed that people having
distinct, behaviors, cultures and needs are more capable to work in a team and give their best
potential for the success plus growth of business. Furthermore, HR department provides
necessary guidelines that are supportable in making important decisions and strategies for
business. With this regards, this can be clearly stated that besides managing the disparate
manpower in an organization, HRM also guides in decision making as well as problem solving
procedures. On the other hand, the activities of HRM by more or less are affected by internal and
external environmental changes. Internal factors that affects the system are changes in senior
4
Document Page
level management polices and strategies. External factors involve legal, political, social,
technological and social changes in outer environment of business (Khatri, 2000).
There has been a drastic change in company’s human resource behavior, in comparison to
previous generation. At present the dynamic atmosphere including external and internal factors
of company influence the employee’s behavior at workplace. The demand of people has changed
in relation to professional environment, standard payrolls and several additional needs or
preferences that in turn have altered the HR professional’s duties and activities (Kiessling and
Harvey, 2005). Because of the dynamic desires of personnel, the organization required to focus
more on employee’s development by cutting unnecessary costs, which also helps in improving
the human resource performance. In comparison to previous scenario that was relatively longer,
present days tenure is restricted, as the upcoming period is uncertain, which is forcing companies
to enhance their standards of employment. The company is concentrating on retaining employees
for long with the business by implementing several tactics (Lengnick-Hall and Moritz, 2003).
As per the dynamic market requirements, there is few sophisticated modification in
human resource management practices. The changes have been seen more in terms of policies, as
the rapid growing human resource in the market has adopted new trends by leaving the
traditional practices. Moreover, human resource management norms have been updated. In this
context, several strategies have been implemented by companies to improve their structure of
HRM. The inflection in latest global aspects of business has forced the firms to adopt with
innovative course of practices and actions for development of employees. The HR professionals
are putting their best in company, so that management can change their strategies and polices
according to changing environment (Richard and Johnson, 2001).
Hence, after reading the above essay it can be conclude that role of developed HRM
together with specialist staffing is very essential in helping an organization survive in globalized
place of market. It is increasingly attaining much significance in businesses just like other
functions of finance, production and marketing. The HRM function of recruitment, selection,
motivation, training and development holds essential place in companies in present scenario.
Thus, every organization should make sure that they have a developed function of human
resource management at places, which can facilitate employing skilled person. This will enable
the firm to gain competitive edge in long run (Soliman and Spooner, 2000).
5
Document Page
REFERENCES
Online
Global Human Resources Management and Organizational Development. 2013. [Online].
Available through: <http://www.itapintl.com/whatwedo/globalhrmod.html>. [Accessed
on 11 April 2013].
SEQUERTH, M., 2008. Global Human Resource Management. [Online]. Available through:
<http://www.aiu.edu/publications/student/english/Global%20Human%20Resource
%20Management.html>. [Accessed on 11 April 2013].
Books
Armstrong, M., 2012. Armstrong’s Handbook of Human Resource Management Practice. 12th
ed.
Beardwell, J. and Claydon, T., 2010. Human Resource Management: A Contemporary
Approach. Financial Times: Prentice Hall
Bratton, J. and Gold, J., 2012. Human Resource Management Theory and Practice. 5th ed.
Palgrave.
Dowling, P., Festing, M. and Engle, A. D., 2007. International human resource management:
managing people in a multi-national context. 5th ed. London: Thomson Learning.
Laroche, L. and Rutherford, D., 2007. Recruiting, retaining and promoting culturally different
employees. Oxford: Butterworth Heinemann.
Marchington, M. and Wilkinson, A., 2008. Human Resource Management at Work. Wiltshire:
CIPD
Pilbeam, S. and Corbridge, M., 2006. People resourcing: contemporary HRM in practice. 3rd ed.
Harlow: Financial Times / Prentice Hall.
Torrington, D. and et.al., 2009. Fundamentals of Human Resource Management: Managing
People at Work. London: Prentice Hall.
Journals
Bae, J. and Lawler, J. J., 2000. Organizational and HRM Strategies in Korea: Impact on Firm
Performance in an Emerging Economy. Academy of Management Journal. 43 (3).
pp.502-517.
Bhagat, S. R. and et.al., 2002. Knowledge management in global organizations: Implications for
international human resource management. ISSN. (21). pp. 243 – 274.
Boselie, P. and Paauwe, J., 2005. Human resource function competencies in European
companies. Personnel Review. 34 (5). pp.550 – 566.
6
tabler-icon-diamond-filled.svg

Paraphrase This Document

Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
Document Page
Collins, C. J. and Clark, K. D., 2003. Strategic Human Resource Practices, Top Management
Team Social Networks, and Firm Performance: The Role of Human Resource Practices
in Creating Organizational Competitive Advantage. Academy of Management Journal. 46
(6). pp.740-751.
Crouse, P., Doyle, W. and Young, J., 2011. Trends, roles, and competencies in human resource
management practice: A perspective from practitioners in Halifax, Canada. ASBBS
Annual Conference. 18 (1).
Huemann, M., Keegan, A. and Turner, R. J., 2007. Human resource management in the project-
oriented company: A review. International Journal of Project Management. 25 (3).
pp.315-323.
Khatri, N., 2000. Managing human resource for competitive advantage: a study of companies in
Singapore. The International Journal of Human Resource Management. 11 (2). pp.336-
365.
Kiessling, T. and Harvey, M., 2005. Strategic global human resource management research in
the twenty-first century: an endorsement of the mixed-method research methodology. Int.
J. of Human Resource Management. 16 (1). pp.22-45.
Lengnick-Hall, M. L. and Moritz, S., 2003. The impact of e-HR on the human resource
management function. Journal of Labor Research. 24 (3). pp.365-379.
Richard, O. C. and Johnson, N. B., 2001. Strategic human resource management effectiveness
and firm performance. The International Journal of Human Resource Management. 12
(2). pp.299-310.
Soliman, F. and Spooner, K., 2000. Strategies for implementing knowledge management: role of
human resources management. Journal of Knowledge Management. 4 (4). pp.337 – 345.
7
chevron_up_icon
1 out of 8
circle_padding
hide_on_mobile
zoom_out_icon
[object Object]