Analyzing HRM Practices and Their Impact on Freestyle IT

This report examines the crucial role of Human Resource Management (HRM) within Freestyle IT, highlighting its significance in strengthening the workforce and driving organizational profitability. The analysis covers the various benefits of HRM practices for both employers and employees, including effective recruitment strategies, organizational flexibility, and the creation of effective teams. It also details different HRM methods employed, such as open book management, evaluation systems, feedback mechanisms, and reward programs. The report concludes by emphasizing the direct correlation between strong HR functions and overall organizational success, underscoring the need for robust HRM practices and adequate funding to support them. The report provides a comprehensive overview of the HRM function, its impact, and practical applications within the context of Freestyle IT.

Introduction
The HR function of an organization is known to be the backbone of it as the strengthening of
workforces are done by it. Recently, I have been appointed as an assistant human resource office
for Freestyle IT. The organization pays a good attention to its HR function and the function plays
a vital role in the profitability of the organization. The HR function both benefits the employers
and employees of the organization. In this report, the various purposes of the HR function, how
they strengthen the workforces and their usage of different methods to perform these practices
has been analyzed in the following report thoroughly.

4. Benefits of different HRM practices within an organization and their effectiveness in
perspective of the organizational profits.
The HRM is an important function of Freestyle IT as it works to manage the people of the
organization who have been a good asset for it. The HRM practice for the organization is both
beneficial for the employee as well as the employers.
Benefits for Employers
i. Employment: Recruiting high performers and good efficient employees are known as
the backbone for gaining more profits and productivity. The HRM practices help the
employers to hire good employees through various innovative ways. 2 strategies in these
regards are:
a) Good advertisings for the job openings
b) Internships
c) Interviews by panel-based
ii. Flexible Organization: The organizations which are being able to adapt its new changes
due to the variations created by its internal functions are flexible organizations. This type
of organization trains it employees in such a way so that they can adapt new
environments and changes easily for which the productivity of the employees increase
thus making Freestyle IT a flexible organization. There are 3 types of flexibility of an
organization which are:
a) Functional flexibility
b) Numerical flexibility
c) Structural flexibility
iii. Effective teams: Creating the best teams of an organization is an important role of the
HRM and these types of team help each employees to assess them individually; for which
they are trained and made into effective team members. The best effective teams of
Freestyle IT were made by the HRM practices.

Benefits for Employees
i. Rewards: The types of rewards which will get an employee are determined through their
performance and they are done by the HRM practices. There are two types of rewards
which are:
a) Extrinsic Rewards: The salaries that an employee will get, raisings in the
salaries, incentives, career advancements, promotions all are the extrinsic
rewards. The employees are benefited by these rewards and they are
allocated by the HRM practices.
b) Intrinsic Rewards: The rewards which are not physical rather the
employees get them emotionally or mentally are the intrinsic rewards.
Feelings of any accomplishment, praising’s and being part of a work team
are the intrinsic rewards which an employee can get by the HRM practices.
ii. Security: People generally work to earn the salary which they get after a certain period
of time. The HRM practices help any employee to be connected with the organization
through contracts that the both parties abide by and thus the employees have security over
their employment. These contracts are of two types which are:
a) Formal: The salaries and expenses which the employees will get after a certain
period of time and also funding`s that they will get in terms of any medical issues.
b) Informal: The extra rewards that any employee will get based on their
performance and extra working`s.
5. An overview of different methods used in HRM practices

The HRM practice of an organization is quite vast and it directly is connected to the profitability
of an organization.
Management Style
Every workplace needs to be enthusiastic for the employees so that they can share their opinions,
thoughts and have effective communications with each other for the best profitability. For
example Free Style IT uses the open book management style so that every employee can share
their opinions in each topic and have the best outcome.
Evaluation System
Assessing the performance of employees is a crucial part in determining their promotions and
raisings in salaries. For example, Freestyle IT has every functional head who monitors their
individual team members and asses their performance and they are being sent directly to the
CEO of the company.
Feedbacks
Feedbacks are an important part in having the most efficient result on a given topic or idea. For
example Freestyle IT holds a weekly seminar in where different ideas and topics are being
discussed amongst employees as open house discussions and feedbacks are given in these
regards to have the best efficient result.
Rewards
Rewards are given out to the employee to motivate them even more and have internal
competition in a good way to be the best. For example, extrinsic and intrinsic rewards are given

to the employees of the organization based on their monthly progress. Employee of the month is
also chosen in this company in every months.
Creating Effective Teams
The HRM team assess every employee individually and thus have the rankings of different
employees regarding their functions. These employees are made into various teams by assessing
their progress and working efficiency. For example the two elite teams of the advertising area of
Freestyle IT were created by the HRM practice.

Conclusion
Every organization has different internal functions to provide a stable working environment in
the organization and the HRM team is a crucial one. The HRM function helps any organization
by strengthening its workforce. Recruiting good employees, assessing them individually,
creating the best teams and making the suitable environment all are done by the HR function and
they are directly connected with the profitability of the organization. So, the HR functions are
needed to be strong and funded properly.