Human Resource Management Report: Addressing Business Challenges

This report, prepared for Murdoch Business Solutions, addresses key challenges in Human Resource Management (HRM) facing contemporary businesses. It begins with an introduction to the dynamic business environment and the crucial role of HRM in organizational success. The report defines essential HRM terms, covering strategic management, workforce planning, training and development, compensation, workplace policy, and employment relations. It then delves into critical issues, including future uncertainty, financial management, performance monitoring, compliance, talent acquisition, technology, data management, customer service, and reputation management. The report emphasizes the importance of embracing change. Finally, it offers strategic recommendations for senior management, including strategies for improving workplace diversity (addressing ethnic, cultural, language, and communication differences) and leveraging social media for recruitment. The report is supported by relevant academic references, providing a solid foundation for future consulting work.

Running Head: HUMAN RESOURCE MANAGEMENT
Human Resource Management
Student’s Name
University Name
Author’s Note

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Table of Contents
1. Introduction..................................................................................................................................3
2. Definition of Key terms...............................................................................................................3
2.1 Strategic Management............................................................................................................3
2.2 Workforce planning as well as employment..........................................................................3
2.3 Training and development.....................................................................................................3
2.4 Total Rewards in terms of compensations.............................................................................4
2.5 development of workplace policy..........................................................................................4
2.6 Employment and Labor Relations..........................................................................................5
3. Issues............................................................................................................................................5
Uncertainty regarding the future..................................................................................................5
Financial management.................................................................................................................6
Monitoring performance..............................................................................................................6
Regulation and compliance..........................................................................................................7
Competencies as well as recruitment of properly talented people...............................................7
Technology...................................................................................................................................8
Explosion of data.........................................................................................................................8
Customer servicing......................................................................................................................8
Maintaining of reputation.............................................................................................................9

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Determination of the scope of embracing change........................................................................9
4. Recommendation.........................................................................................................................9
Reference List................................................................................................................................12

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1. Introduction
We live in a dynamic business environment. Considering that, the business organizations
within a single generation have to adapt with completely new business regulations and pertain to
completely new marketing channels. They have to think over again and again how to invest as
well as utilize the new technologies as well as compete with the global competitors.
One of the major adverse impacts of this business situation is that no individual CEO or
employee is able to show expertise in all aspects of their job roles. In this context, the most
prominent problems that the companies face is in context to their human resource management.
Again, in order to mitigate this problem, the most feasible business strategy will be the
employment of qualified consultants.
2. Definition of Key terms
2.1 Strategic Management
HR professionals are actively participating planning for the future of the companies. In
order to do that they are setting short term as well as long term objectives for the concerned
organizations (Viitala, Kultalahti & Kangas, 2017).
2.2 Workforce planning as well as employment
The processes of workforce planning include recruitment, orientation as well as exit
processes. The departmental managers of HRM collaborate with the human capital in order to fix
staffing needs for the organization for the fulfillment of the vacancies in a routine manner
(Budhwar, Varma & Patel, 2016).
2.3 Training and development

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The human resource manager is liable for ensuring that proper training is provided to the
Employees so that they can deliver significantly towards their job roles. The employees are also
supposed to be empowered through suitable development program in order to help them to
achieve the desired departmental goals in the company. In this context, Stavrou-Costea and
Papalexandris (2016) feels that it is the HR managers who bear the responsibility of determining
the individual as well as the group training needs. Nevertheless, the HR manager also have the
duty of planning how to incentivize the Employees so that they are encouraged to undergo the
training programs diligently and implement the skills thereby required for serving the company
in a better way.
2.4 Total Rewards in terms of compensations
The responsibility of the HRM is to acquire as well as administrator the implementation
of attractive compensation as well as benefit packages for the new joiners. This can incorporate
competitive revenue, medical insurance, tuition reimbursement and other industry specific
facilities. For evidence, people serving a company in the Healthcare industry can be
compensated which free or partially free Health Care packages for his or her family members. In
this context, the human resource information system is to be appropriately implemented so that
the HR managers can keep record of the employee data (Montague, Larkin & Burgess, 2016).
The role of compensation analysts as well as payroll specialist are very crucial in this context to
oversee the administration of salary of new joiners, deliverance of employee benefits properly,
distribution of facilities light vacation days and maintained the progress file of each employee,
diligently.
2.5 development of workplace policy

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Human Resource Department has the responsibility of keeping the new joiners as well as
the current employee well aware of the company policies as the new policy changes. This can be
achieved by means of providing employees guidelines about performance appraisals, distributing
employee handbooks as well as sending manual for code of conduct to individual employees
through email (Chiang, Lemański & Birtch, 2017).
2.6 Employment and Labor Relations
The HR department of most organizations has a different team for employee relations
whose main responsibility is to align the needs and rights of the employees with the
organizational objectives. This implies that the major department should ensure if the
organization has the responsibility encouraging the employees to deliver their best performance
towards meeting the organizational goals; it is also the responsibility of the organization to
provide the best organizational environment and culture so that the employees are motivated to
work there. In a similar way, Dickmann, Brewster and Sparrow (2016), feels that the employees
of the organization must also comply with the fair working law and ensure that every individual
employee is receiving fair treatment in the organization.
3. Issues
Uncertainty regarding the future
One of the primary responsibilities of the agency is to provide job security as well as generate
value towards the employees in terms of maintaining brand equity in the market. This makes
employees feel self esteem being a part of such an organisation. However, the organisation is not
always able to predict the customer Trends for the market situation which is very dynamic in
context to the changing economic climate. Besides, it is evident that not all the CEO of the small

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and emerging companies of the modern day has accurate predictive powers like Warren Buffett.
Most of the organisations have specialist consultants to study the market trends. However
rigorous competition makes it very hard to determine the market scope and competitive
advantage (Masood, 2016). Naturally, the employees of the organisation also perceive that the
company in which they are working is not able to compete in equal standard with the other
organisations of the industry. As an outcome, they feel that they should join other companies in
order to achieved bigger success in their career.
Financial management
There are miniature managers, who are great manipulators. This implies that they have
innovative ideas regarding people management and in the big picture they are able to employ
disruptive thinking in order to get the best out of the workforce. However, there is competent
with maintenance of cash flow, cost reduction, profit margin management and evaluation,
financing and so on. However, this is the case, especially with the small and emerging companies
in the modern dynamic business world (Ramasamy, 2017).
Monitoring performance
In most of the organisations, there are computerized methodologies for performance monitoring.
On one hand is an advantage and on the other diseases disadvantage for the organisation also.
Other than manual performance assessment program, it is impossible to understand the
motivation that has given a particular employee towards enviable organisational performance
and demotivated the other who is lagging behind in terms of meeting the organisational goals. In
most of the organisations, including many of the big translational companies, a General set of
KPIs are delivered to the organisations by means of which they can at the best award the key

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pitfalls (Tempest & Coupland, 2017). However, lack of communication regarding analysis of the
reason behind good for poor performance of the employees is a major hindrance up front of them
in the context of decision making. Again, in this context Jenkins (2018), refers to the fact that the
organizations on most instances give high value to most simple financial indicators and analyze
employee performance on the basis of the same.
Regulation and compliance
Organisational managers should remember that with the shift in market as well as Technology,
the rules as well as regulations of the operations of the organisation should also undergo
alterations. Many of the organizations lack specialist managers in terms of determining the
workplace regulations so that employees are motivated to give their best. In this context, the
Herzberg theory of employee motivation can be highlighted. This theory holds that the
employees are not naturally motivated to meet the organisational objectives so that the
shareholders can generate maximum value (Jenkins, 2018). On the contrary they need to have a
personal motivation, on most instances, in order to deliver outstanding performance in an
organisation. These are the specific Complex issues that the HR managers of modern
organisations are not able to manage.
Competencies as well as recruitment of properly talented people
The domestic companies might not require full time recruitment staff. The human resource
officers can satisfy the employment needs of the organisation. However, lack of competency in
terms of requirement for fulfilling vacancies has been observed in companies which employee
Global workforce. The most common challenge in this context is the lack of experienced scouts
who can employee accurate staff for the organization (Imperatori, 2017).

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Technology
In the modern business world, technology is changing in high speed, keeping the business forms
vulnerable in the face of vital innovative change requirements. However many of the
experienced HR managers have started their career when such innovative Technologies like ERP
software or employee data tracking software did not even exist. That is why; they face serial
hurdles in the context of working with the software. Naturally they are unable to provide
qualitative output to the organisation.
Explosion of data
Most of the Global companies have more than 30% of the members of higher management who
are aged over 40. Survey conducted by Riccucci (2017), reveals that search managerial members
face great difficulties in managing organisational data in the digital format. However, with the
progress of Technology, the threat of data hacking cannot be ignored also. In this context, lack of
qualified people is a major issue in context of data management in the organisation.
Customer servicing
In many organisations, the human resource management is also responsible for customer
servicing. As observed by Dickmann, Brewster and Sparrow (2016), this is a world of instant
gratification customers of most Industries demand prompt as well as instance service. They do
not take time to approach the internet in order to share their discontent if the service received by
them from the company is not satisfactory or quick. Most of the HR departments of modern
organisations are concerned with finding out the ways for development of intrinsic performance
of the different departments. They often forget to align the customer service demands with the
training and development goals of the organisation. The main challenge in this context is that

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since the customer demands are also dynamic and ever changing, they are often not able to
develop a concrete training and development policy that suits the ever changing consumer
service demands.
Maintaining of reputation
It has already been highlighted that it is the responsibility of the HR managers of the organisation
to satisfy the personal goals of the employees also. One important goal among them is to boost
their self esteem as a proud employee of the organisation they are working for. In this context, it
deserves mentioned that because of the high neck market competition, Many successful
companies also lose out in terms of business valuation to other organisations. Hence, any of the
dissatisfied employees can leave the organisation and leave back negative reviews on
employment websites for company review websites. Masood (2016), suggests that there should
be a specific online traffic control team in the major department which should be responsible for
maintaining the online reputation of the organisation by either deleting or spam reporting any e
negative posts made by ex employees against the organisation.
Determination of the scope of embracing change
Most of the organisations have Consultants which advise the so that is required by the employees
of the organisation regarding the kind of change needed for the development of the employees.
In this context, lack of communication is one major problem between the workforce and HRM
team as an account of which the development needs of the organisation are not properly convert
to the higher management.
4. Recommendation

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Profit margin maximization as well as minimization of production cost is the basis of every
Organization. In this context, the organizations need the best outcome from the employees in
terms of deliverance of the organizational objectives. This is only possible when the employees
are happy and motivated. Again employee motivation comes from a satisfactory workplace
environment. In the contemporary business organizations, the HR departments have to maintain
lot of responsibilities and that is why it is not possible for them to keep track of the individual
personal needs of every employee and ensure that they are met by the organization. This is why,
there should be a prominent channel of communication like a a digital chat portal where
employees can directly communicate with any of the members of the hierarchy or leave group
messages for all concerned departmental members to see them. This will help in fostering
interaction among the employees which will develop a strong culture of bonding as well as make
the higher management ever of the issues that the employees have been facing in the
organization also.
Employment of a diverse workforce
Since most of the translational organizations are having a global workforce, nowadays the
employers should be more careful about recruiting International candidates. Along with gender,
educational background as well as practical qualification, the nature of social interaction,
personality as well as the ethnic background of the candidates also needs to be checked. This will
help to ensure that these candidates will be able to work in harmony with the concerned
department where they are recruited.
Avoiding negligence and ensuring succinct work goals achievement

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In terms of maintaining competence with the other organizations or maintenance of professional
standard in terms of compliance of regulations, the HRM department of any organization needs
to address the key internal issues inside the organization that might hamper productivity. The
most feasible reason behind that is the lack of discipline. Many organizations employ casual and
part time employees to buffer the peak time. Search employees might neglect their duty which
can directly impact the customer service. Just been observed that almost 50% of temporary
workforce in most of the organizations are found to show negligence towards their job roles,
procrastinate their tasks and even mislead on miss behave with the co-workers. In this context,
monitoring of day to day performance with installation of closed circuit television, going on
daily round around the officers and other similar strategies should be maintained by the HR
department officers so that the employees understand the importance of conduct in the
workplaces. Lastly, it should be emphasized that if any employee is found to deliberately neglect
their duty or procrastinate their task they should be penalized in an exemplary way so that the
others are not influenced by their actions in anyway.

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Reference List
Budhwar, P. S., Varma, A., & Patel, C. (2016). Convergence-divergence of HRM in the Asia-
Pacific: Context-specific analysis and future research agenda. Human Resource
Management Review, 26(4), 311-326.
Chiang, F. F., Lemański, M. K., & Birtch, T. A. (2017). The transfer and diffusion of HRM
practices within MNCs: lessons learned and future research directions. The International
Journal of Human Resource Management, 28(1), 234-258.
Dickmann, M., Brewster, C., & Sparrow, P. (Eds.). (2016). International human resource
management: contemporary HR issues in Europe. Routledge.
Imperatori, B. (2017). Conclusions and Future Prospects: The Role of HRM Professionals,
Managers and Employees in Facing the Socio-economic Crisis. In Engagement and
Disengagement at Work (pp. 91-98). Springer, Cham.
Jenkins, A. (2018). Ageism and age discrimination in hospitality employment: issues, challenges
and remedies. In Handbook of Human Resource Management in the Tourism and
Hospitality Industries. Edward Elgar Publishing.
Masood, R. Z. (2016). HUMAN RESOURCE MANAGEMENT IN INDIAN SCENARIO:
ISSUES & CHALLENGES. Responsible Tourism & Human Accountability for
Sustainable Business, 157.
Montague, A., Larkin, R., & Burgess, J. (2016). Where was HRM? The crisis of public
confidence in Australia’s banks. In Asia Pacific Human Resource Management and
Organisational Effectiveness (pp. 67-86). Chandos Publishing.

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Ramasamy, A. (2017). A study on implications of implementing green HRM in the corporate
bodies with special reference to developing nations.
Riccucci, N. M. (Ed.). (2017). Public personnel management: Current concerns, future
challenges. Routledge.
Stavrou-Costea, E., & Papalexandris, N. (2016). Mediterranean HRM: Key trends and
challenges. Routledge.
Tempest, S., & Coupland, C. (2017). Lost in time and space: Temporal and spatial challenges
facing older workers in a global economy from a career capital perspective. The
International Journal of Human Resource Management, 28(15), 2159-2183.
Viitala, R., Kultalahti, S., & Kangas, H. (2017). Does strategic leadership development feature in
managers’ responses to future HRM challenges?. Leadership & Organization
Development Journal, 38(4), 576-587.