HR management assignment essay on:
Get Full Essay Get access to this section to get all help you need with your essay and educational issues. Get Access A strategic approach to human resource management HRM Essay Sample It is widely acknowledged and accepted in business that the sources of sustained competitive advantage lie not only in access to finance or capital, but within the organisation, in people and processes capable of delivering business strategies such as customer satisfaction or rapid innovation.
Various influential writers have expressed differing opinions on the importance of employees as a direct influence on an organisations competitive advantage. Although no firm agreement has been reached, it is generally accepted that the use of strategic human resource management SHRMi.
Three main theories have been focused on by the top writers on the subject. These are the universalistic, resource-based and configurational perspectives of HRM. That is, they believe some HR practices are always better than others and that firms adopting these practices will experience an improved performance.
Good internal career opportunities Formal training systems Results and behavior based appraisals Profit sharing plans Strong employment security Voice mechanisms, e. Leonard found that firms with long-term incentive plans in place for their executives had greater increases in return on equity over a four-year period than other organisations.
There are however a number of critics of the universalistic theory. It is apparent that the universalistic approach is not suitable to all types of business.
It has even been suggested by some prolific thinkers, that only profit sharing, result-orientated appraisals and employee security could have any strong relationship with important measures of performance. Thus, in order to be effective, an organisations HR policies must be consistent with other aspects of the company.
An organisations strategy thus demands certain skills and behavioral requirements for success, and the use of HR practices can control employee behavior to be consistent with this strategy.
Miles and Snow developed a series of equally effective combinations of HR practices and they argued that different sets of practices are suited for different firm strategies. MacDuffie derived specific configurations of HR practices that enhanced firm performance in a series of case studies.
The configurational perspective is still a very speculative framework without much factual support. Additional theory development and testing is necessary to validate the model.
All of these theories have been criticized. In particular, despite numerous studies of the universalistic model, the evidence in support of the theory remains inconclusive. The resource-based view of the firm provides an alternative approach to the question of human resource management and organisational performance.
Thus, in contrast to the universalistic models of HRM and competitive advantage, the emphasis is shifted from the practices that the firm adopts to the people it employs.
The resource-based view also differs from the universalistic approach to HRM in that it is company focused, rather than environment focused. Neither does it rely on the purely reactive notions of the configurational model.
Lawler, ; Barney ; Snell et al Together they suggest that greater emphasis should be placed on the development of human capital. This is essentially because the more management believe that HRM contributes towards success as a company, the more its role will be recognized as important, and the more it will be integrated into the companies strategic long-term planning.
In our current turbulent environment, two of the most critical factors for effective organisations are quality and service.
To be successful, firms must be flexible enough to shift production and resources to meet changing markets and customer demand. They must therefore have employees that possess the skill and training to perform a variety of different tasks.
Historically, a lack of employee flexibility has been the cause of the downfall of a number of massive organisations. A good example of the ill effects that unprepared and poorly controlled employees can have is the demise of Ford UK. Ford has struggled for years to educate their employees into a flexible mold, in an attempt to stem the tide of advancement from foreign firms.
The poor quality of HRM at Ford prevented management from adapting to match the cost effectiveness and quality of certain Japanese and German car firms.
Thus, offering skilled employees high level of involvement, autonomy, training, good wages and benefits can be seen as a way to attract, motivate, and keep qualified employees who will be committed to the long-term goals of the company. It is often argued that the effects of a flexible, competent and committed workforce results in a highly productive organisation, which in turn gives the employees job security and a decent standard of living.
Thus, the relationship between HRM strategy and company performance is heavily linked with labour market flexibility. It is essential for a company to have staff that are flexible in every different way, if they are going to respond competitively to the market.
Begin identified four different types of flexibility required. External numerical flexibility — the freedom to adjust the size of the work force.
Internal numerical flexibility — the ability to adjust the working hours of the employees.Human resource planning. Performance Appraisal Methods. Performance appraisal methods include: Goal setting, or management by objectives (MBO) Work standards approach.
Essay appraisal. Critical incident appraisal. Graphic rating scale. Checklist. Behaviorally anchored rating scale (BARS) Ranking methods. 1. Goal setting or management by objectives. Thus in this way this motivational approach of human resource management has been applied in an appropriate manner (Analoui, Doloriert and Sambrook, ).
Leadership theory: It is actually influenced by the managerial grid proposed by Blake and Mouton. Storey () defines that human resource management is an individual approach to employment management which seeks to achieve competitive advantage through the strategic deployment of a highly committed and capable workforce, using an integrated array of cultural, structural and personnel techniques.
Summary: Strategic human resource management is an approach that refers how the aims of the organization will be acquired through people by means of human resource strategies and combined human resource practices and policies. In my view, the human relation approach is superior to the classical approach in the management of organisations.
Before we can declare that the human relation approach is superior to the classic approach in the management of organisations, we must first explore the main features of the two approaches. Strategic human resource management, in contrast, thanks to its activity of alignment with the overall strategy and the human resource practices it is.
In fact, SHRM is concerned with all those activities affecting the behavior of individuals in their effort to formulate and .