Human Resource Management is the function within a business or organisation that focuses on the recruitment, management and development of employees, designed to meet the employer’s strategic objectives.
Human Resource Management allows you to utilise your workforce to its true potential fully.
Human Resource Management includes, but is not limited to:
- Recruiting the right people for the job;
- Benefits and incentives;
- Evaluating performance;
- Resolving disputes.
The role of the Human Resource Management is to provide all the relevant tools and necessary training that the organisation needs to function successfully.
It is designed to provide leadership and advice for dealing with all issued relating to the people in an organisation.
Moving away from the traditional personnel and administrative roles, Human Resource Management is designed to increase the value of an organisation by the full and proper utilisation of staff, and so aligning more closely with business needs.
Human Resource Management differs from other methods as it involves a strategic and well thought out approach to the management of people.
Human Resource Management – The Hard Or Soft Approach?
Human Resource Management can be divided into two distinct approaches, the ‘hard’ and ‘soft’ models.
The soft model concerns the management of resourceful humans, treating employees as valued assets of the Company, based on their skills and abilities.
The hard model, on the other hand, emphasises the link between business and HR strategies.
HR is seen as the same as any other resource to be used as efficiently as possible by management.
The needs of your business will determine whether it is best for you to take the hard or soft approach.
For some, it may be best to take an approach somewhere in-between the two.
Human Resource Management And Organisational Performance
There is a clear link between Human Resource Management and organisational performance.
Good Human Resource Management starts by recruiting the best employees for the jobs required, who are then subsequently trained and developed fully, with appraisals and rewards where necessary.
These employees are therefore more likely to feel valued and respected.
Consequently, they will put in more work and ‘go the extra mile’, turning your business into a high performing organisation financially.
So, it is evident that correct people management is critical for business performance and can potentially have a more significant impact on productivity and profitability than either strategy or research and development.
The AMO model proposes that for employees to achieve high performance, they must have:
- the ability and knowledge and skills;
- be motivated to achieve;
- given the opportunity to engage in the discretionary behaviour.
When policies and practices are implemented and used correctly, they can help create higher levels of ability, motivation and opportunity, such as job security, training and development and communication and involvement.
Making The Most Of The Resources Available: Effectiveness
The research found that in many organisations that used a large variety of HR practices were not applying them effectively.
This highlights the importance of recruiting, training and developing good managers.
Human Resource Management puts more focus on the vital role played line managers, who become responsible for the engagement and productivity of the staff they manage.
This clearly shows that just having the policies and practices in place is not sufficient, how they are implemented is just as important.
The New Expectations Of HR
Human Resource Management is part of the evolving landscape of HR.
HR is now expected to work with the executives, recommending approaches and business solutions that improve the ability of employees to contribute.
Human Resource Management involves strategic direction, and its function should not be underestimated in an organisation.
Those who work in Human Resource Management now have a responsibility to keep their employer and the company safe from tribunal claims, while ensuring employee satisfaction.