The Organization And Management

Published Date: 02 Nov 2017

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ABSTRACT

Emerging and Innovative companiesâ€™ donâ€™t stick only to computers or marketing strategies. They need HR strategies to boost up their business and to attain their goals. Vibrant and logical strategies have become an asset due to increasing effect of soft factor. It has been said that the most vital assets of any business walk out the door at the end of each day. Indeed, workforce and the administration of people are gradually seen as important components of competitive advantage (Boxall & Purcell, 2003; Pfeffer, 1998; Gratton, Hailey & Truss, 2000). Growing competition spur, rapid change in technology, globalization, businesses are finding a way to understand how one of the last truly competitive resources, their human resources, can be handled for competitive advantage.

The essay will focus on activities handled by the human resource department such asÂ hiring practices, training and development, performance appraisal, payment practices and managerial perceptions and preferences in the organisation. Further,Â the discussion will also take into account the challenges and limitations faced by the organizational managers in an organisation to implement comprehensive human resource management practices.

The essay takes into account various factors which contribute towards the success on an organization and discuss various models and approaches to human resource management. It will evaluate the relationship between HRM and organizational performance and factors which an HR director should consider to restructure a failing organization which includes proper hiring, training, employee motivation and performance appraisal.

Table of Conte

INTRODUCTION:

Human resource approach and practice is a management function aimed at maximizing return on investment in human capital. The main purpose of HR department is to ensure that there is an increased pool of human knowledge, skills and abilities in the organisation.

HR function plays an important role in an organization progress and growth. In today's frequently changing and highly competitive environment, organization's ultimate success or failure is also affected by it as success now also depended on how the organizations discover and manage their human resources.

Wright & Boswell (2002) point out HR practices which include recruitment and selection, training and development, performance management (including appraisal) and pay and reward schemes. In present times when organizations increase their presence in multiple countries, the need to align HRM practices in a global context has become increasingly important (Geringer, et al., 2002).

In this essay, relevant literature will be reviewed to analyze the human resource management policies and practices in an organisation and best practices related to it. The essay will focus on activities handled by the human resource department such asÂ hiring practices, training and development, performance appraisal, payment practices and managerial perceptions and preferences in the organisation. Further,Â the discussion will also take into account the challenges and limitations faced by the organizational managers in an organisation to implement comprehensive human resource management practices.

Aim and Objectives

The aim of the the essay is to explore factors which would help reconstruct a failing organization. This essay will basically focus on four objectives which are :

Firstly, it will indicate the significance of the business context in developing an understanding of the meaning and application of HRM.

Secondly, it will examine the different approaches to HRM, including, the best-fit approach HRM, the configurationally approach to HRM, The resource-based view of HRM, and the best-practice approach to HRM.

Thirdly this essay will evaluate the relationship between SHRM and organizational performance.

Fourthly, this easy will present a number of activities and case studies that will facilitate readersâ€™ understanding of the nature and complexity of the HRM and enable them to apply their knowledge and understanding.

It is said that the most important assets of any business is the one who walks out the door at the end of each day. Indeed, people and their management are seen as important elements of competitive advantage (Boxall & Purcell, 2003; Pfeffer, 1998; Gratton, Hailey & Truss, 2000).In all social organizations people are considered as a common element, it is because they are the one who innovate, create objectives, and accomplish goals for which organizations are praised. From the perspective of the organizations, like land and capital, people are resources but they are not inanimate and organizations would not exist without them.

LITERATURE REVIEW

Strategic human resource management practices are those practices precisely designed, applied and completed based on a deliberate association with companyâ€™s strategy (Huselid, Jackson, and Schuler 1997). Strategic human resource management indicates that people in organization are strategic resources i.e. man force capital that must be balanced in implementing corporate strategy.

SHRM means introducing policies and procedures that help good strategy implementation, using work force teams to influence multi dimensional knowledge and capabilities, developing knowledge management competencies that aid in leveraging of good practices.

Strategic HRM explains broad organizational problem relating to modification in structure and philosophy, organizational success, matching resources to upcoming needs, the development of unique abilities, management of knowledge, and change management. It is concerned with human capital needs and process capabilities development, mutually, that is, the skill to do things effectively. Generally, strategic plans of the organization in which people are affected or have concerns are dealt with SHRM.

The Nature Of The Organization And The Role Of Management:

In order to achieve organizational goal people should be managed by excellent human resources management. The Human Resources Management Framework draws the concerns to four areas. It signifies the public service through legislative, financial and operational realities.

Excellent HR management starts by asking the following questions which relate to four key areas.

Training and personal grooming

Employees shall be provided chances for individual grooming and development to accomplish their task on timely manner.

Handling Workload

Time and work load should be appropriate which can be easily handled and managed by each employee according to its capacity.

Benefits and perquisites

Pay shall be fair and equitable and payment shall be made as per differential.

Human resource management concerns the management of the employment relationship. An organization comes in to existence when the effort of two or more people is pooled to achieve an objective that one would be unable to complete alone. The very nature of work organization generates a significant tension between people with different stakes in an organization, between owners and other members of the organization, and between the needs, capabilities and potentials of organizational members and what organization demands of and permits them. In brief tension within the organization arises due the following factors.

The existence of several stakeholders in the employment relationship

Their differing perspectives upon events, experiences and relationships

Their differing aims, interests and needs

The interplay between formal organization and individual potential and needs

Theses tensions affect the performance and productivity of the organization which in turn leads the organization towards failure. Characteristics of a low performance organization are:

TRUST

Employees cannot be trusted to do their jobs without micro-management, frequent oversight and constant executive over-ride of logical decisions. Integrity, competence, consistency, loyalty, and openness interfere with team domesticity and company loyalty.

SHARED VISION

Strong leaders keep their shared vision under wraps, lest ambitious underlings use this information to advance their own careers, or worse yet, improve program performance.

REINVENTION, INNOVATION AND CHANGE

LPOs are skeptical of the need to reinvent them to meet emerging demands and changing roles. Response to change must be measured and deliberate, yet maintain status quo.

SHARED INFORMATION/OPEN COMMUNICATION

Knowledge is power. Only the powerful are permitted to have knowledge. A little knowledge is a dangerous thing, and would only encourage insubordination by underlings. To maintain the established power structure, management must continue to restrict access to information, so that they remain indispensible, especially in the event of reorganization or political change. Feedback would only encourage dissension and sedition.

SYSTEMS THINKING AND UNDERSTANDING

Employees do not need to understand the â€œbig pictureâ€. Management will instruct them as to how their individual teams relate to other organizational components and overall goals of the agency.

CROSS-TRAINED TEAMS AND SKILLED WORKERS

Members of low performance teams have no interest in understanding of each other's jobs. That would just be an opportunity for management to take advantage of them, getting more work out of them for the same pay. Besides, cross-training would just encourage insubordination and divergent ideas.

KNOWLEDGE WORKERS

Knowledge interferes with productivity, by distracting subordinates from their true role, obeying the administration unquestioningly. Just look at all the problems caused by unions once they found out about OSHA regulations!

MOTIVATION

Management understands that people are motivated solely by greed. Hence, they must be kept in line my arcane management policies and obfuscated directives. In addition to the seven LPO characteristics described above, staff can be demoralized by employee non-recognition, career stagnation, job dissatisfaction, organizational instability, job insecurity, and exclusion from decision-making.

CUSTOMER ORIENTATION

The customer must be tolerated from an internal and external viewpoint. Internally â€" other units and staff are the immediate customer, who must cope with inadequate services and poor system design before delivering shoddy products and lackluster services outside the LPO. Externally â€" the customer â€" be it consumer, taxpayer public or private entity â€" must be placated, with egos stroked and press releases extolling the LPOâ€™s products and services.

UNDERSTANDING AND MANAGEMENT OF TECHNOLOGY

Management is characterized by slavish devotion to new technology, regardless of relevance to mission or product. Managers must be able to brag about high-tech acquisitions during competitive cocktail party conversations. Owning a new hammer makes everything a nail.

The Approaches Used By Management To Resolve The Tension In An Organization

Weick (1979) writes that managing and organising is an ongoing process. The strategy adopted by managers to over come these tension is embodied in their employment policies and practices and the organizational system they put in place. Therefore, we identified four approaches or strategies managers adopt to over come these tensions

The Scientific Management Approach:

This approach addresses the tension in an organization by striving to control people and keep their cost down. The approach encompasses low levels of trust between managers and subordinates. It emphasized the need for rationality, clear objective, the management prerogative and adopted work study and similar methods. Work is often organized such that surveillance of subordinates is made possible. In common with the principles of scientific management, jobs tend to be broken down into narrowly defined tasks. Workers in manual grades are not promoted, and tend to stay in initial jobs (Whitley, 1999). Such a strategy encourage a collective response from workers and hence development of trade unions.

Human Relation Approach

Child (1969) identifies that if people were treated as clock numbers rather than as human being they would not be fully effective at work and could even fight back to the point of subverting management intentions. It also recognized the significance of social relationships at work (the informal organization) (Argyris, 1960). Managers, therefore had to pay attentions to the nature of supervision and the working of groups and teams and to find ways of involving employees through job design, motivation and a democratic, consultative or participative style of working (Schein, 1970).

Human Resource Management Approach

It is a Modern management technique and emphasizes worker involvement as a route to quality enhancement and increased performance. It is a response to the need to achieve flexibility in an organization and to improve performance through devolving decision making and making employees multi skilled to work across traditional boundaries. It attempts to integrate the need of employees with those of the organization in an explicit manner. It recognizes that people should be invested in as assets so that they achieve their potential for the benefit of the organization.

Humanistic Approach

The fourth, idealistic, humanistic approach aims to construct the organization as an appropriate environment for autonomous individuals to work together collaboratively for their common good. This is the approach of many cooperatives (Huse, 1980)

THE BEST-FIT SCHOOL OF SHRM

Before understanding the Best fit school of thought we have to analyze how managers and owners make strategies to overcome tensions within the organization. Successful strategy requires an understanding of the organization as a whole. Managers should :

Analyse The External Environment:

Analyse the external environment your business operates in. Consider the political, legal,

technological, economic influences on your business. Now categorise these into opportunities

and threats.

Analyse The Internal Environment

Now identify the internal strengths and weaknesses of the business. Consider the internal

resources, structure, leadership, skills, knowledge, culture etc.

Conduct A SWOT Analysis

Put your analysis of the external and internal environment into a SWOT analysis. You might

find it useful to prioritise the key strengths and weaknesses of the business, and the main

threats and key opportunities available to the business. Remember that it is important to

be able to justify your decisions. You also need to be clear about differentiating between

business and HR issues, although it is likely that certain HR strengths could be a core

business competence/weakness.

Strategic Choice

Now consider the organisationâ€™s strategy, review its vision statement, mission statement, corporate objectives and values. Does a comprehensive analysis of the external and internal

environment of your organisation help you to understand the reasoning behind the

organisationâ€™s strategy?

Can you identify the organisationâ€™s key sources of competitive advantage? Does this

analysis help you to understand why the organisation has made certain strategic choices? What other information do you think you would need to fully understand the strategy making

process in the organisation?

Do you think the organisation adopts a classical approach to â€˜strategy-makingâ€™?

Implementation

What changes has the organisation made in terms of culture, structures, leadership and

HR practices to deliver its strategy? Have these changes been effective? Why? Why not?

From the above exercise manager will be able to generate number of strategic choices. From them managers should undergo a formal decision making process to identify the best option. A formal decision making process involves

Issue awareness

Identify the issue which is overlooked and need to address in timely manner for future or an opportunity is there for growth

Issue formulation

Gathering of information related to issue and evaluation of condition relating to it and opinion of Company over it.

The development of solutions

Multiple solutions generation that can be performed in order to resolve issue.

The selection of a solution

The method based on which conclusion is drawn as to what to do and how to do.

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Now for successful implementation of the strategy selected SHRM requires HR professional to posses the following characteristic or roles which they should perform

Ulrich (1998) says that HR manager must do four roles

Administrative Excellence, because it led to efficiency and effectiveness of company

Employee Champion. HR professional shall support their staff and shall raise the voice on behalf of its people on the platform for their growth and development

Strategic partner: HR professional should be a part of the change

Change agent. HR manager should be change agent where resistance to change can be handled and all passive, active resistance are resolved tactfully.

For successful enactment of these role HR manager must:

know where the companyâ€™s is going

position where company stands among competitors

Capable and competent HR manager to execute the task

The Best-Fit (Or Contingency) School:

The best-fit (or contingency) school of SHRM explores the close link between strategic management and HRM, by assessing the extent to which there is vertical integration between an organisationâ€™s business strategy and its HRM policies and practices.

The notion of a link between business strategy and the performance of every individual in the organisation is central to â€˜fitâ€™ or vertical integration. Vertical integration can be explicitly demonstrated through the linking of a business goal to individual objective setting, to the measurement and rewarding of that business goal. Vertical integration between business strategy or the objectives of the business and individual behaviour and ultimately individual, team and organisational performance is at the core of many models of SHRM. This vertical integration, where â€˜leverageâ€™ is gained through procedures, policies and processes, is widely acknowledged to be a crucial part of any strategic approach to the management of people (Dyer, 1984; Mahoney and Deckop, 1986; Schuler and Jackson, 1987; Fombrun et al., 1984; Gratton et al., 1999).

Vertical integration therefore ensures an explicit link or relationship between internal people processes and policies and the external market or business strategy, and thereby ensures that competences are created which have a potential to be a key source of competitive advantage (Wright et al., 1994). Tyson (1997) identified â€˜vertical integrationâ€™ as the essential ingredient that enables the HR paradigm to become strategic. This requires, in practice, not only a statement of strategic intent, but planning to ensure that an integrated HR system can support the policies and processes in line with the business strategy.

There have been a number of SHRM models that have attempted to explore the link between business strategy and HR policies and practices, and develop categories of integration or â€˜fitâ€™. These include the life-cycle models (Kochan and Barocci, 1985) and the competitive advantage models of Miles and Snow (1978) and Schuler and Jackson (1987) based on the influential work of Porter (1985).

Life-cycle models

A number of researchers have attempted to apply business and product life-cycle thinking or â€˜modelsâ€™ to the selection and management of appropriate HR policies and practices that fit the relevant stage of an organisationâ€™s development or life cycle (Baird and Meshoulam, 1988; Kochan and Barocci, 1985). So, for example, according to this approach, during the start-up phase of the business there is an emphasis on â€˜flexibilityâ€™ in HR, to enable the business to grow and foster entrepreneurialism. In the growth stage, once a business grows beyond a certain size, the emphasis would move to the development of more formal HR policies and procedures. In the maturity stage, as markets mature and margins decrease, and the performance of certain products or the organisation plateaus, the focus of the HR strategy may move to cost control. Finally, in the de line stage of a product or business, the emphasis shifts to rationalisation, with downsizing and redundancy implications for the HR function (Kochan and Barocci, 1985).

Competitive advantage models

Competitive advantage models tend to apply Porterâ€™s (1985) ideas on strategic choice. Porter identified three key bases of competitive advantage: cost leadership, differentiation through quality and service, and focus or â€˜nicheâ€™ market. Schuler and Jackson (1987) used these as a basis for their model of strategic human resource management, where they defined the appropriate HR policies and practices to â€˜fitâ€™ the generic strategies of cost reduction, quality enhancement and innovation. They argued that business performance will improve when HR practices mutually reinforce the organisationâ€™s choice of competitive strategy. Thus in Schuler and Jacksonâ€™s model the organisationâ€™s mission and values are expressed through their desired competitive strategy.

This in turn leads to a set of required employee behaviours, which would be reinforced by an appropriate set of HR practices. The outcome of this would be desired employee behaviours, which are aligned with the corporate goals, thus demonstrating the achievement of vertical integration. the â€˜cost-reductionâ€™-led HR strategy is likely to focus on the delivery of efficiency through mainly â€˜hardâ€™ HR techniques, whereas the â€˜quality enhancementâ€™ and â€˜innovationâ€™-led HR strategies focus on the delivery of added value through â€˜softerâ€™ HR techniques and policies. Thus all three of these strategies can be deemed â€˜strategicâ€™ in linking HR policies and practices to the goals of the business and the external context of the firm, and therefore in contributing in different ways to â€˜bottom-lineâ€™ performance.

Configurational models

This approach focuses on how unique patterns or configurations of multiple independent variables are related to the dependent variable, by aiming to identify â€˜ideal typeâ€™ categories of not only the organisation strategy but also the HR strategy. The significant difference here between the contingency approach and the configurational approach is that these configurations represent â€˜non-linear synergistic effects and higher-order interactionsâ€™ that can result in maximum performance (Delery and Doty, 1996: 808). As Marchington and Wilkinson (2002: 222) note, the key point about the configurational perspective is that it â€˜seeks to derive an internally consistent set of HR practices that maximise horizontal integration and then link these to alternative strategic configurations in order to maximise vertical integrationâ€™. Thus, put simply, strategic human resource management, according to configurational theorists, requires an organisation to develop an HR system that achieves both horizontal and vertical integration. Delery and Doty use Miles and Snowâ€™s (1978) categories of â€˜defenderâ€™ and â€˜prospectorâ€™ to theoretically derive â€˜internal systemsâ€™ or configurations of HR practices that maximize horizontal fit, and then link these to strategic configurations of, for example, â€˜defenderâ€™

or â€˜prospectorâ€™ to maximise vertical fit

Now attention should be directed towards our ways of seeing and thinking about world, the ways that generate the language, the code, the keys we used in conceptualizing and practicing HRM. It is at this point that we became fully aware of value representing context as a tapestry both to create and make sense of HRM. These ways of seeing are the wrap, the thread running the length of the tapestry that give it its basic form and texture which are more apparent when we turn the tapestry over and examine how we perceive reality, make assumptions about it, and define if for ourselves

Perceiving reality

Perception

As Medcof and Roth (1974) said that despite the impression that we are in direct and immediate contact with the world, our perception is , in fact, separated from reality by a long chain of processing.

Psychologist indicate that perception is a complex process involving the selection of stimuli to which to respond and the organization and the interpretation of them according to patterns we already recognise

Making Assumptions about reality

Bannister and Fransella (1971) states that we cannot contact an interpretation free reality directly. We can only make assumptions about what reality is and then proceed to find out how useful those assumptions are. Some assumptions are so deeply engrained that they are difficult to identify and express but they are nevertheless embodied in the way we approach life. These include the way we conceptualize, theories about and manage the employment relationship.

Defining reality for ourselves

We define reality for ourselves in the following manner

Orthodox thinking:

Orthodoc means correct or generally accepted opinion inculcated in the majority of members in any given society through the processes of socialization and education and sustained through sanctions against deviation. We donot generally question our orthodox beliefs, and therefore we donot pay much attention to them nor consider how they fram the interpretations we make of our world nor what other alternative there could be.

Alternative Approach

The following three approaches stand in contract to orthodox thinking

Phenomenology

It is concerned with understanding the individualâ€™s conscious experience rather then analyzing this into fragments, it takes a holistic approach. It acknowledges the significance of objectivity(Sanders, 1982).

Constructivism

It is also concern with individual experiences but emphasises the individualâ€™s cognitive process.

Social Constructionism

It does not assume that a reality independent of observer exists. Reality is only what we construct ourselves and that not through our own cognitive process but the social processes of language, discourse and social interaction.

The wider social , economic, political and cultural context of HRM is diverse, complex and dynamic. The metaphor of a tapestry is therefore used to express the way in which its meaning is constructed from the interweaving and mutual influences of assumptions deriving from the basic perceptual, epistemological, philosophical and ideological positions. The notion of Wrap and Weft are used to discuss such key contextual elements as phenomenology, constructivism, social constructionism etc.

Best-practice SHRM:

High-Commitment Models

The best-practice approach highlights the relationship between â€˜setsâ€™ of good HR practices and organisational performance, mostly defined in terms of employee commitment and satisfaction. These sets of best practice can take many forms: some have advocated a universal set of practices that would enhance the performance of all organisations to which they were applied (Pfeffer, 1994, 1998); others have focused on integrating the practices to the specific business context (high-performance work practices). A key element of best practice is horizontal integration and congruence between policies. Difficulties arise here, as best-practice models vary significantly in

their constitution and in their relationship to organisational performance, which makes generalisations from research and empirical data difficult. Here, it is argued that all organisations will benefit and see improvements in organisational performance if they identify, gain commitment to and implement a set of best-HRM practices.

Universalism and high commitment

One of the models most commonly cited is Pfefferâ€™s (1994) 16 HR practices for â€˜competitive advantage through peopleâ€™ which he revised to seven practices for â€˜building profits by putting people firstâ€™ in 1998.

TABLE

Pfeffer (1994) explains how changes in the external environment have reduced the impact of traditional sources of competitive advantage, and increased the significance of new sources of competitive advantage, namely human resources that enable an organisation to adapt and innovate. With the universalist approach or â€˜ideal set of practicesâ€™ (Guest, 1997), the concern is with how close organisations can get to the ideal set of practices, the hypothesis being that the closer an organisation gets, the better the organisation will perform, in terms of higher productivity, service levels and profitability. The role of Human Resources, therefore, becomes one of identifying and gaining senior management commitment to a set of HR best practices, and ensuring that they are implemented and that reward is distributed accordingly.

Measuring The Impact of SHRM on Performance and the Balanced Scorecard

It is now appropriate to consider in more detail how strategic management processes in firms can be improved to deal more effectively with key HR issues and take advantage of HR opportunities. A study by Ernst & Young in 1997, cited in Armstrong and Baron (2002), found that more than a third of the data used to justify business analystsâ€™ decisions were non-financial, and that when non-financial factors, notably â€˜human resourcesâ€™, were taken into account better investment decisions were made. The non-financial metrics most valued by investors are identified in

Table

This presents an opportunity for HR managers to develop business capability and demonstrate the contribution of SHRM to organisational performance. One method that is worthy of further consideration is the balanced scorecard (Kaplan and Norton, 1996, 2001). This is also concerned with relating critical non-financial factors to financial outcomes, by assisting firms to map the key causeâ€"effect linkages in their desired strategies. Interestingly, Kaplan and Norton challenge the short-termism found in many Western traditional budgeting processes and, as with the Ernst & Young study, they imply a central role for HRM in the strategic management of the firm and, importantly, suggest practical ways for bringing it about (Boxall and Purcell, 2003).

Kaplan and Norton identify the significance of executed strategy and the implementation stage of the strategic management process as key drivers in enhancing organisational performance. They recognise, along with Mintzberg (1987), that â€˜business failure is seen to stem mostly from failing to implement and not from failing to have wonderful visionsâ€™ (Kaplan and Norton, 2001: 1). Therefore, as with the resource based view, implementation is identified as a key process which is often poorly executed.

Kaplan and Norton adopt a stakeholder perspective, based on the premise that for an organisation to be considered successful, it must satisfy the requirements of key stakeholders; namely investors, customers and employees. They suggest identifying objectives, measures, targets and initiatives on four key perspectives of business performance:

â— Financial: â€˜to succeed financially how should we appear to our shareholders?â€™

â— Customer: â€˜to achieve our vision how should we appear to our customers?â€™

â— Internal business processes: â€˜to satisfy our shareholders and customers what business processes must we excel at?â€™

â— Learning and growth: â€˜to achieve our vision, how will we sustain our ability to change and improve?â€™

They recognise that investors require financial performance, measured through profitability, market value and cash flow or EVA (economic value added); customers require quality products and services, which can be measured by market share, customer service, customer retention and loyalty or CVA (customer value added); and employees require a healthy place to work, which recognises opportunities for personal development and growth, and these can be measured by attitude surveys, skill audits and performance appraisal criteria, which recognise not only what they do, but what they know and how they feel or PVA (people value added). These can be delivered through appropriate and integrated systems, including HR systems. The balanced scorecard approach therefore provides an integrated framework for balancing shareholder and strategic goals, and extending those balanced performance measures down through the organisation, from corporate to divisional to functional departments and then on to individuals (Grant, 2002). By balancing a set of strategic and financial goals, the scorecard can be used to reward current practice, but also offer incentives to invest in long-term effectiveness, by integrating financial measures of current performance with measures of â€˜future performanceâ€™. Thus it provides a template that can be adapted to provide the information that organisations require now and in the future, for the creation of shareholder value

Conclusion

HR function plays an important role in an organization progress and growth.

Human Resource Departments add value to a business by ensuring:-

ô€‚ƒ How do the processes such as staffing, hiring, communication, and compensation;

that govern how work is done, enhance organizational competitiveness, and add

value?

ô€‚ƒ Ensure recruiting the right caliber and grade of existing and new employees by

determining job descriptions, people profiles and skills criteria to match job role.

ô€‚ƒ Ensure personnel policies and procedures are followed consistently by all

departments within a company.

ô€‚ƒ Ensure who is responsible for Human Resources work? To what extent do managers

view themselves as HR managers as well as Operational managers?

ô€‚ƒ Ensure when and how should Human Resources be proactive, reactive, or

anticipatory?

ô€‚ƒ Ensuring that staff ratios are compatible to the projected cost base and taking

intervention action where recruitment gets 'overblown'. This ensures that a company

employs the right volume of people required; maintaining the company margins,

which in turns ensures the continuing viability of the company.

ô€‚ƒ Offers impartial personnel function that restricts and controls all personnel within the

business to manage people within the correct legal context and not allowing them to

inadvertently side step employment law and legislation.

ô€‚ƒ Ensures that internal promotion and selections are carried out in a fair and equitable

manner using the same base criteria for each candidate. This in turn means the right

people get promoted which enhances the role effectiveness and increased efficiency

of the job delivery.

ô€‚ƒ Ensure that pay grades are equitable and reviewed with similar type roles in

equivalent external organizations to keep attracting the best candidates.

ô€‚ƒ Ensure the financial contributions of Human Resources.

ô€‚ƒ Ensure how do HR systems enhance the intellectual and managerial capacity of the

organization?

HR Professionals must be knowledge experts of external business realities before they

can frame, execute, and create substantive value through even the basic of HR agendas.

ô€‚ƒ What abilities do we need so that we can understand and respond to short-term and

long-term market demands?

ô€‚ƒ How do we invest in HR practices that deliver business results?

ô€‚ƒ How do we organize HR activities to deliver maximum value?

ô€‚ƒ How do we create an HR strategy that sets an agenda for how HR will help our

company succeed?

When HR Professionals respond to these questions, they will know why others would

benefit by listening to them, because they will be delivering real value-and they will

know what that value is.

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