Challenges and Trends of Business Worlds
In 21st century business are facing new challenges and trends in the business world. In this dynamic environment employees are the best resource for any organization that helps it to meet the challenges and overcome the problems. Most of the organization did not develop a separate department to produce affiant and effective human resource so that this human resource turns the organization into a tycoon in business world. In most organizations personal departments have been transformed to the human resource while maintaining the same old staff and not implementing the human resource philosophies. There is only change of name where as there is no change in structure. This research project discuses the hr core functions in detail gathered data from different managers working in different managerial positions so that a system for human resource department can be planned and performance of the organization can enhanced for long run. The hr system gives competitive advantage to the organization and helps it to make strategic plans and prepare it to faces challenges. The vision of the employees and the vision of the organization should be inline so that they can achieve their goals and make the remarkable differences in business world.
An organization is said to be as good or as bad as its people. Successful organizations have competent and committed people. So an organization should develop such a system through which they can produce develop and train highly motivated and utmost skills personal and planned such activities that provide its employees assistance to meet current and future jobs demands. Today’s organization are facing many challenges and these challenges can be face by preparing own self priors to any other things. Not the question arises that how organization can change the mind set of employees to be ready for any change in the business. To develop this ability in employees human resource department have crucial role and until and unless the organization will not develop human resource department they can not get the desired performance from the employees and earn something from business
3. Research objectives:
To study all the areas related to he department
To examine that whether hr system helps the organization to grow and move effectively for long term basis.
4. Human resource management
Human resource is the term used to describe formal system devised for the management of people with in an organization. These human resource responsibilities are generally divided into three major areas of management. The purpose of hrm is to maximize the productivity of an organization by optimizing the effectiveness of its employees. In recent years recognition of the importance of human resource managements to a company overall health has grown dramatically this recognition of the hrm extends to small business as well as large firm. A company is incomplete without a human resource department. Good human resource can be one of the most valued and respected departments in an organization. One of the major roles of human resource department in a successful business involves a lot of observation and analysis from behind the scenes. Due to sensitive nature of human relations and the work that human resource departments must carry out discretion is a crucial element to this field. That because the management of performance can often involve tough decision such as choosing who to let go who to promote and who to hire.
5. Literature review
Employees must be regarded as a business biggest asset with talent management placed high on the hr agenda (jonathan little)
Employees are now the main builders of a money-making business according to dr Robert mchenr. For organizations to capitalize on this they must place the management of talent firmly on the agenda he says the quality of an organization employees directly influences its aptitude to increase and maintain competitive advantage. In an uncertain economic climate talent employees are a critical corporate resource. The opp recently conducted research with 400 senior hr professionals to determine their views and current practices in talent management. This result showed a clear appreciation of the influence of talent with 94% of respondents believing talent employees improve company profitability. However there is a current lack of impetus directed at identifying and managing this talent. Just 84%of the respondents believe they have latent within their organization and 77% admitted to having no active talent management strategy.
Planning employee level needs an evaluation of current and upcoming needs of the organization which can be compared with current resources and upcoming predicted resources. Suitable steps then are intended to bring demand and supply into equilibrium. Recruitment of staff should be lead by an analysis of the job to be done i.e. an analytical study of the task to be performed to determine their essential factors written into job report so that the selectors know what physical and mental characteristics applicants must have, what traits and manner are desirable and what personality are determined disadvantage. Assessment of the efficiency of training is done to make sure that it is cost effectual and to identify needs to adjust or expand what is being offer to make known new needs and redefine main concern and most of all to make sure that the objectives of the training are being assemble.
Countenance with the fast change organization needs to develop a more attention and logical appear to managing people. In just the same way a business need a promotion or information technology policy it also requires human resource or people strategy. If you want an organization which really values excellence and service you not only have to retrain employees you must also review the organization reward systems.
The pay and reward system is a classic problem in this area. Often organizations have payment systems which are intend around the quantity of output produce. If you then try to find and develop a company which highlights the products quality you must change the pay systems. Otherwise you have disagreement between what the chief executive is saying about quality and what your payment system is cheering staff to do.
The critical purpose of raising a human resource plan is to make sure that the objectives set are physically supportive so that the reward and payment systems are included with employee training and career expansion plans.
Organizations exist to accomplish some goal they are collectives rather than individual because achieving the goals requires the efforts of a number of people. The goal of this process is to secure all necessary job data and job evaluation represents the major use of job analysis. Process of obtaining new members giving little away about the crucial role recruitment plays in workforce development. recruitment does not stand alone along with retention and registration it is a key element of workforce planning and development. Recruitment is important not only as a way of bringing new staff with their own unique ideas and experience to an organization but also in setting the scene for new employees.
The qualities of employees and their development through training and education are major factors in determining long term profitability of a small business. If you hire and keep good employees it is good policy to invest in the development of their skills so they can increase their productivity.
Supervision plays a very important role in buffering newcomers from unfair demands diagnosing problems that create conflict. On the other hand coworkers is the most important tool for socializing the hazing activities if used properly can help developing strong bonds with the coworkers. The orientation programs must be evaluated and the short comings observed must be taken care of where as training is considered for new employees only which includes job description, job specific, performance appraisal, self assessment etc. the second step after TNA is the program design which comprises of identification, defining objective, training selection and orientation, selection of participants, prepare the feedback form etc.
Validation of the training program is the next step that organizations take. Internal reviews are taken which means the program will be reviewed by the HRD unit itself and any inconsistencies or shortcomings will be taken care of .it will try to determine that the requirements of the program have been satisfied. Validation is sometimes also done by test running program particularly where the course has to be repeated many times. The feedback from participants the trainers and the other stake holders is received and the program is modified in its light.
As the marketplace becomes more and more active and viable companies are trying harder to develop performance. Since business cannot have enough money to continue increase wages by a certain percentage there are many innovative compensation plans tied to performance which include incentive plan, skilled- knowledge base plan and team base compensation plans.
Incentive compensation pays proportionally to employee presentation. Inducements are typically given in addition to the standard wage they can be salaried on the basis of individual, group or wide performance. Whereas skilled based disburse is a system that pays employees based on the skills they group or master not for the job they hold. As far as team based is concerned identify the importance of close collaboration and joint development is group work is encouraged.
Pay is a significant attribute associated to human resource management after all it is the major reason why people work. It is a responsive area that has been widely debated at both realistic and hypothetical levels. The reward and compensation people get for their input to an organization includes monetary and non monetary apparatus.
Secondary data for the basic concept building. Information from books written by different authors and then for the collection of the primary data. tools which were questionnaire and interview was used. Questionnaire from 30 respondents and interviews were taken from different managers.
The questionnaire from different HR Representatives and different other companies as well which include Mobilink, Ufone, Telenor, Warid and Dawood Hercules.
Beside that interview where taken from the HR Representatives we can come to know what is currently happening in the public sector. There were also very useful meetings with different manager in the cellular companies.
The problem which faced by author was the lack of secondary data about the Human Resource system of any organization with reference to the Pakistani environment because there was no concept of Human Resource System in Pakistan which covers all the activities related to employer perspective and employee as well.Another thing which was in consideration was the biased option of the responded and concealment of actual facts and figures by the Manager they feel reluctant to give the true answer about their company.Many managers didn’t fill questionnaire because they didn’t have time from their tight/busy schedule. Some of them were not willing to fill the questionnaire with any approval from the top management.
Recruitment and selection
Organizational assurance is taken to be one of the primaries and vital structure of the human resource .The employee commitment is the key factor in achieving competitive advantage. From the above framework a significant relationship can be seen between human resource department as dependent variable while others independent.
H0 there is a significant relation between human resource and employee training
H1 there is no relation between human resource and employee training
H0 there is relation between human resource and motivation
H1 there is no relation between human resource and motivation
H0 human resource and recruitment are correlated
H1 human resource and recruitment are not correlated
Research and analysis
The t-statistic and p-value for the independent variable recruitment comes out to be 0.50 and 0.609 which shows no significant relationship between the independent variable i.e. recruitment and the dependent variable HRM. So, we would reject our null hypothesis regarding recruitment.
The p-value for the independent variable Training comes out to be 0.000 which shows a very significant relationship between the independent variable training and the dependent variable HRM. So, we would accept our null hypothesis regarding the independent variable training.
The t and p value for the independent variable i.e. orientation comes out to be 2.32 and 0.027 which shows a significant relationship between the independent and dependent variable. So, we would accept our null hypothesis.
Lastly our t and p value for the independent variable motivation comes out to be 1.54 and 0.133 which does not show a significant relationship between the independent and dependent variable, so, we would reject our null hypothesis.
The overall p-value of the model is 0.000 which shows a strong relationship between the independent variables and the dependent variable.
For strong relationship
p-value should be less than 0.05 and t value should be greater than 2
Regression Analysis: HRM versus Recruitment, Training, ...
The regression equation is
HRM = 0.053 Recruitment + 0.681 Training + 0.211 Orientation + 0.146 Motivation
Predictor Coef SE Coef T P
Recruitment 0.0528 0.1049 0.50 0.619
Training 0.68124 0.09598 7.10 0.000
Orientation 0.21115 0.09001 2.35 0.027
Motivation 0.14629 0.09497 1.54 0.136
S = 0.112030
Analysis of Variance
Source DF SS MS F P
Regression 4 89.204 22.301 1776.88 0.000
Residual Error 26 0.326 0.013
Total 30 89.531
Source DF Seq SS
Recruitment 1 87.871
Training 1 1.093
Orientation 1 0.211
Motivation 1 0.030
Business is based on human relations. These relations are very important whether these are with your customer with your supplier or with your employees. The relationship with employee is for any organization important because it’s the employee who turns organization into business. Today’s organizations believe that to develop such durable relations with the employee human resource department has a vital role in organization. This department helps organization to fulfill its shot term and long term goals. Summarizing the analysis it is concluded that today’s manager thought that human resource department have very important functions to perform in which selection and training of the employees are main priorities. Orientation have also very large portion in the employees relation because it enable the employees to understand the whole organization in one session and get knowledge about the mission and vision of the organization. Compensations and benefits on the other hand are useful tools to motivate the employees so that their performance level can be increased.
Human resource system is the need of any organization whether on large or small scale. Every organization should accept the role of human resource department in this modern age. In Pakistan people talk about hr but the real sense of human resource is not implanted which should be. Top management should have general meeting in which the matters of the employees are discussed. The policies which are formed for employees should be implemented in all levels of organization. Organization should start the skill developments programs for employees so that employees don’t feel the work pressure and update their self from time to time. Organization should focus on the reasons of employees turn over so that the performance level of employees can be enhanced rather than de motivating the employees. Moreover they should develop employee interaction program in which employee of one unit or department should get a chance to work in different units of departments so that they can enhance their vision. The recommendation for human resource is limitless and it changes from time to time because the development of the human resource system is never ending process
Name of respondent Name of organization
Rank/designation professional experience
Encircle the appropriate option
1. Do you believe that all business are based on human relations?
2. Do you think that the human resource department is the heart if any organization?
3. What should be the role of human resource department in any organization?
4. Do you conduct any exit interview when employees leave from job?
5. if employees are given freedom to carry out their tasks in their own way do you think this approach produces higher level of motivation and job satisfaction?
6. Hr department is necessary for the long term growth of the organization?
7. What do you think is the most important for hrm?
Recruitment & selection
Training and development
Compensation and benefits
All of them
8. Does organization have established system for recruitment and selection?
9. Do you think right selection is the key to success for any job position and training cannot cover the performance gap?
10. do you think that the training is the essential part of the employees professional carrier?
11. Do you believe that investment on training of the employees leads to significant returns for the business?
12. Proper orientation plan can reduce the employees turn over?
13. Do you believe that the reward mechanism encourages employees motivation?
14. Hr department boosts the overall performance of the organization and creates satisfaction of employees with their jobs?
15 hr system helps organization to achieve its goals and remain effective for long term basis in business world?
TABLE OF CONTENT
TABLE OF CONTENT....................................................................................................... 3
CHAPTER 1: INTRODUCTION........................................................................................1
CHAPTER 2: LITERATURE REVIEW.............................................................................3
CHAPTER 3: METHODOLOGY......................................................................................6
CHAPTER 4: RESULTS AND ANALYSIS.....................................................................9
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