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Human resource refers to that department of the company which is entrusted with the responsibility of finding, screening, recruiting & training job applicants, as well as providing the necessary benefits to the employees for their overall well being and commitment to the orginsational goals.
The human resource function assumes significant importance to the management of the orgnisation in the light of the fast-changing competitive work environment and the greater demand for quality employees as well as the need to reorganize with a view to gain competitive edge over others (Poddar, 2014).
The human resource function encompasses the following activities in an organisation resulting in its overall value addition:
1. Effectively managing and utilizing people.
2. Linking performance appraisal and compensation to employee competency level.
3. Developing competencies that assist in the enhancement of individual and organizational performance.
4. Taking initiatives towards increasing the innovation, creativity and flexibility of employees which remains crucial for the orginsational overall competitiveness.
5. Applying new techniques to work process design, succession planning, careerdevelopment and mobility within the organization.
6. Applying different managerial concepts such as improved staffing, training and communication with employees with a view to managing the implementation and integration of technology.
Human Resource Management (HRM) confers significant benefits to the orgnisation, which has been tabulated below-
1.HRM helps in Hiring and Training the Workforce:
Human Resource Management helps in the effective discharge of the function of manpower planning which is one of the most importantresponsibilities of the HR department. The same involves hiring strategies for bringing in the right kind of people for the organization which makes sense in terms of cost & value. They prepare theirJob Descriptionswhich is best suited for the role in the company. After the hiring process is completed, HRM also help to plan for the employee’s induction with a well laid out training and development program (Bhagria, 2014).
2.HRM takes care of the Performance Management System:
One of the most important functions of Human Resource Management is that of Performance Management system wherein employees are recognition and rewarded for their performance. With a view to improve the level of motivation of employees, and keep the people feel excited for their work, one of the first & foremost function of HR is that of defining an individual’s role. Thereafter, an effective feedback mechanism from time to time helps the employees to understand if they are on the track & also to improve their skills. This, in turn, also helps in the alignment of the organizational objectives with the personal goals of the employees.
3.HRM helps in building culture and values in the organization:
The performance of an employee in the organisation is dependent on the work atmosphere or work culture that prevails in the company. In this regard, it is the responsibility of the HR department to creating an enabling & good conducive work environment in the company. The aforesaid result in the form of a safe and clean work culture is assisted by an effective HRM system which helps in bringing the best of an employee and creates a high degree of job satisfaction (Nazir, 2010).
4.Conflict Management is also an important responsibility of HR:
An effective HRM system also helps in peaceful resolution of conflicts arising out of a disagreement between the employee and the employer in many occasions. Although it is almost impossible to avoid such conflicts from happening, an attempt can surely be made to try and manage the occurrences of such disagreements. Thus one of the most beneficial factors of the Human Resource Management is timely intervention so that thing does not go out of hands by acting as a counselor and a mediator to sort the issues in an effective manner.
5.HR is responsible for developing good relations:
An effective HRM system also facilitates in establishing & maintaining cordial relations amongst employees as well as for holding meetings, seminars and all official gatherings on behalf of the management with a view to portray a professional image of the organisation to the external clients & contribute towards brand recall. This apart, besides the core HR role, if required, the HRM strategies may also be directed towards lending a helping hand in drafting business and marketing plans for the company (Bhagria, 2014).
Thus, it may be seen that a proper HR department along with an effective human resource management helps in building and managing an organization in the desired manner which reaps benefits to all the stakeholders. Hence, it has been observed that there is an increasing trend amongst companies in laying a greater emphasis on establishing strong and effective Human Resource Departments.
HRM policies and standard operating procedures pertaining to working hours, pay information, safety measures, benefits and performance expectations provide the organization with much-needed structure. All of these core topics form the basis of an employee’s guidebook. Apart from the above, the organization's code of conduct should also include the necessary disclosure towards an equal opportunity employment policy and statement about the company's zero-tolerance for discrimination or harassment. Furthermore, HRM management policies and procedures are crucial for ensuring that HR and executive leadership of the company are working towards the same goals (Wilton, 2013).
Organizational structurerefers to the manner in which the activities of the organization are organized, controlled & coordinated with a view to achieve an organization's goals. Generally, the human resource department is divided into separate units that specialize on key human resource management functions. In other words, function shall govern the structure in this case, wherein; generalists are encouraged to become specialists and increase productivity & quality. In such a hierarchical structure, power is centralized at the top and information flows up to the chairman, and instructions will flow down to each unit (iplaceusa, 2013).
HRIS refers to the system which seeks tomergetheactivitiesassociated withhuman resource management (HRM)andinformation technology (IT)into a unified databasewith the use ofenterprise resource planning (ERP)software. The basic objective of HRIS is to combine the different functions ofhuman resources into a lesscapital-intensivesystem with a view to manage the traditional system usedto manageactivities in the past. The functions of HR which is sought to be integrated by HRIS includes payroll,labor productivity, andbenefit management.
In view of the fast changing hyper-competitive era in the last few decades, the need of information system and technology in human resource management has increased significantly for companies internationally with a view to ensure their competitiveness. In this regard, human resource information system (HRIS) plays a crucial role in promoting the effectiveness of human resource system through the collection, record, storage, maintenance, delivery and present data for human resource (Shanu, 2013).
Human resource information system (HRIS) plays a crucial role in local orgnisation by ensuring proper alignment of the employee’s goals & objectives with that of the organization through an effective feedback mechanism between the HR functional departments along with technology in human resource management.
The overall planning process reviews the human resources requirements of the organization with a view to ensure that it has the desired number of employees, equipped with the necessary skills, to meet its goals. HRP is a proactive process which involves systematic forecasting of demand for and supply of employees under changing conditions, and developing plans and activities to satisfy these needs. Thus, HRP in a way anticipates and influences an organization’s future and plays a dual role. Thus, as human capital plays a larger role in competitive advantage, there is an expectation from the HRIS to provide functionality to meet unit’s goals and objectives. Moreover, managers also rely on the HRIS’s capabilities to provide superior data collection and analysis, especially for performance appraisal and performance management & hence play a crucial role in formulation of large-scale corporate strategy (Hirvonen, 2011).
HRIS holds data regarding the salary and incentive compensation of each employee and contains a record electronically of the results of annual performance appraisals and any disciplinary actions that may have been taken against members of the team as well. As these figures are held in one database, the employer can run a variety of detailed reports that include some or all of this information.
The planning module of the organisation with the use of HRIS systems provide a sophisticated interface which allows the use by both internal employees, as well as external job applicant. It allows candidates to submit their resumes and provide relevant information to a potential employer online while applying for the job. The system thereafter archives the information it so it is easily accessible by the hiring manager. And also enables him to search & filter through application selectively by applying a variety of queries, including location, level of education, years of professional experience and technical skill set (Bobinski, 2004).
The recruitment function used function used by the organization involves the process through which a pool of qualified job seekers from which the suitable individual can be selected. The steps in recruitment process include identification of job openings, framing of job requirements, identification of appropriate recruiting sources & methods, and finally, creating a pool of qualified recruits. The selection function involves the process of choosing individuals with the right qualifications to fill existing vacancy. The steps in the selection process include initial screening of applicant, selection testing, selection interview, background & reference check, supervisory interview, realistic job previews & finally taking the hiring decision.
The benefits of online recruitment to the organization involves less human interaction, reach to a much broader audience, electronically record filing and easy accessibility to selection tools electronically. This helps to reduce the cost for storage, as well as the cost of employees required to administer recruitment & selection procedures.
HRIS's recruitment process provides a ready electronic interface for the employer to help in proper identification of the suitable candidate by filtering through the applications with full accuracy. The same provides significant benefits of cost & time efficiency to the organization as well as ensure the proper storage of data applications without the threat of any pilferage or loss (UCR, 2015).
Various online job portals are available for prospective employees to portray their candidature to the outside world thereby increasing their cope of opportunities, some of the examples being bayt.com & jobsindubai.com.
The company’s website can also be an effective tool for job search and helps prospective employees to get a perspective about the company wherein they want to submit their application. It also helps in better understanding of the job profile pertaining to the available vacancies in the orgnisation.
Various social networking sites such as linkdin.com may also be used by a company for recruitment purpose wherein employers can gain knowledge about prospective employees pertaining to their qualification, hobbies, extra-curricular interests and hence get a complete profile of such applicants (Bhagria, 2014).
The significant importance of HRM in the overall strategy of an organization and its integral role in the strategic planning process can be ensured by fully integrating HRM into strategic planning process of the orgnisation. The same can be achieved by allowing structured HRM policies, which enable line managers to implement HRM practices as part of their day-to-day activities.
In order to stay up to date with new technology & innovative software systems it is pertinent for HR professionals to use an effective human resource information system as the same can go a long way in making the operations of the organisation cost effective & efficient for the use of both the employer & the ultimate end users. This can be achieved by ensuring that human resource information system (HRIS) is able to configure relevant duties & process information as necessary to keep it in line with the organization’s overall long term objectives.
In view of the aforesaid discussions, it may be concluded with certainty that HRIS & the HR function of an orgnisation are closely interlinked with high degree of synergy between them. In the light of the same, HR professionals might also consider the usage of HRIS in support of strategic HR tasks due to the unprecedented HRIS support for the job of HR professionals. Thus in view of today’s complex & dynamic environment wherein an increased pressure is applied on HR professionals to support the strategic objectives of the orgnisation, it would be advisable to use HRIS in more support of strategic HR tasks in the organization in the future. The implantation of the aforesaid objectives is likely to facilitate towards higher employee performance & productively which in turn would contribute towards greater organizational success. Thus HRIS can be concluded to be a long term sustainable solution to the organization’s current & prospective HR issues.
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