The Business Success Depends On Various Factors Commerce Essay

Published: Last Edited:

This essay has been submitted by a student. This is not an example of the work written by our professional essay writers.

In the real world, the business success depends on vary factors, including internal elements and external elements, among these the human resource plays a significant role.

Human resource management (HRM) relate to all the business progress of any organization, not only the big scale companies but also the small and middle factories. Therefore, duration the production, manufacturing, advertisement, distribution, and so on

the entrepreneurs always review, assess and restructure the human resource to meet the emerge demands, new trends aim to achieve the organization's goals effectively.

In this essay, we will consider the function of HRM and its flexible activities when it face with vary strict challenges that the organizations have to overcome to maintain and develop their business. Besides, we will study HRM strategy and HRM planning to illustrate the HRM' essential position in organization's establishment, exist and development .

When we think about management meaning we link to planning, organization, leading and controlling generally. According to human resource, management in this area is all issues which deals directly with people. Indeed that is a progress of translate business strategy to action by the vary levels of managers with an administrative expert, employee champion and changing agent appropriately.

Obviously, the promotion of business is maximum of profit. However, you only obtain the sustainable growth when your business brings a good work life balance for workforce and you evaluate the current situation and prediction about the future competitive factors to build the effective methods of human resource that is a key condition to conduct the organization's targets.

In this essay, I will discuss how we do to recognise the challenges of profitability, work life balance and increase of global competition in business and strategic HRM Becomes more important to business success than ever before.

2. Main challenges and HRM's role

Nobody deny that the result of a perfect action is the achievement a match between objectives and human resource function. In addition, almost organisations always expect

to have benefit from all things what they invested in input, particularly it is human resource.

On the other hand, to maintain the long run development that organization must pay a sufficient intention to workforce and ensure that the organization's strategic business objectives and the satisfaction of individual and employee needs. It have to create a good environmental workplace; the employees will be treated fairly and objectively.

Furthermore, we should a certain relationship between the organization and its employees, such as workplace relations; deals with employee attitudes and behavior. It

is clear that, the employees are very sensitive to ethics, religion, race, culture, gender and so forth; because they are very complex, ambiguous, conflicting issues existed together and only human resource expert will have a right attitude and intelligent measure to solve them. The implementation of HRM policies and practices designed to promote organization performance and employee well being; this matter relates with the

payment, benefit, working condition, safety, management style, bonus, compensation, etc.

Moreover, organizational long run production and business must overcome the competitive pressures from the customers, suppliers, cost, other rivals, demand and supply law, the market mechanism not only the national scope but also the global scope.

Although we have many obstacles to gain the organizational business strategic objectives but if we know to appreciate, approach and apply HRM appropriately for every context we will have the results from these investments.

First of all we have to determine the organization scale, real situation of production and

business through the database analysis. And find down the reasons related to HR, we combine with the plan in the future to build a new HRM strategy with the feasible objectives. That means the objectives is specific, measurable, achievable, realistic and a time frame.

After that we use the role of HRM in HRM planning by the contribution and support of

administrative expert, change agent, strategic business partner and employee champion

aim to have a good professionals; dynamic, flexible, skilled, decisive, perceived managers. We only can recruit by the detailed job analysis to have a job description, job

design, job specification; this method we will select the people who have knowledge, skills, attitudes and can allocate them at suitable position. It is also appropriate for changes marking and vacancies adjusting.

Then we consider the workforce, internal sources or external sources, the methods of recruitment, the globalization of labors, the movement of labor across region, the brain-drain; before we have to analyse its advantages and disadvantages to have a suitable selection. We should use method of SWOT analysis the understand deeply exist human resource, have a ultimate orientation of labours use, for instance overtime, full time, part time, subcontract, joint venture, open more shifts, and so forth. To be sure that we use, retain and develop the human resource we should avoid to create the erosion of employees' trust, this issue must be showed at recruitment period, it should be prepared a employment checklist ( Asian Pacific, Management.Pty.Ltd,2006).

It is certain that there are variable challenges happened when the shift from an industrial society to an information society, they are fair and just workplace.

Consequently, we determine that the relationship between the employer and employee is controlled by the legal system, provisions agreed in the contract, all obligations and benefits, compensations are transparent. The organization needs to meet employees' legitimate demands, for example motivation, ambition, healthy work environment, safety, EEO, etc. The work-life balance is essential and the organization will receive a perfect goals because of employee' attitude, capability, competence. Every employee is involved in an actively and everyone has a role to play in strategy implementation. Therefore we communicate the organization' strategy clearly throughout the organization so that individuals appreciate why they contribute to organization' success (Henry 2008)

In the economics, the economic profit equals total revenue minus total amount of explicit costs and implicit costs. And one of main costs is labour of input of organizational process, even they must calculate the marginal product, marginal costs to plan for each goods produced in the specific period of time. It relates to the capability, skills, professional, management competence, IT application, advanced technology using of all managing levels who the organization hired with a appropriate payment. Jones and George (2004) argues that HRM includes all the activities managers engage in to attract and retain employees and to ensure that they perform at a high level and contribute to the accomplishment of organization goals and these activities has five main components as the under diagram

Recruit and


Training and


Labor relation

Pay and benefits

Performance appraisal and feedback

Each component of an HRM system influences the others, and all five fit together

Besides, we carefully consider the sensitive problems related the employees, such as

race, gender, age, religion, disables, EEO, culture, discrimination in recruitment process. Particularly, we make a staffing policies for a multinational enterprise. Eiteman, Stonehill and Moffett (2010, p. 473) find that in Afghanistan during the Taliban regime there a serious discrimination against women.

Since the Taliban' downfall in late 2001, several women have been suggested for important government roles. And we should not forget to review the exist resource to decide the quantity of new workforce to ensure that the required number of employees available we need and match HR objectives with everyone' allocation. In fact, the human resource is very diverse but you have to use some suitable methods, such as through the head hunter companies, advertisement, notice-board, employment sub-companies, job street, internet sites, job open day fair, and so forth. Depending on the specific vacancies and necessary position this force may be our customers, labour officer, event the competitors-------------------------------------------------------------There are many mistakes it is very avoid when the organization conduct the recruitment. These problems are bias, halo error, horn effect, perceptional errors, and so on. The employees are very sensitive and can discover them. It will concern to the result of recruitment and the organization easily lose the opportunity to select the talents for the workforce


Every organization has a separate and appropriate HRM strategy, they think that it play a decisive role to implement the organization' objectives and achieve good profits. Trebilcock and Howse (2005, pp.6,14, 506)state that through investments of their own in the human capital will gain a comparative advantage because of the employees certainly create the innovation in manufacture and improve their product quality; clearly, investment in human capital, infrastructure, healthcare, law contributed to achieve a sustainable growth in the East Asian nations. When analysing the value chain of displaying and activities Hollensen (2004, pp.20-22) discusses that HRM is one of the particularly important issues that transcends whole primary activities in value chain; including all the process of the assessment, recruitment, training, and certainly rewarding employees in the organization. How if the managers have an advanced awareness, an organizational capabilities they will comprehend to create a right planning, suitable organization, flexible leading and a comprehensive controlling in HRM. It helps the organization to achieve the explicit and clear objectives; then the organization has a sufficiently competitive capacity to survive and develop although it have to face many strict challenges and competitions in the market mechanism.