Human Resource Management in Healthcare

• Anna Marie Biñas

1. BUSINESS FACTORS THAT UNDERPINS HUMAN RESOURCE PLANNING IN HEALTHCARE ORGANISATION

I.I BUSINESS GROWTH

In order for an organisation to succeed, it needs to have a “map”, that will give direction to the business, and this is the strategic plan created by experts in human resource management. The human resource department needs to clearly understand where the organisation is headed. Familiarisation with the strategy, vision and values is essential for them to make HR strategies that can support business growth and development. Human resource managers need to work hard to show that well-thought out people can play a critical role in structuring the high performance the organisation needs to uphold a long term growth.

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Human resource department must have a full awareness of what is going on inside the organisation from knowing the number of staffs to the type of available skills, so they can make strategies that can fully utilise the abilities of the employees to support the growth of the business. It is significant that the organisation is flexible to change. As the business prosper, it’s important not to be too much attached to the previous strategies used and let go of the aspects of the organisation that no longer in line with its vision.

I.II DECLINE

Business decline is an indication that an organisation has poor performance and different areas need to be evaluated to determine what needs to be improved. When the business is not prospering the most common response of the HR department is to reduce its workforce. However, the consequences of this type of scheme can be very distressing for the employee, their families and the whole communities. While workforce reduction is sometimes inevitable, there are reasons why it should be the last resort when managing business decline.

For example, after a yearly audit to a particular rest home, the results show that number of residents died because of infection and falls increased tremendously and so with cases of medication error resulting to decrease number or admissions for that year. The HR managers can used those results to devised programs like Health and Safety Seminars, Medication Competency, Infection Control Programs for the staffs instead of reducing the workforce.

I.III CHANGE

Flexibility and adaptability are traits that an organisation should have. The organisation should be able to adapt to the constant change that occurs in the market. The human resource management plan should contain procedures, standards, policies and processes that are not too overdone or underdone. In making this type of plan, there will be an area for revision or improvement without totally affecting the operation of the organisation.

I.IV COMPETITION

All organisation faces competition. Competition exists when various organisations offers identical products or services. There are two types of competition; direct and indirect competition.

Direct competition occurs where organisations create similar products that appeal to the similar group of customers (Studies, n.d.). For example, in New Zealand there are hundreds of nursing homes that provide similar service to the aged population. On the other hand, indirect competition occurs when different businesses produce or sell products which although not in head to head competition still compete for the same money in the consumer’s pocket. For instance, a shop that sells contemporary CD’s may be indirectly competing with a movie house that attracts young consumers to spend their money on leisure activities.

I.V IMPACT OF TECHNOLOGY

In the contemporary world of business, the HR departments are facing the challenge of standardising human resource processes by means of improving HR information. One way of achieving this is by moving away from “the way we’ve always done thing’ towards an innovative and modern technology that requires a giant step into unfamiliar aspect of the organisation.

Modern technology can be advantageous to the organisation. For instance, when operational costs and spending are questioned and scrutinised, integrating HR and Payroll technology can be considered due to its efficiency. In addition to that, the current war for skills, employee experience, retention and employee engagement are more challenging now that they are increasingly mobile and assigned in various locations; however this can be handled by modernising the means of communication and coordination in the organisation.

I.VI LABOUR MARKET COMPETITION

Labour market can be understood as the mechanism through which human labour is bought and sold as a commodity and the means by which labour demand (the number and type of available jobs) is matched with labour supply (the number and type of available workers) (Sagepub, 2005). When numerous organisations produce similar services and products they will be competing in hiring for people with the excellent and relevant qualifications.

In order to achieve the objectives of the organisation the HR department is now challenge on how to hire and attract the right people with the right skills, knowledge and attributes in the appropriate positions despite of the existing competition in the labour market. In dealing with this business factor, the HR manager can opt to design and improve HRM activities to achieve the organisation’s human resource requirements by developing existing staff and retaining their services over the long-term.

I.VII EMPLOYEE DEVELOPMENT

There are four resources that all organisations should manage well: money, equipment/machines, information and people. Investing in the development of the employees can result in their increase productivity which will directly contribute to business growth. The goal of the employee development is to improve the capabilities of the staffs and improve the organisation itself.

Employee development programs may focus on individual staff or as a team. The HR managers can create and implement development programs based on the identified needs of the organisation so that the time and money invested is in line with the objectives of the business (Patton, 2002).

2. HUMAN RESOURCE REQUIREMENT AND FACTORS THAT UNDERPINS HRM PLANNING IN A HEALTHCARE ORGANISATION

II.I INTERNAL PERSONNEL REQUIREMENTS

If there is any job vacancy in the organisation there’s an instance when managers fill the available position with current staff. Frequently, the company will permit any current employee to apply elsewhere in the company. This type of internal recruitment will be able to help the organisation retain highly-skilled employee.

Moreover, it may include reassessing the best structure of the vacancy in a specific area, and/or relate to the desirability of developing, sustaining, and retaining valued and talented member. There is also no need to promote a role if there is an acknowledged career development path within a department and the department desires to assign that role to a current staff that has developed over recent times, has the suitable experience, and is the best internal person to fulfil the specific requirements of the role.

II.II INTERNAL AND EXTERNAL FACTORS IN MATCHING PERSONNEL TO ORGANISATIONAL REQUIREMENTS

Employee Relation

Internal rules and procedures influence HR activities. For example, if the firm is dedicated to promoting from within, HR must ensure staffs obtain suitable training and development to be prepared for promotion when the time comes. HR should monitor the number of staffs qualified for retirement and ensure possible replacements or other staff members are trained to avoid an unexpected departure of business knowledge. External influences, political factors and organizational culture all influence the amount of grievances and complaints HR must attend to.

Compensation

Labour supply drives the extent of payment a business must offer to entice employees. In an oversaturated market, when unemployment is high and many more qualified applicants exist than job openings, the amount of compensation you must provide is less than when a shortage of candidates exists and you are competing against numerous other companies to hire workers.

HR must frequently assess the compensation structure by conducting industry- and location-specific salary surveys to ensure wages remain competitive enough to attract and retain key staff members but low enough that the business remains financially competitive. HR must also ensure that the internal compensation structure is fair — for example, experienced workers with specialized qualifications should earn more than recent college graduates performing the same tasks.

Legislation

Legislation influences all HR activities. Government and state legislation normally dictate how long an organisation must maintain personnel records and other employee information, what can be kept, and how. HR specialists must stay well-informed of legislation and train managers on their responsibilities.

Human Resources are directly related to Labour and Employment law and encompass the various laws and guidelines specific to human resource professionals. It deals with the issues that HR professionals must contend with in the majority of their work functions, mainly in supervising and managing duties related to hiring, firing, employee benefits, wages, pay checks, and overtime. It may also pertain to workplace safety, privacy; and preventing discrimination and harassment.

Furthermore, other common legislation matters of concern to the human resource managers include staff handbooks/manuals, creating policies and procedures, confirmatory action programs and policies, contract and salary laws, compliance audits, confidentiality agreements, substance abuse and drug testing laws, and unemployment compensation.

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