HR management in organizations

HR management in organizations

What is HRM?

Human Resource Management (HRM) is the process of managing an organization's human resources, including hiring, training, compensation, benefits, performance management, and employee relations. HRM is crucial to organizational success because it ensures that an organization's workforce is properly trained, motivated, and productive.

source: https://www.techtarget.com/searchhrsoftware/definition/human-resource-management-HRM

According to Armstrong and Taylor (2014), HRM is defined as "a strategic approach to the acquisition, development, management, and motivation of the organization's human resources." This definition emphasizes the strategic importance of HRM in achieving organizational goals.

HRM is also responsible for creating a positive work environment, maintaining employee morale, and promoting diversity and inclusion. These aspects of HRM are critical for attracting and retaining talented employees.

HRM is a rapidly evolving field, and new approaches and technologies are constantly emerging. Some current trends in HRM include:

• The use of analytics and data-driven decision-making in HRM.
• The growing importance of employee wellness and work-life balance.
• The increasing use of technology, such as HR information systems and online training platforms.
• The rise of flexible work arrangements, such as telecommuting and flexible scheduling.

Source: Cascio, W. F. (2018). Managing human resources: Productivity, quality of work life, profits. McGraw-Hill Education.






 

Overall, HRM is a complex and multifaceted function that is critical to the success of any organization. By managing its human resources effectively, an organization can create a competitive advantage and achieve its goals more efficiently.

Qualities of HRM 

There are several qualities that organizations can strive to improve based on HR management practices. Some of these qualities include:

• Recruitment and retention: A key aspect of HR management is attracting and retaining talented employees. Organizations can improve their recruitment and retention practices by developing attractive compensation and benefits packages, offering professional development and growth opportunities, and creating a positive work environment.
• Employee engagement: Engaged employees are more productive, innovative, and committed to their work. Organizations can improve employee engagement by providing regular feedback, recognizing and rewarding good performance, and fostering a sense of teamwork and collaboration.
• Performance management: Effective performance management is essential for ensuring that employees meet their goals and contribute to the organization's success. Organizations can improve their performance management practices by setting clear and measurable goals, providing regular feedback and coaching, and holding employees accountable for their performance.
• Diversity and inclusion: Diversity and inclusion are critical for creating a positive and productive work environment. Organizations can improve their diversity and inclusion practices by developing inclusive policies and practices, providing diversity training and education, and promoting diversity in leadership positions.
• Employee well-being: Organizations can improve their HR management practices by promoting employee well-being through programs and initiatives that address physical, mental, and emotional health, such as wellness programs, mental health resources, and work-life balance policies.

Literature review

Human resource management (HRM) is a critical function in organizations, responsible for managing an organization's most valuable asset - its employees. A literature review of HRM in organizations reveals that HRM has evolved over the years from being an administrative function to a strategic function that contributes to an organization's success.

One of the key themes in the literature is the importance of aligning HRM practices with the organization's strategy. Scholars argue that HRM practices should be designed to support the organization's strategic goals and objectives. This includes aligning recruitment and selection practices, training and development programs, and performance management systems with the organization's strategy (Kehoe & Wright, 2013).

Another theme in the literature is the role of HRM in creating a positive work environment. Scholars argue that HRM practices such as employee engagement, job design, and work-life balance can improve employee satisfaction and motivation, leading to increased productivity and reduced turnover (Guest, 2017).

Performance management is another area of focus in the literature. Scholars argue that effective performance management systems should provide employees with regular feedback and coaching, align individual goals with organizational objectives, and reward employees for achieving results (Wright & McMahan, 2011).

Finally, the literature emphasizes the importance of HRM in managing diversity and inclusion in organizations. Scholars argue that HRM practices should be designed to attract, retain, and develop a diverse workforce and that managers should be trained to manage diverse teams effectively (Jackson, 2014).

Situational examples

One good example of effective human resource management is the approach taken by Southwest Airlines. 

1)Southwest Airlines has been consistently ranked as one of the best companies to work for in the United States for several years, and its HR practices are often cited as a major reason for its success. Here are some examples:

Recruitment and selection: Southwest Airlines places a strong emphasis on hiring employees who fit with the company culture and values. They look for candidates who have a "Warrior Spirit," a "Servant's Heart," and a "Fun-LUVing Attitude." They also have a rigorous hiring process that includes multiple interviews and assessments.

Training and development: Southwest Airlines offers extensive training and development opportunities for its employees, including on-the-job training, classroom training, and online learning. They also have a program called "Leadership at Southwest" that prepares employees for leadership roles.

Performance management: Southwest Airlines has a unique approach to performance management that includes regular feedback and coaching from managers and peers. They also have a system of "Success Sharing" that rewards employees for meeting company-wide performance goals.

Employee engagement: Southwest Airlines offers a range of perks and benefits to help employees feel valued and engaged, including profit-sharing, stock options, and a comprehensive benefits package. They also have a culture of employee empowerment and involvement, with employees encouraged to participate in decision-making and share their ideas.

Overall, Southwest Airlines' HR practices demonstrate the importance of creating a strong company culture, investing in employee development, and engaging employees to drive business success. This approach has helped Southwest Airlines achieve high levels of employee satisfaction and retention, as well as financial success.

2)Another example of effective human resource management can be seen in the practices of Google Inc. Google is known for its innovative HR practices and has been recognized as a top employer by various publications, including Fortune magazine (Morrison, 2018).

One of the key HR practices at Google is its selective recruitment and hiring process. Google receives over two million job applications each year but only hires a small percentage of applicants. The company uses a variety of tools and techniques to identify top talent, including behavioral and situational interviews, case studies, and simulations (Bock, 2015).

Google also places a strong emphasis on employee engagement and well-being. The company offers a variety of benefits and perks to its employees, including on-site healthcare, free meals and snacks, and wellness programs. The company also encourages employees to pursue their interests through initiatives such as "20% time," where employees can use a fifth of their work time to pursue their own projects (Google, n.d.).

Performance management is also a focus at Google. The company uses a system called "Objectives and Key Results" (OKRs) to set individual and team goals, measure progress, and provide regular feedback and coaching to employees (Doerr, 2017).

Finally, Google is committed to creating a diverse and inclusive workplace. The company has a dedicated team focused on diversity and inclusion initiatives and has implemented a variety of programs to attract and retain a diverse workforce, including unconscious bias training and affinity groups for underrepresented employees (Google, n.d.).

In conclusion, Google provides a good example of effective human resource management through its selective recruitment and hiring process, emphasis on employee engagement and well-being, focus on performance management through the use of OKRs, and commitment to creating a diverse and inclusive workplace.

Conclusion 

Human resource management plays a critical role in organizations by managing the people who work for them. Effective HR management involves a range of activities, including recruiting, hiring, training, managing performance, and providing employee benefits. An effective HR management strategy is essential for the success of an organization as it helps to ensure that employees are engaged, productive, and motivated. It can also help the organization to meet its goals and objectives by aligning individual employee goals with the overall objectives of the organization. Furthermore, HR management can help to create a positive work environment where employees feel valued and supported. This can lead to increased job satisfaction, reduced employee turnover, and increased productivity.

Overall, HR management is a critical function in any organization, and a well-designed HR strategy can help organizations achieve their goals and objectives by leveraging the skills, talents, and potential of their employees. By focusing on these qualities and continuously improving their HR management practices, organizations can create a more productive, engaged, and successful workforce.

References

• Armstrong, M., & Taylor, S. (2014). Armstrong's handbook of human resource management practice. Kogan Page Publishers.
• Cascio, W. F. (2018). Managing human resources: Productivity, quality of work life, profits. McGraw-Hill Education.
• Ramlall, S. (2016). Managing employee retention as a strategy for increasing organizational competitiveness. Journal of American Academy of Business, Cambridge, 21(1), 16-22.
• Saks, A. M. (2019). Antecedents and consequences of employee engagement revisited. Journal of Organizational Effectiveness: People and Performance, 6(3), 267-288.
• Macey, W. H., Schneider, B., Barbera, K. M., & Young, S. A. (2011). Employee engagement: Tools for analysis, practice, and competitive advantage. John Wiley & Sons.
• Aguinis, H. (2019). Performance management (3rd ed.). Pearson.
• Armstrong, M., & Baron, A. (2018). Performance management: Key strategies and practical guidelines (5th ed.). Kogan Page.
• Kahneman, D., Diener, E., & Schwarz, N. (Eds.). (2018). Well-being: The foundations of hedonic psychology. Russell Sage Foundation.
• Wright, T. A., & Cropanzano, R. (2017). Well-being, satisfaction, and job performance: Another look at the happy/productive worker thesis. Academy of Management Perspectives, 31(2), 101-108.
• Bock, L. (2015). How Google hires: Inside the world's most selective, process-oriented, data-driven, talent-centric company. LinkedIn Talent Blog. https://business.linkedin.com/talent-solutions/blog/talent-acquisition/2015/how-google-hires-inside-the-worlds-most-selective-process-oriented-data-driven-talent-centric-company
• Doerr, J. (2017). Measure what matters: How Google, Bono, and the Gates Foundation rock the world with OKRs. Penguin.
• Google. (n.d.). Our culture. https://careers.google.com/our-culture/
• Morrison, M. (2018). The 100 best companies to work for. Fortune. https://fortune.com/best-companies/
• Southwest Airlines. (n.d.). Our Purpose and Values. Retrieved from https://www.southwest.com/html/about-southwest/index.html?clk=GFOOTER-ABOUT-OURCOMPANY-OURPURPOSEANDVALUES
  Southwest Airlines. (n.d.). Careers at Southwest. Retrieved from https://careers.southwestair.com/why-work-for-southwest)