Paper Sample on Effective Human Resource Management

1.1 Overview of the Study

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An organization represents a holistic system where the participants are obligated or committed to attaining its goals. Its policy operates by a stable structure or design. An organization possesses several resources such as land, capital, technology, and human labor, to which it maximizes their utilization to achieve the set goals and objectives (Stewart and Rigg, 2011). Human labor represents a sensitive composition of these resources and is considered the leading determinant of an organization's success in the long run. As the economy goes through evolution periods, firms are not left behind and exhibit significant changes in their operations and employee management strategies. Therefore, the human resource management (HRM) can be considered as one of the considerable approaches towards control of what is regarded as the corporation's chief asset (Torrington et al., 2014). The HRM department plays a significant role in ensuring that operations of an enterprise are conducted smoothly through ensuring that the firm hires the right personnel and develops their capabilities. This maximizes the output levels, as well as retention of the talented and productive employees in the organization.

Moreover, a robust human resource management department ensures that the human resources available for the firm are aligned toward the achievement of the overall strategic goals and objectives with the primary aim of improving organizational performance levels. A robust human resource management department integrates the individual and overall employees' decisions with the organization's set goals (Bratton and Gold, 2007). Therefore, HRM is integrated into the enterprise's planning process where its missions are incorporated into the overall short and long-term strategies of the firm as well as details on how it will help in attaining the goals. The success of a corporation is determined by the attainment of the set targets and objectives. This means an enterprise that establishes a strategic HRM department can manage its employees efficiently and will succeed in meeting its targets (Guest, 2017). Therefore, this study focuses on the analyzing how an active Human Resource Department contributes to the realization of tangible values in organizations.

Statement of the Problem

Corporations across the world are facing challenges to adopting the current trends in the universal business environment. Some of them are struggling to perform on the global front due to their inability to organize and manage the human resources at their disposal. Such an aspect has affected both the public and private organizations, often making them miss out on the tangible values derived from efficient utilization of the available human resources. Failure to derive tangible values has led to a situation whereby some of the enterprises become less competitive. This study, thus, aims to highlight how the adoption of effective human resource management techniques will help such organizations in earning tangible values resulting from efficient HRM departments. The research will help determine whether institutions have adopted functional and efficient HRM strategies, and evaluate the extent to which the approach can assist them in realizing the real worth of tangible goals and values.

Objectives of the Study

General Objective

The study aims at establishing how strategic and robust human resource management helps organizations to realize tangible values.

Specific objectives:

To establish whether there is a direct relationship between strong HRM strategies and the overall performance of organizations across the world.

To determine whether and to what extent strategic human resource management leads to corporate success.

To establish whether firms are utilizing strong human resource management practices.

Research Questions

Is there a relationship between robust human resource management and realization of enterprise success?

Do firms in the country practice effective HRM strategies?

Does the Human Resource management pose any influence on the organizational performance?

The relevance of the Study

The current business environment is dynamic, yet firms still aspire to become a significant player in their industry locally and internationally. This study explores recent developments in human resource utilization so that it can emphasize the need for organizations to need for adopt practical and robust human resource management techniques which can enhance the productivity of their employees. Once enterprises realize and appreciate the significance of this front, they will be able to align themselves with the current competition prevailing in the global business environment. The idea of the research was motivated by the current under-utilization of human capital, which led to low productivity in some enterprises. Thus, the findings of this study will enlighten the business owners and managers to establish a robust human resource department, which will optimally use and motivate the actions of their employees toward the attainment of the set goals.

Hypothesis

H0 - There is no significant interaction between strong human resource management and enterprise performance.

H1 - There is a significant interaction between strong human resource management and enterprise performance.

The scope of the Study

As expressed above, the research focuses on identifying how a strong human resources department creates tangible value for organizations. The study will focus on UK-based enterprises, concentrating on service-based companies such as hospitals, banks, and telecommunication enterprises. The study will examine telecommunication firms such as Vodafone, Three UK, and Sip Trunking. Additionally, it will consider healthcare centers such as Royal Manchester Children's Hospital, Spire Manchester Hospital, and Manchester Royal Infirmary. Banks such as Hampshire First Bank, Standard Chartered Bank, and Lloyds Banking Group will also be considered in the analysis. The study will utilize empirical data, which will make the testing of hypothesis possible, and which will be used together with the theoretical focus of the research to create a comprehensive inference. The data collection process is expected to take place between July 2018 and December 2019 to give room for analysis and completion of the study before December 2020.

CHAPTER TWO

Literature Review

General Overview

The emergence of globalization has altered how firms operate and how work is done. The significant change has been the emphasis on firm's competitiveness, a diverse and more mobile workforce, and the advancement in part-time and more flexible work. Globalization is an emerging global development characterized by continuous progress in technology and intensified competition (Rogers et al., 2012). This has necessitated or somewhat increased the emphasis laid on employees' management as a way of keeping track with such trends. This has, in turn, led to advancement on the roles of the human resource management, which is projected to contribute to helping the employees face the challenges emerging from the globally competitive business environment.

Additionally, enterprises and the respective managements are continually realizing the significance of human competitiveness, and how it can be utilized to ensure that the corporations survive as well as promoting economic progress. Thus, the global businesses have established a belief that organizations which pose significant improvement in their performance levels require the utilization of world-class and competent human resource management strategies. Such approaches assure them of acquisition of skilled and qualified labor force, development of their skills and competencies, and also the determination of the best remuneration strategies (Gruman and Saks, 2011). These measures ensure that firms can attract talented and skillful workers, retain them, and utilize them optimally in realizing the set targets and goals (Armstrong, Brown and Reilly, 2010).

Defining Human Resources

Several scholars have exploited this front in the hope and target of succinctly defining human resources. However, the research will consider two essential definitions; one in which human resources are referred to as individuals employed in an enterprise, and the other one where human resource is considered a field concerned with employee recruitment and subsequent management (Dessler, 2015). The two definitions have expressed the meaning of the subject, but have not been able to emphasize on the power associated with these policies, approaches, and how it can improve on the quality of personnel in an organization. Due to the current advancements in the business environment, the HR field has evolved drastically and moved from the sole duty of hiring and ensuring that the employees are rewarded sufficiently. Thus, its functions have developed into a more strategic department which renders more value to the organizations in certifying that they keep up with the dynamic business environment. Such additional roles include skill development, where after the enterprise recruits talented workers, the HR department takes over to ensure that they acquire necessary skills and other competencies to cope with the changing conditions in the business world (Gungor, 2011). Additionally, the employees' concerns have shifted from the former salary-based motivation to value-based, and such personnel considers the additional value derived from their employers as a compliment to the salary or wages allocated. Therefore, the role of HR has shifted to cater for the extra benefits such as offering training, provision of a conducive working environment, and creation of a balance between family and job concerns. Consequently, competent human resource managers must ensure that the affiliate needs of their employees are met to enhance their productivity.

Strong Human Resource Management and Business Strategy

Universally, a business strategy which is likely to achieve success in its implementation is centered on the utilization of the available human resources. If the relevant human capital information is considered in the process of formulating business strategies, then enterprises are projected to experience success and attain the set targets (Huang, 2001). Therefore, consideration of the pool of human resources available for the firm has emerged as a significant factor that leads to the success and accomplishment of business strategies (Harrison and Bazzy, 2017). Putting into consideration aspects such as the abilities, knowledge, and skills when establishing short or long-term business strategies, such as attainment of an increase in profits, has proven to affect the achievement of tangible value. It is thus prudent to infer that business strategy is motivated and determined by the quality of human resources available for organizations, and not the other way round (Chen, Yeh, and Huang, 2012). The approach adopted in the management and motivation of the available workforce, and also the availability of knowledgeable and skillful personnel, shapes and determines the achievement of the strategies of an organization (Holbeche, 2011). For instance, if a firm aims at increasing the number of customers served daily, the management has to consider the availability of adequate employees, and the needed skills and competencies to accomplish the task before formulating and implementing the strategy.

Human Resource Management and Organizational Performance

Scholars such as Twomey and Harris (2000) have associated efficient management of human resources with improved business performance. However, their analysis did not express the particular aspects...