Human Resource Management

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In this modern era, the highly competition between business industries makes them seek for highly performance in order to achieve the competitive advantage. Any organization have effectiveness resource which have certain roles for its performance. As a result, the organizations have to manage these resources and one of the most important resource is the workforces. It is believed that the workforces are the ‘glue’ which remains all other resources together and leads them to present effectiveness results. ( Offstein et al, 2005 cited in Mathis and Jackson, 2008: 5-6) The management of human resource has been recognized as a critical resource of innovation, competitive advantage and productively. In fact, many studies and researches are suggested that the functions of human resource management will drive to the competitive advantage . (Chen and Hsieh, 2005: 161 ) It has several polices which are recruitment and selection, reward management, performance appraisal, development and training and employee involvement. Some are assumed that the recruitment and selection is found the most important HRM policies to achieve competitive advantage through attracting and selecting the right people. However, other are acknowledged that the reward management plays critical role to motivate the employees and this leads to increase the performance to competitive advantage.

Many are seen recruitment and selection essential for the company’s strategy to meet highly performance. Hiring the right employee for a job has been always important and the appointment of the candidate is claimed the hardest decision for the employer which will ever take. (IRS, 1991) Furthermore, recruitment and selection are recognized as effective factors of human recour...

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...(Mathis and Jackson 2004. P 333) This case reflects Adam’s equity theory. Although, this would made some issues in the work environment. The fact of some employees been rewarded rather than other would create disagreement and avoid the employees work with each other again. (Mathis and Jackson 2004. P 333) That would probably lead to low performance and the organization’s goals will not be accomplished.

In terms of individual effort and performance, it is recognized in form of three widely common variable pays. It can be piece-rate systems, sales commissions and bonuses. While these seen as motivator for some managers, it could harm the performance of the organization in general. That is because some employees would concentrate with giving individually efforts and performance which might leads to ignore other’s who competes with. (Mathis and Jackson 2004. P 333)

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