As the quantifiable characteristics of the composition in the workforce changes, employee motivations and expectations evolve too. It is up to the Human Resources department to understand what is revolving around people 's thoughts and happiness today in the work field environment, such as what is most valued by those workers and how work-life balance becomes one of the employers ' expectations. In many cases, HR will have to adapt their incentives, benefits and retention strategies for workers that are only driven by financial wages and compensation. Over the years, Human Resources function has changed with a clear goal in mind on figuring out the best practices and the best allocation of time. Companies will have to make sure that their people are committed and productive, so that they do not leave after a short period of time as well as incurring substantial turnover costs and wasting all the time spent investing in training newly hired employees. More companies and organizations are realigning the role of HR, so that they can better manage the organization as well as oversee …show more content…
The biggest objective and ultimatum for HR to make options and judgment about the use of these levers and where to focus their effectiveness and efficiency. Compensation and reward philosophy are one of the most important mechanisms. Human Resources can utilize the systems to inspire employees to perform in ways that are proper. Employees who think, act and behave in the proper way should be rewarded. Those who do not, should not receive rewards as a result, it will send mixed message to employees. HR must be careful when designing such pay for performance reward programs. To adequately and productively impact corporate culture, pay systems should reward not only job outcomes, but also behavioral expectations as
Ulrich, D., Younger, J., and Brockbank, W. 2008. “The twenty-first century HR organization.” Human Resource Management, 47, pp.829-850.
Human resource management can be viewed as the spider web that entangles a company’s workforce. HR departments are involved in employee’s work lives from the recruitment and selection process, to the training and development, performance reviews, and the compensation
Organizations’ other resources can be hired, retained and discarded at any time but human resources needs special treatment. It needs to be carefully hired, deserve an extra effort to retain it and requires training & development to upgrade and improve its capabilities. Other resources depreciate with the passage of time but when the human resource gains more and more experience, it becomes more beneficial for the organizations. These characteristics have brought human resources to be the central element for the success of an organization. (Mohammed, Bhatti, Jariko, and Zehri, 2013, pg. 129, para. 2)
Bratton and Gold (2003) describe a reward system as “The combination of extrinsic and intrinsic rewards delivered by the employer. It also consists of the incorporated policies, processes, performs and administrative processes for executing the system within the framework of the human resources (HR) strategy and the total organizational system”.
Human resource management and the organizations in which it takes place are facing challenges from a changing environment. Hiring the proper people with the appropriate skills is an essential part of maintaining the workplace. Economic issues which include downsizing, organizational culture, productivity, ethics, demographics, and diversity plays a significant role when redesigning a company 's Human Resource Department. Success in the field of Human Resource requires an update of knowledge continually. Training, certifications, hands-on experience, and tactic knowledge helps to perform a difficult redesigning task with speed and sensitivity. Human Resource actions are comprised of but not limited to equal employment, staffing, compensation, benefits, labor relations, and safety. Ethical issues are
Summary Statement: This paper examines in detail HR function and its implications in an organization. The paper discusses how the HR function is handled in an organization. The paper explains what are the efficient ways to use it in an organization, its division and supervision strategies. Human resource function is the process by which the HR manager can ensure that the organization has correct number of employees with correct skills in present or in the future to meet the organization’s strategic business objectives. For example, if an organization plans to expand into new markets or to provide new services in the near future, the HR manager should develop a HR plan to measure how many new employees should be hired? What skills should the employees have? When should the recruitment start? How will this plan affect the existing employees? Does any Government regulation that should be consider? These are only a few of the many considerations in formulating an effective HR function The advent of knowledge economy requires companies to form a new concept of HR, that is, the human- oriented concept. Globalization refers to the development of an economy and any forms of governance that span much of the world. It means the integration of markets across the entire world and the increasing tendency for people, corporations and states to operate in or across national boundaries. By these exercises, the performance theory concludes that there may be some linkages within a broad view of performance which could explore causal links between HR and performance. In addition to Guest’s review on HR and performance, there is a growing body of literatures that support the correlation between high performance as a result of HR practice and vari...
This research paper will focus on whether there is any relationship between employee’s productivity motivation in the workplace, does the productivity of an employee increases when they are appraised by acknowledgement and treatment or does an employee become more efficient in the workplace because of monetary compensation? This paper will help understand where does the motivation of an employee derive from and whether employers should be wanting to pay more attention to the way that they direct their employees, we will find out from this research paper if employees are more productive and efficient when they are compensated and when they are recognized for their work and dedication or if there are just some employees that no matter
Reward Management (RM) has been defined as the distribution of monetary and non-monetary rewards to employees in an effort to align the interests of the employees, the organisation, and its shareholders (O’Neil, 1998). In addition O’Neil (1998) also suggests that a RM system can serve the purpose of attracting prospective job applicants, retaining valuable employees, motivating employees, ensuring legal requirements relating to direct and indirect rewards are not violated, assisting the company in achieving human resource and business objectives, and ultimately assisting the organisation in obtaining a competitive advantage.
An organizational human resources department utilizes the hiring and firing process to meet the organization’s personnel needs. Organizational human resource departments are charged with the oversight of an organizations administration department. The practice of hiring and firing people is a process employer’s conducts on a daily basis. This process has to be done in a proper manner and not in haste. The implication that can occur from the improper hiring and firing process could and can have a positive or negative impact on an organization. Therefore, employers must carefully evaluate their decision to hire/fire individuals and its impact on the organizations’ workplace environment and others employees. Human Resource Management is important for an effective organization. In today’s organization, HRM is valuable to the organization because of increase legal complexities and its known for improvement in productivity. However, management should realize that poor human resource management could result in an outburst of hiring process followed by firing or layoffs. According to (Satterlee 2013, p. 194), “Hiring the best candidate who is also a good fit for the organization is crucial for the success of an organization, because a poor hiring decision will have repercussions across the entire organization”. Satterlee made a valid point because poor hiring could have an impact on the bottom line performance of the firm. In other words, HRM is the contributing factor to the success of the organization including motivating and maintain the staffs. The purpose to the motivation is to ensure that all employees grow to a full potential. According to (Sims 2006, p. 5), “HRM efforts are planned, systematic approaches to increasing organizati...
The field of human resources (HR) plays a critical role in the performance and success of organizations. As organizations have become increasingly more complex, the effective management of HR has become even more important. The traditional perception of HR as only an administrative office is no longer valid. Instead, contemporary HR is directly involved with the internal organizational structure, business operations, and variety of functions carried out by employees on a daily basis (Reed & Bogardus, 2012). HR functions impact the organization’s strategic planning, improvement processes, and goal achievement. Six core bodies of knowledge provide the foundation for all of these HR functions. These areas are: strategic management; workforce planning and employment; human resource development; total rewards; employee and labor relations; and risk management (Reed & Bogardus, 2012).
In recent years, how to improve employee motivation has become one of the most discussed topics in our daily social news. Working demands differ significantly around the world. People working in different kinds of industries obtain different rewards. Most of the time, the employee’s motivation depends on the local government policies and the customs of their society. This includes, for example, employee competitive salary, year-end bonuses and company stock dividends, paid annual leave, employee lunches and break times, paid social insurance and regular vocational skills training. There are also some welfare factors such as free employee traveling, free books and gym membership, monthly team building and communication activities, a comfortable
Employee compensation and reward systems have undergone a couple of paradigm shifts since inception. Reward systems were traditionally compensation based and focused on the individual or the position (Beam 1995). After a recession in the early 1980's, employers turned to performance based models in an attempt to save money while still rewarding top performers (Applebaum & Shapiro, 1992). Today, the most successful organizations are using a total reward model, a hybrid of the performance based model combined with strategic human resource management planning to create reward systems that both benefit the employee and help organizations realize their operational goals (Chen & Hsieh, 2006).
Proper use of human resource can improve an organization’s performance. As the human resource department gains attention to frontline managers they can become more familiar with the organizations goals and development. Other ways to focus on the effectiveness of the HR departments is by utilizing employee contributions, because employee opinions brings forth a change that can better the organization. Wan-Jing & Tung (2010) without employee contributions, it is impractical to establish whether an organizations HR department is beneficial to employees, or that it only contributes to negative quality of working life. HR departments contribute to equal performance appraisal of employees and management, which helps develop understanding and a fair work environment that produces important benefits. Such benefit outcomes of HR have demonstrated as; employee motivation, commitment, training levels, reduced turnover and absenteeism rates (Wan-Jing et al, 2010). By sustaining a proper HR department in an organization, HR will bring in a strategic objective which will help
Hardware, furniture and building centre (House, Hearth & home), has been existing for many years by now, and it still exists. However, since there was a crisis situation in the late 2009 and 2010, many businesses have faced different kinds of problems, mostly the economic and financial ones, so they have to regain the previous positions, and come back to the profitable state of affairs.“All organizations are concerned with what should be done to achieve sustained high levels of performance through people.” (Armstrong, 2001, p.155). Motivation theory is one of the most important theories in Human Resource Management (HRM). It explains what organizations can do to encourage people to apply their efforts and abilities in ways that will further the achievement of the organization’s goals as well as satisfying their own needs (Armstrong, 2001, p. 155). Most organizations use different types of rewards include money, plaques, trophies, certificate, public recognition, official perquisite, special assignments, parties or celebration and meaningful consideration (singh,2011, p11).
An effective human resource management can always add value to an organization. It goes without saying that monetary always acts as a useful motivator in the workplace, managers can use pay to motivate employees to increase productivity and attain their work goals. Remuneration can be used to motivate from the bottom level of the organization to the top management, even CEOs, it stimulates people to work hard to achieve organizational goals, acts as an inducement to attract people to join and remain with an organization (Weddell et al. 2013 p250). The growing trend that employees reward by cash compensation when they meet or exceed performance goals set and in fact that subordinates tend to be more satisfied and motivated when rewarded by their supervisor (Yammatino et al., 1990). It is also evident that salary and remuneration system which accentuates variable pay, flexibility and achievements based on performance are now more applied by organization than emphasize on increase to base pay (Hewitt Associates 2006). Bonuses and allowances based on profit and accomplishments are widely used by the organization, especially compensation plan based on performance, called as merit pay plan. Likewise, individuals with more achievement oriented and entrepreneurial are found to be more concerned with competency