Primarily, human resource management aims upon raising the effectiveness and involvement of employees just as to make goals and objectives achievable and attainable. It contains vivid conceptions that are said to be effective enough just as to make company growing and progressing. With this, it can also be ensured that situations need to be made highly favorable and affirmative in approach. Not only this, the check can also be formed upon relevant areas. The areas of HRM are affirmative and helpful to allow organizations to make situations proper and managed too.
Human Resources are a vital department within companies, it’s not just a place to go when troubles occur, but too often they are misunderstood and underutilized. Human Resource has become a major feature of a company 's overall strategic plan because of the following; Strategies on how making the company more efficient in all areas. Meanwhile, having different training and building communication skills. In addition to, this function presented in any management helps in maximizing employee performance. By following or understanding these methods you can tell why HR has become an importance to a successful company.
However, access to capital & technology has become less critical in today’s economy as compared to acquiring and keeping skilled workers. In a knowledge-based economy, it is important for companies to be more strategic in the way it operates. Human Resource Management today has to be strategic to meet the business needs of the company. At the same time, it cannot lose sight of the critical value and importance of people in making these strategies a reality. With that in mind, there is a need now to look at HRM from a different perspective so that it can contribute to the achievement of the company aim and objectives.
However, the true impetus driving these attributes of success results from employees. The act as the success catalysts in raising the competitiveness of the firms and their failure or absence is likely to cause a vacuum through which any organization would fail and disappear into obscurity (Kaliannan & Adjovu, 2015). Consequently, human resources (HR) policies have to be compatible with business strategic planning. It would be inappropriate to consider employees as variable expenses. Rather, they ought to be categorized as assets bearing in mind that they are precious and a critical source of competitive advantage as their skill, capabilities and experiences are for the benefit to the company.
(2) Why should firms undertake corporate social responsibility? Corporate social responsibility (CSR) is a business approach that creates long-term shareholder value by embracing opportunities and managing risks derived from economic, environmental, and social developments. A CSR policy functions as a self-regulating mechanism whereby business monitors and ensures its active compliance with the law, ethical standards, and international norms. The goal of CSR is to embrace responsibility for the company's actions and encourage a positive impact through its activities on the environment, consumers, employees, communities, and stakeholders. Customer social responsibility can build the loyalty and trust that both ensure a bright and sustainable future in business.
On the other hand, the downsides of not having these policies are workers are not motivated I think the salary of an employee is not the only factor for which workers are motivated to work. Companies should offer fringe benefits which are not- cash forms of reward and are used by business in addition to normal payment systems in order to give status to higher- level employees and to recruit and train the best
However, it is critical that organizations invest in core competencies while at the same time examine the competitive dynamics that determine industry attractiveness. An example cited in the article involves Masco Corporation; a company that built competence in metalworking and diversified into other closely related industries. Unfortunately, the returns from this strategy were lower than what the Masco had expected because the bargaining power of the buyers was high, buyer switching costs were low, entry barriers were low and the bargaining power of suppliers were high. No amount of metalworking expertise could have helped Masco improve profits in such an unattractive industry. RVB takes a “larger picture” approach to analyzing the competitive position of a company.
It is important for today's business to attain and maintain talented human work forces; therefore, many companies strive to seek methods to reinforce human work forces. I think that diverse recruitment and career development actives are good ways to reinforce human work forces because these are motivate employees to increase organization's productivity as well as employees' loyalty to their companies. As diversity flourishing, the most successful companies have tried to deal with diversity toward inside customers, employees and outside customers, real customers. It is not only bringing advantages to them but also practicing affirmative action. It is not easy for a company to maintain their human work forces and find their employees' potential which can be used to increase productivity.
Often, the main goal of the employees is to get their job done with little discretion of the company’s revenues, which is the overall organizational goal. A conflict of interests in terms of organizational objectives and individual goals has led to failure of many businesses. In fact, firms have improved their performances after aligning their goals to be consistent with their staff members’ overall organizational profitability. Furthermore, it is important to get in place a good motivation system. In order to extract good performances from employees, it is essential to motivate them.
According to societaI beliefs, an organization's most valuable asset is its employees. This is a statement so simple, yet often misinterptreted. However, contrary to popular belief and given the shifting dynamics of the modern workplace, it comes as no surprise that employees yield less influence in the decision-making processes of a business. It must be borne in mind, that employees constitute a critical link of any business and should subsequently be given the opporunity to develop. The essence of establishing a business is "the bottom line," or in simplistic terms, to make a profit.