WHY MIGHT AN ORGANIZATION ADOPT A STRATEGIC APPROACH TO HUMAN RESOURCE DEVELOPMENT? CRITICALLY DISCUSS WHAT HR PRACTITIONERS CAN DO TO ENSURE IT IS IMPLEMENTED IN PRACTICE. Introduction In globalisation era, managing resources in organisation is a challenge that must be faced by every entity. Their competitive advantages rely on their ability in managing their resources effectively and efficiently. This including human capital as one of the organisation resource.
In today’s highly competitive market, organisations are often faced with increased competition from both domestic and foreign markets. To be able to stay competitive, attract and retain quality employees, it is imperative that the organisation have a compensation package that is valuable to its employees (Naresh 1998). Although between employer and employee there is an exchange of money for labour, there is a driver which enables the employee to do the required task. The driver is called Motivation. Motivation is defined as the processes that account for an individual’s intensity, direction and persistence of effort towards attaining a goal (Cummings and Staw 1997).
This enables an organization to assess its strategies and formulate new ones hence meet the customers’ demands. Since employees implement strategies, they have to be informed of the strategic missions of an organization. Strategic plans by an organization are always aimed at gaining competitive advantage, as such; human resource practices should be aimed at focusing the employees’ attention to the organization’s major strategies (JobsD.com, 2011). Human Resource as a Competitive Advantage for Organizations From the recent research, it is evident that the human resources are very essential for the competitiveness of organizations. An organization can define its strategic human resource roadmap by availing framework in which to plot a course to its future.
The essential difference between the two types of motivation lies in the source that energizes and directs the behavior. In intrinsically motivation, the motivation effect originates from spontaneous psychological need satisfaction provided by the activity. In extrinsic motivation, the motivation effect originates from consequences and incentives made contingent on enacting the observed behavior. According to the study by the ASTD in collaboration with Department of Labor in the United States, in the future, competitive companies will be those that create cultures for workers to learn and to solve complex problems. One aspect of the changing workplace is an increasing emphasis upon systems-wide thinking and integration of knowledge.
The goal of much of business strategy is to achieve a sustainable competitive advantage. Getting and keeping it is what managing strategically is all about. It¡¯s tough to do, and getting tougher.1 There are 2 major views of alternative model of superior returns. Industrial organization (I/O) view and resource-based view. The industrial organization view focuses on the structural forces within an industry, the competitive environment of firms and how these influence competitive advantage.
Innovation has been viewed as a coupling process which is initiated by the minds of imaginative people. However, critiques have argued the usefulness of the user involvement in the process of product development (Woolgar, 1991). One of a common techniques that is deployed by manufacturing firm for outsourcing their product development is crowdsourcing (Kleemann et al., 2008), which can lead to the way organizations use the innovation of the users. Conflict of intellectual property right for new developed product is largely identified as an issue both for the manufacturing firms and users. Additionally, increased costs and lack of trust puts the quality of end product at risk, which is a by-product of crowdsourcing (Hautz et al., 2010).
It is also practically impossible to generalise everyone’s strengths and weaknesses as each person is an individual. The theory is also often contradicted by research such as the study by Hall and Nougain. (1968) In reality... ... middle of paper ... ...r hard work showed in their performance. In conclusion, the essay has shown circumstances where pay works as a motivator and where it fails. The overwhelming feeling is that pay is fine as a short term motivator but when it is used continually workers can become reliant and it can put pressure on employee relations as well as encouraging them to work purely for economic reward.
A company may benefit in terms of upcoming productivity based on the employees that they hire. They may be replaced by another, but their abilities might differ. One may be systematic and hardworking but if he or she is replaced with another, who is hardworking but has no creativity, the company might suffer in the long run. Physical assets, or capitals of a company are equally important. Things such as tools, machines, property, materials and money are considered as important as human capital (Schultz, 1961, pp.
HRM is regarded as a strategic function in many organizations as they concern about intellectual enterprise. When it comes to Human Resource planning, it is a process by which management determines how the organization should move from its current position to its desired position. Through planning, management attempts to have the right number and the right kind of people, at the right place, at the right time, doing things, which result in maximum benefits for both the organization and the individual. HR planning is a continuous process which starts with the identification of HR objectives, moves through analysis of manpower resources and ends at appraisal of HR planning. Following are the major steps involved in human resource planning: Phases for Human Resources Planning 1.
Strategic vs. Benchmarking Before looking at what the future of Human Resource Management (HRM) may hold. Hylton 2 It is important to understand the difference between HR as a strategy and organizational benchmarking. Strategic HRM is the linking of HR, with the strategic goals and objectives of an organization. Strategic HRM is a partner in the formulation of the company’s strategies as well as in the implementation of those strategies through HR activities, i.e. recruiting, selecting, training, and rewarding personnel, “HR professionals should judge their performance relative to their firm’s own strategy rather than the HR efficiency of other organizations” (Becker, Huselid, 2003, p. 58).