The Importance Of Human Resource Management In Today's Business Environment?

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Human Resource Management (HRM) deals with issues having concerns with people that include recruitment, compensation, wellness benefits, organization development, training, motivation, communication, administration, performance management. HRM currently plays a key role in developing a strategic and comprehensive approach to managing environmental and workplace culture to achieve overall objectives of the organization. In short, HRM adds the value of the human asset of the company without which the company cannot progress. The paper aims at discussing leadership development as one of the major challenges that HRM faces in the current times.
Importance of HRM in Today’s Business Environment Todays' business environment is extremely complex. …show more content…

1. Collective leadership will take a charge with reduced importance on individual leadership. The focus will be on creating conditions that facilitates leadership to flourish across the organization.
2. Innovation in leadership development methods will take a front seat because no existing programs or models will be enough to spearhead collective leadership in the increasingly complex future.
3. So far, more stress has been laid on developing competencies (horizontal development) but little has been done to develop vertical development. HRM will need to provide more emphasis on vertical development in the future and will be needed to gear up in that direction. While horizontal development can be imparted, vertical development needs to be earned (Petrie, 2014).
4. Experts opine that development becomes quicker when people begin to "feel responsible for their own progress" (Petri, 2014 p.6). This means HRM will face greater challenges in taking people "out of the passenger seat and into the driver's seat of their own development" (Petri, 2014

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