Human Resource Management can Improve the Competitive Ability of Business

Human Resource Management can Improve the Competitive Ability of Business

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Human Resource Management can Improve the Competitive Ability of Business


The starting point for a human resource strategy is the organisations
strategic plan. A workforce must be put in place which provides
departments with the correct number of appropriately skilled employees
to accomplish targets in all departments. In order to achieve this,
the likely demand for products or services must be anticipated and the
future implications for recruitment and training considered. Effective
communication between departments is vital if this approach is to
succeed. For example:

· The marketing department can supply estimates of future demand.

· Operations management can detail the level of skill needed to
produce the goods.

· Human resources can then recruit or fire people in line with the new
requirements identified.

· Training may also need to send people on courses if the skill mix of
employees is inappropriate.

Workforce planning is therefore an integrated process. It requires an
overview of the whole operation of the business. In order to

use human resources successfully to create a competitive advantage,
the future position of the firm must be considered. A workforce must
be put in place which will allow the strategic plan of the business to
be put into effect. The main benefits of creating a human resource
strategy are:

· To put the appropriate employee mix to allow the organisation to
achieve its aims and objectives.

· To communicate the culture of the busi...

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