WRITTEN ASSIGNMENT B (A.C 1.1, 1.3, 2.1, 2.2, 3.1, 4.1, 4.2)
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WRITTEN ASSIGNMENT B (A.C 1.1, 1.3, 2.1, 2.2, 3.1, 4.1, 4.2)
AC1.1: HR functions.
The role of the HR function varies immensely between different organizations. Human resources management is not a single homogenous occupation; rather, it encompasses various roles and activities that can differ from one level of organization to another. Primarily, the HR function is concerned with recruitment, induction, apprenticeship, payment, employee benefit, performance and feedback. In particular, these roles of HR function are intended to leverage the competitive advantage, increase profits, and dominate the market. HR staffing includes designing the organizational structure. Examples of organizational objective include;
- Becoming an employer of choice: The HR staffing objective is to assess the work environment and ensure that the organizational structure makes the company the best employer.
- Consolidate market position: the HR ensure that there are distinct practices that make the company the best in the market.
- Expand into new markets: The HR is responsible for aligning individual roles with the company objective. If the company want to move to a new market, the HUR ensure that there are new system such as ERP that makes the company lead in the process.
- To reorganize or restructure: Organization change is critical; as such, the HR reorganizes and restructures the organization, thus making sure it adopt the necessary change.
- Maintain appropriate resource levels: The HR also ensure that appropriate resources are maintained, thus allowing a company to achieve its objectives.
AC1.2 How have these evolved in the contemporary organization
The world is becoming more complex, diverse, and ambiguous; hence the traditional models of operation in organizations are not working. The rapid advances in ICT and the challenge of globalization have changed and revolutionized HR function in organizational objectives (Loon et al., 2020). The progressive integration of ICT across all sectors has created a large-scale disruption. Today, the industry operated in an environment known as VUVA environment. VUVA is an acronym that stands for Volatility, uncertainty, complexity and ambiguity (Rimita, 2020). HR strategies have entered the VUVA environment and have to change first to make the full use of what this environment offers.
Additionally, HR today is forced to have a closer alignment to business strategy, business focus and with the business savvy. Every business decision today has a real impact on its operation, and the HR department has to be equipped to inform strategies and help employees and the management to navigate the changes. HR has to find new ways to recruit, train, attract, and support its employees. The best way to do this n today’s business environment is to align with the business goals.
The HR also has to focus on organization sustainability from the HR perspective, and put more focus on agility and flexibility. HR has to become more driven and use its position in the business to inform the management and leaders about future challenges and opportunities. Essentially, this means that the HR in a contemporary environment plays a significant role in changing the management agenda and ensure sustainable organization performance.
AC1.3 Managing HR in Ethical and Just manner
HR must are responsible for adding value to the organization they serve, which means that it has to accept the professional responsibility of their decision. In order words, the HR must be a profession; they have to build respect, credibility and strategic importance of the organization they serve. They need to maintain high levels of professional knowledge to understand the needs of the business and positively influence the workplace. More importantly, HR has to encourage social responsibility to the employee and the management. Being professional is important in HR increases truest, increases communication and teamwork, and more importantly, it ensures that there is more effective and ethical sound mitigation at the workplace.
Ethical
Ethics in HR means treating employees with ordinary decency and exercising justice at all times (Nankervis et al., 2019). A HR professional is ethically responsible when he or she promotes fairness and justice to all employees in an organization. In other words, ethics in HR deals contribute to the overall business goal because an employee with feels motivated and hence will work with effectiveness and efficiency. Creating an environment where ethics is observed encourages all individuals to reach their full potential and be productive.
Just
Managing HR in a just manner, means handling issues such as disciplines and grievance fairly without discrimination (Nankervis et al., 2019). Essentially, this means that HR has to ensure that every policy is fair and conform to the set laws. Basic human rights have to be followed without violating them and ensure that all employees are carried in a manner that demonstrates respect without putting their safety at risk. Just ensure that the organization avoids unnecessary legal issues that could emerge, but more importantly ensure that work is consistent with the values or standards of the profession.
Section 2
AC2.1: HR objectives delivery in an organization
The HR function helps an organization to deliver is strategy and objective through recruitment, development of people and managing of their performance (Hamid et al., 2017). The objective is delivered in an organization using shared services, HR consultancy or outsourcing. Adoption for a given model depends on the approaches of the management and coordination of the HR management and other bodies within the organization. According to CIPD (2014) research, outsourcing is often carried out in issues such as payroll or complex advice such as benefits or increases efficiency or access to expertise. Share service is alternative to outsourcing and most appropriate when a firm wants to reduce costs or avoid duplication of efforts. HR consultancy is more considered as the ideal operating model, when a company want to avoid the unnecessary cost that comes from hiring, or wants to develop people’s solution.
AC2.2
HR is unique to every organization in most aspects. Notably, HR function have an overarching similarity, such as recruitment, development of employees, performance review; however, it also has salient differences in their practices. Hence, no one model of best practice can be said to fit HR, or any given organization and not the model can be said to be the most appropriate in any given sector. The best practice or model is dependent on organization circumstances such as size, nature of the operation or the operation in terms of shift work.
- A public authority (Government Sector): Public authority uses centralized HR, which means that the HR professionals oversees the management function from a central office. Hiring, training, pay, and specialists in a central office guide benefits. The reason for using this model is due to the concentration of decision making within the government or public offices.
- A National Private Company: In private companies, HR is often outsourced, which means that a specialist is hired to deal with recruitment, and other basis HR functions, however, the development and performance appraisal goes to corporation. The reason for implementing this model is often to avoid costs that emerge from benefits, training and legal aspect.
3. An SME: In SME, office manager deals with the HR-related issues. It becomes easier for the business, not to mention cost-efficient for a small business.
4. A voluntary (Third Sector) organization: Large third organization often have a certain hierarchical structure, so that the HR can oversee other managers below them. In most cases, the organization will structure itself the same way as the corporate, private company but with a decreases budget. The HR will have to be created in recruitment, diversity and cost management.
Section 3
AC3.1 Evaluate the contribution that HR makes
The HR function has become increasingly linked to the success of any firm. In essence, this means that it is important to harness the resource of HR in order to meet the demands of a highly dynamic environment. HR must demonstrate the value it is adding to the organization or its contribution to the organization. Evaluation of contribution is the key to determining their contribution. In essence, evaluation can be defined as a “set of planned, information gathering, and analytical activities” taken to assess the performance of those responsible for the management of change and their progress( Russ-Eft, 2014). There are various reasons why it is critical to evaluate Human resources. Evaluation helps a firm to determine the future investment in HR, improve human resource processes, and help determine how to align HR function with business objectives. More importantly, evaluation allows an organization to be accountable to stakeholders and ensure that there is management accountability.
The criteria for evaluating HR can be based on either the process or the output. The process criteria involve examining how well things are done within the organization, while the output criteria determine the effectiveness of results. Several HR metrics can be used to evaluate HR function contribution. In essence, this includes Key performance Indicators, service levels agreement, Staff surveys, Benchmarking with other organizations, and Return on Investment (ROI) (Tucker, 2018). KPI are strategic metrics, which means that the evaluation is based on how well an HR directly link with the organization strategy. SLA metrics involves tracking and managing response rimes in response to corporate commitment or performance guarantees. In essence, this involves determining whether the service HR deliver effectively or aligned to overall company values, strategy or present behaviours.
Conducting staff survey is another prudent means to determine the contribution of HR functions. Surveys often focus on issues such as business climate, employee engagement or organizational culture. The response for staff survey indicates whether the implemented hospital policies are successful are a failure. HR benchmarking is another metric that can be used to measure specific performance against data from other best practices in the organization. This involves comparing the best practices from other organization and comparing it with a given organization. Lastly, HR contribution or its effectiveness can be measured using the ROI. In essence, this is an important metrics given that HR is often tied with the overall organization.
Balanced scorecard metrics leverages the non-financial performance with traditional financial metrics. The approach provides a balanced view of HR performance or effectiveness in an organization from the financial, customer, learning and growth of the employees and internal business processes. The approach is more suitable to the modern organization where there is a need to grow and maintain a brand image in the marketplace.
Section 4
4.1: HR Practices with Positive Organisational Outcomes
One of the most vexed question in Human Resource Management is demonstrating how HR practices are linked to the bottom-line outcome. A functional HR is an advantage to an organization due to its significant contribution to human capital. The relationship between the performance of a given company and the high-performance human capital are directly intertwined. Research indicates that the role of HR in providing a platform for compliance and administration cannot be replaced by other departments (Loon et al., 2020). The HR practices allow employees to be more functional by providing knowledge, skills which are directly linked to providing value and benefit to the organization and the stakeholders. Evidence has also demonstrated that the scope to HR practices in the organization is wide, and linking it with the strategic outcome may not be entirely possible. Nonetheless, according to Marler and Parry (2016), many organization strategic goals and objective cannot be achieved without the HR practice or their intervention. The frequent survey by CIPD indicates that HR practices are critical, especially in today’s dynamic business environment (CIPD, 2014).
- High-Performance Working and Investment in Human Capital
According to the resource-based perspective, HR practices such as training as a critical investment in human capital that has a direct impact on organization performance (Marler and Parry, 2016). In particular, this is because these investments ensure that the employee has the necessary knowledge and skills needs to achieve and organization goal. Other such as rewards and incentive system makes the employee perform higher, by applying newly honed skills. Investment in human capital and high performance working, therefore, has a direct link to the organization performance.
In this assignment, I have learned about the importance to the HR function in achieving the business objective. The assignment demonstrates how contemporary organization can use the department to its advantage when formulating strategic objective. Notably, no HR model is the same, and every organization will have its best fit strategy depending on the size or nature of business. However, HR should always function to improve the strategic outcome of the organization. One of the things I have learned in this assignment that could be employed in practice is how to act in the current work environment. As an HR professional, it is critical to act professional, try to use professional ethics, and fairness at the workplace and motivating the employees by being a role model and providing high performance working conditions.
References
CIPD (2014). The HR Role (Factsheet). Retrieved from: https://www.cipd.co.uk/knowledge/strategy/hr/standards-factsheet
Hamid, M., Maheen, S., Cheem, A., & Yaseen, R. (2017). Impact of human resource management on organizational performance. Journal of Accounting & Marketing, 6(01), 1-7.
Loon, M., Otaye‐Ebede, L., & Stewart, J. (2020). Thriving in the new normal: The HR micro-foundations of capabilities for business model innovation. An integrated literature review. Journal of Management Studies, 57(3), 698-726.
Marler, J. H., & Parry, E. (2016). Human resource management, strategic involvement and e-HRM technology. The International Journal of Human Resource Management, 27(19), 2233-2253.
Nankervis, A., Baird, M., Coffey, J., & Shields, J. (2019). Human resource management. Cengage AU.
Rimita, K. (2019). Leader Readiness in a Volatile, Uncertain, Complex, and Ambiguous (VUCA) Business Environment.
Russ-Eft, D. F. (2014). Human resource development, evaluation, and sustainability: what are the relationships?. Human Resource Development International, 17(5), 545-559.
Tucker, E. (2018). Secrets to success: human capital management strategy. Strategic HR Review.