In this paper, I have explained the meaning of Human Resource Management. This paper explains the importance and the objective of the HR department. In this paper, I have mentioned the roles and responsibilities of the HR department. The paper explains about the significance of HR department in the organization. This paper elucidate about the issues related to the organizations and the problem of paperwork. In this paper, I have mentioned the ways to prevent the issues in the organization. In the last, I have explained some laws and regulations related to the HR department and the regulations which the company or HR department should follow.
Organizations are made up of people and function through people. Without people, organizations cannot exist. The resources of men, money, materials, and machinery are collected, coordinated and utilized through people. These resources by themselves cannot fulfill the objectives of an organization (Gupta, 2007). They need to be united into a team. It is through the combined efforts of people that material and monetary resources are effectively utilized for the attainment of common objectives. Without united human efforts, no organization can achieve its goals (Gupta, 2007).
The responsibilities of Human Resource are continuing to change. In the present era, the managers of HR are taking a more dynamic role in meeting the competitive demands of the companies. This modification has influenced many senior HR managers as well as the executives who work for the processor novelty (Gupta, 2007). In the organization, the role of human resource management is to enlarge the understanding and knowledge of employees with the increased changes.
Human resources may be defined as “the knowledge, skills, creative abilities, talents and aptitudes obtained in the population”. From the viewpoint of an organization, human resources represent the people at work (Gupta, 2007). They are the sum-total of the inherent abilities, acquired knowledge and skills. Human resources are characterized by the following features:
Ø Human resources of an organization are the product of their biological inheritance and interaction with the environment. Family relationships, religious influences, caste or racial background, educational accomplishments and organizational climate influence the attitudes, behavior and performance of human beings (Gupta, 2007).
Ø Human resources are heterogeneous. They consist of a large number of individuals each having a unique personality, different needs, attitudes and values. Each has his own physical and psychological traits (Gupta, 2007). Most of the problems of an organization are people-related problems. These problems arise from the mistaken belief that people are alike and they can be treated identically. In order to make effective use of its human resources, an organization must recognize and pay attention to differences between individuals, so that each person can maximize his/her potential (Gupta, 2007).
Ø Human resources are dynamic and behave differently. They react to the same situation in quite different ways. Even the same individual may behave differently at two different points of time. It is, therefore, very difficult to predict the human behavior (Gupta, 2007).
Ø Human resources are the most important element in an organization. The effective utilization of all other resources depends upon the quality of human resources.
Ø Human resources have the greatest potential to develop and grow the right climate. An organization can survive and grow, if it has the right people at the right time working at right jobs (Gupta, 2007).
In today’s workforce environment, the organizations have to focus on the functions of personnel management or human resource management. The main activities that are included in HR are recruiting, selecting, training, compensating and appraising (Gupta, 2007). It looks at the process of employment, employee grievances, policies, compensation plans and the promotion ; increments of employees.
Concept and nature of human resource management
Human resource management (HRM) may be defined as a set of policies, practices and programs designed to maximize both personal and organizational goals (Gupta, 2007). It is the process of binding people and organizations together so that objective of each employee is achieved. According to Flippo, personnel management or human resource management is “the planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and reproduction of human resources to the end that individual, organizational and societal objectives are accomplished”( Flippo, 1999). The objective of the HR management is to attain maximum individual development, desirable working relationship between employers and employees, and employees and employees and effective molding of human resources as contrasted with physical resources (Gupta, 2007).
Objectives of human resource management
Every organization has some objective and every part of it should contribute directly or indirectly to the attainment of desired objectives. Objectives determine the character of an organization and serve as the basis for voluntary co-operation and coordination among employees (Gupta, 2007). Objectives also provide benchmarks or standards of evaluating performance.
Objectives of human resource management are derived from the basic objectives of an organization. In order to achieve organizational objectives, integration of employer’s interest and employee interests is necessary (Gupta, 2007). In this light, the objectives of human resource management may be summarized as follows:
Ø To help the organization attain its goals by providing well trained and well-motivated employees.
Ø To employ the skills and knowledge of employees efficiently and effectively, i.e., to utilize human resources effectively.
Ø To enhance job satisfaction and self-actualization of employees by encouraging and assisting every employee to realize his/her full potential (Gupta, 2007).
Ø To establish and maintain productive, self-respecting and internally satisfying working relationships among all the members of the organization.
Ø To bring about maximum individual development of members of the organization by providing opportunities for training and advancement (Gupta, 2007).To secure the integration of all the individuals and groups with the organization by reconciling individual/group goals with those of an organization.
Ø To develop and maintain a quality of work life (QWL), which makes employment in the organization a desirable personal and social situation(Gupta, 2007).
Ø To maintain high morale and good human relations within the organization.
Ø To help maintain ethical policies and behavior inside and outside the organization.
Ø To manage change to the mutual advantage of individuals, groups the organization and the society (Gupta, 2007).
Ø To recognize and satisfy individual needs and group goals by offering appropriate monetary and non-monetary incentives.
HR Issues within the organization
The challenges that the companies are facing today are sustainability, technology, diversity and globalization. The main goal of human resource management is to attract and maintain the employees. In the present time period, companies are finding it essential to expand globally to gain competitive advantages (Noe, Hollenbeck, Gerhert, Wright, 2006). This forces the companies to hire employees in the foreign countries where they operate.
Technology has changed human resource management. As technology is changing very fast, the companies must monitor their employee’s skills. There are new technologies that human resource managers must deal with: internet, client/server, etc (Flippo, 1999). This software is gaining a pace in the workforce management. The new software provides a low fixed cost for the companies and provides them a better plan for technology expenses (Aghazadeh, 1999).
With the changing marketplace and increasingly diverse labor force, human resource managers are facing the problems related to diversity (Prasad, 2008). Work force diversity is the extent of difference and similarities in characteristics like age, gender and ethnic groups among the employees or organization. Diversity also refers to people with disabilities, gay, and lesbians (Noe, Hollenbeck, Gerhert, Wright, 2006). These diverse groups have different needs.
E-business consists of using the internet to conduct business (Noe et al., 2004). The objective of the companies behind this is to hire employees who are knowledgeable. The recruitment and selection process of the company is totally different, as they prefer online tests as compared to the written tests (Jawadekar, 2005). Employees working in e-business are entering jobs that did not existed before. The internet is altering the way human resource conducts business. The human resource department and information systems department will have to form an alliance so that solutions to business problems can be implemented (Aghazadeh, 1999).
Role and Responsibilities of Human Resources
Every individual in the organization plays an important role. But the most important role is played by HR department. Human Resource is a key to the success of a company. It builds the relationship between the organization’s objectives and business strategies. The department helps in maintaining the compensation program and ensuring that all the pieces of the program are managed appropriately (Noe, Hollenbeck, Gerhert, Wright, 2006).
The purpose of Human Resources is to take full advantage of the return on investment from the organization’s human resources and reduce the financial threat. It is the prime task of human resource executives is to carry out these activities in an efficient, lawful, reasonable and reliable way (Roles and Responsibilities, 2008). The functions that are served by human resource management are: recruitment strategy planning, hiring Processes recruitment and selection, providing training, evaluation of performance and management and looking after the promotions and increment of employees. The important role of HR is to maintain the industrial and personal relation with employees, maintain the records of all personal data, etc.
The HR department works on the compensation, pensions, bonuses, etc. in connection with Payroll for the employees. The HR personnel’s gives confidential advice to the internal customers (employees) in relation to the problems in working atmosphere (Roles and Responsibilities, 2008). They try to solve the problem and grievance among the employees and if needed, they take the issue to the top management. The Department of Human Resources serves as a resource to the managers and branch heads and workforces.
The Human Resources distinctively communicate programs and guidelines to help managers and the heads of department to comprehend all aspects of the compensation program (Roles and Responsibilities, 2008). It provides internal and external information, advice on pay levels; policies and practices, it provides professional guidance and support to allow managers and heads of department to make appropriate pay decisions, it timely reviews compensation decisions to make out any important difference in practices both within and among work units (HUMAN RESOURCES Responsibilities, 2004).
The role of Human Resources Department is to work with managers ; departmental heads and help them to make proper pay decisions and salary administration plan. The department of Human Resource keeps its senior administrator aware of compensation practices to ensure equitable treatment (Human Resources Responsibilities, 2004). Human Resource tries to sustain a healthy work atmosphere between the guiding principles, the policies of company and the individuals, as well.
The focus of Human resource management is on maintaining, securing and making the use of effective and efficient employees, without which the organizations cannot survive. Human resource management describes the association and liaison between the manager and the worker. The essential functions that are performed by the managers are planning, staffing, leading, organizing and controlling (Roles and Responsibilities, 2008).
Controlling Paperwork Onslaught
Paperwork control is a major issue relative to the current licensure, job description, responsibilities, certification or registration of employees. In the HR department, there is a lot of paperwork. All the work like screening, recruiting and selecting is done on paper. There are few organizations which are adopting the latest technology and software. Even in many organizations, the managers maintain the attendance register, CL/PL leave records, salary file, incremental files etc. of their employees. Sometimes due to large work load, the managers forget to make entries in these registers due to which the employee’s grievance arises and this leads to the disputes between employer and the employees.
To overcome the problems of paperwork, it is important that the organizations make the use of latest technologies. The company should use the latest software like punching system, automatic up-dation of employees (Gupta, 2007). The organizations should also use Human Resource Accounting (HRA) and Human Resource Information Systems (HRIS).
A computerized HRIS is an information system that makes use of computers to monitor, control and influence the movements of work force from the time they indicate their intention to join an organization till the time they separate from it (Mamoria ; Gankar, 2002). The HRIS consists of the sub-systems like recruitment information, personnel’s information, training information, appraisal information, health information and payroll information. It refers to the system of gathering, classifying, processing, recording and disseminating the information required for efficient and effective management of the human resources. It reduces the amount of paperwork and the cost of time used to maintain the written data. A large amount of data can be stored in HRIS (Gupta, 2005).
HRA helps to provide useful information about the value of human capital which is essential for the managers to take the right decisions related to recruitment, promotion, retrenchment and retention. It facilitates human resource planning by highlighting the strengths and weaknesses in the workforce (Mamoria ; Gankar, 2002). With the help of HRA, management can evaluate the effectiveness of its policies related to the human resources. For example, high costs in paperwork of hiring and training may indicate the need for changes in the policy for reducing the labor turnover.
Preventing the Issues in the organization
The HR department should use the latest technology like the HRIS and other software system to minimize the personal as well as business issues. The department should use the internet and intranet to minimize the work load. The HR department should prepare the HR managers to deal with their needs and demonstrate commitment to the workplace diversity by developing solutions when problems arise (Halloran ; Jack. 1998).
With the introduction of new and innovative employees, the HR department would be able to get rid of its orthodox working style and the other employees can learn from them. By making the drastic alterations in the existing mode of operations, the HR department can develop a nurturing and caring environment for the employees. With the help of this, the personal issues reduce (Halloran ; Jack. 1998).
By listening to the grievances of the employees, the manager can reduce the gap and issues. It is important that managers of the HR department understands the problem of the employees and try to solve them. The HR department must embrace and support change.
The HR department must examine and adopt new structures, new working processes and a new culture of business support. HR managers need to be involved in the setting of realistic, reasonable, challenging and attainable goals that enable the company to adapt and change as technology does (Halloran ; Jack. 1998). HR department must make the use of the e-business.
Preparing for the Regulations
The government has fixed some laws related to the HR department, which the HR managers have to follow. The laws and regulations for the employees are:
Ø Labor law- It is concerned with the manpower planning, recruitment, selection, placement, transfer, salary and wages to the employees. The law emphasizes that no employee should be wrongly treated and time hours should be restricted. There should be no partiality among the employees and the wages should vary only on the basis of the posts and designations (Gupta, 2005).
Ø The welfare aspect: This aspect is concerned with the working conditions and amenities such as canteen, crèches, lunch rooms, housing, facilities, education, medical assistance, recreational facilities (Gupta, 2005). The law says that the employees should be provided with the various fringe benefits as well as other facilities by their employers.
Ø Industrial relation aspect: This aspect is concerned with the company’s relation with the employees (Gupta, 2005). It includes that in union-management relations, joint consultation, negotiating, collective bargaining; grievances handling etc. there should be equal justice among the employees.
If any organization adopts the latest technologies and techniques in the HR department then it has to prepare itself for some rules and regulations (Gupta, 2005). For example, if the HR department adopts the punching system for marking the attendance, it should be kept in mind that the software is timely updated or not. It is important that proper privacy and security is maintained by the department to protect the data of the employees. The department should be ready to follow the rules and regulation set forth by the government (Gupta, 2005).
It can be concluded that human resource management is a management function involving procurement of suitable human resources, train and develop their competencies, motivate them, reward them effectively and create in them an urge to be a part of the management team. Human resources are the most valuable resource of an organization, as the productivity of all other resources depends upon people (Mamoria ; Gankar, 2002).
Human resources are dynamic and have the immense potential to grow. Human resource is a comprehensive, people- oriented, action oriented and pervasive system. Human resource department has to play an effective role in HRM (Mamoria ; Gankar, 2002). The HR department helps in maintaining the compensation program and ensuring that all the sections of the program are managed appropriately. Employees are the greatest assets of an organization and its success or failure depends on their quality and performance (Gupta, 2005).
HR department helps to enhance job satisfaction and self-actualization of employees by encouraging and assisting every employee to realize his/her full potential (Mamoria ; Gankar, 2002). It helps to establish and maintain productive, self-respecting and internally satisfying working relationships among all the members of the organization. It is very important that the paperwork in the HR department is reduced to a limit, in order to increase its productivity and efficiency (Gupta, 2005).
If the latest technologies are adopted by the HR department, there would be fewer amounts of disputes and grievances. The HR department must expect to constantly review and update their technology. Technology is one particular manifestation of change. They need to emphasize the importance of continuous progress and managing change through goal setting (Gupta, 2005).
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