Human Resource Management
1. Introduction: The concept of human resource is changing day by day. Now employees of an organization is not only considered as human resources but also as human capital. This happened because of the increasing importance of human resource to an organization especially to a manufacturing organization. As a result, duties and responsibilities of human resource management have become so dynamic and challenging. The span of tasks of human resource management is now not only limited in hiring of employees but also includes training, development of employees, motivating them and in some cases deploying them too. Historical context of Human resource management: Managing human resources in a manufacturing firm is very tough Job, and most important too. Because human resource is that segment of a production process which differentiate a firm from other firms in both positive and negative ways (Armstrong, 2012). There are many firms in the same industry who possess same resources and use same technologies but their productivity is different Just because of the difference in skill and efficiency of their human resources.
One firm’s human resources are adding value to the organization through higher productivity and nother firm’s human resources are wasting the firm’s potentialities (Bratton and Gold, 2012). 2. 1: Function of human resource management: The function of human resource management of a firm starts with identifying how much employees are needed to the firm. Then recruiting and selection process starts. In case of fresh employees, the question of training and development or deployment comes.
Because it will not be a wise decision for a firm to retain its employees who are less productive or not efficient up to the mark as manufacturing industry operates in a perfectly competitive market (Laroche and Rutherford, 2007). So, this report is focusing on these issues including employee performance, evaluation of performance, actions against poor performance such as deployment and rationalization of this decisions from and analytical perspective. 2. 2: Role of human resource management: The role and objectives human resource management of a firm is described from the broader organizational perspective. To assess and identify the number of employees needed to the organization 0 To recruit and select appropriate employees for the firm To increase our organization’s capacity and production To reduce unnecessary costs relating with human resources. 0 To identify employee needs and expectations 0 To identify the necessity of training and development programs in our organization 0 To increase skills and competencies of our employees 0 To ensure efficiency and effectiveness in every department of organization 3.
Organization design, culture and development: Manufacturing companies, being operated in a competitive market do not have control over price (Marchington and Wilkinson, 2008). All a manufacturing firm can do raw material, most advanced technology and most efficient workforce (Cook, 2009). But in some cases it is seen that many firms can’t achieve operational excellence although they are using best raw materials and technologies Just because of their inefficient human resources. A firm can achieve operational excellence when all these three inputs will work together (Taylor, 2008).
So, organizations need to monitor the quality of its inputs on a regular basis. As our firm is using the best raw materials available in the market and the most advanced technologies so now the focus of the organization is on its human resources. Again the organizational design and tructure must be evaluated. In case of restructuring which part of the management such as top, mid or lower level will be mostly affected. This will be found out on the basis of needs and pervious performances.
Deploying employees from only one part of organizational structure will lead to desired level of success. 3. 1: Internal environment: Employees of an organization are its assets. So it can’t call them unnecessary (Dowling et al, 2007). It needs to find out different ways for utilizing them and to make sure that they can also add value to the organization. lt needs to find out whether here is a scope of improving employees’ skills and efficiencies through training and other development programs (Beardwell and Gold, 2009).
If there is a possibility that training will improve our employees’ skills and efficiencies then the firm should arrange some training programs first before deploying any employee. Further, motivation has a direct relation with employees’ productivity. Lack of motivation creates dissatisfaction which ultimately leads to less production (Pilbeam and Corbridge, 2006). Before going to the final decision of firing employees the firm needs to analyze this aspect too. If motivation can turn a less productive employee to a productive one then we should try this option first. 3. : External environment: Hiring employees and train up them are related with huge costs to the firm (Taylor, 2008). After training them an organization may not want to lose them because in future it may utilize their potentialities. And if it wants to hire another employee in place of deployed employee it needs to incur many costs again. So the opportunity cost of firing an employee is also an important aspect here which needs to be evaluated critically (Henderson, 2011). 4. National and international employment markets: Further the firm should evaluate the impact of the decision it is going to take.
Deployment will send a message to the employees that if they want to work in the organization then they have to perform well (Carberry and Garavan, 2005). This will encourage them to work efficiently and enable them to survive by performing their best. But there must not be any break down in the human resource policy and human resource management of the organization (Bennett and McCoshan, 2007). In the early stage of deployment of any employee, organization may face problems egarding his tasks. This may be burden for other employees.
But if an organization deploys employees who are working efficiently without proper reason then it will have some negative impact on other employees (Pilbeam and Corbridge, 2006). They may not feel safe working in the organization and may leave the organization from the fear of being fired at any time. In such cases the firm may lose its most efficient performing employees and unnecessary employees must be deployed. But before taking such decisions it should be evaluated from corporate, legal and social erspective (Beardwell and Claydon, 2010).
Decisions must be review in search of other options instead of firing employees. The following analysis can be done in this respect: 5. 1 : Evaluating necessity of best possible resources and technologies: If the firm makes all the raw material and technologies more available and flexible, will it make any difference in employee performances (Beardwell and Claydon, 2010). In such case, the firm needs to make all the raw materials and best technologies available and a sound working environment so that they can work efficiently and ffectively. 5. : Legal and ethical consideration: Deploying any employee unethically and illegally may lead to many legal consequences where an organization may require paying fine and compensation to the employees (Torrington et al, 2009). Again, employees should be treated unethically as they are going to be deployed. So, these legal and ethical aspects must be considered critically. 6. Socializing personnel into the organization: The firm can take different steps for socializing these employees into the organization. It can inspire them for innovation (Armstrong, 2012).
Their creativity needs to be appreciated. The firm can also involve them and take ideas for promoting existing brands or creating new brands. The firm can also shuffle these employees in different divisions to find out where they are more active and interested to work. The firm can employ them in those posts to utilize their potentialities. Again the firm can build teams and groups including top performer and less performer employees to build up team spirit among them (Henderson, 2011). These groups may include employees who are currently employed in unnecessary posts.
This will create a balance in those groups and less performing employees will be able to increase their skills and efficiencies with the help of higher performing employees. As a result strong bonding can also be created among the teams. 7. Process of managing performance: Before taking any decisions regarding our human resources the firm needs to observe our current organizational human resource policies and practices and tries to manage employee performances. Its action must be based on the HR policy of the organization (Edenborough, 2007). Because deployment of any employee has many ther related consequences.
According to the current human resource policies of the organization the following procedures or steps can be taken to manage employee performances: 0 At first the firm needs to identify employees who are performing lower than the standard and not maintain desired level of quality. 0 Then it needs to talk with them to find out the reasons why they are performing poor. 0 If there is any lack of resources, the firm first needs to ensure those resources to improve their productivity. 0 If the employees lack required skills and competencies, then it needs o arrange necessary training and development programs for them.
But if it is found out that the fault is from employees’ part then they should be warned for the first time. 0 The second warning must be final warning for him. 0 At the third time, that employee will be dismissed denoting appropriate reasons. management. Hiring and firing are common phenomena for a manufacturing firm, but the decision cant be taken on a straightforward basis (Marchington and Wilkinson, 2008). There are many other issues relating to these decisions. 8. Inventing new working practices: Employees who are currently seemed unnecessary to the organization may be required in future.
Future potentialities of these employees should also be analyzed because hiring employees in these posts in future will also incur much costs and effort of our organization (Dowling et al, 2007). The firm can invent some other areas where it can utilize its employees who are currently working in some unnecessary posts(Torrington et al, 2009). It can also undertake new projects to utilize these employees. 9. Ethics and professionalism: Organization’s final decision about deployment must be rational on the basis of legal ethical point and strategic perspective of the organization (Edenborough, 2007).
Employees must be informed on what ground they are being fired from the organization. These reasons must be rational and acceptable to the employees and other related parties such as trade unions and employee welfare organizations (Dowling et al, 2007). The procedure followed in this whole process must be a systematic process, taking enough time and providing enough scope to the employees so that they can Justify their position. Decisions should not be taken on the basis emotion but on the basis of logic and professionalism. 0. Recommendation: So the decision an organization will take must be on the ground of above analysis.
If it takes any decision of deploying any employee it will be after done by analyzing the above issues. Employees must be treated ethically and the organization should pay all their desired compensation (Taylor, 2010). But it must try to retain its employees up to the time when they can add value to the organization. The firm also needs to remember that if the whole deployment process makes dissatisfied any employee and they do not feel a safe working environment within the organization they may eave the organization (Torrington et al, 2009).
This will be very harmful for the organization in the long run. 11. Conclusion: Restructuring and deployment of employees are strategic business decisions. The purpose of this decision is to ensure organizational efficiency and effectiveness. Butthis sort of decision must be taken through different types of analysis and evaluation of many aspects. Otherwise, the organization will face problems or lose its valuable resources in course of achieving other benefits which will be very costly in the long term.