Scholars describe human resource management as a detailed and structured way through which people are effectively managed at work. It aims at producing the best in realization of an organization’s goals and objectives. Human resources in any given business firm form the foundation upon which everything gets accomplished. As a result, human resource management becomes the crucial side of business firms. Human resources management encompasses various aspects. This paper attempts to cover these various aspects of human resource management such as human resource functions, interview process, workforce diversity, staffing, recruitment, selection process, training and development, career planning, performance management and appraisal, compensations, employees and labor relations. These aspects are discussed in accordance with Mondy’s book entitled Human Resource Management, 12th Edition. The success of any given business firm is attributed largely to its effective human resource management.
Human Resource Functions
The human resource department is charged with the responsibility of developing and establishing well-organized human labor. In fulfilling this, the department needs to stick to the legal considerations governing the labor market. Wayne describes the human resource functions in the following categories:
I. Employer Branding
It is the firm’s corporate image designed to attract and retain employees sought by the firm. Despite being an extension of product or business branding, employer branding plays a major role in attracting and retaining employees. Research reveals that human resource accounts for about 80 percent of a firm’s success. Employer branding makes everyone work towards improving the image of the firm. This brand contains the values and standards guiding people’s behavior. Through this, people get to know what the firm stands for, expected results, and the relation between jobs and people. The human resource department is obligated to develop the best and attractive employer branding to guarantee viability in the business industry.
II. Transactional Human Resources
This function of human resource deals with ensuring documentation of all processes, accurate maintenance of employee records, timely remuneration of workers, placement of employment adverts as well as other essential activities that help to smooth running of the firm. These functions are crucial and call for efficient, timely, and accurate performance.
Human resource department gets obligated to adhere strictly to the complex labor and employment law. It calls for specialized knowledge to establish probable legal hazards likely to arise when making an employment decision. In the field of safety (OSHA), response to organizing efforts (NRLA), recruitment and selection (CRA, EPA), requests for time off (FLMA), accommodating disabled employees (ADA) several regulations governing management behavior prevail. Therefore, it proves vital to adhere and comply to these stipulated rules in acquiring and managing human resource.
IV. Strategic Human Resources
Strategic planning forms one of the inherent processes of business firms. They manifest either as formal or as a set of advanced level strategic decisions. Irrespective of the approach, top management teams expect functional experts to offer reasonable advice. Once a decision is made, the human resource head makes it happen. In this view, the human resource department forms part of the strategic partner. Issues such as potential source of talent and skills, modification of employee behavior among others become considered when formulating these crucial strategic decisions.
V. Performance Management
It is the role of human resource department to carry out regular evaluation of its employees’ performance. This department implements this by administering performance appraisal at least once a year and giving the feedback to the employees. Performance evaluation forms are used for this purpose. The reason for carrying out this exercise is to improve the output of all members of the organization. Analysis of these forms can be used in designing training and development, recruitment and selection and establishing realistic basis for employee motivation and compensation. Performance model attributes individual performance to four main aspects: effort, skills, motivation, and resources. Performance Monitoring Service helps establish behavioral and performance gaps and develop interventions to rectify these situations.
Organizational Change and Cultural Management
The business world is ever dynamic and keeps changing all the time. As a result, firms readjust to these changes to remain viable in the market. New structures, competitive strategies, and IT updates characterize the daily processes. The human resource department’s duty entails regularly informing the employees the need for these changes and why they need to embrace them and adjust. For instance, moving from manual filing to electronic filing calls for some extend of behavior change.
In this book, Mandy postulates that interview is an advanced stage of selection during the hiring process. It is the opportunity that a candidate gets to start interacting with the prospective employer. Some firms make it simple, while others detail it to advance through several stages depending on the level of the job in question. The human resource department organizes the logistics of the interview process because it forms the hiring unit of all forms. In most of the cases, this process starts with aptitude test aimed at testing the various basic reasoning of the candidate. It can be done on line or at a designed place. From here, successful candidates proceed to written interview from which the successful candidates meet a panel of interviewers from different relevant departments of the firm. Successful candidates advance to the final stage of interview where they meet the top management team of the firm. Therefore, successful candidates are employed.
Mandy advises a number of things to be effected by the interviewers. They include:
- Interview needs to exercise impartiality during this process
- Make the candidate feel relaxed
- Stick to the topic
- Ask all candidates the same questions to keep consistency
- Not to interrupt a candidate when responding to a question.
This vital element needs enforcement to all firms in order to achieve awesome results according to the author. Every employee irrespective of the background, gender, or race brings a unique contribution to work. A good business should attract and embrace employees from diverse origins in several aspects. Different training skills such as engineering, accountancy, economics, secretarial need perfect blending to produce the best for the firm. A firm with a diverse workforce portrays a good perception of itself in the market, which works to its advantage. An efficient human resource department ensures that it incorporates diversity during the hiring process.
Mandy defines staffing as the process through which a firm ensures it has the correct number of employees possessing appropriate skills doing the right jobs, at the right time to achieve organizational objectives. Job analysis forms the systematic process of establishing knowledge, skills, and duties needed to carry out duties in a given firm. Staffing cuts across several aspects of human resource management such as planning, recruitment, and selection. Sound staffing calls for efficient and consistent coordination between the human resource department and other departments to establish the specific skills needed, the number of employees needed and the kind of jobs. Good staffing helps to control a firm’s expenditure and optimum utilization of employees by employing enough personnel. If well-coordinated, it brings forth the right man for the right job.
Recruitment and Selection
Recruitment refer to the process of inviting or attracting sufficient candidates, on timely basis and possessing appropriate qualifications to apply for vacancies within an organization. The aim of this is to get candidates with best preferred qualifications for the selection. On the other hand, selection entails choosing the best suited candidate from a group of applicants. Successful accomplishment of the two processes is crucial as it determines the kind of employee likely to be hired.
Training and Development
Firms regularly carry out training of their staff to ensure they are up to date with the companies’ policies, objectives, and goals. New employees also need specific training to be aware of what exactly is required of them. Proper training assures improved efficiency and high output. Furthermore, training plays a major role in developing the skills of employees as well as helping them adjust and adapt to the changing world of business. Human resource department needs to uphold the aspect of training and development of its employees.
It is an ongoing process requiring an individual to set career objectives and stipulate the means to achieve them. Its aim is to make employees focused and spend more time in a given firm. According to statistics from the Bureau of Labour Statistics, employees work for at least nine companies in their career. It moves aims at maintaining worker at a firm for a longer period.
Compensation refers to all rewards extended to workers in return for their services. Firms face the challenge of establishing the criterion to use to determine the rightful amount to pay a worker. This reward needs to be proportional to the contribution of this employee to the realization of the company’s goal. The reward may be one of the following or a combination:
Direct Financial Compensation: Payment comprises of wages, commissions, salaries, and bonuses.
Indirect Financial Compensation (Benefits): financial rewards in indirect compensation such as sick leave, paid holidays, medical insurance, and house allowance.
Non-financial compensation: psychological satisfaction that one attains from working in that place.
Businesses are bound by law to recognize a union and bargain with it in good faith. The human resource management is mandated to facilitate this exercise. Of late however, firms prefer working without a union. The human resource activity is termed industrial relations in case a union represents a firm’s employees.
In conclusion, Mondy addresses various aspects of human resource management that lead to effective running of business firms as discussed in this paper. If closely followed, they promise prosperity in the business fraternity.