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Key Elements and Aspects of Human Resource Management

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  • Level: High school
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Task 1 

1.1 Introduction

Employees are the integrated part of an organization. But appointing those employees in the proper position is also very important, as it helps them to utilize their potential within an organization. No product or service can be produced without the aid of a human being. Human resource management is the process of recruiting and selecting employees, providing orientation, induction, training, and development. HRM practices of an organization also help to improve the skills and knowledge of an employee. To create a required HRM, it is important to understand the basic structure and function of human resource management. There is no proper definition of human resources management, but HRM can be defined as a range of circumstances that have a large effect on the employment and contribution of people. HRM is the process of increasing the utilization of available skilled labour. The use of existing human resources in the organization is another essential purpose of human resource management.

1.2 Learning Outcome

According to some experts, there are three parameters of human resource management: skill-enhancing, opportunity-enhancing, and motivation-enhancing. Human capital and motivation are known as proximal organizational outcomes; voluntary turnover and operational results are known as distal organizational issues (Dessler, 2017). Among these dimensions, skill-enhancing practices are positively related to human capital but are less positively related to employee motivation than motivation-enhancing practices and opportunity-enhancing practices. These three aspects of human resource management are also related to financial outcomes. HRM is concerned with both organizational performance and employee well-being; that means any assessment of an HR manager's contribution must include both the organization's and employee's perceptions. Contribution to individual well-being relates to employee attitudes and behaviours. Suppose an HRM belongs to a high-level performance. In that case,h at case, it can benefit that organization, as employees respond to their HRM initiatives, which are linked to their job performance and ultimately to organizational performance. Some outcomes are considered after evaluating HRM performance; these are:

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Adaptability: It means those HRM strategies that affect organizational flexibility. Innovation and creativity are encouraged, knowledge is recognized as a crucial asset and the organization uses candidates from different backgrounds and beliefs here at this stage.

Competence: HR managers retain, motivate, and develop employees with the abilities, knowledge, skills, and expertise of their policies. It helps the HR department to achieve its goals for the sake of organizational profits.

Co-effectiveness: Sometimes, HRM policies reduce employee-related costs, help properly shape the firm, reduce compensation and benefit costs, reduce labour turnover and absenteeism, increase employee health and safety, improve employee productivity, and avoid costs from litigation and least efficient public relations (Deadrick and Stone, 2014). 

Commitment: If the HR department of a company has promised something to their staff, then they have to meet and fulfil those promises under any circumstances. It can result from loyalty, increased teamwork, and reduced labour turnover, along with a greater sense of employee self-worth, psychological involvement, dignity, and feeling of being essential to the company.

Motivation: HRM Practices and policies encourage employees to achieve a designated goal. Employees will work hard, come to work on time, and give their full effort to the assigned task if they are highly motivated. Motivation is an essential outcome of human resource practices.

Job Satisfaction: Generally, pay scale, promotion opportunities, appraisal system, fringe benefits, supervision, job conditions, job security, and working environment affect the job satisfaction of an employee. If a staff is satisfied with his job, then there will be no absenteeism from his end, will make active efforts toward his tasks, and will have positive feelings towards the organization (Deadrick and Stone, 2014). That's why job satisfaction is an essential outcome of human resource m

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