Performance is a result of collective effort from different phenomena in an organization. Any organization engages capital and human effort in production. However, it is the human capital that counts most. This is because everything in an organization is made to happen not necessarily by automated machines but rather by real human beings. Machines just follow commands of human beings and irrespective of how capital intensive an organization may be, human input remains superior to capital investment. This being the case, the HR office is mandated into ensuring that the human capital achieves the goals of the organization. Transformations have been witnessed in the HRM discipline. Previously, the HR department used to pay more attention into management of the human capital. The case is very different in this century with more emphasize being directed into developing, rather than managing, the human capital. It is in this awake of events that bundling has found its way to the top in HRM strategies. Basically, bundling is concerned with collective development and implementation of HR practices that directly or indirectly related to mutually support and complement each other. The aim of these practices is to reinforce each other so that the overall performance of the organization is incredibly realized. Therefore, this paper asserts that bundling is the key to better organizational performance in this century. The why and how this is happening is well outlined in the subsequent paragraphs of this essay. Bundling is a HRM strategy that aims at yielding valuable integration within the organization. This integration is both vertical and horizontal and is commonly referred to as external and internal fit respectively. One of the key th... ... middle of paper ... ...nal goals structuring and implementation and establishing unshakable trust amongst all the stakeholders involved in the organization (Storey, 2007). Once this has been accomplished, the employee motivation and confidence is raised very high and the impact is translated directly into the organizational performance whereby the performance is deemed to increase. However, the challenges presented by this century make it difficult to continue using the old single approach method in promoting performance (Armstrong, 2010, Armstrong & Armstrong, 2012). There is therefore a need for a new formula that adopts effective combination of all the HRM policies (Armstrong, 2010). This formula is none other than bundling. Therefore, to maximize performance, bundling is an evitable phenomenon that helps to perfectly interrelated HRM practices for better organizational performance.
The organizational success is vastly dependent on its employees and the organizational structure it is based on. The organizational structure refers to the system of distribution of work roles within various employees and management levels and the way the various functions are coordinated within the individuals and departments in order to achieve the organization’s goals . Different organizational systems have different levels of output in various domains. So the company’s strategies should be in line with its corporate objectives and the higher tier management should continuously monitor the company’s strategies and performances to ensure its progression towards the desired outcomes. Therefore there are currently the following issues in W.L.
Decentralization is a broad term with many applications, especially in government and business. First used in 1846, it is defined as “the dispersion or distribution of functions and powers; specifically: the delegation of power from a central authority to regional and local authorities” (“Decentralization”). Decentralization is often hard to understand without discussing centralization. Centralization is defined as all decision making power concentrated in the hands of a primary authority. So, a centralized government is a single individual or small political group making all the decisions, such as in a dictatorship. But a decentralized government spreads the decision making power over multiple territorial and local administrations, such as in a republic. In business, decentralization involves “the transfer of authorities, functions, rights, duties, powers and accountability of the top level management to the middle
Whether an organization consists of five or 25,000 employees, human resources management is vital to the success of the organization. HR is important to all managers because it provides managers with the resources – the employees – necessary to produce the work for the managers and the organization. Beyond this role, HR is capable of becoming a strong strategic partner when it comes to “establishing the overall direction and objectives of key areas of human resource management in order to ensure that they not only are consistent with but also support the achievement of business goals.” (Massey, 1994, p. 27)
Target’s core employee development strategy is to embrace, teach, and model concrete behaviors that will lead to higher levels of individual and system performance and excellence. Some of these objectives include teaching employees to perform at the highest level in a current position, manage internal and external environmental changes, increase promotability, and contribute directly through all outputs towards to common company goal. Each position in the company has a set list of guidelines for core behaviors and expectations. This set of guidelines are used to measure each individual employee and the achievement of these goals can help these employees progress their careers at Target. Linkage to performance plans also help in the development of employees. In these performance management training sessions, HR staff help employees develop a sense of understanding about the core values associated with striving for excellence, obtaining results, and other characteristics of high-performing organizations. Employees learn to communicate these core behaviors, and this gives all employees a clear understanding to what it takes to be a high performer. Another very important aspect for Target leadership is to identify and develop future positions. This creates back-ups for each position in the store to ensure seamless transitions if a current employee leaves or is terminated. Performance management is measured not only on individual employee basis, but also by the company as a whole. We will observe the company’s performance compared to its biggest rival Walmart. Based on recent stats we were able to compare the two companies in several aspects as
Changing Roles. Traditionally, HR has been an administrative position-processing paperwork, benefits, hiring and firing, and compensation. However, recently HRM has moved from a traditional to a strategic role, the emphasis is on catering to the needs of consumers and workers. Before, HR was seen as the enemy and employees believed that HR’s main purpose was to protect management. Now, the position requires HRM to be more people oriented and protect their human capitol, the staff. In addition, human resource management has to be business savvy and think of themselves as strategic partners in the 21st century.
HRM in any company is a weighty issue that needs much attention where business performance is linked to a HR strategy (Caldwell 2008; Ulrich et al. 2008). In the recent past, competition has become stiff, such that organizations need to come up with other means to compete in the extremely dynamic market world. Thus, companies have shifted their emphasis to Strategic Human Resource Management (SHRM) where they enhance and empower their personnel in order to increase the productivity and the services offered into the market (Mello 2006). This goes against the traditional ways of increasing the means of competition where organizations place emphasis on tangible resources. In the past, organizations competed in terms of machinery and acquisitions. This has changed greatly due to the changing customer tastes and the diversity of the market in the present (Delery & Doty 1996; Lengnick-Hall et al. 2009).
It is now time to execute the strategy formulated, indicating certain Human Resource (HR) needs. Human Resource (HR) function can be viewed as having six main menus of Human Resource (HR) practices which can be choose the ones that are most appropriate to implementing the strategy. All of these strategies types require competent people in a generic sense, where each of the strategies also requires different types of employees with types of behaviours and attitudes. The emerging strategic role of the Human Resource (HR) function requires that Human Resource (HR) professionals in the future develop business, professional-technical, change management, and integration competencies. The following
It seems that HRM is so crucial to the organization, for what it does has nearly covered all aspects of the business – from strategic planning to the training and development, but unfortunately, its importance has not been accepted by everyone. As proposed by Morton, C, Newall, A. & Sparkes, J. (2001) there are three different views of HR function within the...
Ideal performance determines the progress being made by and organization in its attempts to meet its organizational goals. BP has to conduct performance management on its new stake holders and staff to ensure maximum output and profitability in the organization since it ensures that the employees are working towards the achievement of organizational objectives which is essential. According to the Australian Human Resource Institute (2016), BP can do so by planning, establishing, monitoring, reviewing and evaluating itself, its talented workforce and the individual performance of each employee in the firm. The issues that BP’s performance management will incorporate include remuneration of employees, their training and development, disciplinary procedures and counseling, job planning, compensation and incentives. The constituents of performance management give a framework in which the employees operate (University of Carlifornia, 2016). In the transitional phase that the firm is undergoing, the human resource department at BP Global can decide to implement the following performance management system to ensure efficient service delivery in the
Individual HRM practices that are not aligned, horizontal integration fit do not outperform the other approaches (Paauwe and Boselie, 2006). Gerhart’s (2004) displays a critical analysis of “those who claim that form of internal fit – alignment of practices with each other – out performs the lack of this type of fit” (Paauwe and Boselie, 2006, p.69). However, Boxall and Purcell (2003) clarify that both elements have similar intention but with different implementation approach towards it. Beer et al (1984) Harvard model of HRM addresses balance between HRM best fit and
First off different businesses in both size and specialty require different types of human resource practises to excel at what they do. The first theory is the universalistic perspective which argues that “best practice” approach should affect the organization throughout. The “best practices” are as follows “participation, empowerment, incentive pay, employment security promotion from within, training and skill development”(Delery ) arise in higher productivity and profit across organizations. Also high performance practices such as total quality management, job rotation and quality circles are considered to be best practices as they theoretically bring productivity gain to all organizations. Universality is the relation between best practices and hi...
The drive for conducting this research as outlined is to establish the importance of HRM as a strategic partner in an organization. A strategic partner is a party who legally agrees to work with the other party in order to achieve set goals. The first part of this research involves identifying the importance of having HRM as a strategic partner. They include but not limited to recruiting and maintaining the right talent, reduction in undesirable turnover and overall success for the organization. The second part identifies how HR can transform to a strategic business partner. The research shows that it is important for organizations to transform from primarily administrative functions to become strategic partners.
One of the most important resources of any organization is its employees, the human resource. This makes it very important that these resources are properly managed; so that they thrive and grow along with the organization. People stream defines performance management as “A process for establishing a shared workforce understanding about what is to be achieved at an organizational level. It is about aligning the organizational objectives with the employees’ agreed skills, competency requirements, development plans and the delivery of results. The emphasis is on improvement, learning and development in order to achieve the overall business strategy and to create a high performance work force”. The performance management process involves various stages such as goal setting, skills development, performance measuring against the set goals, mentoring/coaching to enable employees to focus and achieve their goals followed by assessment of performance and any further development plans as required. Let us look at these steps one by one.
Human Resources Management (HRM) Interventions relates to the idea of improving an organizations overall performance and efficiency by improving the members (individuals and groups) performances, commitment, and flexibility. According to Beer et al. (1984), this is often a relevant intervention technique when organizations are facing increased international competition. They see the value of HR investments as a way to improve organizations competitive advantages. Further, they establish that HRM policies have long-term consequences and immediate organizational outcomes. These policies should include the overall competence of employees, the commitment of employees, the cost effectiveness of HRM practices,
Human Resource Management (HRM) is fundamentally another name for personnel management. It is the process of making sure the employees are as creative as they can be. HRM is a way of grouping the range of activities associated with managing people that are variously categorised under employee relations, industrial/labour relations, personnel management and organisational behaviour. Many academic departments where research and teaching in all these areas take place have adopted the title department of human resources management. HRM is a coordinated approach to managing people that seeks to integrate the various personnel activates so that they are compatible with each other. Therefore the key areas of employee resourcing, employee development, employee reward and employee involvement are considered to be interrelated. Policy-making and procedures in one of these areas will have an impact on other areas, therefore human resources management is an approach that takes a holistic view and considers how various areas can be integrated.