Article 4 - Key Functions of Human Resource Management (HRM)

 Human resource management (HRM) is about more than hiring and firing employees; it is a strategic function that contributes to organizational success by investing in its most crucial resource: people. The following are the chief functions of HRM in a detailed manner:

1. Human Resource Planning

Definition: Estimating the future human resources needs for an organization, and planning to achieve those needs

Details:

• Assesses the current workforce capacity, and estimates based on future talent needs
• Enhances alignment of HR needs with organizational priorities.
• Helps the organization manage talent shortages or surpluses in an efficient manner.

Example: A technology company that plans to expand its business into AI development might begin recruiting data scientists in advance.

2. Recruitment and Selection

What it entails: Drawing in, evaluating, and selecting suitable candidates.

Details:

• Includes writing job descriptions, sourcing candidates, interviewing candidates, and onboarding.
• Identifies the right individuals to fill positions.
• Decreases turnover through improved employee fit.

Example: Utilizing LinkedIn, job boards, and universities to pull in recent talent.

3. Training and Development

What it is: Improving employees' skills, knowledge, and competencies.

Details:

• Includes technical training, onboarding, soft skills development, and leadership programs.
• Focuses on succession planning and career advancement.
• Enhances employee performance and morale.

Example: Training store managers in inventory and customer service at a retail chain.

4. Performance Management

Description: Systematic assessment of employee performance and management in a workplace

Details:

• Includes objectives, feedback, appraisals, and development planning.
• Recognizes high-performance levels and addresses non-performance.
• Aligns individual performance with work and organizational goals.

Example: Quarterly appraisal form, likely using a balanced scorecard or 360-degree model

5. Compensation and Benefits

What it is: Administration of employee compensation and benefits.

Details:

• Includes pay, bonuses, health benefits, pensions, and incentives.
• Seeks to attract, engage, and motivate employees.
• Requires compliance with labor laws and market conditions.

 Example: Providing flexible benefits, such as health and wellness programs or remote work stipends.

6. Employee Relations

Definition of it: The maintenance of positive employer-employee relations.

Overlooks:

• Includes resolving conflicts, addressing grievances, and communicating within the workplace.
• Helps create a positive workplace and engage employees.
• Provides fairness and transparency in disciplinary actions.

Example: HR mediating a disagreement between a supervisor and employee.

7. Legal Compliance

What it is: Confirming compliance with labor laws and regulations.

Details:

• Includes compliance with minimum wage laws, safety in the workplace, anti-discrimination, and more.
• Decreases legal risk and furthers ethical behavior.
• Usually consists of audits and can also include policy updates.

Example: Complying with GDPR regarding the management of employee data in the EU

8. Health, Safety, and Well-being

What it is: The goal of safeguarding the physical and mental health of employees in the workplace

Details:

• Includes: safety training, ergonomics, assistance for mental health, and response to crises
• Reduces Incidents of injury, accidents and burnout.
• Creates culture of care and accountability

Example: mental health days or stress management workshops.

9. HR Information Systems (HRIS) Management

What is it: The use of technology to effectively support HR functions.

Details:

• Automation of operational processes in functions such as payroll, attendance, recruitment, and analytics
• Enhanced accuracy of data and decision making
• Provides for support of remote or hybrid workforce.

Example: An HR management system (HRIS) such as Workday or BambooHR.

Conclusion

Human Resource Management (HRM) is a vital function in overseeing and aligning the human capital of an organization towards its goals. HRM undertakes important functions, from recruiting to training and development, and plays a key strategic role in creating a positive workplace culture, increasing individual performance and productivity, and ensuring work law compliance. HR professionals need to continuously adapt to the quick pace of changing technology and ever-changing workforce ideals within the global working environment. A well-designed HRM system brings value not only to the organization, but also provides value to employees by improving employee engagement and retention, making it a major area to be developed for any organization focused on long-term growth and sustainability.

References

• 1.Armstrong, M. (2020). Armstrong's Handbook of Human Resource Management Practice (15th ed.). Kogan Page.

• Dessler, G. (2022). Human Resource Managemen

• Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2021). Fundamentals of Human Resource Management (8th ed.). McGraw Hill.

• Storey, J. (2007). Human Resource Management: A Critical Text (3rd ed.). Cengage Learning.

• Ulrich, D., Younger, J., Brockbank, W., & Ulrich, M. (2012). HR from the Outside In: Six Competencies for the Future of Human Resources. McGraw Hill