The Paper Is About Best Practices Used In The Field Of HRM (Essay Sample)

BEST PRACTICES FOLLOWED BY ORGANIZATIONS IN THE FIELD OF HRM
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Best Practices Followed By Organizations
In The Field of HRM
Introduction
There are various managerial functions implemented inside an organization. One of the functional areas of an Organization is Human resource Management. The goal HRM is not only to find out the qualified employees for the organization but to provide utmost job satisfaction to the employees. The different practices followed by the HRM department of a firm are Recruitment and selection, training and development, Performance Appraisal and compensation management. These are the practices which an organization must follow to achieve the goal of the organization.
Discussion about Best Practices and Best Fits In the Context of HRM
Is the RBV one of the Best Practices Followed under Recruitment and Selection Process?
Organizations have different strategies to attract and select a pool of qualified employees towards the organization. The strategies may include attracting employees through advertisement in print media, through word of mouth or through employee referral. The strategy must be the one which attracts employees having value system that matches with the value of the organization. Many companies fail though they formulate strategies regarding recruitment process. Theoretically, they are perfect in finding out the key attributes of the employees which they think can fulfill their skill-pool. In practice, the result changes and they find something else in their basket. Here RBV can rescue the companies searching for right kind of skill. Rescan as a company claims that attracting the like-minded people has been possible through the utilization RBV.
The employee referral program is being considered as a better strategy to attract like-minded people towards the organization. Here the existing employees of a company can directly recommend someone with equal value system. Rescan as a company gained from this strategy.
The company must decide about the vacancy, the skill requirement and the communication channel beforehand. These characteristics of a job make the company decide about the mediums of recruitment and channels of communication easily (Eco Canada 2009). In practice there comes a variation as sometimes due to lack of planned communication channel, companies randomly choose the communication channel which may not bring the required result.
Best Practices under Training and Development Process and how far RBV is adding value?
Orientation as a form of initial training has been the major strategy in making the employees acquainted with the company and role of the job. In this training, the employees receive internal information about the organization. Here the employees come to know about the HR policies and the entry level information. In many small scale firms, orientation is replaced with the simple communication with the interaction with a senior which may not provide information to the new employee. Terrapex Environmental Ltd. has claimed that orientation program really works for motivating a new employee (Eco Canada 2009).
Terrapex Environmental Ltd. claims that career planning of new employees contributes greatly towards the organizational development. Planning of the career involves providing training in the required areas of skill-development so that the career graph of the employee will have a rising figure.
Providing challenging jobs to the new hires is another best fit that brings required result. Through this, they can broaden the skill-set of the junior level employees. Under the developmental program for managers, the managers meet bi-monthly to share their knowledge and practices. This way the organizations bring development in the managerial level.
Providing Social hours to employees is another best practice under development which provides the employees emotional satisfaction as well as a scope for development. When employees meet socially through clubs or through official get-together, they get opportunities to share their knowledge and experiences with the members of the organization. This leads the grapevine communication inside many organizations which has many good effects too (Pe’er 2016).
Best Practices in Performance Appraisal
“Performance Appraisal through brainstorming” is one of the best practices that organizations do follow for evaluating the performance of the employee. The manager and the employee together sit to discuss about the growth and opportunity available for the employee. Many often the employees are put under a group consisting of 10-15 members. Both the employees and the manager think about the continuous improvement through goal sharing technique. This method of performance appraisal provides job satisfaction to the employees involved.
Secondly, in many organizations, evaluating performance is done by project manager who directly evaluates the performance of the employees through a discussion. Here the organization makes the hierarchy flat so that the evaluation process will be easier. Thames River Conservation Authority (Utrca) focuses much on team work which contributes towards the flat organization. Here the project manager has the authority to evaluate and assess the performance of the team members.
360 Degree Feedback is another evaluation process which is being considered as the best practices of performance appraisal. The feedback of an employee is collected from the top level management, from peer groups, self-appraisal which brings improvement easily. The all-round development is easily achieved through this appraisal system.
Best Practices in Compensation Management
Flex-time programs come up as a good way to provide compensation for their work done. The flex-time benefits come from the overtime that the employee has completed in the organization. When employees do some extra task for a particular time period in the organization, he can take leave for the same hours on any other day (Staffone 2017). This Flex-time programs provide much job satisfaction to the employees as the employees get time for their personal life and family.
Pay-per performance salary is another best practice under the compensation management that organizations now-a-day are following. Compensation can be decided on the basis of performance that the employee has shown annually. This technique is mostly used by firms for target-oriented jobs. When the employee fulfills the target, he gets the remuneration. This is mostly valued by firms for hiring temporary workers. Sales personnel are hired under this compensation system. This system does not provide much satisfaction to the employees. This best suits the dynamic personalities.
Best Fit in HRM
The best fit approach has the view that goal of the organisation can be achieved if the human resources policies match with the firm’s business strategies. There evolves the need for Strategic HRM. SHRM is related to the practices gets affected by the business strategic of the organization. When human resource strategies get affected by the business strategy, the retaining and developing human resources get affected. For gaining competitive advantage, the organization puts effort to match the human strategy with the business strategy (Agarwala n.d).
How to match the HR Strategy with the Business Strategy. The field of human resource has to plan strategies that match with the business strategies. For achieving the fit, the HR department needs to develop short-term objectives that together contribute towards the business strategy. If the business strategy is to make profit from the cheaper marketing of products, the HR department must train the marketing and advertising employees to choose cheaper channels of promotion. By following the business strategy, the HR department will be contributing towards the sustenance of the business which will result in the development of the Hr department as well. The Hr department must formulate the HR strategies in such a manner that the business can sustain. If the business has the goal to gain competitive advantage through high quality service, there the HR department must put effort in improving the technical skill of the employees so that the product or service can be of good quality.
Resource Based View Model
The resource-based view is a model usually used by many organizations to improve the utilization of resources available inside the organization. This model views that internal resources available with the firm are one of the important factors in improving the firm’s performance (Ovidijus jurevicius 2013).
According to the RBV model, there are tangible and intangible resources available inside an organization. The tangible assets can be the land, building and equipments which can be used to produce more. The intangible assets are the trademarks, reputation and goodwill which can also be utilized to capture the external market environment (Brown 2007). The study focuses on the fact that how far a company becomes able to utilize its resources as many resources stay unused. Hiring experts in handling financial, land and human resources can bring some result to the company. Though RBV recommends utilization of internal resources, in practice, resource handling needs expert assistance (Pe’er 2016).
RBV model used in...