How Human Resource Management can affect an Organization's Performance (Essay Sample)

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How Human Resource Management can affect an Organization’s Performance
This section highlights the process of carrying out the actual research and involves the data collection processes, hypotheses, data analysis, and the discussion. It entails the data collection process, the type of data used in the research, and the sources of data. The section also involves the type of research design used in the study, the selected sample, data analysis and the presentation of data. The same section brings out an aspect of research hypotheses, which have to be accepted or rejected as the research comes to a conclusion point. The data collection process in the research makes use of both primary and secondary data. Secondary data sources include sources such as printed sources like books and magazines, online sources such as websites, journal articles, and blogs, as well as online book publication and data on organizational performance records, mainly based on previous studies. The use of secondary data is considered due to its aspect of being easy to obtain and its ability to have a wide coverage. A lot of information can be obtained at a glance making the research work cheaper in terms of time and money, and easier to conduct.
The research uses a case study as the research design where investigations are made both as individuals and in groups. This aspect contributes to understanding the research further and also views what might become significant to look at more extensively in future research. The case study would then be linked to what has been studied and discovered in other researches. It is always important to strengthen a case study, which has been taken to be the research design, with evidence from other sources. A case study brings out a seemingly actual picture of the way human resource management affects the performance of organizations by generating the results from the organization being studied in the case study. The research hypotheses make it possible to support the idea that HRM has some positive impact on organizational performance. The research hypotheses in this case include both the null and the alternative hypothesis. The null hypothesis has been stated negatively while the alternative hypothesis is stated positively. The research hypotheses are:
Alternative Hypothesis: Human Resource Management improves organization’s performance by either improving the production efficiency or by contributing to the growth of the organization’s revenue.
Null Hypothesis: Human Resource Management hardly improves organization’s performance by either improving the production efficiency or by contributing to the growth of the organization’s revenue.
` The basic question in this case is based on the way human resource decisions generate some influence on the performance of organizations. To get first-hand data concerning the question, and the research hypotheses, primary data is used. The use of a case study is considered suitable using surveys as the primary data collection method. The use of surveys could as well make use of some secondary data sources to take coverage of where primary data can hardly reach the intended purpose. From the research surveys, the most noticeable aspect is found to be where production efficiency is enhanced or the revenue growth of an organization is realized. This is mainly considered to be as a result of employing a clear and efficient selection of human resources during hiring process (Camps and Luna-Arocas, pg. 18). The human resource managers have a major role to play when it comes to the best individuals to choose for special positions within the organizational labor structure. This argument is supported by both primary and secondary data that has been collected and used in this research as well as in previous researches.
There are specialists in the human resource management that deal with employee relations allowing them to achieve a higher performance each year. This is achieved through the improvement of satisfaction levels and morale of the employees which in turn results in a stronger employer-employee relationship. The specialists make sure that employees give their opinion through surveys in addition to conducting focus groups and ask the employees to suggest how the working relationships can be made better by the employer. The human resource management of any organization is involved in the recruitment and hiring of new employees. By determining the best screening criteria for the incoming employees, the HR ensures that the organization obtains the most qualified personnel who can take the performance of the organization to the next level. Furthermore, HR is involved in the orientation of the incoming employees which is essential in ensuring that the incoming employees will perform well due to the good employer-employee relationship created during the orientation (Camps and Luna-Arocas, pg.798).
The knowledge of the effects of human capital on the success of the organization is also harbored by the human resource department of an organization. The bottom line of the organization is thus improved since the human resource leaders advise the top management when to hire new workforce as per the organization’s demand. Additionally, these specialists are known to help the organization reduce costs related to hiring replacement workers, attrition, and turnover. These people are also good in discussing the level of group benefits with the employees in line with the organization’s budget and the prevailing economic status of the organization (Becker and Gerhart, pg.9).
HRM contributes significantly in generating an impact on the performance of an organization. Human resource management facilitates workers’ moral in various ways such as ensuring that employees have employment security, stability, and good compensation plans. HRM also does this by ensuring that there is a good and smooth selective hiring process for new employees. They also form self managed teams and generate high decentralization, meaningful compensation contingencies based on employee performances, and extensive training of employees. It is always the obligation of the human resource management to improve the human resources of the organization given that human resource plays a key role in shaping the productivity and performance of an organization. The effect of HRM on organizational performance however changes from one sector to another. The impact could be different in a service-producing firm from a manufacturing firm. The most important thing in this case is that HRM triggers the productivity of a firm (Becker and Gerhart, ).
The increasingly changing business and economic environment, which is also characterized by economic aspects like globalization and market deregulation, changes in customer demand/ investor demand, and increasing market completion, have been adopted by many firms globally. In order for the participating organizations to remain competitive and survive in the demanding economic situations, firms have been forced to improve their performances. Improving performance is mainly a subject of cost reduction, improving on innovation, improving products and processes, as well as enhancing the quality of their production processes for quality products or services (Becker and Gerhart, pg.796). These changes and improvements are only made possible through the use o...