The Functions of Human Resources
Management
Human resources
management (HRM) has several functions: strategic planning, performance
management, HR development, determination of compensation and benefits, and
understanding the laws and regulations that pertaining to employment.
Performance management is overseeing, evaluating, and guiding an employee’s
performance towards strategic company goals (Tweedie et al., 2019). Human
resources (HR) planning, recruitment, and selection calculates how many
employees are needed, locates the right potential hires for the job, and
assists management with the hiring process. HR determines the appropriate
compensation and benefits package needed to obtain the best employees. HR
development provides employees training and opportunities for career growth.
Lastly, HR maintains compliance with employment laws and regulations as set by
the Equal Employment Opportunity Commission (EEOC) and the Department of Labor,
as well as international laws. HR can help a company achieve their strategic
goals through effective, planning and HR management.
Employee Recruitment
The purpose of the selection process is to locate the
right employees, with suitable skills, personalities, and certifications for a
position (Youssef, 2015). The selection process begins with strategic planning.
First, HR performs an environmental scan to determine what positive and
negative factors exist outside and inside the organization that may affect the
company goals and HR strategy. Other factors are government mandates, the
overall economy, the geographic shift of labor, and social trends (Youssef,
2015). Next HR analyzes the external labor market and existing employees to
predict the company’s future labor demands. An internal workforce analysis
allow HR to observe what skillsets that current employees have and construct a
gap analysis of the future labor needs of the company and if any training is
lacking among the current staff (Youssef, 2015). Any gaps will indicate where
additional staffing is needed and HR can incorporate the results from planning
into the HRM strategy.
Job
Analysis and Design
Human resources management includes, “job analysis and
design, recruitment, selection, performance appraisal, training and
development, compensation, and benefits administration” (Youssef, 2015, section
2.3, para. 2). Before HR can recruit potential hires HR performs a thorough job
analysis. HR can use a detailed job analysis for hiring the right employee,
evaluating, and training purposes (Youssef, 2015). HR can reach out to the
manager and current employee to assure all job responsibilities and
requirements are included in the job description. If the employees’ files
contains all accurate job descriptions, it will be easier for HR and management
to determine which employees are eligible to advance when another employee
retires or leaves the company (Rohr, 2016).
Attracting
and Recruiting Talent
Next, HR chooses which medium or
platform to advertise the job. The recruitment strategy involves understanding
where to reach the desired talent. Some companies seek new recruits by various
means such as headhunters, mobile, applications, social media sites, the
newspaper, the radio, and colleges. The selection process varies for different
positions and business strategies, therefore, it is important for HR to understand the job’s requirements and
company goals to choose an appropriate selection method. For example,
many job seekers use internet sites and mobile applications for job searches.
Therefore one way to reach more technologically-involved talent is to create a
job posting that others can share on social media sites. Facebook and LinkedIn
are popular social networking sites that provide valuable information on
potential hires, so many companies focus their recruitment efforts online (Chungyalpa
& Karishima, 2016).
Compensation
and Benefits
An effective performance management system with
competitive compensation and benefits can attract, develop, and retain
employees. Since the job market is competitive, HR must offer comparable salary
with competitive benefits to recruit desirable employees. There various
benefits than can attract a candidate. For example, many employees benefit from
a flexible work schedule because they can have a better work-life balance, less
stress, and greater job satisfaction (Youssef, 2015). Employers improve overall
morale when employees can maintain a healthy life-work balance (Johnston,
n.d.). Paid time off allows employees time off to heal from an illness or
recharge on vacations. A sick-leave policy allows sick employees to stay home and not expose other
employees to an illness, which reduces absences and maintain continued
workflow. Health insurance is a popular choice. Health expenses are costly and
in the U.S., individuals that do not maintain annual health coverage may be
subject to penalty by the government, so for many employees health insurance is
a necessity. A lack of health insurance contributes to employee job
dissatisfaction (Youssef, 2015). HR must use the benefits package to attract
the right employees.
Perceived Benefits Value
After an employee accepts the benefits package, employees
may have additional questions about the benefits and future changes. Follow-up
from HR is necessary to ensure employee satisfaction. Employees rate benefits
as one of the top three highest contributors to job satisfaction (Bates, 2016).
It is important for companies to communicate the benefits offered and asses the
value for the company and the employee. Benefits increase an employee job satisfaction,
but only if the benefits are clear and easy-to-understand. Benefits need to be
simple and direct otherwise the perceived value is lost on employees. However,
one survey found that nearly forty percent of employees do not understand their
health insurance benefits or 401k investment performance (Bracchitta, 2016).
Benefits that lack clarity and credibility are counter-intuitive to company
goals as this can disengage employees. Some ways that a company can measure the
effectiveness of the benefits is by requesting and accessing employee feedback
(Bracchitta, 2016). Honest feedback will provide HR an opportunity to clarify
and update information that is unclear. Employee feedback and analysis will
also help companies avoid investing in programs that provide no perceived benefit
or use (Bates, 2016).
Training and Development
Once a company hires the right employee, managers and HR
must continue to manage and further the employee’s development. Performance
reviews are a critical part of the human resources management (HRM) strategy to
keep employees focused on the company goals. Evaluations provide information
about an employee’s strengths, weakness, competencies, and personality traits
that HR uses with planning and decision making (Youssef, 2015). Performance
evaluations highlight areas where related job skills and job knowledge need
strengthening. For any areas that an employee needs improvement HR has an
opportunity to locate, design, and organize training on the subject matter.
Performance
Evaluations
Millennials, predicted to make up two-thirds of the
workforce by 2025, want recognition, guidance on areas that need improvement,
and constructive feedback (Kim & Toselli, 2019). However, not all employees
view performance evaluations as a means of opportunity and growth. Evaluations lose effective potential when
employers and employees who view the experience negatively. One way to improve
employees’ ideas about performance appraisals is to use the interaction as a
tool to focus on the employee’s development and coaching. It is important for
an employer to provide constructive feedback that is focused on growth and
improvement if possible (Kim & Toselli, 2019).
Frequent constructive feedback may prove more effective
than one-time annual evaluations. Delayed feedback, such as an annual review is
less effective than continuous feedback that addresses recognition and areas of
improvement (Kim & Toselli, 2019). Managers can keep employees engaged,
on-track, and with the company by reviewing an employee’s progress several
times a throughout the year such as quarterly or monthly. According to Gallup
polls, continuous feedback produces almost nine percent more company
profitability, nearly 15 percent less employee turnover, and over 12 percent
greater productivity (Kim & Toselli, 2019). Less formal, consistent
communication between managers and employees discussing performance and future
goals will allow the company to maintain a competitive edge through increased
employee engagement (Kirk, 2019).
Employee
Development
Managers and HR
representatives evaluate the employees’ overall performances, but can use the
evaluation tool to gauge an employee’s strengths and, in turn, provide
opportunities for growth (Tomciklova & Coculova, 2020). Frontline managers
cultivate a learning environment by creating opportunities for growth (Cohen,
2013). HR and managers provide employees the opportunity to gain skills that
will allow them to advance their careers, while also improving employee
efficiency and productivity in the current role (Cohen, 2013). A company can
search for new hires to fulfill the needed roles, but should not ignore the
value of current capable employees who may require additional training and
development to grow. The truly competitive advantage employers can gain is
determined on how the company trains, motivates, and develops current
employees. A company with effective training and development practice will
retain talent (Tomcikova & Coculova, 2019).
Employment and Labor Laws
There are several labor
laws that protect employees that companies must follow. The Americans with
Disabilities Act (ADA) protects employees with physical, mental, and learning
disabilities. Employers cannot refuse to employ, promote, or deny compensation
for employees with disabilities. If a disabled individual is capable of
performing a job with reasonable accommodations, then the company must
accommodate the employee (Youssef, 2015). The Age Discrimination in Employment
Act (ADEA) protects individuals over the age of 40. Employers cannot deny
employment, promotion, or compensation because an employee is over the age of
40. Title VII of the Civil Rights Acts protects an individual’s religious
beliefs from discriminatory practices in all employment determinations such as
hiring, firing, pay determinations, and promotions (Youssef, 2015).
The
Equal Employment Opportunity Commission (EEOC) enforces laws that protect
individuals from discrimination Employers cannot discriminate or harass any
employee or job applicant on the basis of “race, color, religion, sex (including
pregnancy, gender identity, and sexual orientation), national origin, age (40
or older), disability or genetic information” (U.S. Equal Employment
Opportunity Commission, n.d., para. 1). The EEOC also requires employers to
make accommodations for employees and applicants with disabilities and
religious beliefs (U.S. Equal Employment Opportunity Commission, n.d.).
Employers cannot follow the EEOC guidelines and turn down a qualified applicant
on the basis of any of these reasons. Therefore, to avoid possibly legal
issues, the job description must list all expected job functions. The
company can maintain EEOC standards of fairness if job interview questions are
pulled directly from the job description for each interviewee (Rohr, 2016).
Once a claim is filed with the EEOC, the agency assesses
the allegations, and if discrimination has occurred, the EEOC will first try to
settle with the employer. If a settlement is not agreed upon, then the EEOC can
file a lawsuit on behalf of the employee (U.S. Equal Employment Opportunity
Commission, n.d.). Companies can avoid discrimination claims by removing any
discriminatory questions and verbiage from their applications, evaluations,
interview questions, and confer with HR for guidance on how to handle issues
with protected individuals. Job descriptions and performance goals need to clearly
state what is necessary for the position so if a position is refused to an
employee, it will reflect that a disability prevents one from satisfying the
position. Employers must also make reasonable accommodations for employees
without proving undue hardship.
Knowledge of these laws is essential to avoid discriminatory
practices and potential lawsuits. One 2017 study on the perception and
employability of disabled applicants found that employers who were unfamiliar
with the ADA guidelines were more likely to discriminate. The overall results
reflected minimal bias from employers for hiring disabled employees, however,
disabled applicant were offered less compensation than other applicants (Sprong
et al., 2019). A company should avoid discrimination and bias is all employee
practices.
HRM
Functions and the Organization
Human
resource management is a bridge between human resources practices and company
goals (Youssef, 2015). HR practices have
a positive impact on employee performance and work morale. Effective HRM
increases employee motivation, decreases absenteeism, retains staff, and
improves productivity (Youssef, 2015). Employees are an essential business
component. As the market grows more competitive, companies gain a market
advantage with through recruiting and retaining the right talent (Chungyalpa
& Karishima, 2016). The effectiveness of a company’s human resources
department is measured by the resulting profitability and efficiency (Youssef,
2015).
Employees are a valuable company
asset. Companies need the right talent to meet organizational goals. Human
resources is responsible for managing all employee relations between
management. Human resources clearly communicates the company goals through
trainings, evaluations, job descriptions, and hiring practices. Human resources
assures that the employees are engaged and satisfied, the managers are
supported and advised properly, and the company as a whole continues to meet
its goals.
References
Bates,
S. (2016). Making benefits measure up. HR
Magazine, 61(7), 46-52.
http://eds.a.ebscohost.com.proxy-library.ashford.edu/eds/pdfviewer/pdfviewer?vid=5&sid=cd57d909-f408-4880-b135-7ef37840764e%40sessionmgr4006
Bracchita, J.
(2016). Getting it right the first time: 4 tools for evaluating benefits. Benefits Magazine, 53(7), 40-44. http://eds.b.ebscohost.com.proxy-library.ashford.edu/eds/pdfviewer/pdfviewer?vid=7&sid=a437e724-c3d5-4680-ba73-e2d4587adcb8%40pdc-v-sessmgr06
Chungyalapa, W. & Karishima, T.
(2016). Best practices and emerging trends in recruitment and selection. Journal of Entrepreneurship &
Organization Management, 5(2),
1-5. DOI:10.4172/2169-026X.1000173
Cohen, J. (2013).
The nature of learning being facilitated by frontline managers. Human Resource Development International,
16(5), 502-518. http://dx.doi.org/10.1080/13678868.2013.825143
Johnston, K. (n.d.). What are the components of a
comprehensive total rewards and motivation system?. Chron.com. https://smallbusiness.chron.com/components-comprehensive-total-rewards-motivation-system-36942.html
Kim, H. & Toselli, C. (2019).
Managing employees is complex. That doesn’t mean we should stay still. Workforce Solutions Review, 10(3), 30-31. http://eds.a.ebscohost.com.proxy-library.ashford.edu/eds/pdfviewer/pdfviewer
Kirk, N. (2019). Under review: Turning the dreaded annual
performance review into opportunities for employee engagement. Journal of Property Management, 84(2), 20-23. http://eds.a.ebscohost.com.proxy-library.ashford.edu/eds/pdfviewer/pdfviewer?vid=1&sid=d5a8ffbb-8d05-49c5-8672-e62395544391%40sdc-v-sessmgr03
Rohr, S.L. (2016). Harnessing the
power of the job description. Management
International Digest, 24(6), 8-11.
DOI:10.1108/HRMID-09-2015-0143
Sprong, M., Mikolajczkk, E., Buono, F., Iwanaga, K., &
Cerrito, B. (2019). The role of disability in the hiring process: Does
knowledge of the Americans with Disabilities Act matter?. Journal of Rehabilitation, 85(4),
42-49. http://eds.a.ebscohost.com.proxy-library.ashford.edu/eds/pdfviewer/pdfviewer?vid=1&sid=45d3683f-7c53-4a0a-aded-37eaafb060e3%40sdc-v-sessmgr02
Tomcikova, L.
& Coculova, J. (2020). Leading and education of talented employees as one
of the major impacts of globalization on human resources management. EDP Sciences, 74(1), 1-9. https://doi.org/10.1051/shconf/20207404029
Tweedie, D., Wild,
D., Rhodes, C. & Martinov-Bennie, N. (2019). How does performance
management affect workers? Beyond resource management and its critique. International Journal of Management Reviews,
21(1), 76-96. DOI: 10.1111/ijmr.12177
U.S. Equal Employment Opportunity Commission. (n.d.).
Employers. https://www.eeoc.gov/employers/
Youssef,
C. (2015). Human resource management (2nd ed.). Retrieved from
https://ashford.content.edu
No comments:
Post a Comment