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The art of people management.

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The art of people management IN the era of globalisation (global think + local needs), the emergence of the new scientific way of people management has given birth to the new term called human resource management (HRM). HRM can be the magic contributor to the success of an enterprise because it is in a key position to affect customers, business results and ultimately "shareholder value". We should not forget that HRM is one integrated part of the management that deals directly with people and for people. In other words, HRM focuses on fulfilment of the internal customers needs, which can then help the organisation to satisfy the needs of the external customers. HRM is the "buzzword" for people development strategies and partnership policies (SPP), which is the key to organisational success and sustainability. Barry Smith, 1998 has stated that people are the most important asset and one of the underlying factors is that "human capital" is very much powerful and valuable than any other resources in an organisation. ...read more.


The strategic role of HRM In the past, most organisations were focused on the inward looking (Torrington, 1999), but with employees becoming more aligned with the strategic business needs, they have become equally important as external customers. Because of this, HRM has influenced organisations to be more outward looking (Torrington, 1999). This has resulted in HRM as the complete role player, manager and changer, which integrate people resources as "critical means to achieve desirable ends' (Stone, 1998). Therefore HRM plays an important role, which is more business-oriented, people-innovated and strategically focused. There are four main roles of HRM strategically, that are: * HRM as a strategic partner; * HRM as people innovator; * HRM as part of an open management system; and * HRM as change management. HRM as a strategic partner HRM encourages HR managers to play a strategic role where they have the ability to translate business strategy into action. This facility roles the HR manager together with the HR team to take part in the organisational decision making process. In short, HRM integrates and strategically links the corporate business strategy to HR policies and practices. ...read more.


On the other hand, HR managers must play advisory and consultant role in giving strategic views and ideas pertaining to any HR policies or regulations that need to be implemented. HRM encourages management to be more participative where line managers and HR managers work as a team. In the open management system, problems are made very transparent and employees' ideas and suggestions are not filtered before reaching the top management. HRM as part of change management HRM is also involved in the process of change management, which is due to: Uncertainty (what information is available in decision-making); * Volatility (how often is the environment changing); * Magnitudes of change (how drastic are the changes); and * Complexity (how many external and internal influences in the environment are at play). According to Denton (1984), HRM success depends on recognising the need for change and successfully implementing it. Therefore, HRM urges HR managers to be more alert to people and situations requiring changes (Legge, 1988), be receptive to new ideas and ways of doing things and be able to lead and support initiatives for change. Changes in business and HR strategies requires careful introduction. Changing employee's behaviour requires a change in the organisations culture. ...read more.

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