Why is the support of line management critical to the effective functioning of HRM practises in organisation?
A great deal of research indicates that it is line management which will determine whether or not HR can create and sustain a competitive advantage for organisation.
Q: Why is the support of line management critical to the effective functioning of HRM practises in organisation? If shows do really we need an HR department?
Introduction
The Human Resources Management (HRM) function includes a variety of activities, and key among them is deciding what staffing needs you have and whether to use independent contractors or hire employees to fill these needs, recruiting and training the best employees, ensuring they are high performers, dealing with performance issues, and ensuring your personnel and management practices conform to various regulations. Activities also include managing your approach to employee benefits and compensation, employee records and personnel policies. Usually small businesses (for-profit or nonprofits) have to carry out these activities themselves because they can't yet afford part- or full-time help. However, they should always ensure that employees have -- and are aware of -- personnel policies which conform to current regulations. These policies are often in the form of employee manuals, which all employees have.
It is proposed that we take human resource management to be that part of management concerned with:
* all the decisions, strategies, factors, principles, operations, practices, functions, activities and methods related to the management of people as employees in any type of organisation (including small and micro enterprises and virtual organisations);
* all the dimensions related to people in their employment relationships, and all the dynamics that flow from it (including in the realisation of the potential of individual employees in terms of their aspirations);
* all aimed at adding value to the delivery of goods and services, as well as to the quality of work life for employees, and hence helping to ensure continuous organisational success in transformative environments.
Now According to the HRM definition we can suggest that by line management HR plays major role for growth of organisation. We will explain above situation through some of examples or by some research. Let's discuss factors which are useful for better growth of organisation.
The nature of Human Resource Management Roles
Human resource management is also in the process of change with regard to the nature of the role performed. In the past many functions were performed by HRM professionals themselves, the role they are taking on, is one of consultant to line management, where line managers perform many of the functions traditionally handled by HRM professionals. Similarly there is a trend in which businesses are shedding all functions that are not directly related to core business, and in the process many HRM functions are being outsourced. Hence the change in the nature of services provided.
The activity of generating unit standards and designing qualifications can be used as an opportunity to catapult HRM practices into the future. To do this, those issues which are going to shape the future for HRM practices (termed transformation and development issues) need to be identified and analysed, especially in relation to current roles that will still be required of HRM practitioners. These issues are central to the activity of generating unit standards (e.g. outsourcing, societal responsibility) and their impact on HRM roles (e.g. staffing, performance management). In addition, supportive roles or functions required by HRM practitioners will also have to be identified in order to complete the HRM practitioners qualifications design package.
(http://www.mapnp.org)
Roles of Line Manager
Management is often depicted as an ugly duckling compared to its glamorous sibling leadership. However it is not leaders in the rarefied atmosphere of the boardroom but line managers in the engine room of the business who have the biggest role to play in talent management. Line managers stretch talent or squash it.
Unfortunately, talent squashing is the norm in many organisations. The challenge of providing line managers with the skills to manage talented executives is a common one.
Some of the main core points which line managers should adopt while operating with employee are listed below
Celebrate individuality. Since each employee operates through a unique filter, find out what it is. Ask employees what motivate them, what their goals are, how they like to be managed.
Set outcomes not instructions. Give clear objectives and steer employees towards achieving them rather than issuing detailed directives.
Celebrate diversity. Accept that one-size-fits-all management never works. Align the unique talents of your employees to organisational objectives then step back and allow those talents to flourish.
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Some of the main core points which line managers should adopt while operating with employee are listed below
Celebrate individuality. Since each employee operates through a unique filter, find out what it is. Ask employees what motivate them, what their goals are, how they like to be managed.
Set outcomes not instructions. Give clear objectives and steer employees towards achieving them rather than issuing detailed directives.
Celebrate diversity. Accept that one-size-fits-all management never works. Align the unique talents of your employees to organisational objectives then step back and allow those talents to flourish.
Know what makes talent tick. Talented employees thrive on personal growth, challenge, stimulation, variety, meaning, purpose, respect, responsibility, autonomy and choice. Find out which drivers matter most to which employees. Ensure their work satisfies their personal career drivers.
Focus on your high performers. High performers deliver the most value for the organisation so encourage them to aim higher. Investigate the factors that differentiate them from lower performers and build a star map for their role. Use this star map as a benchmark for recruiting new and developing existing talent.
Be a casting director. Develop close relationships with your people so you know which roles will play to their strengths and which will strangle them.
Be a coach, not a manager. Coaching bridges the gap between organisational goals espoused by leaders and the individual career aspirations of your employees by aligning the two. A coaching manager sees their role as building rapport, trust and common purpose. A coaching manager delegates and stretches, giving employees challenging assignments to build their skills.
Consider an example of Dixon's group of companies as part of HRM
Dixon Group specialises in the sale of high technology consumer electronics, personal computers, domestic appliances, photographic equipment, communication products and related financial and after sales services. Dixons Group believes that the success of the business depends on the calibre of its people and aims to recruit, develop and retain the very best. The Group operates one of the most creative and popular employee share schemes in the UK, as well as offering generous discounts on a range of home and motor insurance, life assurance, vehicle breakdown cover, childcare, holidays and fitness club memberships.
Comprehensive family-friendly policies include career breaks which are available to employees with 2 years service - employees and their families also have access to a free phone employee helpline offering confidential counselling services on a range of personal issues and giving access to free face-to-face counselling as recommended by the helpline. Advice is also available on all legal (including employment), financial and personal tax issues. Dixons Group values diversity and actively attracts people with diverse backgrounds, experiences and perspectives. The business is committed to employing people who reflect the diversity of their local communities and the customers they work with.
All 30,000 UK employees are involved in the Group's ongoing Respect for People programme, designed to banish unacceptable behaviour from the workplace, and encourage a positive working environment free from harassment, bullying or discrimination. Dixons Group has a long history of fostering the very best management talent in UK retail, from the local store to the boardroom. The company is quick to recognise and reward talent at every level. Partnerships with the top management colleges in Europe such as Cranfield and Henley aim to retain and develop proven ability, and senior management are given a mentoring role.
A strong focus on effective performance management identifies and develops high performers and helps to make all employees more effective in their roles. The CEO chairs the Dixons Group European Forum, a body of independently elected employee representatives. Local foray of elected representatives from within individual businesses within the Group provide the framework for the Group's consultative process which provides invaluable input on a wide range of issues including customer service, business efficiency and performance improvement. Regular employee attitude surveys are used to design bespoke reward and training programmes and to develop employment policy.
Employees are encouraged to support local charities via the Charity Champions initiative and Employee Volunteering scheme - any funds raised for Group charities are also matched by the company. The Group is also committed to its annual Charity of the Year partnerships - in 2002-3 employees raised half a million pounds for 4 health charities, under the Health Matters campaign.
Above case study shows how an organisation motivates employees through different ways which is best example of Management using HRM policies.
(www.management-issues.com)
Influences of a changing environment in Management
To define and describe the scope of human resource management requires an understanding of the influences that the changing environment in which human resource management is situated have on human resource management systems and roles
Why we need HR Department
Without implementing HRM no company can create better growth. HRM used to be referred to as manpower planning. Human resource costs are the most significant item in the financial outgoings of most work organisations, whether they labour intensive or not. Every organization must engage in some form of corporate or strategic planning. It is fashionable to argue that this is difficult when many changes can occur especially in the environment external to the organization. Rapid currency changes, change in the nature of the competition through technological development, to say nothing of political upheavals on an international scale, serve as suitable examples. Being a good leader involves a lot more negotiation than most people think, even in the military or a very traditional organization where "what the boss says" is supposed to be law. People who are convinced that they need to do something are much more motivated and smarter about getting their jobs done than people who've been "given marching orders." Everyone wants their workforce to be smart, independent thinkers who work intelligently. When you're leading people, you need to understand that people respond to your physical presence as much as they do to what you're saying.
HRM can either enhance or hinder the dynamics of evolutionary change of the qualifications and motivations of the workforce. It may also influence the development path of the 'Human Resources'. The paper stresses that organizations should implement either a flexibility or stability enhancing HRM-strategy, depending on the organizational need for adaptation of the workforce to changing conditions for organizational problem solving.
'Human Re-sources' also gained attention as the workforce and its individual members became considered to be an important resource, which have important impacts on the competitive advantage of organizations. The 'Human Resources' are considered to be one particular type of resources, which should be utilized, in order to contribute to the solution of the problems of the organization as an effective and efficient 'collective actor'. 'Human Resources' can be considered as the key resource of an organization as individual actors apply all other resources and determine their utility and use for the organization. Hence, 'Human Resources' are important components, which might contribute to the sustainable competitive advantage of an organization. HRM should ensure that the qualifications and motivations of the work-force can and will be employed in order to create utility for the organization so that the individual actors can act as efficient and effective agents of the organization and positively contribute to the organizational problem solving process.
"Qualifications and motivations are the two main determinants of the action and problem solving capability of individual actors. In an abstract sense, motivations and qualifications of the workforce are the 'Human Resources'."
(Managing human resources by C Molander & J winterton, 1994)
Here there's more suitable points from which we can conclude the importance of HR in Industry which provides tools and tactics to enhance execution of strategies
* Manage the interface between HRM processes and systems.
* Formulate and communicate HRM policies.
* Act as the conscience of employer with respect to people issues.
* Scan the environment (both international and national) and identify emerging trends that will affect the organisation and the management of people therein.
* Assess the long-term impact of short-term decisions on people.
* Manage people related issues accompanying mergers, alliances and acquisitions.
* Express (embody) the philosophy and values regarding people management in the organisation.
Organisational design
Organisational design analyse the work processes and recommend improvements where necessary. Also it recommends options for organisational design & structure.
Change management
* Change includes advise management on implications of change for employees, co-ordinate & facilitate the change process and facilitate changed relationships. It also provides support structures for employees during change.
* Deliberate and proactive management of the changing environment and its implications for work and the organisation.
Corporate wellness management
* It develop and communicate policies and procedures with regard to the management of wellbeing, Manage occupational health and safety and also manage wellbeing (Employee Assistance programs & Health Promotion programs)
Determining requirements of jobs
* Appoint a representative committee with the task of conducting the job analysis.
* Decide on the use of job analysis information.
* Decide on the sources of job analysis information.
* Decide on the method for job analysis.
* Review the information.
* Based on the outcomes of the job analysis, write job descriptions and job specifications
Recruitment of staff for the organisation
* Develop & implement recruiting strategy bearing in mind relevant legislation.
* Decide whether recruitment will take place externally or internally.
* Select methods of the recruitment (for example job posting, personnel agencies & advertising)
* Engage in recruitment.
Selection of human resources
* Develop and implement selection strategy in line with relevant legislation.
* Select appropriate tools for selection.
* Validate selection tools in line with legislation.
* Provide selection short list for line management to make a decision.
Placement of staff
* Place staff in ways that will have the potential to benefit both organisation and employee
Recently ABN Amro announced that it was axing 2850 jobs, 300 of them in Britain. The Netherlands' profits for the loss of three percent of its staff. Operations in the Netherlands and London will be hardest hit. About 380 investment banking will be lost in ABN Amro's home market while 300 similar jobs will go in the city. ABN Amro is the third largest European bank to announce cutbacks in the past month, following Deutsche Bank, which shed 1920 staff, and Credit Suisse which axed 300.
(Metro, 17th Dec 2004)
Management of termination
* Advise management regarding the strategic implications of terminating employment relationships.
* Conduct exit interviews.
* Develop a plan to replace competence lost.
* Analysis of staff turnover and advise management on pending problems and corrective action (where necessary).
Training & Development
* Develop a training & development strategy according to the requirements of legislation and with the improvement of productivity and delivery as outcome.
* Conduct a training needs-assessment including the assessment of prior learning and write training & development objectives based on the outcome thereof.
* Conduct training & development.
* Evaluate training & development with regard to the return on investment.
* Promote training & development in the organisation.
Career Management
* Design and implement a career management program aimed at integrating individual aspirations and organisational needs & realities.
* Manage career-related issues in the organisation for example women, affirmative action and management of diversity with attention to legislation in this regard.
* Manage career-related issues surrounding organisational restructuring, downsizing & outplacement including provision of support.
Performance management
* Design and implement a performance management system linked to relevant HRM systems and aimed at contributing directly to the business strategy.
* Assess performance.
* Use outcome of performance assessment as the basis for decision-making in areas mentioned in point 1.
* Management of individual as well as collective labour (organisational) performance.
Industrial relations
* Develop and communicate industrial relations policies and procedures in line with legislation.
* Involvement in grievance and disciplinary hearings
* Lead negotiations (where necessary).
* Implement termination procedures
* Assessment and management of organisational climate and employee relations
* Liaison with trade unions
* Implementation of outcomes of collective bargaining and negotiation
One good news from the Motor industry is that Ford announced it was creating 460 new jobs by building diesel engines at its Dafgenham plant in Essex. The company is getting a 4.5m GBP government grant towards the cost of a 169m GBP project to build 400,000 engines.
(Metro, 17th Dec 2004)
Conclusion
HRM increasingly seen as important weapon in the battle to maintain the competitive edge. Change has fundamental implications for 'the way people in the organisation line up to get work done'. In the internal battle of survival, human resource professionals will need to demonstrate competence in the design and development area if they are to be seen as a relevant managerial group. It is an area above all which HR professionals can legitimately call their own since it rests so heavily on the applications of the behavioural sciences.
The most important element of HR management is contained in the day to day working relationships of manager and employee, rather than in the exercise of charm by a limited number of specialists. Modern human resource management, then, is pragmatic in its concern with value for money rather than being tied to an employee-centred philosophy. It is also strategic in its concern with the integration of human resource planning with corporate strategy. It is appropriate now to apply this overall view of the human resource role to specific managerial issues.
References
* Molander. C and Winterton J. (1999), Managing Human resources, Routledge, London
* Storey, J. (1987), New Perspectives on Human Resource Management, Routledge, London
* Hendry, C. (1995), Human Resource Management: A Strategic Approach to Employment, Heinemann, London
* Pinnington A. and Edwards T. (2000), Introduction to Human Resource Management, Oxford, London.
* Storey J. (eds) (1992), Developments in Human Resource Management, Oxford, Blackwell
* Bramham, J. (1989) Human Resource Planning, London: IPM
* Sisson, K. (1989) Personnel Management in Britain, Oxford: Blackwell
* Storey J. (eds) (1992), Developments in Human Resource Management, Oxford, Blackwell
* Sparrow P.R. & Marchington M. (eds), 1998, Human Resource Management: The New Agenda, Pitman, London
* Hellriegel, D., Slocum, J.W. and Woodman, R.W. (1992) Organizational Behaviour, Saint Paul, Minn.: West (6th edition)
* Dessler G. (2000), "Human resources management" 9th edition, Prentice Hall.
* Beardwell I., Holden L. (2001), " Human resource management a contemporary approach" 3rd edition, Prentice Hall.
* Kramar R., Mcgraw P., Schuler R. (1997), "Human resource management" ,3rd edition, Longman.
* Dessler, Griffith, Lloyd-Walker, Williams. (1999), "Human resource management", Prentice Hall
* Pall. B and Peter. T, (1992), "Reassign human resource management", Sage publication
* Stone R. (2002) "Human resource management", 4th edition, John Wiley & Sons Australia, Ltd
* http://www.mapnp.org
* http://www.management-issues.com
