• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Why employees are assets and not just costs?

Extracts from this document...


Contents 1. Introduction 2. Why employees are assets and not just costs? 3. Theorists- Hard and Soft Hrm 4. How to find/ manage your assets? a) Selection b) Development/ Training c) Appraisals/ Evaluations 5. Conclusion 6. Bibliography INTRODUCTION The objective of this coursework is to examine the ways in which HRM theorists argue that employees are assets and not just costs. Within my study I will be discussing a number of specific areas to help prove this argument. I will be examining how employees were once treated as a cost, and how they have now been developed into strong business organisational assets. An in depth analysis will be given into how businesses find their employees and the ways in which they are managed and developed to enhance the firm. Once I have explained the development of employees, it is important that I further discuss how Human Resources Managers are able to appraise employees overall performance and how this leads to either: the resolving of problems or the reward of good work. I'll be using a wide variety of sources to help to gather information for this study. Firstly, attending my lecturers and seminars will allow me to absorb the core information - but it will be my responsibility to expand on this. Therefore, I will be using a wide variety of journals, books and web sites. ...read more.


Beer et al, argue that: human resource policies should be influenced by all stakeholders, if not in the long run' it will fail as an institution'. They also content, that managers can affect a number of factors by means of the policy choices they make, including: -The overall competence of employees, if they have the skills and knowledge when required, the organisation benefits, and its employees experience an increase sense of self- worth and economic well being. - The commitment of employees, leads to more loyalty and better performance for the business. - The degree of congruence between employee's own goals and those of the organisation -The overall cost effectiveness of hrm practices, in terms of wages, benefits, turnover, absenteeism, strikes, etc. Beer et al argue that: " In the long run, striving to enhance all four Cs will lead to favourable consequences for individual well being, societal well being, and organisational effectiveness. Thus, Hrm policy formulation must incorporate this long-term perspective. David Guest's view of the employees Another theorist to emphasis the importance of the employees and the policies surrounding their work contribution was David Guest. Guest states that the potential input that good human resources policy can make would improve organisational performance. David Guest emphasis the differences between the stereotypes of personnel management and human resource management. According to him human resource practices exercise their positive impact by: ensuring and enhancing the competence of employees; by tapping their motivation and commitment; and by designing work to encourage the fullest contribution from employees. ...read more.


The Employee brings value to the business. Management should constantly be thinking that how employees are treated would be a reflection on how they treat customers. The successful businesses of the future will count employees as one of their greatest assets. CONCLUSION Throughout this coursework, it has been shown the way the relationship between employers/ employees has developed over the years. Even though, employers have renowned for their commitment to good, with well-resourced employment policies, some still seek to minimise staff costs and investments, in pursuit of competitiveness and profits; i.e. implementing redundancies and even export jobs to countries where labour costs are the cheapest (that can be seen today in British airways, in which most of their staff and customers, paperwork is done in India where the workmanship is a bargain). Such policies bring the interest of individuals and groups into conflict with those of their employers. From a human resource perspective, investment in staff contributes to profitability as these employees bring their best ideas to the workplace with a sense of excitement, ownership and pride, translating in continuous improvement in the organisation. Empowered employees (i.e. giving power and information) benefit both the organisation and themselves, once they clearly understand the company's situation, they are compelled to act more responsibly. My recommendation for the company's today is to trust and respect their employees, solicit theirs opinions when it comes to set corporate goals, because employees will be encouraged to act like owners. They can also make them owners through profit shares, stock options, etc. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Human Resource Management section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Human Resource Management essays

  1. Compare and contrast two models of HRM, one of which must be the Harvard ...

    The work unit climate element would bring in concerns such as the staff requirements for example the "domestic" issues such as eating, shops , caf´┐Ż facilities etc other work unit climate issues would be the change of working ethos and culture change.

  2. HRM best practise case study. Research into HRM at a branch of Barclays ...

    week except for that the best practice in this section is done sufficiently. High compensation contingent on organizational performance - there was very little data given in feedback towards this and all I know form here is that rewards are given (according to my finds of employees)

  1. Human Resource Management: Development, Activities, Planning and Recruitment

    Depending on the job in question, this may or may not be an important skill. Culture is also an extremely strong determinant of non-verbal behaviour; decisions about a candidate based on European customs may quite simply be wrong. An orthodox Moslem woman, for example, is unlikely to make eye-contact with

  2. This report suggests recruitment and selection methods for hiring quality staff for the proposed ...

    the nursery and pre-school from the staff we are going to recruit whose additional responsibilities shall include supervision of C&CDC and reporting to the management apart from her normal duties. The other staff of C&CDC shall report to her. This option will bring clarity in the reporting hierarchy and will work effectively if nursery & pre-school are at one place.

  1. Effective employee management is the key to having favorable employee relations, which in turn ...

    simple step in the right direction is to treat employees with respect and give them the credit they rightly deserve. Employee Counseling The Need for Counseling Everyone has periods of time in their life of difficulty, change and transition, when personal issues affect their work and relationships; issues such as emotional, family matters, career, financial, grief, or abuse of alcohol/drugs.

  2. Context of Employee Relations and Industrial Conflict

    * This lead to the Trade Disputes & Trade Union Act 1927 which outlawed sympathetic strikes. * Oxford and Cambridge University both became members of AUT during the 1930's. * 1933 saw economic growth along with an increase in union membership.

  1. Cape Breton Wallcoverings - HRM analysis

    their motivation to perform better resulting in increased productivity and lower training costs. Training As the employees hired lacked the required KSA?s, training needed to be provided to them in order to equip them with the knowledge, skills, and abilities required to perform the job according to the standards of the organization.

  2. Human Resource Management - HRM approaches, HR Planning, Job Evaluation, Reward Management system and ...

    2.1 What is HR Planning? ?The on going process of systematic planning to achieve optimum use of an organization's most valuable asset ? it is human resources. The objective of human resource (HR) planning is to ensure the best fit between employees and jobs, while avoiding manpower shortages or surpluses.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work