HRM Interdependence with Functions

Introduction to HRM

Human Resource Management (HRM): Overseeing the interactions between employees and employers to enhance performance and satisfaction.

Essential Functions of HRM

• Recruitment:
  • Identifies and attracts suitable candidates.
  • Example: Publishing job adverts on employment websites.
• Training:
  • Programmes develop professional skills.
  • Example: On-the-job training that includes mentoring.
• Employee Welfare:
  • Initiatives support well-being and productivity.
  • Example: Wellness programmes promoting work-life balance.
• Performance Management:
  • Evaluating and setting performance benchmarks.
  • Example: Annual reviews to establish objectives.
• Strategic Planning:
  • Aligns HR practices to advance organisational goals.
  • Facilitates continued success.

HRM's Role in Supporting Other Business Functions

Marketing

• Staff Alignment:

  • Hire and train employees with skills aligned to marketing objectives, similar to choosing the right team to succeed in a competition.
  • Ensure HR aligns employee skills with marketing needs accurately.

• Motivation and Engagement:

  • Increase motivation by introducing incentives like bonuses or rewards, leading to superior marketing outcomes.
  • Apply performance management strategies that effectively enhance team motivation.

Finance

• Financial Interdependence:
  • HRM works in collaboration with finance to manage costs and resources efficiently.

• Management of Personnel Costs:
  • Detailed overview of managing expenses related to employees such as salaries, benefits, and training.
  • Vital to balance investment in human capital while maintaining financial stability.

• Influence of HR Decisions on Financial Planning:

  • HR decisions regarding training and development can greatly impact financial projections and align with fiscal aims.

• Case Study: Walmart Alignment: Walmart effectively aligns workforce training with financial strategies, boosting business performance.

Operations

Operations Management: The coordination of processes that transform inputs into goods and services effectively.

Relationship with HRM: HRM supports operations by aligning employee skills with business objectives.

• Recruitment and Training: Ensures the right skills match job needs, enhancing operational capacity.

• Legal Compliance: Prevents legal complications by ensuring adherence to labour laws.

• Collaboration in Operational Processes: HR works alongside operations to streamline workforce allocation.

  • Example: Effective scheduling reduces unnecessary overtime costs.

• Enhancing Efficiency Through Training

  • Worked Example: After implementing specialised machine operation training for factory workers, machine downtime decreased by 30%. This improvement occurred because workers learned preventative maintenance techniques and early problem detection, resulting in higher productivity and fewer production delays.

Compliance with Labour Laws and Workplace Safety

Legal Requirements and Compliance in HRM

• Responsibilities of HR Professionals:

  • Implement laws precisely.
  • Conduct regular safety workshops.

• Development of Organisational Policies: HR ensures all policies align with legal standards.

• Risks of Non-Compliance:

  • Potential consequences include financial fines and legal proceedings.

HRM Trends and Ethical Considerations

Recent Trends in HRM

• Digital Collaboration Tools

  • Technologies like Slack improve teamwork.

• Remote Work Models

  • Offer increased flexibility and productivity.

• Work-life Balance Initiatives

  • Enhance retention and satisfaction.

Ethical Behaviour and CSR

• Promoting Ethical Conduct aligns with CSR initiatives to foster integrity.

• Business Benefits:

  • Financial Stability: Reduces risks and expenses.

• Strategies for Diversity:

  • Diverse recruitment enhances innovation.

Regular audits and comprehensive training programmes are essential for ensuring compliance and ethical behaviour in HRM.