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Strategic role of human resource management

By Taslim Ahammad:

Human Resources Management plays a determined role in process of converting inputs into outputs, product design, quality maintenance, rendering services and many other functions depend largely on the human efficiency. HR also plays significant role in managing finances and managing information systems.

Strategic role of human resources management put forward to the management team how to strategically manage people as business resources. This includes recruiting and hiring employees with specific skill sets to meet the company’s current and future goals, coordinating employee benefits and suggesting employee training and development strategies. In this way, HR expert / consultant advice managers on many issues related to employees and how they may help the organisation to achieve its goals, discussed below:

Training and development – A key aspect of the HR is to facilitate workplace training, to make sure adequate training is being provided but also to encourage the ongoing development of employees through relevant training courses or workshops. Promoting employee development can play a significant role in staff retention and engagement and is a vital part of how a successful organization operates.

Building loyalty and commitment – HR experts also suggest strategies for increasing employee commitment to the organization. This begins with using the recruiting process or matching employees with the right positions according to their qualifications.

Building a talent pipeline – HR experts and the team helps a business to develop a competitive advantage, which involves building the capacity of the company so it can offer a unique set of goods or services to its customers. It is not just about hiring talent; this game is about keeping people and helping them grow and stay committed over the long term.

Staying current, competitive and external factors – HRM strategic role needs to consider the outside forces play that may affect the organization. Outside forces, or external factors, are those things the company has no direct control over; however, they may be things that could positively or negatively impact human resources. External factors might include the following: (i) Globalization and offshoring (ii) Changes to employment law (iii) Health-care costs (iv) Employee expectations (v) Diversity of the workforce (vi) Changing demographics of the workforce (vii) A more highly educated workforce (viii) Layoffs and downsizing (ix) Technology used, such as HR databases (x) Increased use of social networking to distribute information to employees

Development of workplace policies – In the development of policies making process, human resource management, management, and executives are involved. HR experts will likely recognize the need for a policy or a change of policy, seek opinions on the policy, write the policy, and then communicate that policy to employees.

Compensation and benefits – HRM experts need to determine that compensation is fair, meets industry standards, and is high enough to entice people to work for the organization. Compensation includes anything the employee receives for his or her work. In addition, HRM experts need to make sure the pay is comparable to what other people performing similar jobs are being paid.

Recruitment – This is a continuous task that shifts as an organization expands. This means that HR staff needs to have a firm understanding of the various roles within an organization, the qualifications necessary to fill specific roles, and a general idea of the type of person best suited to these roles.

Retention – Retention involves keeping and motivating employees to stay with the organization. Compensation is a major factor in employee retention; however, there are other factors as well. Ninety percent of employees leave a company for the following reasons: (i) Issues around the job they are performing (ii) Challenges with their manager (iii) Poor fit with organizational culture (iv) Poor workplace environment.

Employee relations – HR department is there as a liaison between the organization and employees, to make sure that employees are kept abreast of relevant information and those them, in turn, are represented by the HR team in any decisions that may impact them.

Health and safety – Promoting a safe workplace also comes under the realm of the HR department. In this role, the HR team is responsible for ensuring an organization complies with all health and safety legislation, that employee safety training is kept up to date and that workplace safety records are maintained.

Employment/ law compliance – For every organization, complying with employment legislation is a requirement. From providing positive working conditions to ensuring fair work practices, the HR team is tasked with keeping an organization in line with workplace laws. This can often be a complex and every changing facet of the HR role as legislation can be tweaked sporadically if new cases or scenarios come to light.

Counsellor – Whenever an employee is dissatisfied with the job he approaches the HR manager for counselling and guidance. Also staffs approach the HR manager for counselling for other problems related to his/her personal life which is likely to influence his performance like, health, children education or marriage, mental and physical problems and so on.

Mediator – When there are differences of opinion and misunderstanding between the management and the employee or between employees themselves. Here, HR manager acts as a mediator, a peace-maker and a communication link between them.

HRM has traditionally been focused on confirming compliance with employment law and maintaining employee levels; in recent years HR experts have seen a change in the role to become more strategic and more involved in business operations.

Taslim Ahammad, Assistant Professor

Bangabandhu Sheikh Mujibur Rahman Science and Technology University, Gopalganj, Bangladesh

&    T.A Research & Training Center