Download Human Resource Management

INFORMATION AND COMMUNICATIONS UNIVERSITY
SCHOOL OF HUMANITIES
Human Resource Management
An assignment submitted in partial fulfillment of the requirements for
the BA Degree in Human Resource Management
Assignment No. 1
Student details
Full Names
:
Paxina Kaluba
SIN
:
1604440581
NRC No
:
440581/67/1
Cell
:
0966110421/ 0979207831
Lecturer’s Name
:
MR. AUTHUR CHISANGA
Year
:
2016
Question
Discuss the assertion that having a human resource department in an organization is a sheer
waste of resources of the organization.
1|Page
Contents
INTRODUCTION ........................................................................................................................................ 3
Human Resource ....................................................................................................................................... 3
Department................................................................................................................................................ 3
Human Resource Department ................................................................................................................... 3
2|Page
INTRODUCTION
Human Resource
Human resource is used to describe both the people who work for a company or organization and
the department responsible for managing resources related to employees. The term human
resources was 1st coined in the 1960s when the value of labour relations began to garner attention
and when notions such as motivation, organizational behavior and selection assessments began
to take shape.
Department
This a specialized functional area within an organization or division, such as accounting,
marketing, planning etc. generally every department has its own manager and chain of command.
Human Resource Department
Human resource department is the company department charged with findings, screening,
recruiting and training job applicants, as well as administering employee-benefit programs. As
companies reorganize to gain competitive edge, Human Resources play a key role in helping
companies deal with a fast-changing environment and the greater demand for quality employees.
However there is an assertion that having a human resource department is a sheer waste of the
organizations’ resources. Which could equally have fact as to why such an assertion would come
about.
3|Page
THE ASSERTION
Over the years the Human Resource department has been maintained by individuals with
qualifications pertaining to the course of managing the labour force of an organization.
However just like there is always something good about something there is also a that does not
work well for the organization and these are the disadvantages of having a Human Resource
Department in an organization.
Human Resources (HR) Planning is integral to the efficient running and continued success of
businesses, enterprises and even start-up companies. At times, many corporations and business
owners due to circumstances, certain business factors or extraneous issues have a badly
mismanaged top management tier and inconsequential HR departments. The resultant poor
human resource planning has an immediate and long-term impact on organizational functioning,
employee recruitment and management policies and corporate profitability. Martin Nillos (2015)
Disadvantages of Human Resource department
1. Poor Human Resource Planning and Management
An incompetent and poorly functioning human resources department reflects the overall
state of affairs of an organization and its possible uncompetitive position in the
marketplace. There is disconnecting between the Human Resource department and the
executive management leading to miscommunication, poor decision making on
operational aspects and critical mistakes. Employee training and development programs
are not properly budgeted for and hiring practices are skewed. Bad Human Resource
planning ensures that the Human Resource assets of the organization are not aligned to
organizational goals and objectives term consequences for an organization. It affects the
performance of a business and the productivity levels of employees. Customer service on
all fronts gets affected. The loss of customers and medium-term revenues is quite
immediate. Over a period of time, the freefall leads to an impact on the bottom line of an
organization. Martin Nillos (2015)
2. Improper Actualization
4|Page
Human resource management should be implemented by assessing the training and
development requirements of employees. The aspirations and needs of people should be
taken into account while making human resource policies. Human resource management
is actuated half-heartedly. The organizing of some training programs is considered as the
implementation of human resource management, with this management’s productivity
and profitability remains undisturbed in many organizations. smriti chandi
3. Unmotivated Employees
The indifferent attitude of top management and HR quickly filter across organizational
levels and employee hierarchies. Work ethics get affected, there are personality conflicts
and teamwork becomes non-existent. There is gross underutilization of skills and
capabilities of experienced employees. Other talented professionals are not groomed in a
generally negative working environment. Poor motivation and lack of incentives and
recognition lead to poor performance and even production of poor quality of goods and
services.
4. Employee Demand-Supply Mismatch
Recruiting and selecting employees is a continuous cycle. Based on business growth,
expansion plans and requirements for specific projects and assignments, employees need
to be hired. In a mismanaged organization, HR personnel with a lackadaisical attitude and
lack of communication with departmental managers and supervisors are hard-pressed to
address workforce requirements. Vacancies and job postings don’t get filled in time and
key business functions and operations get affected--having a knock-on effect across the
organization.
5. Higher Staff Turnover
Poor human resource planning begins to reflect on the corporate ethos of an organization.
The working culture is affected and is generally negative. Performance reviews and
performance appraisal systems are badly managed and employees uncertain about their
immediate and future prospects. Employee safety practices and working conditions can
be compromised at factories and manufacturing facilities. Poor working conditions force
many workers to quit. Many other employees are also forced to leave the organization.
Martin Nillos
5|Page
6. Cost
Perhaps the biggest concern with having a human resources department or the biggest
issue in any business is cost. Your main goal is to make money, so any costs will reduce
your profit. While highly trained HR specialists can be a valuable asset, some of them
earn an average of approximately $50,000 per year as of 2010, according to the Bureau of
Labor Statistics. This can be a good investment, but resorting to an HR department before
business growth warrants will cause substantial, unnecessary expenses.
Measuring the impact of the disadvantages of the Human Resource Department on the
organization, the accession came about to say it is a sheer waste of the organization’s funds.
Recently a much less costly way of maintaining human resources has been developed this is
called the E-Human Resource Management system. This system has proved to be less costly as
the company does not need to employ a lot of people to manage the department because the
system maintains it call.
Electronic Human Resource Management System
Is an umbrella term covering all possible integration mechanisms and contents between Human
Resource Management and Information Technologies aiming at creating value within and across
organizations for targeted employees and management. Bondarouk and Ruel (2009).
They indicated that this definition represents the consensus-based understanding of electronic
Human Resource Management. Moreover, they believed that their definition suggests an
integration of four aspects: the content of e-Human Resource Management, which concerns any
Human Resource practices that can be supported with Information Technology and any type of
Information Technology that can offer support for Human Resource Management;
implementation of e-Human Resource Management, which includes the adoption and
appropriation of e-Human Resource Management by organizational members; targeted
employees and managers as e-Human Resource Management, which are directed toward the
Human Resource Department but, by the evolution of e-HRM line management and employees,
are actively involved in using e-HRM applications.
There are three types of E-HRM. These are described respectively as Operational, Relational and
Transformational. Operational E-Human Resource Management is related with administrative
6|Page
functions-payroll and employee personal data for instance. Operational type of Human Resource
Management provides the choice between asking employees to keep their own personal data up
to date through a Human Resource website or to have an administrative force in place to do this.
Relational E-Human Resource Management is related with supporting business processes by
ways of training, recruitment, performance management and so forth. As to relational Human
Resource Management, there is the choice between supporting recruitment and selection through
a web-based application or using a paper-based approach (through advertisements, paper- based
application forms and letters etc.). Transformational E-Human Resource Management is related
with strategic HR activities known as knowledge management, strategic re-orientation. As to
transformational Human Resource Management, it is possible to create a change-ready
workforce through an integrated set of web-based tools that enables the workforce to develop in
line with the company’s strategic choices or to have paper-based materials. Maolin Ye
The benefits of E-Human Resource Management
By reviewing the relevant literature, this paper extracted some benefits of E-HRM from various
studies which are as follows:

E-HRM has the potential to influence both efficiency and effectiveness.

Effectiveness can be affected by improving the competence of both managers and
employees to make better, quicker decisions.

A higher internal profile for HR leading to better work culture.

It leads to a more transparent system.

Considerable reduction of administrative burden.

Provides Integral support for the management of human resources and all other basic
and support processes within the company

A more forceful workflow in the business process, productivity and employee
Satisfaction.

E-HRM can save costs while maintaining the quality of data.

Decentralization of HR tasks (Kaur, 2013).

Standardization

Access to ESS training enrollment and self-development.
7|Page

User-friendly interface.

Connectivity with the client's existing information system (payroll accounting, ERP,
attendance registration, document systems… gradual implementation.

Parametric and customizability.

Access to archived records and documents Employee & time managers self-manage
employee mgt.

The generation of HR metrics to support strategic decision making (Swaroop, 2012).

Transforming HR professionals from administrative paper handlers to strategic partners

The automation of routine HR tasks and replacing filing cabinets.
Conclusion
Therefore, most individuals and organizations in various parts of the world are convinced that
having a human resource department in an organization is a waste of the organizations funds.
Because everything that human beings can do that department the system can do with just one
individual using it, than having a lot of people employed in the department.
8|Page
References
Bondarouk, T. and Ruel, H. Electronic Human Resource Management: challenges in the digital
era. The International Journal of Human Resource Management, 20(3), pp.505-514, 2009.
Bureau of Labor Statistics: Occupational Outlook Handbook -- Human Resources Specialists
HEIKKIL"A, J. (n.d.).Perspectives on e-HRM in the Multinational Setting.
Kaur, P. (2013) “E-HRM: A Boon or Bane”, ANVESHANAM a National Journal of
Management, vol.1, NO.1, pp: 35-36.
Swaroop, K. R. (2012) “E-HRM and how IT well Reduce the cost in organization”, Journal of
Marketing & Management Review Vol.1 (4) .pp:133-139.
9|Page