The conversion of a small firm into an expanding organisation can be exciting and financially rewarding provided careful thought and planning is given to the process. One key aspect of the transition, that requires careful attention, is that of Human Resources. The demands of human resources, long regarded as one of a business’s most important assets, can be daunting unless the proper knowledge, skill and tools are applied in dealing with the issues and policies that arise in the administration, management, and training of personnel.
The kind of issues and policies that are likely to be confronted include the recruitment and induction of personnel, employee training and skills development, remuneration and benefits administration, and the adherence to the relevant government regulations. These topics are scrutinised in this short essay. Terms of reference
As a student of the Human Resource Management module of the Higher Certificate in Business Studies course in the National College of Ireland I was requested, as part of the course, to undertake a detailed evaluation, from a human resources point of view, of the issues and policies one would expect to find in a small expanding firm. Issues facing a growing organisation Outsourcing of the Human Resource Function (HRM) function
The small or growing firm is usually restricted in terms of the financial resources at its disposal. This gives rise to the first issue facing the small firm in relation to human resources – whether to outsource the HRM function or establish an internal, full or part-time, dedicated HRM office. Great care ought to be taken in considering whether or not to outsource the HR function, as the consequences of the appointment of unsuitable personnel, by inexperienced internal HR staff, can prove very costly to resolve.
The more specific HRM issues can be categorised into three distinct sections: the entry phase, the employment phase and finally the termination phase. The entry phase involves: Recruitment and Selection – the aim here should be to hire the number and quantity of employees, which satisfies the human resource needs of the company, at the minimum cost. Recruitment involves defining the requirements of the different positions, preparing job descriptions and specifications and the terms and conditions of employment. . Induction 2. Probation Recruitment and Selection CONCLUSION The goal of this manuscript was to highlight the common human resource management practices implemented across the nation. Consistent with prior research, we found that most businesses did actively engage in human resource management practice; however, the systems were not necessarily implemented strategically or in a manner that would help build a competitive advantage.
Strategic implementation of human resource initiatives requires managers to think about two forms of strategic alignment: internal alignment (between each independent human resource initiative) and external alignment (between an entire human resource system and the firms overall competitive strategy) and how these forms of alignment help create employees that are capable of fulfilling their essential job duties in a way that helps the firm develop a strong competitive advantage.
It is important to recognize that there are other common human resource management systems that were not covered in this manuscript, such as compensation and reward systems and performance appraisals and feedback. These areas represent an important part of a complete human resource management system, but this manuscript focused on specific areas where the research is beginning to converge so that the authors could more fully provide practitioners will valuable guidance.
Read more: http://readperiodicals. com/201107/2439526181. html#ixzz1qAoYqFeU Advantages of outsourcing: 1. Cost saving- HR costs are reduced because the firm is only paying for a specific service 2. Concentration of HR effort – members are not distracted or diverted from the key task 3. Expertise – the firm is purchasing expertise that may not be available internally The disadvantage is that outsourcing can lead to lower employee morale (Armstrong 2007, p. 61).