Critically Discuss How Human Resource Management Can Contribute to Improved Organisational Performance. to What Extent Has a Link Has Been Established Between Human Resource Management and Improved Organisational Performance?

2315 Words Jan 25th, 2011 10 Pages
Human resource management is the function within an organisation that deals with recruitment, management and communication. The size of an organisation’s HRM is dependent on the general size of the organisation a small businesses may for example only have one member of staff responsible for HRM where as a multinational company would have a huge HRM department in its head office. This assignment will look at how much HRM is responsible for improving organisational performance. Human resource management is clearly an integral part of any business and without it a business may not achieve a greater level of success as it would have by employing a successful human resource management operation. By employing staff to conduct human resource …show more content…

Patterson et al were supporters of HRM to improving performance and believed that HRM was an imperative tool for improving organisation performance they believed that HRM could improve company performance by
Increasing employee skills and abilities
Promoting positive attitudes and increasing motivation
Providing employees with expanded responsibilities so that they can make full use of their skills and abilities”

It’s not enough to just mention that a good HRM strategy will help improve an organisations performance it’s important to understand the ways in which a successful HRM strategy can improve performance. In particular Pfeffer (1998) work has listed the 7 best practices for HRM Pfeffer argued that with these seven practices organisations would see a rapid improvement in their HRM. These 7 practices are
Employment Security,
Selective Hiring,
Extensive Training, Sharing Information,
Self Managed Teams, High Pay – Company Performance Reduction of Status Differentials.
Having good employee job security would encourage employees to be more motivated as a workforce who feel secure are more likely to feel connected to the company and thus work harder to improve it. Selective hiring is pretty much self explanatory as all it means is that to have improvements in organisation performance it’s about selecting the right staff for the right job. Extensive training and sharing of information are

Related Documents