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The importance of Human Resources to an Organization
It is possible to find a human resource department in almost all the organizations out
there in the world. In fact, the human resource department has the potential to manage
the most important and valuable resources of an organization. Without a proper
functioning human resource department, a company would fail to achieve a high level of
efficiency and workforce management.
The role played by human resources within an organization
Recruitment The recruitment of new employees can contribute towards the
longevity of any business. The human resources department has a clear
understanding about the available vacancies within an organization and it
takes necessary measures in order to fill up those vacancies. Recruiting new
employees is a lengthy process. It is associated with advertising new job
postings, sourcing potential candidates, screening the applicants, conducting
interviews in the preliminary stage and coordinating with the managers who
are responsible for making the final decision.
Establishing relationships with employees The HR department is
responsible for maintaining relationships with employees in a unionized work
environment. It also focuses on strengthening the relationships among
employees. As a result, the HR department is in a position to resolve all sorts
of conflicts that arise within the organization.
Ensuring the safety of employees It is extremely important for all the
organizations to pay special attention towards workplace safety. The HR
department takes necessary measures in order to create a safe working
environment for the employees. It is also responsible for reporting injuries that
take place within the organization to higher management.
Offering benefits and compensation to the employees Compensation
and the benefits that should be given to the employees is handled by one of
the specialists in HR department. That person evaluates the competitive pay
practices as well.
Training and development All the employees within an organization should
be provided with a proper training. It is the human resources department that
is responsible for offering proper training and development for all the
employees. Most of the HR departments out there in the world tend to offer
professional development and leadership training for the employees in
addition to extensive orientation training. It will help the employees to adapt
accordingly to the organizational culture and perform with their maximum
potential towards its development.
Evolution
HRM as a specialized and systematic business function is a relatively new

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field in the Philippines. In the 1950s, human behaviour in organizations was
a neglected issue because companies focused on work simplification and
methods improvement. In the 1970s, personnel management still rated low
in the priorities of organizations, often only operating as a subunit of the
finance or the manufacturing department. Lately, many companies have
begun to reassess their corporate philosophy in favour of regarding people
not as cost but as investment and assets, professing a belief in HRM.
In the case of San Miguel Corporation (SMC), the food and beverage
conglomerate which is historically the largest listed company and biggest
employer in the Philippines, it was the founder himself (Don Andres
Soriano) who led the way to modern HRM. The development of an
institutionalized philosophy in people management took several
generations, but the HRM function has always enjoyed the status it deserves
in SMC (Fajardo, 1997). Since 1990, SMC has built two training centres to
provide highly popular courses in marketing, finance, operations
management, leadership, communications skills and foreign languages
(Selwyn, 1992).
Various management associations have been dealing with personnel
management. One of them, the Personnel Management Association of the
Philippines (PMAP) was founded in 1956. It has promoted and given
impetus to the institutionalization of personnel management. During its
formative years, Philippine corporations were more concerned about
finance, plant facilities and marketing. Personnel programmes were
informal if they existed at all; employees managing the small personnel
units performed clerical tasks and rarely had a say in recruitment, hiring,
promotion or termination policies.
Human Resource Practices
The Philippine Labour Flexibility Survey (PLFS) can serve as an example
of how HRM is practised in the country. The PLFS was a national survey of
a random sample of 1,311 industrial firms, including construction, trade and
manufacturing companies (Standing, 1992).
It was found that in most industrial sectors a slight majority of firms had
less than 10 per cent share of total employment that was non-regular: that
is, casual or temporary labour, contract labour, unpaid labour and
subcontracting. Such a limit was not evident in the industrial sectors of
construction, wood products and food processing. On job rotation, about 24
per cent of firms followed such a policy regularly and 13 per cent applied it
occasionally (ibid.).
In response to the question of whether there was gender preference in the
recruitment of production workers, over 56 per cent of the establishments
preferred men and only about 12 per cent preferred women. However about

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The importance of Human Resources to an Organization It is possible to find a human resource department in almost all the organizations out there in the world. In fact, the human resource department has the potential to manage the most important and valuable resources of an organization. Without a proper functioning human resource department, a company would fail to achieve a high level of efficiency and workforce management. The role played by human resources within an organization • • • • • Recruitment – The recruitment of new employees can contribute towards the longevity of any business. The human resources department has a clear understanding about the available vacancies within an organization and it takes necessary measures in order to fill up those vacancies. Recruiting new employees is a lengthy process. It is associated with advertising new job postings, sourcing potential candidates, screening the applicants, conducting interviews in the preliminary stage and coordinating with the managers who are responsible for making the final decision. Establishing relationships with employees – The HR department is responsible for maintaining relationships with employees in a unionized work environment. It also focuses on strengthening the relationships among employees. As a result, the HR department is in a position to resolve all sorts of conflicts that arise within the organization. Ensuring the safety of employees – It is extremely important for all t ...
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