Human Resources Management

Introduction

For a long time, people have narrowly looked at human resources management (HRM) as limited to the personnel management, and advisory role. HRM used to be at the bottom of the company hierarchy because people did not see or recognize the value of the HR position. The recent financial crisis, the competitive market, and globalization forced HR to streamline its processes. HRM is no longer satisfied with only handling administrative tasks. In fact HRM has delegated most of its administrative role so it can focus in a more strategic role. The strategic role of the HRM allows it to spend more time with the top management in order to understand the company vision, and help designing the strategic planning of the company. In its role of strategic partner, HRM bring more value to the company in being in the position of planning the company's workforce for not only a short term need but also for future demand. HRM is in a better position to identify the right people with right skills to do the job to meet the company strategy. HRM will also have to design the organization reward package to attract and retain the best employees. After all, employees are the company's assets. No company can succeed without good skilled employees.

Current Situation or Statement of Problem or Issues Addressed

In this paper we will analyze how the HRM play the strategic role in the company, and why HRM should sit at the table when the organization is designing a corporate strategy.

Analysis of Issue or Addressing the Problem or Answering the Questions

Human resource management (HRM) is defined as the utilization of individuals to achieve organizational objective. (Mondy, 2012). HRM is traditionally associated with five functional areas which are Staffing, Human Resource development, Compensation, Safety and Health, and Labor relation. (Mondy, 2012) In this role of Staffing, HRM make sure the company has the proper number with the desired skills to achieve the organization goals. Dealing with the human resource development role, HRM focus not only on training but also on the individual career development to make sure the employee reaches his full potential. In the compensation role, HRM look at the reward system of the employee. HRM make sure the employee is fairly compensated based on the market labor. The reward system include both financial and non-financial compensation. It is important to note that the reward is one of the important factor in retaining good employees. Safety and health is another important function of the HRM. Employees need to work in a health and safe environment to be productive. It is the responsibility of the employer to provide employee with a safe and healthy environment. Last, in its role of employee and labor relations, HRM has to deal with union and all the issue related to bargaining. HRM has to also handle the upward and downward movement of employees along the downsizing and termination of employees.

With the recent changes in our society led by economic crisis, technology and globalization, HRM has also gone through transformation. It has streamlined it process to become more effective. HRM has outsourced some of its administrative tasks, trained line managers in understanding labor laws that will help them better manage their employee. Line managers have to deal with diverse people from different culture and background, so it is important that they treat each person with dignity and respect regardless of culture and social class as conveyed by the Saint Leo core of respect. HRM has also leverage technology to complete effectively and efficiency some HR functions. For example, regarding staffing, technology has helped HR identify the right employee with the desired skills. No longer HR relying solely on ads on the newspapers. In fact most the jobs are no longer posted on the local paper, instead HR go through workforce agencies, company websites, referral, and job search websites.

Today, with the delegation of some of their functions, HR don't want to be view as playing administrative and compliance role, but instead want to be strategic partner to the company. Strategic planning is defined as 'the process by which top management determines overall organizational purposes and objectives and how they are achieved' (Mondy, P92). 'It is important not only for HR to participate in the corporate strategic planning process to further its understanding of business needs for the upcoming year, it is also important to align its own calendar and focus with the corporate agenda to support HR's position as a strategic partner' (Fulmer, 2006).For HRM to become a strategic partner, it has to understand the company's strategic planning,