Human Resource Practices at Google Inc and Absa

Topics: Human resource management, Management, Human resources Pages: 7 (2832 words) Published: March 30, 2012
1. Introduction
In the modern and changing global business environment, human resources management (HRM) has been linked to the heart of business success and high performance of organizations (Haslinda, 2007). High demand for innovation, customer satisfaction and increased sales volume in the search and internet industry and finance industry has forced organizations such as Google Inc and Absa to incorporate human resources practices in their business strategy. Various human resources practices has been adopted at Google Inc Company and ABSA Group Limited, which include recruitment and selection, training and development, compensation, just to mention a few (Google Inc, 2012 ;Best employers, 2011). Despite sporadic arguments over the exact definition, human resources management is defined as a process of managing human talents in order to achieve organizational objectives and include processes of recruitment and selection, training and development, labour and industrial relations and also management of employees’ safety and health in organizations (Haslinda, 2007). In recent years, the main agenda of HRM is to integrate business strategy of organization with employee commitment, flexibility and quality which drives increased productivity and performance (Guest, 1987, as cited in Smith & Smith, 2007). This essay serves to evaluate the relevance of human resources management in meeting the objectives of Google Inc and Absa. 2. Background information and objectives of Google Inc and Absa 2.1. Google Inc

Google Inc is a global technology organization focused on innovation thus, improving the ways in which people connect with information whilst upholding the brand equity and reputation. The company recorded revenue of $10.58billion in 2011, employing 18 500 people in the U.S and a 33% job growth (Google Inc, 2011). It adapted a culture, whereby employees share ideas, built high trust, low on politics and workers having conversations with Googlers from different teams whilst having lunches on its cafes. The ultimate objective of Google Inc is becoming the greatest strategic partner to business operations and acquiring greatest investment returns in form of revenue and profits (Google Inc, 2011) 2.2. Absa

Absa is a leading financial institution in South Africa’s banking industry, it has got 36 770 employees, getting annual turnover of R23 340 000 000 (Best Employers, 2011). It is a subsidiary of global financial services provider Barclays Bank PLC, which has an equity interest of 55.5% in the Group (Best employers, 2011). The main objective of Absa is delivering enhanced value to customers, embracing diversity whilst caring for the communities (Best employers, 2011). Sustainable growth in target markets is one of their objectives. Absa aims on becoming the leading financial services group in South Africa while improving profitability and returns (Absa Group Limited, 2010). 3.Relevance of HR functions in meeting objectives of Google Inc and Absa 3.1. Recruitment and selection

Recruitment and selection is defined as organizational activities that influence numbers and types of job applicants (Hartel & Fujimoto, 2010). This human resource practice is designed to identify people with the right set of skills and knowledge, which can be linked to the organizational culture to culminate performance (Liu, Combs, Ketchen &Ireland, 2007). Hiring the best and right people is the main human resource philosophy at Google; recruitment is regarded as the main step in all human resources processes (Google Inc, 2011). Recruitment and selection is of relevance to Google Inc as it help the organization to attract, retain and motivate difficult crop of employees which brings in commitment hence improved financial performance, that is a 33% increase in annual revenue (Google Inc, 2011). On the other hand, Absa use external recruitment and selection as a tool to attract top talents into the organization which in turn leads to R23 340 000 000...
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