Important of Human Resource Managentment in Today Business Environment

Topics: Human resource management, Management, Strategic management Pages: 8 (2594 words) Published: September 22, 2008
Change is a pervasive influence. We are all subject to continual change of one form or another. Change is an inescapable part of both social and organizational life. (Mullin, 2002) Therefore, today’s business environment is characterized by rapid and continual change and this is one of the main factors that affect the organization success and failure. An organization can only perform effectively though interaction with the boarder environment of which it is part. The structure and function of the organization must reflect the nature of environment in which it is operating. (Mullin, 2002) So that, the performance of the organization in changing environment is heavily rely on how the organization’s human resource is able to adapt with the business environment change and in order for a organization human resources to be able to adapt environmental changes, the organization’s human resource department has played critical role in managing the organization’s human resource. Therefore, the human resource practices and policies should be able to adapt the rapid and changing business environment. The environmental factors that affect business are economic factors, social factors, demographic factors, technological factors and finally the globalization. (Stone, 2008) Nowadays, the business environment is changing rapidly because of the effect of globalization and technologies changes. Globalization and information technologies represent the most patent forces for change in the nature and location of jobs, in type of human resource required and in their skill and competencies. (Nankervis, Compton, Baird, 2005) The Human Resource planning in changing environment

The understanding of the human resource plan for an organization which operate in rapid and changing business environment give a lot of assist to the organizations to achieve its strategic objectives because most of the mangers believe that the success and competence of the organization usually come from the organization’s human resource. Therefore the main task of the human resource planning is systematically reviewing human resource requirements to ensure skills and abilities are available when needed. (Stone, 2008) However, planning the human resource for future in rapid and continual changing environment is more complex than planning in the stable environment, the human resource planner need to understand and predict the nature of the rapid and changing environment but this can be quite difficult because the changes that take place in the outside of the organization are beyond control. Nevertheless, plan is the forecasting of the future task, the human resource planner need to predict the future environmental changes, labor market and changes of the organization human resource in term of quantities and qualities, i.e., attitude, skill and knowledge. Because today’s business environment is characterized by rapid and changing environment, the human resource planner needs to consider the effect of globalization and technologies changes. For example, if a company is operating its business in a developed country like Australia and that required high skilled labors, the HR plan of the company will consist of how the supply of the domestic labor market can be affected by the impact of globalization i.e. whether the globalization make the labor market with potential supply which can fulfill the organizational human resource needs in order to achieve organization future objectives or the impact of globalization that could lead the labor market the scarcity of supply and skilled shortages. So that , the better understanding of the human resource planning can assist to achieve organization objectives even in difficult situation because the human resource plan is use to predict and identify the availabilities of the future organization core assets and competence in various ways such as recruiting the new talented staff, giving training and development program for potential employees...

References: Alan Nankervis, Robert Copton, Marian Baird (2005) Human Resource Management, Strategies and Process, fifth edition, Thomson.
Elsdon,R. and Lyer, S. (1999) Creating Value and Enhancing Retention through Employee Development.
Gratton,L.(2000) Living Strategy, London. Prentice Hall.
Gubman, E.L (1995), People are more valuable than ever.
Iles,P.and Salaman, G. (1995) Recruitment, Selection and Assessment,
Ivancevich, J.M (2001) Human Resource Management
Laurie J Mullins (2002), Management and Organizaional behavior sixth edition, Prentice Hall.
Raymond J.Stone (2008), Human Resource Management 6th edition, John Wiley and Sons Australia, Ltd.
Thomas, T. (2001) The battle for Talent,BRW,12 April
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