Question 1 The Role of HR.
The current Business and Economic environment can be said to present some critical challenges to HR Managers. Discuss what you think these challenges might be and explain how in your opinion strategies can be established to overcome these challenges.
In this essay, the critical challenges created from the business and economic environment will be analysed and applied to HR managers. In order to analyse the challenges the recruitment process will need to be considered and areas like shortlisting and interview stages will be examined. Before concluding the essay, strategies to overcome the challenges for example, man power planning will be taken into account to show how HR managers can finally accept a suitable applicant to their business. Some of the challenges that will be looked at in this essay are the recession and how it has affected human resource management, legal changes and regulations for example, the equality act 2010 and the most important challenge which is recruitment. Finally, there will be a conclusion which will summarise the main body of the essay, including all the challenges and which is most important as well as the best strategies HRM can use to overcome the challenges. Human resource management (HRM) is the function within an organisation which focuses on the recruitment and management of the people in the workplace or potentially becoming part of the organisation (Heathfield, 2011). The role of HRM was introduced in the 18th century and was needed in order to decide what jobs are required in the organisation and then use the recruitment process to select the most feasible person to suit the job. The roles of HRM are organisation, performance management, HR development, reward management, employee relations and HR administration and employment (See appendix 1). Recruitment is the process in which a company comes to the conclusion that there is a job vacancy and then go about to employ a suitable member to their workforce to fill the vacancy (The Times 100, 2011). One of the challenges created by the business and economic environment is internal recruitment; this is the process of someone within the business being able to change from their current job to the one in need (HRM Advice, 2008). However, this can be difficult as the company must find a candidate who is almost perfect for the job and the staff members would have limited skills which may not cater for the job vacancy which is needed. Although, internal recruitment is a more cost effective process when a job vacancy needs to be filled as the cost of advertising the job, setting up interviews and shortlisting is not necessary, this is because the HR managers will already know who within the company is best suited for the job as they know the current staff members strengths and weaknesses. The staff members are also already familiar with the company and the new job offer could seem to be a promotion which is motivating for the workforce making them work harder which would lead to increased productivity. However, internal recruitment has some disadvantages such as the limit of the number of potential applicants that can be selected. Also due to the fact that these candidates have already worked at the company they will not bring any new ideas to the job where as an externally recruited candidate could. The company must also be careful when appointing a candidate from the workplace as the other staff members may feel resented and demoralised to work which would decrease productivity. There is also the possibility that the candidate you take to fulfil the job needed may leave their job as a vacancy which would then need to be fulfilled and the process will begin again. External recruitment is another challenge; this is when the company searches for a candidate from outside the business to fill a job vacancy (Open-Site, 2011). The external recruitment process consists of identifying the job vacancy, then preparing...
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