Impact Of Human Resource Management Decisions
Human Resource Management is a function within an organization that focuses on the staffing or recruitment, employee compensation and the designing of job responsibilities. They are responsible for making strategies on how the employees can be an asset to the organization as well as measures on how the organization could achieve its objectives. The decisions they make have an important influence in the organization. It has to be taken thoroughly because it is not only their employees’ welfare that could be affected but also the future of the company.
One of the many decisions that the Human Resource Management has to make is choosing the most qualified applicant. Selection undergoes a thorough process in order to determine the best candidate to fill in the various positions in the organization. The process of hiring the most qualified applicant has the impact on the advantage of the organization. An ineffective recruitment strategy can cost company time and money. Human Resource decisions also have impact on the employee’s attitude towards his job. Compensations and benefits are determined by the Human Resource Management. These two are the motivations of the employees in order to perform their job well. Any decisions made regarding these two affect the employee’s performance, job satisfaction and means of living. They have to decide on the rate of the wages to secure both the organization’s profit and the retention of their employees. If the management comes up with a decision perceived to be sufficient by the employees, they will feel fit for the job and the organization. If an employee is paid well, he pays it forward by giving an excellent work output. Another impact on the decision of human resource management is the employee’s attitude towards the management. Employee Relations is the relationship between the employer and his employees, it focuses on the resolution and facilitation of strategies for workplace issues. It plays a significant role in achieving the organization’s objective. A company with honest and open management receives respect and cooperation from its employees. Employees will recognize the management’s decision if the organization is ethical and respectful to their employees. Any decision made against the ethical standards of the organization can affect the way the employees perceive their managers. It could either affect their willingness to exert effort in achieving the organization’s objective and continuation of their membership in the organization. The decisions have impact on the employees’ commitment to the organization.
The management has to make strategic plans in order to maintain the stability of the organization considering that competition between the other organizations never stops. The organization has to keep moving to avoid closure and be successful. Whatever the decisions that Human Resources comes up both affects the organization itself and its employees. To effectiveness of these decisions depend on the work relationship between the management and the employees. It is important because they both plays role in the success of the organization.