Human resource management can be define as a most important function of any organization as it helps in maximizing employee performance. With the help of this function company can easily develop positive relationship with all their employees and motivate them for performing their tasks in an effective manner (Guest, 2001). The present study is highly focused with the evaluation of Trust and Employee relationship in Human resource management. There are various activities involve in the human resource functions such as recruitment, selection, training and development. All of these activities are highly related with the organizational performance. With the help of the different HR functions companies can easily generate larger revenues and also increase their sales. Managing people in an organization is one of the most important tasks of any industry. People should feel motivated so that they can develop quality products and also maintain the service quality. This report also tells about the various challenges of effective employee performance management across different organisations, nationalities and cultures (Debrah, 2001).
Linkages between HRM and organisational performance
Human resource management is one of the most important element of any organization. It can be define that one of the most valuable assets of any company is people. From past several research it has been identified that HRM decisions have an important and unique influence on the organizational performance. Human resource management can be define as a policies and practices that are involved in carrying out out the human resource (Torrington, Hall and Taylor, 2005). This process mainly include different types of activities such as recruitment, selection, compensation, performance appraisal, training and development etc. All of these programs are the main function of HRM and it helps the company in motivating all their employees. These activities are positively related with the different elements of organizational performance such as innovation as well as satisfaction of stakeholders. In addition to this, different policies and procedures are also set by the HR in order to influence employee behaviour, attitude and performance. The present section mainly tells about the relationship between HRM and organizational performance.
The ultimate goal of any business is to gain higher maximization and raise their financial performance. According to Stewart and Knowles (2000) performance of any company is generally indicated by its effectiveness and efficiency of employees. Company needs to provide high quality services as well as products to all their customers. It is one of the best way through which performance of company can be easily measured. In order to serve high quality products it is essential for company to give proper training to all their employees so that they can perform all their tasks in an effective manner. HR practices have significant impact on the productivity, financial performance as well as employee turnover. Training and development is considered as a most effective and common HR policy. It is the best way through which company can improve the skills, abilities and knowledge of all their employees (Hughes, 2002). In addition to this, another most important process is related to the recruitment and selection process of company. It determines the decision as to which candidates will get employment offers. The main motive behind this activity is to create better working environment. It can be easily stated that trust and better employee relation is one of the main motive of company which should be fulfilled by the HR team. They need to maintain better relationship with their employees and try to enhance their trust level towards the policies and practices of company. Lane and Kangulec, (2010) stated that company should achieve better employment stability and it can be easily achieve through the selection procedures based on the ability of individual. Further, it can be stated that recruitment and selection process is highly linked with the organizational performance such as effectiveness, innovation, quality etc. There are several other activities included in HRM practices such as performance appraisals etc. It is a most important process through which company can measure the performance of all their employees after a certain period of time. Performance appraisals might leads to pay raise and promotion. With the help of this company can gain better relationship with their employees and also enhance their trust level towards the policies of company (Searle, 2011). Further, it has been identified that organizational performance is positively related to the diverse features of HR management system. These features mainly includes all the above given activities.
Key role of line managers
Managers is one of the most important part of any organization. Line managers of any company have the responsibilities to direct and managing individual employees as well as teams. They need to manage all the tasks and activities of the overall team (Pattanayak, 2005). Main responsibilities carried out by the line managers includes:
- Day to day people management
- Allocating appropriate works and roles as per the skills and abilities
- Managing operational costs
- Dealing with costs
- Monitoring work and checking quality of work as well as products and services
- Allocating technical experts
All the above given points comes under the key roles of line managers. Further, it can be stated that line managers are the most crucial part as they helps in managing day to day activities of company. Overall business operation process of company highly depends on the roles and responsibilities of all the employees. In addition to this, most of the small business enterprises do not have any specialist HR office. In this case, all the HR practices such as recruitment and selection process carried out with the line managers. Taking various HR initiatives are the most important responsibilities of Line managers. They can gain employee engagement by creating the organization culture for their teams. According to Soliman and Spooner (2000) line managers are highly focused with the strengths and weaknesses of all their team members and more likely to engage them with different business activities. In addition to this, overall performance of employees are directly assessed and rated by the line managers. They also give feedbacks to all their employees by going through the one-on-one interaction with employees. The key role of line manager is to set out their expectations with all their team members so that employees try to achieve that. The commitment of line managers enforce the rules that are more likely to influence the employee performance and behaviour (Khatri, 2001). Further, it can be determine that line managers play most important role in any organization.
Importance of effective employee relations in enhancing organisational performance
The present report is highly focused with the trust and employee relation in human resource management. Most of the companies nowadays are try to adopting best strategies through which they can develop better relationship with all their employees. In order to enhance organisational performance companies need to develop positive relations with all their employees. Top management team of company should always motivate their employees in order to generate satisfied results. Leopold, Harris and Watson, (2005) stated that employee relation leads to provide them work motivation. As per the different authors and journals results it has been identified that managing health relation in an organization is a most important tool for organisational success. It is the best way to deal with and resolving issues concerning individuals. It helps them in overcome with all the all those issues which are faced by them while working. Strong employee relation highly depends upon the safe and positive work environment. It is the best way through which most of the companies can easily increase their sales and generate larger growth and revenues (Ordiz and et,al., 2003). It can be easily stated that there is a high importance of effective employee relations in any organisation.
In today's greater competitive environment companies are highly focused about their performance. In order to keep themselves competitive in the market companies should be focused with their human resource. In order to increase their organizational performance it is quite essential that all the employees of the organisation should feel positive about their identity. They should always feel that they are the most important and respected part of the company. It is one of the best way through which employees feel motivated and try to perform all their tasks in an effective manner. With the help of this company can easily produce quality products as well as services. In order to enhance organizational performance there is a huge importance of having positive employee relations (Robbins, 2010). Company need to fulfil the positive needs and demands of all their employees in order to make them satisfied. Employees always expect from the management to provide them safe working environment, fair treatment as well as proper incentives. If organization is fail to meet all these expectations of the employees than it might leads to employee grievance. Further, company try to provide all the satisfactory benefits to their employees so that they can give them best towards the organisation. Most of the time workers themselves feel disappointed whenever they fail to meet their own expectations in terms of personal goals, career goals (Debrah, 2001). It might leads to increase stress level among employees. Further, management team of company needs to behave positively with all their employees and give them positive feedbacks about their performance. It is the best way through which they will feel satisfied and motivated and also perform all their tasks in an effective manner. It is the best way through which workers perform more effectively and provide quality products to all their customers. With the help of this company can develop positive brand image in the market and also increase their sales. Moreover, it can be stated that effective employee relations helps in enhancing organizational performance.
Complexities and challenges of change in a variety of organisational contexts
In today's globalized and highly competitive environment most of the organisations nowadays are moving towards the change. With the help of the appropriate change they can easily increase their sales and attract larger number of customers towards their services. Human resource management play a most important role in any organization (Mello, 2006). Globalization has increased rapidly in the market and there are various opportunities for more growth. Organizations are adopting different strategies in order to adopt best change management strategies. In order to manage change appropriately it is essential for companies to having better relations with their employees. It is the best way through which employees can easily accept such changes. It is one of the most challenging task. While implementing change in variety of organizational context several challenges faced by them such as:
- Maintaining the enthusiasm of employees throughout the change journey: It can be easily stated that maintaining an environment where employees are enthusiastic about building change is not always easy (Stewart and Knowles, 2000). It is quite difficult task as most of the time workers feel like demoralized and uncertain about their future. It is quite essential for management team to communicate their change strategy among all their employees.
- Ensuring that company highly accept the changes and do not go back to their old ways of working.
- Setting priorities organizational projects and resources: Nowadays companies need to set priorities for all their projects in order to complete them in an appropriate time. Organizations are having fewer resources nowadays and more projects going to be done. Due to which employees are reaching at a point of saturation (Hughes, 2002).
In addition to this, the major challenge faced by manager at the time of organization change. At the time of change manager need to adopt the best change management strategies and go through the proper extent of planning. Although experts differ about how much change can be planned. Changes differs such as relatively small change can be planned whether sometimes there is a huge change (Stewart and Knowles, 2000). Some changes are designed to influence top management whether some of them involve basic learning such as customer level service etc. Further, it can be stated that changes varies as per the different organizational context. Employees in different companies are serving different quality products to all their customers. It is quite difficult to manage unplanned changes as most of the time workers are not able to accept those changes (Lane and Kangulec, 2010). It can be easily determine that companies are facing high challenges and complexities at the time of change.
Challenges of effective employee performance management across different organisations
There are different companies serving different business operations worldwide. Employees those who are working under different companies belongs to the different nationalities as well as culture. It is quite essential for companies to manage positive relationship with all their employees. Effective employee performance management in different organizations and nationalities can be termed as a diversity management. One of the major challenge faced by the top management team of company is to assign different roles and responsibilities to all their employees those who belongs from diverse culture (Guest, 2001). Managing diversity is one of the biggest challenge. Companies need to promote equity and inclusiveness as well as their core business practices. It is the best way through which employees from diverse background try to understand the overall process of the company and perform all their tasks accordingly. It is also essential for companies to understand the level of openness to different characteristics among the organizationâs members, work groups, and culture. It may leads to poor communication due to which employees cannot perform all their tasks effectively. According to Prince, (2011) in diverse work environment people belongs from different age groups, sex and religious. Along with these differences company should give equal opportunities to all their employees.
Companies are facing several challenges while serving their business operations in different countries. Performance of employees highly depends on their roles and responsibilities. Company should provide them all the responsibilities as per their skills and abilities. All the team members needs to communicate with each other in an effective manner. With the help of the proper communication employees can easily perform their tasks effectively. It is quite difficult tp communicate in an proper manner when employees belongs to diverse background (Robbins, 2010). For this purpose, it is also essential to develop trust among all the employees so that will interact with each other.
From the above study it has been concluded that human resource management is one of the most crucial element of any company. It has been concluded that organizational performance is highly depends on the different HRM practices of company. There is a positive relationship between performance of company as well as human resource practices. Companies can easily enhance their performance by developing effective relation with all their employees. Trust is the most important factor through which company can develop effective relation with their employees. In addition to this, it has been identified that various challenges have been faced by company while managing change in variety of organization contexts such as maintaining the enthusiasm of employees as well as setting the priorities organizational projects and resources.
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