Table of Contents
The contemporary business environment is full of challenges with growing competition in every industry. Organizations are constantly trying to improve their offerings through innovation and creativity. One major aspect of improving the products or services is to enhance the performance of the organization by improving human resources. A lot of research has been carried out on finding the links between performance and human resources management.
HRM is closely related with performance of the organization. Many scholars believe that this link is very significant. However, others tend to have more skeptical view about this relationship. Wall and Wood (2005) think that link between HRM and performance must be analyzed with caution. In this paper we will critically analyze this statement given by Wall and Wood (2005) with the help of HR department and HR practices discussion. The purpose of this paper will be to determine whether the linkage between HRM and performance is direct or not.
Many researchers have devoted precious time and efforts in determining the link between different ways in which human resources are handled and organizational performance. Several of the researchers are from New Zealand itself. However, none unanimously agreed views on human resources systems and practices can be used to measure HRM. The purpose of HRM is to create coordination between HR activities and organizational strategies.
There are various arguments presented by different scholars when it comes to role of HRM in organization. One argument revolves around differentiation of HRM towards particular group of employees. Another argument is related to differentiation between best practices. Another argument discusses the distinction between HR practices that are intended, actual HR practices that are implemented, and the HR practices perceived by the employees of the organization.
Students find it very difficult analyze and implement various types of concepts in HRM in their online assignment. Assignments, report writing, essays, and dissertation related to HRM are given to students and they need to carry out exclusive research and analyze the practical aspect of HRM concepts. HRM assignment help in New Zealand from MakeMyAssignments.com is very helpful in assisting the students in HRM assignment and procuring high grades.
The major assignment practices that students are assigned include:
The above practices are the core of HRM as well as major part of High Performance Work System. They are also related with AMO (Ability-Motivation-Opportunity) theory. Therefore, there is a relationship between way of implementation HRM and analyzing links between HRM and performance.
There are two different approaches for proving the importance of human resources and its management for creating organizational value. The first approach involves direct relationship between high-level organizational performance and HRM practices. The second approach focuses on indirect relationship between high-level organizational performance and HRM practices.
According to the Guest model (1997), Expectancy theory of motivation is very significant for developing rationale between the links of HR-Performance. It states that at the individual level, the performance relies upon having the necessary skills, high level of motivation, and understanding of role. The improved performance with these factors will lead to better performance. Other scholars have also emphasized on the importance of motivation and skills lead to creativity and productivity. These will result in improved operations, performance, and profits. Purcell et al (2003) gave people-performance framework that supports the above arguments. Model given by Wright and Nishi (2006) consist HR practices intended, perceived HR practices, and the reactions as well as performance of the employees. Savaneviciene and Stankeviciute (2010) argue that there is a similarity among all these models with the help of stating common basis of each model in linear causal process.
Caliskan (2010) underlined positive relationship between performance of a business and greater adoption of HP practices. He argued that strategic human resources management is concerned with forming the link between objectives of the organization, overall strategic goals, and HR strategy and implementation.
Trehan and Setia (2014) brought attention towards context of region. The authors stated that there is a difference in the way these links work in the UK, US, and Asian context. The authors gave example of India where an integrated package of HR system is required. It implies that bundle of HR practices are needed to be introduced that must fit the context of concerned organization. Deb (2013) underlined the importance of strong internal fit in HR practices for achieving high performance. Machado (2014) emphasized that HRM practices may be essential for enhancing performance but they are not sufficient on their own. The role of manager is very crucial in this area.
The relationship between the performance of the organization and HRM practices exists. However, it cannot be stated that this relationship is always direct. High Performance Work Practices are connected with the manner in which the organization delivers them and how employees perceive them. A causal link is always present between the performance of the organization and HR practices when considered in the label of High Performance. Altering the variables in different models of HR-Performance link will lead to various HR outcomes and these outcomes may indirectly contribute to dismal results in terms of organizational performance. Organizational psychology act as a crucial determinant in understanding the congruence between intentions of the management and perception of the employees. Therefore, it can be concluded that causal link exists between the performance of the organization and high performance of work practices.
Human resources management plays an important role in any organization. Strategic HRM implies that a strong internal fit is needed to be present between business strategy and objectives and the HRM practices. There is also a need to study the specific organizational context organizational cultures in order to understand the link between HRM practices and high-level performance in a better way.
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