Human Resources Assets vital than the physical assets

Premasara Epasinghe
B A (Cey) Dip in Ed,
Dip in Mktg Lecturer in Marketing and
Management

In the modern Business world, Human Resources Management plays a vital role. The success is due simply the way employees are treated by their respective organizations. To develop a very healthy relationship with their employees, to create a family like feeling among the employers and employees is the real “Magic” of success in any corporation, government establishment, Mercantile firm or any organization. This is an all important role played by the Human Resources Departments.

Human Resources Management function deals with Recruitment, Placement, Training and Development of organization members.

An organization's most important resources are the people who supply the work, talent, creativity and drive to the organization. A top Managers most challenging job are the selections, training and development of people who will help the organization to achieve its objectives and goals.

The planning in Human Resources is always a challenging task. It consists mainly four basic aspects. Firstly, it must be decided how many people you need and their skills that the organization will need. Secondly, planning for future balance employees, comparing the number of employees needed. Thirdly, planning for recruiting or laying off Employees and fourthly, planning for the development of Employees.

The Managers in charge of Human Resources programme should study the institution's or organization's Human Resources needs. The other factor the Manager must consider, the Economic Environment of the future.

A company, firm or an organization cannot be run at a loss. It should produce results and bring revenue to the organization.

Another important area the Human Resource Manager should study, is the job description or a position description of an Employee. These two should follow the specifications relating to Educational qualifications and skills. There are no short cubs in Recruitment. The selecting process or promotions within the company takes place on very special occasions. There are few advantages. Firstly, they are familiar with the organization. Secondly, a promotion within, fosters loyalty. Cost wise also, you spend less expenses when you recruit internally. There are certain disadvantages also in recruiting internally. It limits the available talent. Further, it reduces new creative thinking and new innovative ideas. Educational qualifications, the personality of the employees, their mannerism, politeness are very important.

It should be noted some leading Harvard Researchers recommended and proposed an evaluation system which will be useful for Human Resource Management. They have named it as Four Cs Model – Competence, Commitment, Congruence and Cost-effectiveness.

Firstly, check how competent the Employees in their work. Secondly, see how committed they are. Find out whether, the employees adapt to the basic philosophy and goals of the organization. Finally, Human Resources Personnel should have an indepth study of the cost-effectiveness relating to their salaries, benefits turnover, absenteeism and strikes.

There are five basic functions in the Management Process.

Establishing goals, standards, developing rules and procedures, developing and forecasting can be considered as the first Management Process.

Then, the organization, which gives each subordinate a specific task, establishing department, delegating authority to open channels of authority, communication and co-ordinating the work of the subordinates.

The third management process can be described as staffing, and firstly leading the employees to get the job done and keep their moral at a higher level to motivate the subjects.

The setting of standards, checking, follow-up action, taking corrective actions are known as controlling.

The staffing Personnel Management is today known as Human Resources Management. The successful Strategic Human Resources Management strategies help the company to achieve its strategic aims.

What is strategic Human Resources Management?

It is the linking of HRM with strategic goals and objectives in order to improve Business Performance and develop organizational cultures that foster innovation and flexibility.

In the modern business world, it is very necessary that HRM Department should take steps to be effective by doing the right thing at the right time with right personnel by motivating their staff.

The Employees should get the feeling that it is “Their Company.” They must realise that they are part and parcel of the large organization. This is where the Public Relations comes into play.

There must be a friendly mutual understanding between both parties – Employer-Employee. Therefore, it is the duty of the Human Resources Management authorities, to make leadership process possible in the working environment. Discipline should be maintained at the highest level. There should be no favouritism.

When should discipline be administered? When an Employee violates company policies or fall short of work expectations, HRM should progress Discipline through the following steps – warning, reprimand, probation, suspension, disciplinary transfer, demotion and discharge etc.

According to today's business environment, you must understand your customer totally. For this, committed skilled staff is very necessary. Today, a company or Business Establishment cannot be valued by rupees and cents, or by its products only. It should possess a motivated and skilled employees. Therefore, Human Resources Asset is vital for an institution than traditional physical assets. Customers meet Employees. They must be kind-hearted, full of etiquette and mannerism. The basics that HRM authorities should teach their employees are to be courteous, respectful, thoughtful, and also consider others’ feelings and address, conflict as situation related. HRM should teach their employees good breeding to be observed in social and an official life too.

The authorities handling the HRM functions should realise that it Demotion or Transfer is not feasible. Separation is very much better than retaining a Poor Performer, stay on the same job. Remember, no matter how heart-breaking or agonising the separation decision may be, the logic of Human Resources Planning very often requires that it be made for the benefit of the particular employee.

In any company or establishment, the Employees are the greatest asset. Marketing is Human Activity directed at satisfying needs and wants through exchange process. The HRM Division should constantly evaluate their employees and it is always better, if you appreciate the “Good Work” of your employees.

Their achievements should be appreciated by way of rewards - cash prizes, letters of commendation etc. By thus, they will be motivated and they get the feeling to do better for the organization.

The Institute of Personnel Management, in United Kingdom analysed the Management of Human Resources in 1988. Performance Measurement, individual and organizational development or “Teaming”, how the participation and involvement of individual as a “Team Player” in an organization, to make available the communication strategies for them to get information relating to the company and even outside world, to educate them in business environment and customer care, were considered as important aspects that the HRM Division should look into and give priority. Systematic planning by the HRM Division will enlighten the company's organizational performance and also improve employee involvement. An organization, achieves the best results and the corporate objectives through Human Resources strategies.

According to modern HRM, the greatest asset is undoubtedly – People. Therefore, in any establishment, to be successful, Human Resource Management is of vital importance. In this instance, not like in the good old days, where employers adopted “Autocratic Methods”, to obtain services from their employees, today, things have changed.

The friendly atmosphere between the Employer and Employee, listening to the Employees’ grievances through Trade Union System and grant their just demands will always help an organization. It will motivate an employee. Therefore, it is the duty of the HRM Division to handle them diplomatically and tactful. Always be good listeners.

Ethically, Human Resources Management have taken a new turn in the past two or three decades. As you are aware in the modern world, the business environment is highly competitive and if you do not provide the best services to your customers, your company, organization, establishment, might fall by the way side. Therefore, in any establishment Human Resources Division plays a dominant role in the success of the company or organization.

As a person who held important Managerial staff positions, in both Government Organizations, Banks and some top Mercantile sector firms, I pay a tribute to the Mercantile sector for their commitment in their work ethics. Unfortunately, the Government sector sometimes lack the Public Relations in treating its subjects.

This may be due to the ad hoc methods the Government offices function. You can't blame them too. I doubt whether they have a systematic, planned Human Resources Divisions.

Be committed and serve people.