ASSIGNMENT

INFOMAX COLLEGE OF IT AND MANAGEMENT

(BM032-3-M)

(Human Resource Management)

HAND OUT DATE: (14/04/2019)

HAND IN DATE: (09/06/2019)

WEIGHTAGE: (70) %

INSTRUCTIONS TO CANDIDATES:
1. Submit your assignment at the administrative counter.
2. Students are advised to underpin their answers with the use of references (cited using the Harvard
Name System of Referencing)
3. Late submissions will be awarded zero(0) unless Extenuating Circumstances are upheld.
4. Cases of plagiarism will be penalized.
5. The assignment should be bound in appropriate style (comb bound or stapled)
6. Where the assignment should be submitted in hardcopy and softcopy, the softcopy of the written
assignment and source code (where appropriate) should be on a CD in an envelope / CD cover and
attached to the hard copy.
7. You must obtain 50% overall to pass this module.
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Question: Critically define human resource management and its functions that must be
performed regardless of the organization’s size? Next, analyse the external environment
factors that affect human resource management? Describe each of these factors by using
an organization as an example. Conclude your write up with analysing the changing role
of Human Resource Management in today’s business world.

Generally, an organization has four types of assets that affect the performance of the
organization such as physical assets that are the fixed and current assets, financial assets that
are assets that are converted easily into cash, intangible assets and human assets. All the four
types of assets are important in different levels to different organizations but among them
human asset is most important because it makes all the assets work together and provide
competitive results[CITATION Man08 \l 1033 ] Henceforth, humans are the key factor in
any organizational success. Other factors in an organization become meaningless without the
human force.
The most significant factor should therefore be managed correctly, and managing the people
is what human resource management does. Human Resource Management in least difficult
terms alludes to human capital management and development to attain individual,
organizational and social goals. In other words, it is a constant method of optimal usage of
accessible qualified human resources to improve organizational efficiency as well as retain
skilled resources.
Robinson and Pearce, “Human resource management is the process of ensuring that
competent people are available, that they are able to achieve organizational objectives, and
that their energy and abilities are used effectively.” It basically deals with placing the right
person at the right job and hence encouraging effectiveness and efficiency in performance.
Human Resource Management as defined by [ CITATION Arm05 \l 1033 ], is a strategic,
integrated and coherent approach to the employment, development and well being of people
working in organizations. Human resource management's main objective is to ensure that the
organization can accomplish excellence through people.
HRM intends to enhance organizational productivity and an organization's ability to attain its
objectives by making the optimal use of the resources at its best. In a way, all managers are
HR managers as they all engage in operations such as recruitment, selection and training.
However, most companies also have a department for human resources with their own high
level manager.
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Human Resource Management involves various functions namely:

 Job Analysis and Design
 Human Resource Planning
 Recruitment and Selection
 Employee Training and Development
 Employee Career Planning and Growth
 Performance Appraisal
 Compensation Management
 Job Evaluation

Regardless of the organizational size, these functions are to be performed by the Human
Resource Manager. Following are detailed explanation of the functions above:

1. Job Analysis and Design

The foremost step in the Human Resource Management process is to describe the nature of
the job like skills, qualification and experience necessary for a given work position.
According to [ CITATION Arm05 \l 1033 ], “Job analysis refers to the process of studying
the operations, duties and organizational aspects of jobs in order to derive specifications, or
as they are called by some job descriptions”. Job design involves highlighting roles, duties
and responsibilities to accomplish certain objectives in a single work unit. It is the process of
defining the job's activities, responsibilities and duties.
Whereas, Job design improves updates the job and its working environment to keep it
relevant. It is the method of sorting out work as gathering of tasks, organizing and describing
the job procedure and workplace structure based on the job analysis conducted.

2. Human Resource Planning (HRP)

E.W. Vetter viewed human resource planning as “a process by which an organisation should
move from its current manpower position to its desired manpower position. Through
planning, management strives to have the right number and right kind of people at the right
places at the right time, doing things which result in both the organisation and the individual
receiving maximum long-run benefit.”
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Human Resource Planning, also known as Manpower Planning, is another important function
of HRM. In simple words, it ensures that the right people is appointed to the right job at the
right time which leads to effective and efficient performance. It interprets the goals and
objectives of the organization into the quantity of workers required to fulfil them. It is
concerned with the demand and supply of human capital as per the needs of the organization
at certain time.

3. Recruitment and Selection

Recruitment and selection is aimed at obtaining, quantity and quality of staff required to meet
business objectives at the company's minimum expense. To draw in and keep up talented
experienced, committed, and well-roused employees, a high level of resources and
commitment is crucial. Recruitment process includes different duties that include work
requirements, advertising, application sorting, work interviews and posting. [ CITATION
Fli84 \l 1033 ] define recruitment as, "the process of searching for prospective employee and
stimulating them to apply for jobs in the organization."

Selection on the other hand, is a method of distinguishing candidates to recognize and recruit
those with a higher probability of work success. In simplest word, it is to match the right fit
between the individual and the job.

4. Employee Training and Development

This function enables staff to obtain innovative abilities and expertise in order to efficiently
execute their work. Training and development prepares workforces for responsibilities of
higher standard and improvements. According to Flippo, training is an exercise of enhancing
the employee's understanding and abilities to do a specific task. It can be defined as a short-
term activity that focuses on enhancing skills and knowledge on a specific job and help fill
the gap between actual and desired performance of the employees.
Similarly, development indicates to the nature and course of progress change caused by the
training and education system in workers, especially managerial workers. It is considered to
be more general than training and it is aimed towards management people. The goal of
development is usually to provide knowledge and understanding that will allow individuals to
perform more efficiently in non-specialized organizational tasks such as problem-solving,
leadership and people management task.
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5. Employee Career Planning and Growth

Employee Career Planning and Growth is an essential function of HRM. This function assists
staff with opportunities for training in improvement, leadership and management trainings.
The concept for career planning was partially created as a consequence of many employees'
willingness to expand in their jobs and grow in their careers.
Career development relates to identifying individual requirements, skills, objectives, work
requirements of the organization, work rewards and then matching their skills to job
requirements and benefits through a well-designed career development program.
HR executives should assist staff in understanding their abilities and core competencies to
place them in the right job, guide them regarding the skills and expertise required to reach
higher levels, plan adequate training to polish current abilities and provide a healthy work-life
balance. 

6. Performance Appraisal
Performance Appraisal function tracks the performance of employees to identify that they are
at acceptable standards. It follows certain formal standards to measure the performance of
employees and acts as a basis for pay, promotion and disciplinary actions. Moreover, it is also
essential for employee development as it helps them to know their individual desired and
actual performance gaps and thus acts as a performance improvement guide. In addition,
[ CITATION Ron98 \l 1033 ] states employees in an organization can understand and know
their level of skills and knowledge and will know how to utilize their capabilities and thus
can make proper career decisions. The period of conduction performance appraisal varies
from organization to organization.

7. Compensation Management
Compensation refers to something in return by the organization in exchange for the time and
effort contributed by the employees to the organization. According to [ CITATION Arm05 \l
1033 ], compensation management is associated with the creation and execution of plans and
procedures targeted at fair, equitable and effective payment of employees according to their
worth to the organizational. It is a structured procedure that includes balancing the
relationship between work and employee by offering staff with financial and non-
financial benefits. Compensation and benefits are primarily aimed at controlling expenses,
establishing fair and equitable pay for all, using the compensation and benefits tool as an
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incentive [CITATION Gup91 \l 1033 ] to increase worker productivity, and establishing a

satisfactory social image. Compensation is an essential component of managing human
resources that helps motivate staff and improve the effectiveness of the organization.

8. Job Evaluation
Job evaluation is the method of systematically reviewing and evaluating the different jobs to
determine their relative value in an institution. It has been highlighted by [CITATION
Gup91 \l 1033 ] that the fundamental premise of job evaluation is that certain roles
‘contribute more to organizational effectiveness and performance than others, are worth more
than others and should be compensated more than others’.
Hence, job evaluation helps know the ‘worth’ of a job and determine the level and
compensation for the job accordingly. Jobs are assessed and put in order of importance on the
premises of content. This sets up Job Hierarchies, which becomes the foundation for
successful salary differentials between different jobs. Jobs are classified, not the employees.

HR managers cannot conduct their work in a vacuum because HRM is influenced by a

number of environmental factors. HRM has several roles inside an organization; it is a
strategic partner, which combines corporate, and HR policies; it develops and improves
business operations and delivers critical HR infrastructure; it addresses employee needs; it
enhances administrative productivity and efficiency by developing practices for change.
[ CITATION Ulr98 \l 1033 ].

To illustrate this, Apple Inc., one of the world's leading suppliers of digital assets and
smartphones, founded by Steve Jobs, Steve Wozniak, and Ronald Wayne in April 1976. It is
an American manufacturer of personal computers, computer peripherals, and
computer software, formally known as formerly Apple Computer, Inc. It became the first
successful company for computers and the graphical user interface populariser. Its
headquarter is located in Cupertino, California.

It is the only electronic company capable of supplying and managing software and hardware
products (Jarvis, Mittleman, Xu & Tam, 2014). The firm produces products that enable
customers to satisfy their expectations with a multitude of electronic products. On a media
platform known as iTunes, customers can share music, videos, and applications on Apple
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products like iPhone, iPad, and Mac among others.

Below is discussed the various external factors that influence the human resource
management of Apple Corporation:

1. Globalization of Human Capital

As a business expands its base to a foreign coast, the effect of globalization will extend to
present and new staff on HR processes. The HR department needs to improve the assistance
of its present employees as they move to new roles abroad. Support with visas, job permits
and accommodation, cultural training and possibly linguistic acquisition will be needed. It is
also necessary to acquire and develop fresh local talent. The capacity of a company to move
into new marketplaces will rely on its capacity to meet qualified employees' requirements.
Local workers may fulfil the requirements in some circumstances, but in other cases they
may be more in search of qualified and already-coached staff to be transferred to posts in the
different location abroad. In this regard, a main factor in productivity could be the readiness
of employees to become flexible.
Moreover, [ CITATION Vij19 \l 1033 ] states that Apple Inc. is reportedly planning to start
mass production of iPhones in India with the help of Foxconn. Bloomberg reported that the
Taiwanese company is Apple’s largest manufacturer of iPhones and it plans to start mass
production in India. This is also a result of globalization.

2. Corporate and Cultural Differences

The need to contemplate cultural variances, both in and out of the workplace, is another
important impact of globalization on the human resource. Companies appear to have their
own organizational and functional traditions, but there are social and cultural variations
among individuals as well. In a social group, social values affect workers and how they
perceive their roles, especially when it comes to their work-life integration and career
standards expectations. A few societies may likewise have different morals about gender
roles, especially concerning the woman leadership roles.
Likewise, a manager brought from the home company may not be the best individual to deal
with an abroad staff, since they don't see every one of the sensitivities of the local culture and
what is deemed acceptable business practice. For instance, the typical working day in some
countries may be rather too different from the standard 9-5 hours. Laborers may be
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accustomed with beginning their day sooner in the morning, take a longer mid-day recess for
meal and rest, and then arrive early in the evening to complete their job. Apple Inc. should
hire local Indians after establishment of its new plant in Indian HR professionals as various
inter cultural barriers and perceptual barriers can be minimized that way.

3. Employment and Tax Laws

Various tax and labor regulations also affect HRM. HR departments are required to be ready
to address various tax rates, compensation or labor and environmental laws. In relation to or
even in conflict with present corporate policies, these demands may require adjustments to
sustain local government compliance. Such standards can align with current corporate
practices, or may disagree with them. HR managers need to become professionals on matters
not only related to their industry, but also with problems and government policies in the
nations where their business currently runs. Hence, apple needs to be up-to-date of India’s
employment and tax laws in order to sustain and success in the Indian market.

4. Technological Advancements
This is regarded an external influence because the HR department can begin considering at
methods to downsize and find ways to cut expenses when new techniques are implemented.
With the use of new technologies, a single person can take up tasks previously performed by
2-4 individuals. Technology is fundamentally changing the way companies operate, not only
from the costumers' point of view, but also from an internal cost-saving approach.
Although Apple is one of the top technologists itself worldwide, it still needs to be fast paced
and flexible enough for changes in other technological advancements and competitors’
innovations as they directly affect the operation of its business.

5. World, National and Local Economies

The most immediate issue in human resource management is how much cash is available for
salaries, training and facilities. External economics, however, plays an equally critical role in
HRM. For example, people don’t have as much money to spend in a financial downturn and
will in general be more particular in what they purchase or services they use. This implies
that some sectors, such as those that produce luxury products or non-essential services, sell
fewer and may even need to lay off some employees.
This, thusly, makes it even tougher for the local economy. The incorporation of financial
variables into the human resources plan helps predict how many staff you will need and pay.
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The roles and responsibilities of Human Resource Management are facing immense changes
as contemporary business is under globalization impacts. There is a huge gap between the
demand and supply of skilled and highly qualified workers, staff and managers. More
emphasis needs to be placed on drawing human resources instead of financial resources.
Multinational companies will be able to attract and maintain high-performing staff that is
prepared to adapt their human resources practices to the dynamic environment.

Previously, individuals were required to work in the same organization till retirement or
death. The organisational devotion was very high and in this manner, there was has barely
any representative leaving the workplace in the middle. HR's role was restricted to employee
recruitment and maintenance. The worker would have been proud to tell in the past how
many years of service he has put into his business. The situation, however, has changed.
Workers are proud when they have taken more opportunities than have served a company. As
a consequence, there is a high turnover rate in nearly all employment areas. The skilled and
deserving staff no longer believe of loyalty to the organization. HR's role has altered to
maintain the existing employees from the traditional view of filling the vacant roles for
present and emerging job openings.

The HR professional's role is evolving. Previously, their job was concerned with workforce
and administration works that were seen by the association as deskwork. Nearly all
businesses viewed HR role as the role of the administration or finance department, as it
involved mostly staff hiring, paying and dealing with rewards. Successful organisations have
become more adaptive, more adaptable, and more effective to alter direction and more
customer-specific. Hence, role of HR professionals have changed as line manager to a
strategic partner, an employee sponsor or advocate and a change agent. According to
[ CITATION Ulr96 \l 1033 ], the roles of human resource are based on the following four
aspects –
 Strategic business partner,
 Change Agent,
 Employee champion and
 Administration Expert.

Strategic Business Partner

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Today's role of HR executives has taken a wider approach. It is a relatively new concept to
incorporate human resource management in the strategic decision making procedure. This
new function entails extra burdens and duties; being conscious of alterations in the external
environment that will affect the firm; providing relevant techniques and processes for
anticipating change; and providing periodic feedback that will help guide strategic planning.
HR professionals are expected be updated of new skills and ideas. To support run HR
programs and processes, HR experts need to learn how to integrate analytics into their
procedures using strong proof as well.

Change Agents
Companies rely on efficient management communication to gain employee acceptance,
decrease uncertainty and minimize opposition when they want to implement change. HR
managers play a major part in updating and motivating staff to ensure that they comprehend
significant transformations such as new company processes, new techniques or commercial
reorganization and react favourably. Managers facilitate that the system runs efficiently from
single stage to the next until the transition is accomplished by acting as agents of change.

Employee Advocate/ Employee Champion

Through the understanding and support of individuals, the human resource manager plays a
crucial role in firm’s achievement as an employee sponsor or advocate. This advocacy
involves knowledge on how to build a working environment where individuals will be
motivated, contribute, and happy [ CITATION Ulr96 \l 1033 ].
Promoting efficient goal setting, communication and empowerment techniques through
responsibility builds the organization's employee ownership. The HR professional enables to
create the organizational culture and environment in which individuals have the potential to
serve customers excellently.
HRM procedures enhance the understanding, skill and capacity of staff to contribute to the
efficiency of the organisation. Career planning, training and development as well as
mentoring and other similar programs align staff skills with company goals and thus help
improve performance.

Administrative Expert
Administrative specialist provides effective procedures (such as; recruitment, selection,
training, reimbursement, compensation, workforce planning and performance assessment)
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using innovative technologies and enhanced techniques. A good HRM field knowledge
combined with technical expertise enables HRM executives to recognize opportunities.

Henceforth, managing human resources is an essential component of any organization

irrespective of the size of the organisation. Therefore, each of its tasks is a complex and
critical process phases that affects the operation of any organization as it deals with the
company's human force, without which all other production factors in any organization are
worthless.

The HR manager poses different functions; Human Resource Planning, Job Analysis and
Design, Recruitment and Selection, Employee Training and Development, Employee Career
Planning and Growth, Performance Appraisal, Compensation Management and Job
Evaluation. Similarly, the business environment is an ever-changing place, including
dynamic external factors that influence any organization's HRM operation. In the dynamic
environment, Apple Inc. should take these variables into account crucially and always be
flexible and updated.

Finally, in the 21st century, the roles of human resource management changed dramatically.
The HR experts should also play the roles of Strategic Business Partner, Change Agent,
Employee Champion, and Administration Expert, which is challenging but if performed
effectively, it will be an excellent chance to improve the general efficiency of HR and
organization.
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