HR Management for Globalized Business era

 Discuss about the HR Management for Globalized Business era.

Introduction

In today’s more challenging, competitive, globalized business era, different kinds of issues or challenges are encountered by the HR (Human Resource) manager at the workplace. For example, demographic issues, issues related to the encouraging the best talent, lack of HR talent, inappropriate management styles etc are the major examples of  HR challenges that faced by today’s HR manager within the organizations. In addition to this, it should also be noted down that, such issues not only negatively affect the success, growth, profitability, goodwill, marketability of the business firms but also adversely influence the performance of HR managers. Along with this, these HR challenges are creating a lot of serious issues in the front of companies or business firms (Beardwell, Holden, and Claydon, 2004). For case, due to such issues, companies or business firms are not able to respond the changes and dynamics of business in the market effectively. But, such issues can be overcome and handle by the business firms and HR managers by using attractive, innovative and specific HR strategies, policies, methods and approaches. Moreover, this research will discuss a wide range of HR challenges faced by today’s companies or HR managers. Additionally, specific methods and ways would be recommended in order to tackle the two selected HR challenges. Overall, this research study would be more valuable and effective for the readers to understand the HR issues and ways to overcome such issues effectively.        

HR challenges

Demographic Issues: Today, various types of demographic issues are encountered by the HR managers, HR department and business firms around the world because of diverse nature of work or labor forces. For example, the increase in diverse workforce had forced the business firms to make specific changes in their Business and HR strategies and policies such as approach of people management. In the current time, due to up gradation in the technology and globalization, there is constant change in the demographics that changed the way of organizations at the global level and HR manager face issues in hiring, train, managing and retaining a diverse workforce (Barbazette, 2006). Moreover, it is also analyzed that, there are a wide range of consolidating and consolidating emerging trends that directly affects the functioning of HR department. For example, today, the workforce is heavily diverse in the form of age, gender, sex, culture so business firms are trying to using new HR strategies to avoid the issue that has increased the cost for the companies. Moreover, ageing populations, globalized workforce, surge in female employment etc are the major demographics trends that forcing the companies to change their human resource or people management strategies (Boxall and Purcell, 2011).

Lack of HR Talent Availability: In the recent time, finding as well retaining the top/right talent and managing the cost is one of the key challenges in the front of all kinds of business organization in every business industry. The main reason behind this is globalization and tight competition for the talent. In addition to this, it is also analyzed that, today, the work nature, international population ages and changes in the business culture, environment and structure, business firms are looking for skilled and talented employees in order to grow and success in the current and future. But, various business firms fail to attract and retain the top talent within the business firms because of lack of essential information resources, informed plans and decisions. Hence, all these are the major factors that affecting the success of companies to attract, retain and motivate the top talent within the organization (Bratton, and Gold, 2012). Moreover, the other specific cause of lack of HR talent availability is changes and development in the talent landscape within the global economy. Additionally, in retaining and attracting the talent is also creating issues for the companies because it requires huge investment in encouraging and searching the talent. In this way, it can be said that, lack of HR talent within the business negatively affecting the success and growth of today’s business firms in all over the business industry (Landis, Bennett and Bennett, 2004).     

Retaining Good Performers: In today’s more competitive business era, retaining the good performers is one of the major critical and complex tasks for the business firms and companies. It is because retaining the top and good performer such as high potential leaders or managers require attractive wages or salaries that directly increase the costs of the company and negatively affect the financial strengths (Singh, and Singhal, 2010). For case, today’s companies require to provide traditional incentives and benefits to their good performers of the organization. For case, traditional incentives includes handsome pay, innovative and supportive work culture, environment, medical benefits, best compensation in the industry, and safety and motivated business environment. All these are paid in the form of financial and non-financial benefits that increasing the costs of the companies and decreasing the profit level of the business firms. So, it can be said that, retaining of good performers is one of the challenging task for the business firms in the current time (Brown, Metz, Cregan, and Kulik, 2009). On the other hand, it is also found that, the good performers also requires pay for performance rewards that may be in financial and non financial rewards. In the same way, in the industry, the top performers expect competitive pay for their contribution in the overall success and growth of the organizations. It indicates that, the business firms have to pay to the good performers for their loyalty and discretionary effort within the organizations. Hence, retaining of good performance is occurs several serious issues in the front of companies and this negatively affecting the profitability (Lawson, 2006).      

Frequent Clash of Values: In the current time, clash of values between the new, educated and older manager is also a challenging HR issue that affect the performance of individual mangers as well as organizations. For example, the differences among the employees in term of ideas, perception, risk taking ability, and decision making etc are the major forces that create issues among the managers and negatively affect the organizational outcomes (Sims, 2002). Moreover, in today’s workplaces, conflict is becoming one of the major parts of doing business people with different values work together to achieve organizational goals, so there is more chance for clashing of values (Martin, 2006). For case, in an organization at the workplace, individual employees have their own opinion and perspective on a particular thing. Some of people within the company may have very strong beliefs about that particular thing which they are not willing to negotiate. The differences among the opinion and beliefs can create the issue of conflict among the younger managers, older managers and educated managers. If other managers avoid the beliefs of others, there may be conflict among the managers (Schensul, and LeCompte, 2012).

On the other hand, if an individual manager has personnel issues or problems with the other managers, there may be frequent clashes among the value. At the same time, it should also be noted down that, ineffective or poor communication is also responsible factor for frequent clash of values (Grobler, and Warnich, 2006). For case, the poor communication among the managers can led misunderstanding and strife among managers at the workplace. Opposing Interests and personality conflicts are the factors that directly create the situation of clash of values among the employees. All these directly or indirectly have negative impact on the total success of the business firms (Piskurich, 2009).  

Inappropriate Management Styles: It is true that the inappropriate management style used by the managers within the organizations creating several critical and complex issues for the business firms. For example, use of inappropriate management styles creates confusion, increase stress, reduce employee turnover, and increase organizational cost directly. All these factors directly affect the productivity, goodwill and profitability of the organizations. For example, with inappropriate management style, the mangers of the company cannot be able to achieve organizational long term objectives, strategic vision and mission this adversely influence the company’s overall success and growth. Hence, it is considered the major issues in the area of HR management (Bryson, 2008). In addition to this, a manager with inappropriate management style cannot focus and care about the quality of job performance and this behavior would be more costly and expensive for the business firms and companies (Sliter, Sliter, and Jex, 2012). On the other hand, it should also be noted down that, there would be no clear communication expectations and more changes of negative consequences of poor decisions and behaviors. Such types of inappropriate management style not motivate the employees and discourage the employees for the undesirable outcomes and toward positive rewards (Connell andTeo, 2010). So, it creates negative behavior in the employees at the workplace and affects the functioning and job performance of other employees negatively. Moreover, appropriate behavior is the key of success that provides strategies directions to the employees about how to fulfill organizational long term strategic goals and objectives according to the organizational codes of ethics and policies. So, it is important for the companies and management to adopt specific strategies to overcome such issues in an effective and proper manner (Saks, Haccoun, and Belcourt, 2010). 

Ways of tackling 2 of these HR Challenges

Talent Availability: In the present time, in order to tackle/avoid/overcome the challenges of Lack of HR talent availability, the management as well as a company would need to adopt innovative, dynamic, specific and attractive people management strategies and human resources management methodologies. For example, a company should adopt more strategic method or approach based on powerful employer brand. Moreover, the company would need to adopt best information sources to analyze the types of skills the organization need (Fazey, 2010). In the same way, it is more important for the companies to develop short and long term plans. Along with this, a company would also need to add its working planning strategies in the business planning from the initial time. It indicates that, in order to avoid HR talent availability, the company should improve its planning process for the human resources. There should also be strong collaboration among the business and HR department of a company. This strategy would allow the company to capitalize as well as manage talent for the longer time within company. In this way, both business as well as talent strategy of a company should be go hand in hand. If the company is not able to combine talent strategy with the business strategy, there would be a big gap (Glisson, and Green, 2006).

At the same time, it is also more essential for the business firms or owners to focus on fostering an innovative learning culture within their organization and motivate and encourage the managers or employees from the different department to own their careers. On the other hand, promotion of value proposition is another innovative and dynamic way that should be used by the business firms to avoid the issue of lack of HR talent availability (Gary, 2010). For case, the company and its management should focus on promoting employees value proposition to position the company as a talent destination (Boxall, and Purcell, 2011). Apart from this, in the recent time, business firms are more focusing on achieving the competitive scope or advantages over the competitors in the industry in order to become success. So, it is recommended that, business companies should not go longer to count on maintaining sustainable competitive advantages (Fazey, 2013). 

They must focus on improving the skills of their employees and prepare employees to access and fulfill more transient competitive advantages in an effective and proper manner. In addition to this, in hiring, selecting, attracting and managing the talent within the organization, company must support the business strategy and motivate the current employees to achieve their tasks and goals as per the organizational strategic vision, mission and philosophy (Grobler, and Warnich, 2006).

Moreover, it can also be a more effective strategy for the company to focus on creating specific sources and retaining the best talent within the organization with the help of strong and connected brands. Moreover, effective communication strategies must be developed to overcome such issues. Overall, it can be said that, a company should use a wide range of practices and strategies in order to fill the gap of lack of talent availability in an effective and specific manner (Piskurich, 2009).      

Retention: Today, retaining the employees or retaining good performers is one of the major strategy that determine overall organizational success and growth in today’s more challenging and competitive business era. Moreover, there are several kinds of strategies and best practices that should be used by the companies in order to Motivate Top Performers within the company. For example, in a company, a leader plays a significant role in motivating the employees because they follow their leaders (Beardwell, Holden, and Claydon, 2004). So, a leader’s emotion, attitude, comments should support the employees. In addition to this, the leader of the company should try to develop and provide an innovative culture with high engagement, mutual respect and rust to retain their employees (Ivancevich, 2007). Moreover, a company, its leaders, and managers must also use the ideas provided by their employees and invite those in the organizational decision making process.

Work place issues of employees should be avoided by the company on the high priority. A company should also respect the value of ideas of their employees and consider those ideas in the organizational strategic decision making process. In addition to this, a leader or manager within the company should also try to find the ways to implement those ideas provided by the employees (Lawson, 2006). Financial and non financial rewards must be provided to the employees against their ideas in order to motivate and encourage them to fulfill organizational strategic vision and mission. On the other hand, creating clarity is also another strategy by which the employees should be involved by the organization in creating action plans for the big decisions. For example, a company should offer specific opportunities to their employees and invite them for solving of organizational issues and making strategic decision. This would encourage and retain top talent within the organization and the company would be able to compete in the market (Martin, 2006).

Along with this, it is also important for the business firms to understand the career objectives and goals of their employees and try to fulfill them by providing significant opportunities effectively. Additionally, cooperation should be foster by the leader of the organizations and should avoid direct competition among the employees. On the other hand, moral as well as engagement levels of employees should be improved. An organization must also try to find innovative and dynamic opportunities for employees to collaborate for the common good. Finally, it can be said that, promoting trust among employees, effectively communication, and leverage nontraditional perks are other strategies or ways that should be adopted by the firms in order tackle this issue (Pilbeam, and Corbridge, 2010).

Conclusion

Based on the above analysis and discussion, it is summarized that, today’s business firms are facing a wide range of serious issues in the area of HR management that directly affecting the success and productivity of employees and company. In addition to this, it can also be suggested that, business firms should adopt innovative, specific and dynamic ways in order to tackle such serious HR challenges in an effective and proper manner.

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