From an employer's perspective , Human resource planning, appraisal and performance management, reward management, human resource development and union-management relations are five key points of Human resource management practice (HRMP) which contribute to organization success. This report will simply outline the main application of the five key points above within organizations and then critically discuss how do they make a positive contribution to organization success.
1. Human resource planning determines the human resources required by the organization to achieve its strategic goals
HRP is the process of systematically forecasting the future demand and supply for employees and the development of their skills within the strategic objectives of the organization. Its main role in SHRM is as a means to facilitate the integration of HR strategy with business strategy and to ensure that HR policies and practice are compatible with each other. Variants to HRP include micro-planning, contingency planning, succession planning, skills planning and soft HR planning.
A more contemporary approach to HRP aims to enable the organization to adapt to an uncertain and changing environment and emphasises the need to develop a well-trained and flexible workforce.
In contemporary organizations, there is a common belief that people represent the key source of competitive advantage. Thus a 'high road' HRM strategy (high training, high involvement, high rewards and quality commitment) is adopted by many organizations to improve their business performance. Moreover, many organizations pay more attention to the importance of introducing HR practices together in 'bundle' so that they enhance and support each other.
2. Appraisal is a key factor in designing a performance management system
Appraisal is a process that provides an analysis of a person's overall capabilities and potential, allowing informed decisions to be made for particular purposes. Appraisal is an essential part of good management, stimulating a...