Humans are the most valuable asset of any organization. In any organization there are many issues pertaining to hiring, management and productivity etc. In order to overcome and resolve such issues organizations use the services of have human resource managers. Human resource management system is an important aspect of any organization. Managers develop their working strategies according to internal and external factors which may have an influence on their business. Internal factors are related to the organizations which are in control of the managers but external factors are present in the environment like political, economic, social, technological, environmental and legal environment (PESTLE). These external factors are very important in determining any organization's future, as they have a strong influence over the business but the human resource managers have no control over them. This essay will have a look upon impact of these external factors and how the human resource managers can cope with them.
Human Resource Management:
Human Resource Management in any organization is concerned with the "people" dimension ( DeCenzo, Robbins and Verhulst, Human Resource Management (HRM) in organizations is concerned with recruitment/hiring process, administration and management structure, performance appraisals and management, professional development, communication, safety etc.
Human resource management emphasize on attracting, hiring, training, motivating and maintaining employees. Because having strong employees in organizations is a positive edge and provides advantage in market competition local and global as well. As individuals in an organization are coming from different backgrounds and cultures hence human resource management helps in managing people at work place and work place's environment as well. Activities of human resource are highly affected by changes occurring outside the organization. Hence it is necessary to acknowledge such changes because these external factors are affecting all the activities of human resource whether directly or indirectly.