The Framework of Human Resource Management

900 words 4 pages
The essay will introduce the reader to the framework of Human Resource Management (HRM) practices that can help companies deal with sustainability, globalization and technology challenges. The essay is divided into 4 broad sections which are the four dimensions that form the framework of HRM practices. In each of the sections, there will be examples of HRM practices within each area.
Managing the Human Resource Environment
Noe et al (2010) mention that managing internal and external environment factors allow employees to make the greatest possible contribution to company productivity and competitiveness. This area of human resource management involves
Strategic HRM
Strategic HRM (SHRM) bridges business strategy and HRM and
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Employees make external comparisons between their pay and the pay they believe is received by employee in other organization. Such comparison may have consequences for the employee attitudes and retention. Employees also make internal comparisons between what they receive and what they perceive other within the same organization are paid. These types of comparison may have consequences for internal movement, cooperation, and attitudes and organization commitment (Noe et al, 2010). Failing to reward employees’ unique contributions in an organisation will most likely result in undesired behaviour and dissatisfaction thus damaging company performance. This area of HRM practices focuses on
Pay structures
Creating pay structure and levels that is relative to the job structure so as to ensure positive attitudes and employees’ retention.

Use reward system in recognising employees’ contributions within the organizations.

Increase competitive advantages in labour market through offering benefits package to employees.
Werner & DeSimone (2006) discuss that change has become a way of life for most organizations. Pressure from increasing competition, globalization, technological development


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