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FBLT050 | Management | The Fundamental Functions of the HRM

Your CEO has asked each departmental head to undertake a critical review of their systems, processes and practices as part of a major organisational change agenda. You have been asked to review an area of HR/business practice and present a business report to key stakeholders with recommendations for improving practice. To provide the basis for your report, you have been asked to conduct a critical review of information sources relevant to the area of practice. You should:

Select an area of HR/business practice and give the reason for your choice

Undertake a critical review of different information sources (at least three) e.g. research digests, academic and professional literature, online databases, key texts relevant to the selected area of practice.

In your write up of the literature review you should explain why you selected that particular source and highlight some of the different research approaches adopted by the authors and comment on the advantages and disadvantages of these different approaches.

Draw meaningful conclusions from the review of the different information sources.

Make justified recommendations to named stakeholders for sustaining and/or improving practice.

Answer:

Introduction

An organization, to build an effective team of professionals needs an efficient human resource. The fundamental functions of the HRM (Human Resources Management) group comprised of recruiting people, performance appraisals, motivating employees, training them, workplace communication, and workplace safety.

For successful change agenda of the organization, a critical review of practice, system, and the process was done. In this report, the discussion will be conducted around the critical review of training and development, an HR practice. The report will justify the reason for the selection of training and development for the study, by describing its relevance in the workplace.  For this purpose, both positive and negative aspect will be discussed according to different informational source approaches in the literature review.

The relevance of training and development in a workplace

  1. Addressing weakness – most of the employees do have some sought of weakness in their skills, which are required to perform a particular task in the workplace. A training program enables the employee to strengthen their skill, which they lack and need to improve to perform that task in a better way. Moreover, a development program is useful for employees to get on to a greater level, where they all have comparable knowledge and skills. These programs will reduce all weak links exist in the company, who depends severely on employees to perform basic jobs. To create an inclusive knowledgeable workforce, employees to work in groups or independently without any regulation or constant help from others, providing these programs become important. For change agenda, the need to review whether this area is working effectively or not becomes essential (Frost, 2018).
  2. Training improves the success rate of change management – approx. seventy percent of the change initiatives fail due to negative employee behavior towards change and management unproductive behavior. As per statistics, around 33 percent of organization attitude do not support change and more than 39 percent of

    employees resist change. Need for training arise due to such behavior, by providing adequate training, knowledge, and make them understand the need for change; the resistance for the change can be reduced (Courtney, 2018).
  3. Consistency – for the company’s basic procedures and policies, the consistency is quite pertinent. With the structured training and development, an organization can ensure if the employees are having consistent background knowledge and experience. For awareness of expectations and procedure for employees within the organization is necessary. The regular training program in different are will assure if all the employees or staff members have been exposed to information at least once. (Manuti, 2015)
  4. Training maintains visibility - According to a study, it is been observed that only forty percent of the employees are aware of their organizational goals, tactics, and strategies, or other relevant details like beliefs, perceptions, shared assumptions, and values. This means that the employees have the least visibility about working for conducts of their organization that does not make them have a sense of belonging. This could only improve by employee understanding of the organizational environment. For which a sound induction training is necessary for clearly shared missions, vision, strategies, and values and embedded in daily work tasks (MacKean, 2014). 
  5. Improved employee performance – since with the training and development programs, one will be more aware of proper procedures and safety practices for basic tasks, an employee will be able to perform better his/her job. Training is also responsible for the confidence level of the employee since the person has a better understanding of the responsibility and industry, which he or she is liable for in the organization. This confidence will push them to think new ideas and perform that will help them to excel in their field (Anitha, 2014).
  6. Training promotes employee engagement – in the change management process, the engagement of employees are very necessary. If an employee, himself were part of the change and playing important role in change management would not resistance to change as such. This could be done with help of training and development program, that is the reason for this area selection for the review (Ford, 2017).
  7. Employee satisfaction – employees who are accessible to training and development program feel they are valued as the company is investing in them. Moreover, a supportive workplace is created with the help of a training program, because there is some information or practice which employee may not gain access without training. Employees who are challenged through training opportunities and appreciated are more satisfied with their jobs (Gibson, 2016).
  8. Reduced employee turnover – the turnover rate is maximum at the time of change in the organization. Effective training for employees to make them feel comfortable and confident with their changing workplace, responsibilities, or job profiles can reduce the turnover rate of the organization (Hill, 2015).

Literature review

Journal Article: “Training in the public sector in a period of austerity: the case of the UK” (Jewson, et al., 2015)

(For reference: https://sci-hub.tw/https://doi.org/10.1080/13639080.2014.900169 )

This research paper study, that had taken place to training or education in public section firms inside the United Kingdom in a period of austerity. Its focuses on singular level statistics accumulated over the period 2000–2012 and established order-degree records accrued from company surveys done between 2005 and 2012. To diagnose these records in addition, seventy-five qualitative interviews with employers of the public sector have been executed. Qualitative consultations with those employed in the public sector deliver additional understandings into the type of variations to training are happening, how and why. The study ?nds that while training occurrence remained highly excessive inside the public quarter, establishment-stage manage over planning and financing fell quicker than inside the private section. Overall, then, the studies show that training in the public quarter stays extraordinary, in each its volume and system of delivery.

(Source: Jewson, et al., 2015)

Advantages of approaches adopted by the author

  • An in-depth study on the relevance of training in the public sector, where generally the private sector is focused to study topics like training and development.
  • The literature sources for the study included were potential and relevant in the research.
  • Both qualitative and quantitative data was collected to conduct this research study, which makes the research more reliable and clear.
  • The base of evidence for the data viability was very strong. More than 60000 workers were interviewed. Moreover, many sources for the evidence were considered to make the statics more reliable.
  • Use of graphs and quantitative data makes the study more reliable and valid.
  • A clearly done comparison of public and private sector enhances the understanding of training in specific sector, which can be used by government and public sector companies.
  • The study also covers the relevance of training through “E-learning,” which most of the study does not consider while studying this aspect. This is advantageous because the scope of E-learning is very high in training and development area of human resource management.

Disadvantages of approaches adopted by the author

  • The data used can be more relevant, as only single level data is considered and company survey that was done quite back was considered for the study.
  • The interviews taken were from 75 employers, this is not a large number according to the relevance of the study and scope of the study.
  • The scope of the study was restricted or limited to a particular sector, which could be more extended.

Journal article: Using a Personal Development Plan for Different Purposes: Its Influence on Undertaking Learning Activities and Job Performance (Beausaert, et al., 2011)

(For reference: https://link.springer.com/article/10.1007%2Fs12186-011-9060-y_)

According to the author, firms are nowadays implementing assessment methods like PDA (personal development plan) but it is realized that the real power of this method or tool depends on employees’ professional development. This tool is been implemented for different objectives like salary raise/ promotion on one hand and professional development on another hand. The study focuses on, understanding of employee perception, performance improvement through the Personal development plans and for this purpose, the primary data collection is used. The respondents include 268 employees from the governmental organization and 81 experts from an international organization. Moreover, regression analysis has been used for prediction of quality of performance linked to what an employee perceives as serving learning and purpose of development.

Advantages of approaches adopted by the author

  • Sample:  the sample size of 367 people, which include both employees and expert, will make the research reliability to a higher extent.
  • In-depth study, of the tool of the personal development plan, including real-life examples, for better understanding, referring to many other reliable sources in the research
  • The author approach of the presentation includes tables, graphs, and statistics for a better understanding of the topic.
  • Various analysis has been conducted in the report, including data analysis, preliminary analysis, regression analysis (ANOVA).

Disadvantages of approaches adopted by the author

  • Generalization, one of the limitations include the research is more of generalization in finding across sectors or organization.
  • The study is limited to the PDP tool on employee perception, where environmental, personal, and career development can have an impact on PDP practice.
  • More areas such as self-efficacy, employee motivation level and need for reflection could be part of the topic, as it will affect employee performance.
  • Using other methods like 360-degree assessment, which will include the perception of subordinates, superiors, instead of the only perception of employees themselves would be the better approach in an organization.
  • Sample size (N=367) is quite small when the focus of the result is a concern. Experts could be given more weightage, which were 81 in the sample for more valid results.

Journal article: “The Impact of Employees’ and Managers’ Training on the Performance of Small- and Medium-Sized Enterprises: Evidence from a Randomized Natural Experiment in the UK Service Sector” (Georgiadis & Pitelis, 2016)

(For reference: https://sci-hub.tw/https://doi.org/10.1111/bjir.12094 )

The article examines the connection between personnel’ and managers’ training and organizational performance by means of a policy intervention that casually allocated training aid to small- and medium-sized companies within the united kingdom lodging and food service zone. Due to the fact, that the quantity of ?rms self-decided on training surpassed to be had, places, education turned into randomly dispensed to some organizations, causing in a randomized regular experimental layout that allowed the researcher to become aware of the impact of training provided to companies. The empirical consequences advocate that personnel’ training had a tougher optimistic impact on organizations’ labor efficiency and pro?tability than the managers’. The research could not be constructive as to why worker training seems to have more potent implications for performance than management or human resource management training. However, this study is constant with the disagreement that member of staff skills are superior to managerial capability shortages, and as a result, the contribution of worker training to performance may be more than that of managerial and human resource management training. This dispute could consequently account for the bigger effect of employees’ education compared with managers’ training on labor yield.

Advantages of approaches adopted by the author

  • Managerial and Practical Implications, the study considers human resource as the most significant asset of the firm. For which labor productivity has given more relevance than that of managerial ability as the effect of training.
  • The study provides an in-depth correlation between employees training, managerial training, and productivity of an organization.
  • An empirical strategy was employed which is beneficial because according to the strategy, the impact on the performance of business was assigned randomly.

Disadvantages of approaches adopted by the author

  • The collection of data is generally based on characteristics and behavioral observation of employee’s performance before and after providing training.
  • Primary data has not been used for the research, which can be a disadvantage for the study because the use of primary data presents that the statics and results are according to current information.
  • The presentation of the study could be better by using graphical representations, and more quantitative data.
  • Random assignment of services of training among respondents could be disadvantageous as they could be failed and the selection of sample can be from non-response group of respondents.
  • There was no systematic variance between control groups and treatment of baseline characteristics within a sector.
  • The study was limited in nature; more areas such as resources used for training, financial factors could also be covered for the study, which influences the efficiency of employees.

Conclusion

To conclude the discussion in this report, the selected area of HR, that is training and development, for which three articles were critically reviewed. Training and development are very relevant in an organization, especially at the time of change management. Planning a training and development program is not only beneficial to improve the existing skills of the current workforce, but is also beneficial for organization productivity, and effectiveness. Moreover, through training and development, the opportunity for the employees will motivate workforce to not, resist the change in an organization, it allows employees to enhance their competencies and ability to adopt a new process or new technology. 

Three journal articles reviewed were: “The Impact of Employees’ and Managers’ Training on the Performance of Small- and Medium-Sized Enterprises: Evidence from a Randomized Natural Experiment in the UK Service Sector,” and “Using a Personal Development Plan for Different Purposes: Its Influence on Undertaking Learning Activities and Job Performance”, and “Training in the public sector in a period of austerity: the case of the UK.” Among the advantages and disadvantage of the approaches adopted by the authors discussed in the report, one of the common disadvantage observed in all three articles was small sampling size, sample size taken for a questionnaire from employees of the different organization were quite small according to the scope of the study.

Recommendation to stakeholders

There are various stakeholders of the organization, as employees of the company, different levels of managers, society, and government. To sustain or improve training and development practice, recommendations to stakeholders are as follow:

  • Align training with management operating goals – top line managers must align their training programs according to organizational goals and objectives. It means that the gap between the needed skill for the accomplishment of organizational objectives and existing skills of the organizational human resource must be fulfilled through the training program (Ford, 2014).
  • Timely survey of organizational employees – the managers must be aware of their employees, their competencies, required skills, current performance, and required performance effectiveness through a survey in the organization from time to time. This will make managers realize the need for training and area to be focused on training (Hauch, 2016).
  • Benchmark against competition – employees and management must set the benchmark for the employees to be accomplished in a fixed interval of time so that the employee is motivated to reach that benchmark and if he or she is not able to reach the need for training would be clearly observed (Solman, 2017).
  • Measure result – the result must be measured timely, and through different methods. For example self-performance appraisal, 360-degree appraisal method, So that the employees are appraised and the lacking area is observed which will make clear the need for a training program for the employees who need that (HBR, 2018).
  • The government must comply with rules and regulations regarding training and development programs in the private and public sector – if the government makes it compulsory to conduct a minimum amount of training and development programs for the companies. The companies will become liable to do so, and this will increase organizational efficiency, which will influence the quality of the products and services offered that would affect society as a whole. Since the sales and profit are increased of, the organization the tax amount will also be increased which is beneficial for the government and country as a whole (Konings, 2015).

References

Anitha, J., 2014. Determinants of employee engagement and their impact on employee performance. International journal of productivity and performance management, 63(3), p. 308.

Beausaert, S., Segers, M. & Gijselaers, W., 2011. Using a personal development plan for different purposes: Its influence on undertaking learning activities and job performance. Vocations and Learning, 4(3), pp. 231-252.

Courtney, F., 2018. Change Management: 3 Reasons Why Training Supports Organizational Change. [Online]
Available at: https://elearningindustry.com/change-management-3-reasons-training-supports-organizational-change
[Accessed 06 04 2016].

Ford, J., 2014. Improving training effectiveness in work organizations. s.l.:Psychology Press.

Ford, J., 2017. Employee perceptions regarding an organizational change initiative in a state wildlife agency. Human Dimensions of Wildlife, 22(5), pp. 422-437.

Frost, S., 2018. The Importance of Training & Development in the Workplace. [Online]
Available at: https://smallbusiness.chron.com/importance-training-development-workplace-10321.html [Accessed 30 06 2018].

Georgiadis, A. & Pitelis, C., 2016. The Impact of Employees' and Managers' Training on the Performance of Small?and Medium?Sized Enterprises: Evidence from a Randomized Natural Experiment in the UK Service Sector. British Journal of Industrial Relations, 54(2), pp. 409-421.

Gibson, L., 2016. Personality traits and career satisfaction in training and development occupations: Toward a distinctive T&D personality profile. Human Resource Development Quarterly, 27(1), pp. 13-40.

Hauch, V., 2016. Does training improve the detection of deception? A meta-analysis. Communication Research, 43(3), pp. 283-343.

HBR, 2018. 7 Ways to Improve Employee Development Programs. [Online]
Available at: https://hbr.org/2015/07/7-ways-to-improve-employee-development-programs
[Accessed 2015].

Hill, C., 2015. The Importance of Developing Strategies for Employee Retention. Journal of Leadership, Accountability & Ethics, 12(2).

Jewson, N., Felstead, A. & Green, F., 2015. Training in the public sector in a period of austerity: the case of the UK.. Journal of education and work, 28(3), pp. 228-249.

Konings, J., 2015. The impact of training on productivity and wages: firm-level evidence. Review of Economics and Statistics, 97(2), pp. 485-497.

MacKean, G., 2014. Organizational impact of evidence-informed decision making training initiatives: a case study comparison of two approaches. Implementation Science, 9(1), p. 53.

Manuti, A., 2015. Formal and informal learning in the workplace: a research review. International journal of training and development, 19(1), pp. 1-17.

Solman, M., 2017. A handbook for training strategy.. London: Routledge.


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