Workforce Diversity Management in the Age of Globalization

Within each and every organization, the composition of workforce diversity is being integrated into its human resource management (HRM). In this new era, the world is increasingly globalizing and since the advent of information technology, the borders of the world are drawn so closely than ever before. Theories of diversity management have been developed by business professionals and scholars, citing that a heterogeneous organization could create better HRM practices to maximize the benefits from a diverse workforce as well as improving their competitive advantages. Maslow’s Hierarchy of Needs will help to understand how employees’ basic need affects the HRM; and how workforce diversity could contribute to achieving HRM’s strategic objectives. Diversity awareness allows for a better understanding of inclusive consumers’ needs, and provides access to better labor pools. Hence, an organization must be able to utilize the available skills from the workforce if it is to maintain competitive advantage and Continue reading

Wage Differentials – Types and Implications

If we take various contingent factors into account, we find that there may  be differences in wage and salary structures. These differentials may be  industrial and occupational, regional, organisational and personal. Industrial and Occupational Differentials :  Industrial and occupational differentials exist because of requirement of  different skill set and imbalance in demand and supply of personnel having such  skills. Wages and salaries are usually fixed on the basis of skills required to  perform a job. Thus, highly specialized jobs requiring higher level of skills are  linked with higher pay too. Coupled with this, shortage of supply of such  personnel also induces the payment of higher pay. Regional Differentials :  Apart from industrial arid occupational differentials,  there may be differences in wages and salaries region-wise also within the same  industry and occupation group. Such differences are visible in different  countries of the world as well as different regions within a country. Continue reading

New Roles of Human Resource Managers in Business Development

A great team of working professionals in an organization cannot be possible without the human resources. The main contribution of HR management to organizations are hiring and training the workforce, takes care of the performance management system, helps in building culture and values, manages conflict, and most importantly developing good relations. Human resources managers promote, recommend on, and implement plan associated to the usage of employees within an organisation effectively.  They are the most qualified and skilled people into the organisation to make a difference in enhancing the productivity of the employee and the organization. Their desire is to assure that the organisation hires the suitable people in terms of skills and experience, and that training and development opportunities are accessible to personnel to boost their achievement and attain the goals in the organization. HR officers are responsible in a range of activities needed by the organisation such as working Continue reading

Functions of Collective Bargaining

Good relations between the employer and employees are essential for the success of  an industry. In order to  maintain good industrial relations, it is necessary that industrial disputes  are settled quickly and amicably. One of the  efficient means of  resolving industrial disputes and deciding the employment conditions is collective bargaining. It is a process  in which the representatives of the  employer and of the employees meet and attempt to  negotiate a contract governing the  employer-employee union relationship. Collective bargaining is a technique of social change, some-times performing its function smoothly and at other times threatening to blow up. Arthur D Butler’s classification of functions of collective bargaining can be viewed under the following three headings. Collective bargaining acts as a technique of long-run social change, bringing rearrangements in power hierarchy of competing groups. Collective bargaining serves as peace treaty between two parties in continual conflict. Collective bargaining establishes a system Continue reading

Topics for Employee Training Programs

Training can be defined as the   process of “Transferring information and knowledge to employers and equipping employers to translate that information and knowledge into practice with a view to enhancing organization effectiveness and productivity, and the quality of the management of people.” It also means that in organizational development, the related field of training and development deals with the design and delivery of workplace learning to improve performance. The common topics for employee training and development programs are; Corporate ethics: This covers the value of good manners, courtesy, consideration, personal decor and good rapport. It also shows why and how to discourage gossip, controversies, personal work at office, rush jobs etc. Communications: The increasing diversity of today’s workforce brings a wide variety of languages and customs. Right from the way the receptionist handles a call to how the CEO deals with a customer gives a glimpse of the image Continue reading

Investment in Human Resources

There is much debate as to whether the human resources of an organization can be considered as an asset and treated accordingly in the accounting system. There are two schools of thought. One says that human resource is an asset and the other does not agree with this. Now let us see what is an asset? Asset is anything which is owned by the entity to derive service in future and should have legally enforceable claim. As such there is no guarantee of deriving benefits from the existing human resources in future and has no sales value like other assets. Therefore, legally, human resource is not an asset claims one school of thought. Besides, company law also does not consider it as an asset. But the other school is of the opinion that the “human resource is an  asset“. This school of thought puts forth two contentions in favor of Continue reading