Human resource management

Human resource management, or HRM, involves coordinating,

managing, and allocating human capital, or employees, in ways that
move an organization's goals forward. HRM focuses on investing in
employees, ensuring their safety, and managing all aspects of staffing
from hiring to compensation and development.
Human resources managers plan, coordinate, and direct the administrative functions of
an organization. They oversee the recruiting, interviewing, and hiring of new staff;
consult with top executives on strategic planning; and serve as a link between an
organization's management and its employees.

Strategic human resource management (SHRM) is a framework that helps

organizations achieve their long-term goals by aligning human resource (HR)
practices with the organization's business strategy. SHRM is also known as
"people strategy".

Strategic HRM, or 'people strategy', is about creating a coherent

framework for employees to be hired, managed and developed to
support an organisation's long-term goals. It helps ensure that the
various aspects of people management work together to drive the
behaviour and climate to meet performance targets.

What is an HR strategy? HR strategy is a roadmap for solving an

organization's biggest challenges with people-centric solutions. This
approach requires HR input during policy creation and elevates the
importance of recruitment, talent management, compensation,
succession planning and corporate culture.
A human resource strategy is an approach to leveraging human capital and a defined system of
policies and procedures to achieve a desired outcome at a company.. That something, when
strategies are effective, is tied to meaningful and measurable business, growth, and employee
well-being metrics.
 1. General introduction The soft elements of the 7’s model (skills, style, staff and shared values)
are very important aspects of an organization – as stated in the “Strategic Management”
chapter of the WCO Capacity Building Development Compendium (in the section of Chapter 3 on
the 7’s Model). A growing sense of the importance of human factors led in the latter half of the
past century to the development of Human Resource Management (HRM) as an explicit
discipline. Nowadays, HRM is well developed and fully accepted worldwide as a standard
management discipline in medium-sized and large organizations, such as Customs
administrations. The way HRM is implemented and used by Customs administrations can vary
enormously, especially with regard to the importance of the role that HRM plays in the
organization. Furthermore, there will be differences in the manner in which administrations use
the various elements of HRM. Overall, it can be stated that the key to a successful and efficient
organization is to create concistency and coherence between the soft and hard elements of the
7’s Model. The 7’s model Many different perspectives and definitions of HRM can be found in
the literature and are used by practitioners. In order to be able to work effectively on the topic
of HRM, one needs the meaning to this ‘HRM chaos’. The following HRM definition is adopted:
Strategic Principles on Human 1 Resources Management Strategy Systems Staff Structure Skills
Style Shared Values “Human Resource Management is about people. It is about guiding
employees in such a way that they are willing and able to use and develop their knowledge,
skills, abilities and focus in the best possible way to serve the goals of the Customs
administration”. The Framework provides both theoretical models and descriptions,
complemented by best practices from Customs administrations worldwide with a key focus on
implementing strategic HR management efficiently supporting the organization’s goals. It is
essential to recognize the strategic role of the HR units and professionals within an organization
and therefore to integrate closely HR planning and Business planning. It is vital to the successful
implementation of the Administration’s vision and strategy and to the promotion of healthy,
strong organization that attract, develop, and retain competent, committed and engaged
employees.

The way HRM is implemented and used by Customs administrations can vary enormously, especially
with regard to the importance of the role that HRM plays in the organization. Furthermore, there will be
differences in the manner in which administrations use the various elements of HRM. Overall, it can be
stated that the key to a successful and efficient organization is to create concistency and coherence
between the soft and hard elements of the 7’s Model. The 7’s model Many different perspectives and
definitions of HRM can be found in the literature and are used by practitioners. In order to be able to
work effectively on the topic of HRM, one needs the meaning to this ‘HRM chaos’. The following HRM
definition is adopted: Strategic Principles on Human 1 Resources Management Strategy Systems Staff
Structure Skills Style Shared Values “Human Resource Management is about people. It is about guiding
employees in such a way that they are willing and able to use and develop their knowledge, skills,
abilities and focus in the best possible way to serve the goals of the Customs administration”. The
Framework provides both theoretical models and descriptions, complemented by best practices from
Customs administrations worldwide with a key focus on implementing strategic HR management
efficiently supporting the organization’s goals. It is essential to recognize the strategic role of the HR
units and professionals within an organization and therefore to integrate closely HR planning and
Business planning. It is vital to the successful implementation of the Administration’s vision and strategy
and to the promotion of healthy, strong organization that attract, develop, and retain competent,
committed and engaged employees. Integrating HR and Business is key: • To align the administration’s
workforce with the government’s priorities, and the organization’s mission, strategic plan and budgetary
ressources; • To support HR strategies (organization design and classification, training, career
development) that are tailored the current and future needs of the administration; • To assist managers
meet their responsibilities and accountabilities and realign their workforce; • To develop and sustain
strog leadership across the administration; and • To facilitate the performance improvement and
reporting through the development of performance measures. 2. The strategic role of HRM HRM should
be given a strategic role within Customs administrations, and therefore be an integral part of strategic

Competency-based human resource management (CBHRM) is a modern

approach to human resource management (HRM) that focuses on identifying
and developing the skills, knowledge, and abilities that employees need to be
successful. CBHRM aims to improve productivity and gain a competitive
advantage by leveraging the differences between average and top
performers.
What is competency based HR practices?
Competency based approach refers to the Human resource management model which
addresses job performance. This approach fosters increased training, skill building, job
satisfaction and other measurements and leads to improved hiring practices
A competency based assessment process provides a way of building the skills and knowledge
people need to perform their job. Similarly, the TV show The Apprentice was not just an
assessment exercise. It was a learning process for the contestants.
 Employees can fit into an organization's vision, mission, and values
by understanding how their work contributes to the organization's
success. This connection can help employees feel more engaged, motivated,
and committed to the organization's goals.

Here are some ways to help employees understand how their work fits into
the organization's vision, mission, and values:
Leaders should clearly outline how each employee contributes to the
overall mission and vision, emphasizing how their work aligns with the
organization's values. This connection enhances employees' sense of
purpose, motivation, and engagement, as they understand the impact
they have on the organization's success.
Here are four best practices to help you communicate your mission statement
and connect your employees to it:
1. Make it Central to Your People Systems. One of the best ways to ensure your mission
is working for you is through your people systems. ...
2. Share it in Meetings. ...
3. Use it in Decision Making. ...
4. Link it to Every Role.
That mission statement should be communicated frequently and broadly across your
organization so employees know it well. Your internal communications should point to it, and all
your leaders should know it by heart. (This is also why keeping it short helps!) Employees can't
connect to what they don't know.

Is there a connection between a company's stated vision, mission, and values and
employee behavior?
Employees may feel less motivated and engaged when they do not understand how
their work fits into the bigger picture. Disconnect from company culture: If the company's
culture and behavior do not align with the stated mission, vision, and values, employees
may question the authenticity of these statements.
What is the connection between personal values mission and vision with leadership
practices in the workplace?
Together, the vision, mission, and values statements provide direction for everything
that happens in an organization. They keep everyone focused on where the
organization is going and what it is trying to achieve. And they define the core values of
the organization and how people are expected to behave
What are the 4 challenges of HRM in brief?
There are many challenges of HRM, such as employee retention, diversity
management, employee health, and well-being, recruiting a skilled workforce, etc. The
challenges of HRM are usually resolved smoothly through professional communication

FAQs on Challenges of HRM

Q1. What are the challenges of HRM?

There are many challenges of HRM, such as employee retention, diversity

management, employee health, and well-being, recruiting a skilled workforce, etc.
The challenges of HRM are usually resolved smoothly through professional
communication.

Q2. What are the challenges of HRM in India?

The challenges of HRM in India include a number of issues related to employee

health and well-being to employee retention. Human resource management is
responsible for addressing the challenges of HRM in a professional and effective
manner.

Q3. What are the environmental challenges of HRM?

Environmental challenges of HRM refer to the problems related to the internal or

external environment of the office. Behavioral issues, harassment, etc. may come
under the environmental challenges of HRM.

Q4. What are the solutions to the challenges of HRM?

The solution to the challenges of HRM includes professional communication and a

commitment to help the employee. Solutions like coaching, counseling, advocating,
and managing employees can be effective to address the challenges of HRM.

Q5 Does workforce diversity increase the Challenges of HRM?

Yes, workforce diversity can increase the challenges of HRM such as cultural
differences, ideological differences, and ideological clashes. Therefore, diversity can
cause challenges of HRM in an organization.

Q6. How can work-life balance reduce the Challenges of HRM?

Work-life balance contributes to employee health and well-being. This, in turn,
influences their productivity and performance, reducing the challenges of HRM.
Employee well-being remains the number one challenge in many organizations so it
should be addressed appropriately

Challenges of HRM: Common

Challenges, Solutions to HRM
Challenges
By : Neha Dhyani

Updated : Jun 1, 2023, 22:09

The Challenges of HRM indicate the areas in which a company should work to keep
the human resource satisfied. Human Resource Management (HRM) is not just about
hiring and firing employees. Nowadays, HRM is responsible for developing the human
capital of a company as it is the most valuable asset for the growth and welfare of an
organization.

The challenges of HRM must be addressed in a company as it can help the company
scale up rapidly. Learn more about the top challenges of HRM, and the ways they are
addressed by human resources managers.

Challenges of HRM
In the 21st century, the challenges of HRM include a variety of issues, ranging from
employee well-being to employee retention. Moreover, these issues are being brought
up more openly than usual in the world. Organizations are taking steps to address the
challenges of HRM as employee well-being is gradually becoming a priority.

 Technological developments are also changing the face of HRM with digital
innovation and the proliferation of mobile working standards.
 The continuous transformations in the business environment drive changes in the
system and create new human resources issues.
 Addressing the challenges of HRM is important to maintain positivity in the
workplace.

What are the Challenges of HRM in India?

Human resource management is a complicated field that requires a lot of professional
expertise. There are many challenges faced by HR managers in India. Most of these
challenges revolve around employee happiness rates and suitable recruitment. But
there is a lot in between.

Human resource management is an emerging field and more and more people are
beginning to enroll in programs that teach HRM. There are a few common challenges of
HRM in India, such as the following:

 Employee retention
 Employee well-being
 Remote working
 Technology-related issues

4 Challenges Faced by HR Managers

Human Resource Managers come across a lot of struggles in their careers. Challenges
faced by HRM are usually addressed in a professional manner. The most common
challenges of HRM are listed below.

Recruiting a Skilled Workforce

 Recruitment is one of the recurrent challenges faced by HRM.

 Due to a tight labor market, organizations will have difficulty acquiring talent in
2023.
 To a certain extent, the challenge of recruitment can be overcome by creating a
recruitment process that evaluates a candidate based on the organization's
overall vision, goals, and ethos.
 Not having a skilled workforce escalates challenges for HRM as it mandates
managers to be more diligent in their recruitment procedures and screening to
guarantee that only the best employees get hired.

Diversity Management

 Diverse culture is highly appreciated in the business market. However, the

ideological differences it brings to the organizations add to the challenges of
HRM.
 Cultural biases, differences in opinions, and identity clashes are among the many
human resources issues the HR department faces due to increased diversity.
 Resolving diversity issues can be done by promoting diverse leadership and
encouraging leaders and employees to accept cultural differences and promote
inclusivity.

Employee Retention
  A tight labor market will have a significant impact on employee retention, thereby
increasing the challenges of HRM. Personnel is likely to have a variety of choices
with better compensation and advantages.
 Consequently, HRM faces a serious challenge in retaining employees. Employee
development initiatives, in particular, can help the organization enhance
employee engagement while also earning their trust, loyalty, and retention.

Employee Health and Wellbeing

 According to a study, healthy employees are 67% more likely to be engaged at

work. This demonstrates that having a healthy staff is advantageous to corporate
growth and management.
 However, maintaining a healthy workforce can bring a lot of challenges for HRM.
In the post-pandemic world, there are increasing concerns about work-life
imbalance and work-related stress.
 To meet this challenge of HRM, counseling should be provided, along with
flexibility in deadlines, and develop family-friendly work policies. These initiatives
can enhance employee well-being, which will foster the organization's growth.

Technology Development

 A technology-driven business market leads to numerous human resources

issues with every new technology.
 One of the recurrent challenges of HRM is employee re-training and
development. The process of continuous training can be exhaustive and
expensive for organizations.
 In this regard, organizations can adopt e-learning solutions and online
certification programs for employees, enabling them to learn new technologies
most effectively while also being cost-effective.
 This will give the company a competitive advantage and give employees the time
and ease to learn new technology, thus solving a crucial challenge of HRM.

Solutions to HRM Challenges

The business landscape is continually changing, creating new challenges for HRM.
Remote working, technological advancements, and competitive labor markets have
made it difficult for managers to develop and maintain an organization's human capital.

 Issues of employee retention, talent acquisition, and employee well-being have

increased the Challenges of HRM.
 However, these challenges can be addressed through the strategic use of
training, counseling, coaching, and planning.
 Specifically, to achieve their respective organizational goals of 2023, the HR
managers must gear up to implement these strategies and overcome the
Challenges of HRM
 This means that any challenges affecting HR can impact the hiring,
onboarding, training, career development, and performance
management of employees. As such, some of the key benefits of
addressing and overcoming HR challenges include: A better chance of
acquiring top talent.
Besides talent acquisition challenges, HR departments struggle to keep their workforce
engaged and maximize productivity. You see, as your business grows, you will also alter its
structure, work plan, and even internal processes. Getting your workers to adapt to this change
require effective communication.

Human resource (HR) challenges can affect an organization in many ways,

including:
 Employee retention
If employees are disengaged or don't see a clear path for advancement, they may
leave the organization. This can impact the organization's ability to survive and remain
competitive.
 Compensation
Compensation is a key responsibility for HR and is directly connected to the
company's finances and performance. It can also be a source of dispute between
employees and employers.
 Compliance
Failing to comply with employment laws and regulations can result in fines and
damage to the organization's reputation.
 Training and development
As the number of skills required for jobs increases, HR can work with others to identify
skills gaps and help employees develop the skills they need.
 Change management
HR managers often cite change management as a key challenge, as it involves
managing change across all levels within a company.
 Onboarding remote employees
When managers can't physically interact with new employees, it can be challenging to
ensure their well-being and track their progress.
 What are the roles of HR managers in an organization?
Their work involves overseeing employee relations, securing regulatory compliance,
and administering employee-related services such as payroll, training, and benefits.
They supervise the department's specialists and support staff and make sure that tasks
are completed accurately and on time
What are the five main roles of HR?
There are five typical HR functions: talent management, compensation and benefits,
training and development, compliance, and worker safety. The different areas of HR
have a lot of crossover between different HR duties and other departments
What is the primary function of HR Manager?
Primarily, these include: Talent Acquisition and Management: A pivotal function, HR
managers oversee the recruitment, hiring, and retention of talent. This involves sourcing
candidates, conducting interviews, and implementing strategies to keep the workforce
engaged and motivated.

Here are some of the current and emerging trends in the workplace:
 Hybrid work
This model is no longer a trend, but a new standard for the modern
workplace. Companies should create a supportive and inclusive environment for
employees.
 Diversity and inclusion
Companies are striving to build more diverse teams, both as a social responsibility
and to improve team collaboration.
 Artificial intelligence (AI)
AI is transforming how businesses operate, automating routine tasks and providing
insights for decision-making.
 Employee engagement
Ensuring employee satisfaction can help solve problems like lack of productivity,
burnout, conflicts, and communication.
 Greater focus on skills
Businesses are realizing that their staff's skills are a competitive advantage.
 Focus on soft skills
 Soft skills are becoming increasingly important, with 93% of hiring leaders stating that
they are essential or very important.

 Emphasize employee happiness

Measuring employee happiness and improving satisfaction can help companies keep
their talent.
 Work-life balance
Emphasizing the importance of work-life balance can increase employee performance
HRM is employee management with an emphasis on employees as
assets of the business. In this context, employees are sometimes
referred to as human capital. As with other business assets, the goal
is to make effective use of employees, reducing risk and maximizing
return on investment (ROI).
What is the context of human resources in the workplace?
Human resources (HR) is a department in a workplace that focuses on a company's
most important asset—its employees—to ensure they're satisfied, engaged and have all
the resources they require to perform as expected
What is the context and role of strategic HRM?
Strategic HRM, or 'people strategy', is about creating a coherent framework for
employees to be hired, managed and developed to support an organisation's long-term
goals.

What is organizational context in HRM?

Organizational context is another communication variable that influences the content
and presentation of both internal and external communications. Organizations—or any
group of people working together—may be flat or hierarchical in structure; informal or
formal in image; and small, medium, or large in size.