This Human resource Development Assignment Help is short paper assignment, provides environmental scanning to identify, analyze, and communicate trends or issues of relevance to HRD
Human resource is a group of individual who forms up the workforce of a business and human resource management is a function that is designed to enhance the performance of an employee in support to the strategic goal of the employer. It is concerned with the management of the employee within an competitive organization. It also focuses on the policies and other activities including employee recruitment, training and education, performance appraisal, and rewarding. HR helps an organization to maintain employment relationship and regulates the internal organization practices that arise from government laws. Human resource is a result of human relation movement that was started in early 20th century. Initially the function was designed for transnational work but due to globalization on human resource was involved in talent management, industrial relationship and other important activities.
Human resource management consists of a part that deals with the training and development of the employee in order to increase the growth rate of an organization (Schneider, 1988). When an employee is hired at first, human resource development provides training to him, and opens the opportunities to an individual so as to learn new skills, distributing resources that are important for the employee to complete his objective and all other activities that could help in the overall development of an employee. Apart from training and development of an employee human resource development focuses on the role that an employee is likely to hold in future and progresses that role.
The report here will focus to identify, analyze, and communicate trends and issues with human resource development. The special focus of this report will be on one of the important question that whether to invest in your own workforce or outsourcing is a better option. The report will end in recommending the possible actions that human resource development can take in order to deal with the trends and issues.
Human Resource Development
Growth of an organization is directly linked with the growth of the workforce. The need of human resource development is to increase the efficiency of the employees, promotes better communication and develops mutual cooperation (Werner, 2011). Human resource development manager encourage the employees to self analyze themselves and develop their existing talents. HRD provides ample opportunities to enhance their performance which will further help the organization to grow. All these features of human resource development give rise to some issue in an organization. The issue could be personality clash, disputes between employees or conflict between employee and management. This paper will focus on all these issues relevant to Human resource development.
One of the key issues which human resource development has to tackle with is changing skill requirement. In order to keep a competitive edge on the opponents it is important for an organization that it should have highly skilled and quality employees. Recruiting an employee and developing his skills is very important for a company especially when the company is concerned about the productivity, growth, profit and its performance in the global trade market. In this era of globalization an organization should posses a quality management team which could manage the diverse workforce efficiently. Deficiency of skilled employees results in the significant loss in terms of low productivity, poor quality of deliverables and customer complaints. Due to globalization the number of job is increasing and more importantly the quality of delivery that a customer requires cannot be compromised. In this condition an organization requires more education and training should be given to its employees and some highly skilled new recruits are required.
Now the question arises; should a company invest in its own workforce, to train them and increase their efficiency; because there is a simple solution of outsourcing available. It is witnessed that outsourcing is a latest style of doing business. Outsourcing is a process where a company hires the employees of some third party vendor for a short time period, in order to perform a defined task (Lacity, 1993). The employees of other company are professional in the task, for which they are hired. This way an organization does not need to hire any permanent new employee and there is no need of providing extra training to its employee to perform the same task. Also some of the reason of the popularity of this practice are, first of all the amount paid by the organization to another organization, in order to complete the task is much less that what the organization has to spend in the training of its employee selection or hiring some new employees. This is the case when the organization is hiring a company of some other country where the wage per day is far less that their own country. A suitable example for this would be, many of the companies in US that are outsourcing the jobs to the countries like China and India. Reason being, the job outsourced would be finished in lot less expense than what they have to pay in US for the same job. Secondly, the job is outsourced to an organization having the employees who are proficient in their work. This way the delivery would be a quality one. Also, training the employees of its own organization for the job could be given but a quality output is not ensured. Hence, outsourcing has become a safe and cost efficient choice of many organizations.
Outsourcing may be considered an issue relevant to HRD though it is a cost efficient process of achieving the objective and helps an organization to grow. One of the main jobs of human resource development is to maintain the employment relation. It has been witnessed that outsourcing severely impacts the employees of an organization. Outsourcing regardless of being a successful practice for an organization to grow, can have profound impact on the morale of an employee which could certainly leads to a negative relationship between the employees and the management or organization. A literature review was conducted in order to discover the relationships between aspects of outsourcing and the employee workplace attitude and commitment. The outcome of the research was that outsourcing may have an impact on employee morale and commitment (Cooke, 2005). When an organization decides to outsource a job, it affects employees in such way that employees consider that the organization does not have faith in their capability and this leads to a loss of trust in employees towards the organization. The role of human resource development here is to help employees to keep trust in the organization. The employee as a result of outsourcing often becomes judgmental about their capabilities and caliber. The employee doubts the right of employment relationship and his commitment to the organization. Outsourcing a job to a third party develops a state of mind where employee feels that he is not considered as a viable resource in the organization and often this thinking of the employees leads to an end of membership of the employee in the organization. In this case, the issue arises in human resource department that what procedure should be applied in order to develop a belief in the employees that their commitment towards the organization is not at doubt (Gilley, 2000). Moreover, how to stop an employee from leaving the company, who have decided to separate himself from the organization on the grounds of mistrust and non-recognition of his capabilities? An efficient and effective procedure and smart decision is required here from human resource department.
Another issue faced by human resource department in concern with outsourcing is that the development of the employees is ceased. Most of the important jobs are outsourced to the professionals and hence the employee of the company who were supposed be trained for the job are left untrained. The process of outsourcing may have ensured a better quality of delivery but it has impacted the development of skill of the employees within the organization. The part time employees are handling all the important work and making use of the technologies that were supposed to be utilized to train the employee of the organization in order to increase their efficiency. The regular employees are provided with simple and supplementary work. The opportunity of attending important training and session are provided to non-regular or part time employees so that they can utilize their enhanced technical ability and skills. Human resource department is responsible to train and develop the employees of their organization so that they can be ready for the future challenges and opportunities. It is the job of human resource department to discover the weak point of employees and work to suppress the weakness to a maximum extent so that the performance and efficiency of employees could be uplifted and the organization could grow. But outsourcing has resulted in the distribution of the supplementary work to the regular employee and important work to the third party. Searching the strengths and weakness in employees becomes difficult because supplementary work is not the base on which the employee could be efficiently evaluated. Moreover, the technologies and all other important tools of training and improving skill are utilized by the third party. This has become a major concern to the human resource department.
Due to outsourcing, human resource department is not able to execute a continuous improvement program. This is a program build to provide better quality and service to the customer. In order to improve productivity company focuses on the employees to involve in the matter affecting the customer (Davenport, 1993). Human resource department prepares the individual for the change. Unfortunately outsourcing has taken back the control of productivity and best quality service and placed it in the hands of third party. Quality of delivery is completely in the hands of the part time professionals of the third party. The employees of the organization are not involved in the productive work rather they are assigned with simple and supplementary tasks thereby ceasing the attempt to introduce continuous improvement program. Another issue with outsourcing is that the third party employees are not managed by the hiring organization. The third part is not driven by the standards and objectives that are followed by the hiring organization. The only objective of the third party is to make a profit from the services that they are providing to other organizations. Also the factor that keeps an organization running is the information. Outsourcing a company involves transfer of information in order to complete the job. Data could be anything such as employee personal records, customer or client records etc. Outsourcing a company involves the threat to security and confidentiality. In certain circumstances third-party is brought in, where information can become a liability (CTICES, 2001). Maintaining organizational standards to preventing data and company’s confidentiality is the duty of human resource department which could be tampered in case of outsourcing.
There is one other problem with outsourcing that HRD has to deal with, which is employee relationship. Some may not see it as an issue. When the work is going on within an organization, the in-house employees interact well among themselves as they know one another well. Outsourcing demands from in-house employees that they must get accustomed with different employees and contractors from other organization and with the method of their work (Belcourt, 2006). The employee relationship within an organization can solidify but bringing outsider can cause a fluctuation.
Overcoming this problem and developing a framework for driving success has been the motive of human resource department. In order to overcome these issues, the human resource department is recommended to come up with a solution to handle the loss of morale and employee relationship due to outsourcing. One of the techniques that could be applicable here is to conduct a friendly session with the in-house and the third party employees so as to develop a friendly environment and open link of communication theory between them. A session like this helps the employees to get to know each other and communicate freely which is good for business too. Another thing is the employees should be made aware of their role in an organization so that they could understand that outsourcing is merely a procedure to increase productivity and business. And it is not adopted because of the reason such as organization does considered their employee efficient or it do not trust its employees. In order to deal with this the organization and HRD individuals should encourage the participation of the in-house employees in the outsourced work. HRD should allow the sharing of useful information about the work with the in-house too so that they do not consider themselves to be neglected. Apart from that in-house employees should be appreciated for their effort and they should be recognized and rewarded for their work. This helps to boost the morale of the employees and enhances their commitment to the organization.
Another issue which is of utmost consideration is the security and confidentiality of the organizational information. Information is a valuable asset to any organization. Information breach or information leak can uproot a company from the market. So the confidentiality and security of information is something that cannot be compromised at any cost. For example, a business outsources a foreign company to upgrade the current technology. In order to implement this information need to be provided to the outsourcing company. The information includes their customer personal information, supplier information and information of their other clients. Here the information can become a liability. In order to deal with this issue human resource development need to come in mutual term with the outsourcing company that the information security will not be compromised. A proper agreement should be set up mentioning strict clauses on the confidentiality of the information that is provided. This agreement should be duly signed by the leaders on the outsourcing enterprise and from that point on-wards the outsourcing company will be responsible for any breach in the information security at their end. The consequences of compromising with the confidentiality of the information should be mentioned in the agreement. This is how human resource department can deal with the information security and confidentiality.
The report highlights the issue that occurs in an organization especially in human resource development because of outsourcing. The report focuses on the some important concerns such as employee relations, information security and confidentiality, employee development. It also describes the difficulties that human resource development has to face when the in-house employee suffers a decline in morale. Human resource development deals with all these issues in order to maintain the employment relationship and works to fill up the communication gap in an organization. The report proposed some recommendation in order to deal with the issues relevant to outsourcing. HRD is recommended to conduct some friendly session between the in-house employees and the third party employees to decrease the communication gap between the two. Also, there is a need to formulate the mutual agreement between the organization and the outsourcing company in relation to information security and confidentiality. The report demands the necessity, to invest in human resource department. It could be concluded that outsourcing is the latest style of doing business which promotes growth of an organization and hence cannot be neglected. But the HRD should also work to minimize the negative impact of outsourcing on the in-house employees.
Belcourt, Monica, 2006. “Outsourcing—The benefits and the risks.” Human resource management review 16.2: 269-279.
Cooke, F. L., Shen, J., & McBride, A., 2005. Outsourcing HR as a competitive strategy? A literature review and an assessment of implications. Human Resource Management, 44(4), 413-432.
CTICES, S. (2001). The effects of outsourcing on information security.
Davenport, T. H., 1993. Need radical innovation and continuous improvement? Integrate process reengineering and TQM. Strategy & Leadership, 21(3), 6-12.
Gilley, K. M., & Rasheed, A., 2000. Making more by doing less: an analysis of outsourcing and its effects on firm performance. Journal of management, 26(4), 763-790.
Lacity, M. C., & Hirschheim, R. A., 1993. Information Systems Outsourcing; Myths, Metaphors, and Realities. John Wiley & Sons, Inc..