MGBBT2HRM Human Resource Management
MGBBT2HRM Human Resource Management
Introduction
The dynamic and essential element of modern organisational structures is human resource management (HRM), critical in creating workforce strategies and coordinating them with overarching corporate goals. Recruitment, training, performance management, and employee relations are just a few tasks that makeup HRM. These tasks are combined to maximise human capital and propel organisational success. HRM intersects organisational culture, personnel development, and strategic planning in the complex web of company functions. Its mutually beneficial relationships with other company divisions, including marketing, operations, and finance, highlight its importance in influencing and assisting with important decision-making processes. HRM becomes a strategic partner in navigating the challenges of the contemporary business world by ensuring that an organization’s most precious asset, its people are prepared, motivated, and strategically aligned.
This essay aims to critically explore the multifaceted dimensions of HRM, delving into its functions, models, and approaches. It will elucidate the evolving role of HRM in contemporary organizations, particularly in the context of 21st-century challenges and opportunities. Additionally, the essay will scrutinize the impact of HRM on crucial aspects such as recruitment, selection, induction, and the broader strategic imperatives of talent and career management. Through a lens focused on the tourism industry, practical examples and relevant concepts will be applied to illuminate the essay’s discussions, showcasing the practical implications of effective HRM in this dynamic sector.
HRM function in organisations
Organisations depend on Human Resource Management (HRM) to function effectively since it is the key to coordinating human resources with organisational objectives. As coined by Mothafar et al. (2022), strategic workforce planning, employee relations, performance management, training and development, and recruitment are just a few of the many operations that fall under the broad category of HRM services. Because it entails finding and luring talent that aligns with an organization’s goals and values, recruitment stands out as a crucial HR activity. For example, in the tourism sector, a hotel looking to improve its customer service would prefer to employ people with experience in hospitality. Organisations may increase productivity and achieve success through effective recruitment by placing the appropriate people in the right jobs. In the words of Andrlić et al. (2022), another essential component of HRM is training and development, particularly in sectors like tourism, where high-quality client interactions are crucial. HR specialists in this field may create training courses to improve staff members’ ability to provide excellent customer service, their capacity to adjust to cultural differences and their familiarity with nearby landmarks. Such programmes raise industry standards for overall service quality and enhance individual performance.
Within HRM, performance management entails establishing goals, keeping track of workers’ advancement, and giving feedback. This can be demonstrated in the tourism industry by grading tour guides according to guest reviews and ratings. As stated by Oliveira et al. (2021), by ensuring that performance reviews are impartial, open, and connected to company goals, the HR department promotes a continuous improvement culture. Encouraging employee relationships and involvement is essential to preserving an optimistic company culture. Human resource management (HRM) is essential for maintaining employee morale and immediately addressing complaints in the tourism industry, as seasonal changes and high-demand periods are prevalent. Companies might use flexible scheduling or incentive schemes to maintain staff motivation during busy periods. As opined by Rakowska and de Juana-Espinosa (2021), strategic workforce planning is one area of HRM that is changing and becoming more popular in the twenty-first century. HR professionals need to plan for future skill requirements in the tourist business since the sector is impacted by globalisation and technological improvements. For example, HR may concentrate on helping staff members acquire digital literacy skills to adjust to shifting customer preferences as digital platforms change travel reservations.
The changing nature of the business environment emphasises the value of HRM in 21st-century organisations. The HR department is critical in assisting businesses in addressing remote work trends, diversity and inclusion, and the growing focus on employee well-being. The tourist sector faces various issues, such as accommodating various consumer demographics, providing multilingual staff, and tending to the mental well-being of employees who frequently operate in high-stress settings. As coined by Peccei and Van De Voorde (2019), HR has a growing role in modern organisations that extends beyond basic administrative duties. HR specialists are becoming increasingly viewed as strategic partners supporting long-term planning and organisational decision-making. This could entail using data analytics or working with marketing teams to coordinate recruitment efforts with advertising campaigns in the tourism sector. Hence, it can be said that HRM services significantly impact performance, culture, and strategic results, making them essential to an organization’s success in the twenty-first century. The tourist sector offers a wealth of examples of how HRM principles are applied in real-world settings, demonstrating how good HR practices improve consumer experiences and overall business resilience in a world that is changing quickly.
Different approaches to understanding HRM and the link between HRM and organisation performance
Investigating different models, ideas, and frameworks that clarify the intricate connection between organisational performance and human resource practises is necessary to comprehend human resource management. As stated by Jewell et al. (2022), the Harvard Framework is a well-known paradigm that delineates four domains of HR policy: work systems, employee influence, reward systems, and human capital flows. This approach emphasises the alignment of these policies with organisational strategy. The Harvard Framework can be used to demonstrate the relationship between HRM and organisational success in the context of the tourism sector. For example, a hotel chain looking to set itself apart by providing great customer service may implement a reward programme that honours and provides incentives to staff members who consistently receive favourable customer feedback. This aligns with the main objective of improving the client experience and demonstrating the useful application of HRM theories in the tourism sector. As mentioned by Gerhart and Feng (2021), the Resource-Based View (RBV), which asserts that human resources are a source of competitive advantage, is another well-known concept. This might show up in the tourism industry as knowledgeable and driven staff members delivering a distinctive and excellent client experience.
For instance, a travel agency’s unique capability that strengthens its competitive position may be its staff’s capacity to customise trip packages. This is made possible by their knowledgeable and customer-focused personnel. A strategy known as the High-Performance function System (HPWS) places emphasis on several HR procedures that function in concert to enhance organisational performance. In the words of Dorta-Afonso et al. (2021), an HPWS in the tourism sector can include extensive training courses, rewards based on success, and a positive work atmosphere. This all-encompassing strategy guarantees that staff members have the ability and drive to provide outstanding customer service, enhancing organisational performance. The relationship between HRM and organisational success has changed in the twenty-first century due to shifting external circumstances. The significance of taking social and environmental concerns into account when designing HR practices is recognised by the Sustainable HRM paradigm. Sustainability is becoming increasingly important in tourism as more and more tourists look for environmentally and socially conscious accommodations. As coined by Ribeiro et al. (2022), HRM procedures, including training courses on eco-friendly travel, support both the overall objectives of society and the environment as well as the performance of the company.
The modern method known as Strategic Human Resource Management (SHRM) places a strong emphasis on the alignment of organisational strategy with HR practices. SHRM has become essential in the tourism industry since market trends and consumer tastes change quickly. For example, for a cruise company to enter new markets, HR procedures should align with the skills and cultural competencies required to cater to diverse customer bases. Recognising how different HR practices are interconnected and affect key performance indicators is crucial in critically analysing the relationship between HRM and organisational performance. For example, client satisfaction and loyalty are directly correlated with staff engagement and satisfaction in the travel and tourism sector. As opined by Chathoth et al. (2020), delivering memorable and great client experiences is more likely to come from a content and motivated workforce, which influences repeat business and overall organisational performance. Further illuminating the concrete results of excellent HR practices are real-world examples from the travel and tourism sector, such as case studies of successful HRM implementations in hotels, airlines, or travel agencies.
These illustrations show how implementing particular HRM models and theories supports healthy workplace cultures, helps organisations achieve their objectives, and eventually improves performance in the cutthroat tourism industry.
How HRM function can manage employee recruitment?
In Human Resource Management (HRM), recruitment is the systematic process of drawing in, locating, and choosing competent candidates to occupy open jobs within a company. As stated by Tomlinson and Anderson (2021), aligning potential candidates’ qualifications with job needs based on their experiences, qualifications, and other relevant factors is a crucial HR role. There are usually multiple steps involved in the hiring process. A clear requirement for a new hire must first be established, after which a thorough job description and specification must be written. After that, this data is utilised to create hiring materials like job ads. The company next sources people through a variety of methods. Next, it screens applications, conducts interviews, and ultimately chooses and hires the best applicant.
Types of recruitment methods
Internal recruitment:
Benefits: Since internal hiring allows current employees to advance their careers, it encourages employee loyalty and morale. Using pre-existing talent pools also saves time and money (Butson et al. 2023).
Cons: There may be gaps in the specialised skill needs due to internal recruitment and a disadvantage to the limited range of viewpoints and skill sets.
External recruitment:
Benefits: Hiring outside candidates opens up new horizons and a wider range of skill sets. It makes it possible for businesses to access a larger talent pool.
Cons: It can be expensive and time-consuming, with advertising fees and possible relocation expenses for new personnel.
Online recruitment:
Benefits: Reaching a larger audience through online platforms makes it simpler to draw in a varied pool of applicants (Goger et al. 2022). Additionally, it simplifies the selection and application processes.
Cons: Companies may face more competition for top talent due to the sheer volume of online applications, making the screening process difficult.
Advising and Networking:
Benefits: Using employee referrals and professional networks can help find individuals who fit in with the company’s culture. It frequently leads to a hiring procedure that is quicker and more effective.
Cons: Dependency on networks can result in a lack of diversity and perhaps partiality throughout the hiring process.
In the travel and tourist industry, hiring well is essential to providing outstanding customer service (Khan et al. 2020). Luxury hotels, for example, can favour hiring managers from the inside to ensure that people who are already familiar with the brand culture and service standards have an opportunity to progress. On the other hand, when a tour operator wants to offer more, it could need to hire outsiders to bring in people with different viewpoints and knowledge of new places to visit. Online job boards and platforms like LinkedIn serve a worldwide talent pool in the tourism sector and online recruitment is widely used (Ashraf and Ani, 2022). For example, cruise lines frequently use Internet recruiting to identify applicants with particular linguistic or cultural competencies to improve the overall client experience. In the tourist industry, where recommendations and personal ties can attest to a person’s adaptability and interpersonal skills, networking and referrals are especially important. Employee recommendations may be a key component of boutique travel businesses’ ability to retain a close-knit group of workers who can provide individualised, superior services. Thus, it can be concluded that managing staff recruiting in HRM entails carefully weighing a variety of approaches, each of which has benefits and drawbacks. By customising these strategies to the specific requirements of the tourist sector, businesses may draw in people who have the right abilities and get with the industry’s fast-paced, customer-focused nature.
How HRM function can manage employee selection and induction?
Selection is one of the most important components of employee resource management in HRM. It entails the systematic process of assessing and selecting the best applicants from a pool of candidates to occupy particular job posts inside a company. As stated by Hora (2020), a successful hiring process guarantees that candidates have the necessary training and experience and fit in with the organization’s culture and values. The hiring decision is the last step in the multi-stage selection process, starting with the preliminary application screening. Crucial phases encompass examining resumes, holding interviews, evaluating skills, verifying references, and potentially administering psychological or personality tests. The objective is to compile thorough data so that judgments regarding candidates’ suitability for the company can be made with knowledge.
Different types of selection methods
| Selection methods | Advantages | Disadvantages |
| Interview | As coined by Tomlinson and Anderson (2021), direct communication during an interview enables evaluations of a candidate’s capacity for articulating experiences and qualifications, cultural fit, and communication skills. | Evaluation subjectivity and bias potential can be problems. It also depends on how well the applicant can function under pressure. |
| Skills assessments | Realistic tests, like work-related assignments or role-playing exercises, offer concrete proof of a candidate’s skills (Besic et al. 2019). | Creating fair and pertinent exams for various professions can be difficult, and some candidates may find it stressful. |
| Reference checks | Speaking with a candidate’s prior employers or colleagues might shed light on their performance, dependability, and work ethic. | Not all references are impartial, and private concerns may cause certain material to be hidden. |
| Psychological or personality assessments | These evaluations provide information on a candidate’s personality qualities, which aids in predicting how well they would fit into the team and company. | As coined by Villegas et al. (2019), careful handling of ethical issues and the possibility of stereotypes based on personality tests are necessary to minimise the negative effects. |
Table 1: Different types of selection methods (Source: Self-developed)
Integrating new hires into the company and giving them the tools, resources, and assistance they need to contribute well to the team is called staff induction or onboarding. Effective induction is essential in the tourism sector, where quality of service and client relations are critical. As opined by Tuzovic and Kabadayi (2021), staff induction makes sure that new personnel comprehends and upholds the organization’s values and service standards, which are crucial in the tourist industry since organisational culture directly affects the guest experience. Tourism induction programmes frequently concentrate on customer service training, giving new hires the tools they need to live up to the high standards of service set by the sector.
Teamwork is common in the tourism industry, and a well-organized induction procedure makes it easier for new hires to integrate into existing teams, encouraging cooperation and a healthy work atmosphere. As mentioned by Tanjung (2020), during induction, it is important to communicate clearly to help employees understand their roles, duties, and expectations. This reduces confusion and improves job satisfaction. The hiring process is crucial in the tourist sector since frontline staff members directly impact visitors’ experiences. For example, hotels may employ a mix of skills evaluations and interviews to ensure that front desk employees are highly skilled communicators and can effectively manage complicated check-in situations. Organisations may guarantee that they draw in the best candidates and successfully integrate new hires by implementing various hiring practices and strong onboarding initiatives. This will position them for long-term success in a cutthroat and customer-focused industry.
Human resource planning, performance management, talent management, and career management
Human resource planning
The methodical process of Human Resource Planning (HRP) aims to match an organization’s strategic objectives with its present and future demands for human resources. As suggested by Snell and Morris (2019), it entails estimating the supply and demand for talent, filling in any gaps, and making sure that the appropriate individuals with the appropriate talents are accessible when they’re needed. HRP is essential to the smooth operation of organisations because it enables them to foresee changes, address personnel shortages, and adjust to changing market needs. HRP ensures that HR plans align with the overarching organisational strategies, promoting alignment between business objectives and worker capabilities. HRP lowers the risk of losing important personnel by enabling proactive steps like training and development by identifying possible skill shortages. As suggested by Puhovichova and Jankelova (2020), effective HRP assists in maximising personnel levels and preventing understaffing or overstaffing, which can be expensive and disruptive. Effective human resource planning (HRP) enables businesses to modify personnel numbers to correspond with variations in demand, particularly in sectors like tourism, where seasonality can affect labour requirements.
Performance management
In order to maximise both human and organisational performance, performance management is a comprehensive strategy that includes defining expectations, tracking advancement, giving feedback, and attending to development requirements. As mentioned by Porter et al. (2020), setting goals, conducting frequent performance evaluations, and ongoing progress are all included. Employees are given measurable, specific goals to work towards, ensuring that their efforts align with the company’s aims. Frequent performance reviews and comments give employees valuable information about their accomplishments, areas for development, and prospects. As opined by Murphy (2020), plans for staff development, determining training needs, and finding chances for career promotion are all included in performance management. High performance is acknowledged and rewarded, encouraging positive behavior and pushing workers to achieve more.
Talent management
The goal of talent management, a strategic HRM process, is to draw in, nurture, and keep top talent so they can make a big impact on the company’s performance. It goes above and beyond standard HR duties by emphasising the development of productive and motivated staff. As coined by Kaliannan et al. (2023), identifying and developing people for important leadership roles is necessary to maintain a talent pool for upcoming organisational demands. funding initiatives that develop workers’ leadership abilities and position them for future leadership positions. promoting employee engagement and cultivating a positive work environment to keep brilliant people on staff and help them reach their full potential. supplying chances for ongoing education to improve workers’ abilities and competencies in line with company objectives.
Career management
Helping staff members plan, develop, and manage their careers within the company is known as career management. It seeks to match the individual’s goals with the company’s requirements, resulting in increased productivity and employee happiness. Offering career routes and advancement possibilities boosts employee satisfaction and lowers turnover. As stated by Ali et al. (2019), career management helps improve overall organisational effectiveness by ensuring that workers’ abilities align with changing job requirements. Effective career development programmes can support succession planning by providing a pool of capable internal candidates for important positions. In the dynamic tourism sector, where job demands can shift quickly, efficient career planning helps staff members adjust to new positions and duties.
Hence it can be said that Strategic HRM includes essential elements of talent management, career management, performance management, and human resource planning. When executed in a coordinated manner, these procedures help organisations succeed by ensuring workforce capabilities match strategic goals, maximising individual and group performance, attracting and retaining top personnel, and encouraging ongoing growth and flexibility.
Employment relations, employee engagement, basic principles of employment law, employee rights at work and why organisations should appropriately manage them
Employment relations
The dynamics and exchanges between employers and employees are referred to as employment relations, and they include things like dialogue, bargaining, and handling conflicts. As stated by Alzoubi et al. (2021), in the tourist sector, where customer satisfaction is paramount, constructive work relationships are essential to cultivating a cooperative and customer-focused workforce. Good lines of communication guarantee that workers are aware of their responsibilities and expectations, which promotes harmony at work.
Employee engagement
Workers’ emotional passion and commitment to their jobs and the company is known as employee engagement. In the words of Ghlichlee and Bayat (2021), employee engagement is positively correlated with providing great service in the tourist sector, where client interactions are crucial. For example, a hotel with enthusiastic employees is more likely to foster a friendly and upbeat environment, which will improve the entire experience for visitors.
Basic principles of employment law
The legal framework governing the relationship between employers and employees is established by employment law. As opined by Robina-Ramírez et al. (2021), respecting employment laws is essential in the tourism sector to prevent legal problems that could harm a company’s brand. To guarantee that hotel employees, tour guides, and other tourism workers are treated fairly and have their rights upheld, compliance with fair labour practices is essential.
Employee rights at work
The protections under the umbrella of employee rights include the freedom from discrimination, the right to a safe workplace, and fair compensation. As stated by Sano (2021), encouraging an inclusive and courteous work environment is contingent upon protecting employees’ rights, particularly in the tourist sector where staff frequently engage with diverse customers. For example, compliance with anti-discrimination rules guarantees equitable treatment for all employees, irrespective of their background.
Importance of managing employee rights
It’s critical to manage employee rights appropriately for several reasons. First, it builds a foundation of trust between employers and workers, boosting morale and increasing job satisfaction. Second, Monteiro et al. (2020) opined that following employment regulations improves an organization’s image and makes it a desirable employer and business partner in the tourism industry, where reputation is everything. Thirdly, proactive management of employee rights reduces legal risks, averting possible litigation and the reputational harm they cause.
Concept of learning, e-learning, knowledge management, staff retention and their impact on organisational performance
Learning and E-Learning
Ongoing education is crucial in the quick-paced tourist sector. As mentioned by Posner et al. (2022), upskilling personnel requires a combination of new e-learning platforms and traditional learning approaches. For example, a hotel staff member who uses e-learning modules for language instruction may converse with foreign visitors more efficiently. Learning programmes increase staff competency, which directly impacts the calibre of services rendered and, as a result, the organization’s performance.
Knowledge management
Knowledge management plays a crucial role in the tourism industry as staff members engage with a wide range of consumer requirements and preferences. As mentioned by Zhao et al. (2021), staff members can obtain and use pertinent information with the use of knowledge repositories and sharing platforms. When a travel agency uses knowledge management systems, for example, it guarantees that agents have instant access to destination information, which improves their capacity to customise recommendations and raise customer satisfaction.
Staff retention
It is strategically critical to retain qualified workers in the cutthroat tourism industry. A high turnover rate might impair service quality and cause an institutional knowledge loss. As stated by Rodríguez-Sánchez et al. (2020), employers that make growth opportunities, employee development, and attractive work environments a priority increase employee retention. Suppose a tour company provides opportunities for professional progression. In that case, it can attract and retain competent guides, which can have a favourable impact on the firm’s success by ensuring consistent quality of service.
Impact on organisational performance
In the tourism business, e-learning, worker retention, knowledge management, and learning initiatives greatly impact organisational performance. Business outcomes are directly impacted by the relationship between customer satisfaction and competent, well-trained, and engaged personnel. For example, a resort with a highly qualified and content staff generates favourable internet evaluations, which draws in more business and improves the company’s overall performance in a cutthroat industry.
Conclusion
Human Resource Management (HRM) is critical to the success of organisations in the twenty-first century, especially in fast-paced industries like tourism. Recruiting, training, and performance management are important to match organisational objectives with human capital. HRM’s crucial significance is highlighted by its progression from administrative duties to strategic partnerships. HRM strategies are guided by the Resource-Based View and the Harvard Framework, which emphasise the importance of compelling policies. In the quickly changing tourism sector, strategic human resource management, or SHRM, united HR procedures with organisational strategy. Improved customer experiences, staff resilience, and cultural flexibility are all impacted by effective HRM practises. Organisational competitiveness depends on having trained and motivated personnel, which is ensured by talent management, career development, and succession planning. In addition, addressing employee engagement, employment relations, and legal compliance promotes positive workplace cultures, which are critical for employee satisfaction and legal risk reduction. These HRM factors directly impact customer experiences, which affects organisational reputation and performance in the tourist sector, where service quality is of the utmost importance. In conclusion, HRM’s strategic embrace is necessary for the 21st-century organisational landscape to manage obstacles, maximise human capital, and promote long-term success. This is especially true in the customer-centric and quickly changing tourism industry.
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