1.0 IntroductionHuman Resource management is an important part of an organisation owing to the fact that it has become a prevailing methodology to people management. Perhaps, the best way to understand the importance of Human Resource Management for an organization is by first defining it. According to Schuler & MacMillan (1984), Human Resource Management can be defined as the policies, practices and systems that can have effects on the behaviour, attitude and performance of the employees. Human Resource Management comprises of three components including; formal policies having direct impact on development of certain practices, specific human resource practices and primary human resource practices specifying values of organization’s policies and practices (Schuler & Jackson, 1995, p. 238).
The contextual understanding Human Resource management can be achieved by considering these three components and how they are influenced by some factors within and outside the organization. The shift towards technology is as a result of competition and the need to deliver quality services. Technological innovations and inclusions have resulted to the changing landscape of human resource. Needless to say, the roles of human resource managers have been decreased by technological innovations.
Technological advancements such as internet have decreased the human resource role in maintaining records and offering self-service to employees (Greengard, 1998, p. 61). It is for this reason that the human resource of past years cannot be compared to the current human resource management. However, even though there has been an intensifying technological dependence, the role of individuals in an organization cannot be evaded. Technology itself on the other hand is one of the challenges to managers today. It has led to unemployment due to the reduction in the roles of managers. Despite technological advancements, the role of human resource management and organizational behaviour theories still come into practice in the any managerial position.
The most common set of theories in practice are the motivational theories. Motivation is an important aspect in management. Managers apply these theories in solving the challenge of management of human relations in organizations. 2.1 Best Practices and Organizational Culture in Relation to Human Resource ManagementEmployees are the most important resource for any organization. A human resource manager should therefore try to create a balance between the welfare of the employees and goals of the organization.
This is due to the fact that labour force is important in the achievement of organizational goals and objectives. The relationship between the performance in an organization and human resource management customs have been investigated extensively by a number of authors. For example, Marchington & Grugulis (2000, p. 1105) looked into the idea of appropriate practices in human resource management that can lead to better performance in an organization. Most of them disagreed with this general conclusion of this concept.
They regard the idea of ‘Best Practices’ as biased and that it is quite difficult to establish their relationship from past literature of the same subject. Boxall & Purcell (2000) points out the fact that there have been considerable discussions within literature arguing against the presence of a link between human resource practices and performance of an organization. It is for this reason that several studies on the relationship between organizational culture and performance have come into sight. However some of them such as Chan, Shaffer & Snape (2004, p. 18) do agree with the analysis of Marchington and Grugulis that there is direct link between organizational performance and human resource practices.
Their analyses are based on data collected from managers and other human resource practitioners. Various research studies have been conducted on organizational culture and its impacts on an organization. These research studies have shown that organizational culture has a great impact on the productivity of a firm. Organizational culture can impact the ability to accomplish a firm’s plans and attain the strategic goals (Chan, Shaffer & Snape, 2004, p. 23).
On the other hand, Barney (1986) asserts that a firm’s culture can be a basis of sustainable of competitive advantage if it is valuable, rare and imperfectly imitable.