Essays on Measurement of Impacts of SHRM in Organisations Literature review

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The paper "Measurement of Impacts of SHRM in Organisations" is a great example of a literature review on management. The nature of business in the past decade has undergone fundamental changes. These changes have mandated incorporation of value-added contributions, new and more powerful, from organizations’ human resource people. The changes have been brought about by several factors, some of which are related to technological innovation; others to good information, transporting capital, social, political, and regulatory environments. The businesses have, by and large, crossed the border at ease and the competition that has ensued has resulted in greater competitiveness and demand among shareholders, consumers, and human resources.

The direct aftermath of this trend has been a mounting pressure on organizations to be more productive, agile, faster, and quality-driven. In the service sector, the thrust has shifted to the deliverance of better service and yet be profitable. The focus, thus, has shifted to flawless utilization of people working in these organizations at different levels, who form the cornerstones of either pre-empting or responding to all these demands. To gain a deeper insight into this direction, the University of Michigan conducted the first of its kind Human Resource Competency Study in 2002.

By far, dubbed as one of the largest such studies, it involved 27,000 human resource professionals drawn from 241 companies working in diverse segments and including 7,100 respondents. The companies that were roped into this study belonged to large, small, and medium sizes of which 10 percent were from Europe, 12 percent from Asia, and 36 percent from Latin America. This study gave clear indicators of the impacts human resource competency has on an organization.

Besides the four major domains that led to the progress of the organizations, a strategic contribution was found to be centrally-aligned to the rest, which included business knowledge, personal credibility, human resource delivery, and human resource technology. The results indicated that organizations that outshined others had human resource professionals working at the strategic level, main features of which included managing culture, execute strategic decisions, create connectivity that is market-driven, and facilitate change which is fast. Strategic human resource management is largely dependent on these four factors, and the impact of the strategic contribution alone is around 43 percent of total human resource impact on an organization's business performance.  

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