Introduction In many years, human resource management has been considered to be a key resource for nay organization. People need to be managed in a satisfactorily way in order to benefit the organization in terms of production. Human resource puts emphasis on the need to manage this key resource to achieve the company objectives. The process of managing people is the function of the human resource function. This is because it has the expertise that is required to implement the best employee management policies and practices (Watson, 1997). The objective of this essay is to critically evaluate the functions of the human resource manager in managing people in working towards achieving the company objectives.
The essay will also consider discussing some of the important human resource management models like the Havard Model of HRM and the Scientific Management School. The purpose of assessing these models is to determine some of the best practices that would be implemented by the human resource function. Background This particular case provides a scenario of a Limited Liability type of company (LLC). The law regulating the formation of the LLC requires that the entity must be formed by two or more individuals.
Before the LLC is allowed to operate it must meet all the state laws that govern its formation. However, very important to note is that the laws that govern the formation of this kind of entity differ from one state to the other. In many occasions the LLC are formed in order to offer the interested investors with the opportunity to access the Flow-through taxes unlike the case of the partnerships (Collin and Watts, 1996).
The case of the partnership entities, the profits or losses generated flow back to the individual partners. But this is not the case with the LLC, whereby the profits or losses generated are absorbed back into the business. This allows continuous expansion of the business through establishment of new ventures and developing the already existing opportunities (Dessler, 2003). Unlike the partnerships, the LLCs are subject to different form of tax as provided by the Internal Revenue Code. According to the investors, this is seen as a double taxation from their side.
This is because after the tax has been paid from the revenue generated from the business investments, they also have to pay their taxes individually. Based on the human resource management issues, the LLC operates differently from the partnerships. It is purely the responsibility of the investors to determine who to employ and someone who can help the business achieve its goals and objectives. According to Analoui (2002), the director has an upper hand in deciding how the company will recruit its staff. However, according to (Watson, 1997) the model presents both risks and benefits for the business.
The company operates under simple organization structures where specific responsibilities are charged directly to the respective function. The managers are directly responsible to the Managing Director. The diagram below represents the company organizational structure. Diagram 1: Organizational structure for the company The company model The company provided by this model is flexible. This is because under the flexible model, the company is able to adjust its policies at any time to meet the prevailing demands. This case has been demonstrated by the company’s decision to source for its employees from the local community.
The problem with this decision, it is not easy to determine whether the company was going to get the right numbers of the employees they want from the local community. The risk with model is that the company may assume the role of diversification and expanding its catchment area in order to get the right people who have the skills that company’s looking for as illustrated by Beardwell and Claydon (2007)