Research And Analysis Of HR Support For Organization Perform

Research and Analysis of HR Support for Organisational Performance

In contemporary organizations, the Human Resources (HR) function plays a pivotal role in supporting and enhancing organizational performance. As businesses navigate the dynamic landscape characterized by technological advancements, globalization, and shifting workforce expectations, HR must continuously evolve to meet these challenges effectively. This paper examines the main objectives of HR, various delivery methods, evaluation criteria for its contribution, and the impact of high-performance work practices on organizational outcomes, supported by relevant contemporary research and literature.

Part 1: Main Objectives of the HR Function and Ethical Management

Fundamentally, the HR function is responsible for facilitating strategic alignment between human capital and organizational goals. Core objectives include talent acquisition and retention, employee development, fostering a positive organizational culture, compliance with employment laws, and ensuring employee well-being. These objectives have historically focused on administrative efficiency, but in modern organizations, they extend to strategic partnership, innovation facilitation, and organizational agility (Ulrich & Dulebohn, 2015).

The evolution of HR objectives mirrors societal changes, such as the increased emphasis on diversity, inclusion, corporate social responsibility, and sustainability. For example, contemporary organizations actively promote diversity and inclusion initiatives to foster innovation and reflect societal values (Joo & Hyun, 2017). Managing HR in a professional, ethical, and just manner remains critical, as it underpins organizational reputation, employee trust, and legal compliance. Ethical HR practices contribute to employee engagement and organizational legitimacy, which collectively influence performance and competitive advantage (Caldwell, 2010).

Part 2: Delivery of HR Objectives and Variance Across Sectors and Size

Organizations adopt diverse methods to deliver HR objectives, with two prominent approaches being strategic HR management and traditional personnel management. Strategic HR management integrates HR activities into the overall business strategy, emphasizing proactive talent management, organizational development, and systems thinking (Lengnick-Hall et al., 2014). Conversely, traditional personnel management tends to focus on administrative functions and compliance (Caldwell, 2010).

The way HR functions differ significantly based on organizational sector and size. For example, large multinational corporations often employ sophisticated HR information systems, centralized policies, and strategic HR units, enabling scalability and consistency (Cascio & Boudreau, 2016). In contrast, small enterprises may rely on informal HR practices, with a limited focus on compliance and a greater emphasis on immediate operational needs. Sector-specific needs further influence HR delivery, such as the hospitality sector emphasizing customer service skills, or tech firms prioritizing innovation and agility (Boxall & Purcell, 2016).

Part 3: Evaluating the HR Function’s Contribution

Evaluating HR's contribution requires a robust set of criteria and measurement tools. The Balanced Scorecard (BSC) is widely adopted, integrating financial, customer, internal process, and learning and growth perspectives to provide a comprehensive performance view (Kaplan & Norton, 1992). Effective HR metrics include turnover rates, absenteeism, training ROI, employee engagement scores, and productivity indices (Brewster et al., 2016). Furthermore, survey tools like pulse surveys and 360-degree feedback provide insights from line managers and employees, fostering a multi-faceted evaluation of HR effectiveness (CIPD, 2019).

For example, linking HR metrics to business outcomes allows organizations to identify areas where HR practices impact performance directly, such as a correlation between high employee engagement scores and customer satisfaction (Harter et al., 2009). Regularly monitoring these metrics ensures that HR initiatives align with strategic objectives and contribute measurable value to the organization.

Part 4: Research Evidence on HR Practices and Organizational Outcomes

Research literature consistently demonstrates a positive relationship between HR practices and organizational performance. For instance, a prominent study by Huselid (1995) found that high-performance HR practices, including selective hiring, extensive training, and incentive compensation, significantly improved organizational performance indicators such as profitability, turnover, and productivity. The evidence presented in such studies tends to be convincing due to rigorous methodologies and large sample sizes, reinforcing the importance of strategic HR management.

High-performance working (HPW) and investment in people are crucial drivers of organizational success. HPW practices—such as participative decision-making, team-based work, and continuous skill development—enhance employee motivation, innovation, and adaptability (Boxall & Purcell, 2016). Investment in people fosters a skilled and committed workforce, which positively influences organizational performance through reduced turnover, increased productivity, and better service delivery (Dilani & Ilie, 2019).

Transferring Knowledge and Future Practice

Applying insights gained from these research findings into working practices entails adopting a strategic approach to HR. This includes implementing evidence-based HR initiatives—such as targeted talent management programs, continuous training, and engaging performance metrics—aligned with organizational goals. Regular benchmarking and ongoing evaluation ensure that HR practices evolve with changing organizational needs, fostering a culture of continuous improvement.

References

  • Caldwell, C. (2010). _Confronting the C’s: Corporate Social Responsibility, Ethicacy, and Moral Courage_. Journal of Business Ethics, 95(2), 175-184.
  • CIPD. (2019). _Measuring HR Effectiveness and Impact_. Chartered Institute of Personnel and Development.
  • Cascio, W. F., & Boudreau, J. W. (2016). _The Search for Global Competencies_. Journal of World Business, 51(1), 103-114.
  • Dilani, A. D., & Ilie, N. (2019). _The Role of Employee Investment in Enhancing Organizational Performance_. Human Resource Management Review, 29(4), 100704.
  • Harter, J. K., Schmidt, F. L., & Hayes, T. L. (2009). _Business-Unit-Level Relationship Between Employee Satisfaction, Employee Engagement, and Business Outcomes: A Meta-Analysis_. Journal of Applied Psychology, 87(2), 268-279.
  • Huselid, M. A. (1995). _The Impact of Human Resource Management Practices on Turnover, Productivity, and Corporate Financial Performance_. Academy of Management Journal, 38(3), 635-672.
  • Joo, B. K., & Hyun, S. (2017). _Diversity and Inclusion Strategies in Organizations: A Review_. Journal of Business Ethics, 144(2), 351-362.
  • Kaplan, R. S., & Norton, D. P. (1992). _The Balanced Scorecard: Measures That Drive Performance_. Harvard Business Review, 70(1), 71-79.
  • Lengnick-Hall, C. A., Lengnick-Hall, M. L., Andrade, L. S., & Drake, B. (2014). _Strategic Human Resource Management: The Evolution of a Concept_. Human Resource Management Review, 24(4), 310-319.
  • Ulrich, D., & Dulebohn, J. H. (2015). _Are We There Yet? What's Next for HR?._ Human Resource Management, 54(2), 1-16.