Journal Article

Critical analysis of strategic human resource management theories and their application in contemporary businesses in New Zealand

Title

This article consist the information about the analysis of strategic human resource management theories and their application in contemporary businesses in New Zealand which will be my workplace.

Introduction

Strategic human resource management is determining as a plan for the organization to apply strategies into business for achieving the goals and objectives of company.  It helps to benefit both employees and organization by developing, rewarding, attracting and retaining them toward their work. These changes could decide to proper utilize of resources. As a result, the goals of a human resource department reflect and support the goals of the rest of the organization. Strategic HRM is seen as a partner in organizational success, as opposed to a necessity for legal compliance or compensation. Strategic HRM utilizes the talent and opportunity within the human resources department to make other departments stronger and more effective.

Strategic human resource management theories:

Behavior theory

Contingency theory

Need based theory

Analysis of theories

Behavior theory:

This theory is basically known as a psychology theory which is based on learning on the idea in which all behaviors are taken from conditions. This is occurring during the interaction with the environment. All steps of organisation taken from the actions of stakeholders whether it’s internal or external.

According to this theory changes would be taken by systematic and observable way which regardless of internal states. Basically, only observable behavior should be considered like emotions and moods are far too. Some thought that any person can potentially be trained for perform any type of project and task which can be regardless of genetic background and personality traits that require on their physical capabilities so it only need the right conditioning. (leadership-central.com, 2017)

Contingency theory:

The contingency theory gives importance to leadership behavior. It prominence both the leader’s personality and the situation in which leader lead their team and task. Fiedler and his associates studied leaders in a variety of contexts but mostly in military context and their model is based on their research findings. In this theory leader can apply his own leadership style to lead the organization and make a team for new project and innovation of their organization. Its only depend on the internal and external situation of the organization how leader can take action. This is only a theory that states effective not only on situation it also control on situation how team working what are their outcomes with clear goals and task. The procedures of work and relation of team members also have big effect. If team does not meet these combinations than it cause be failure leadership. Fiedler made scale that is called least preferred co-worker LPC scale it was the first step to identify leadership style by using of model. The contingency leadership model variables framework how leader lead team and the relation with followers. (www.tlu.ee, 2015)

Need based theory:

Abraham Maslow, one of the most famous psychologists of the twentieth century. He created a type of system to rank the needs, illustrated by a pyramid representing that how human needs are ranked. Maslow’s theory is based on the premise that human beings are motivated by needs ranked in order to step wise ranking. Some of these needs are simply or basic which are essential to all human beings. When a basic need is satisfied than begin to seek higher-order needs. A pyramid structure outlined like Hierarchy of Needs. From the bottom Physiological, Safety, Love/belonging, Esteem, and Self-actualization it shows physiological needs as the most essential. According to Maslow’s our physiological needs, such as air, food, and water. Once our physiological needs are satisfied, we become concerned about the safety. Which include our own physical safety and security, as well as our employment to earn more for our future. The next need to fill is social our need to bond with other human beings. The need for love, friendship, and family is considered to be a fundamental human motivation which comes step by step. When we have achieved a sense of belonging, our need for esteem becomes more salient. The highest level of the hierarchy is the need for self-actualization, which refers to Person, can fulfill this need by learning new skills, taking on new challenges, and taking action to pursue their life goals and desires. (open.lib.umn.edu, 2016)

Evaluation:

The development of strategic human resource management theories allows management to do HR practice in a more flexible and effective way. Strategic Human Resource Management which is the result of the evolution has brought to the organisation’s attention. For getting success into business, business strategies involve observing the ability of your employees so that the outcomes can be submitted on time following by the growth of company. Through the strategic planning process, you can make sure that you know the company goals, opportunities and the other competitive and after that hire the staff and get them train to achieve all the requirements of company. There are Seven key strategic human resource practices are identified and used to develop theoretical arguments consistent with each perspective. The results demonstrate that each perspective can be used to structure theoretical arguments that explain significant levels of variation in financial performance.

Conclusion:

To conclude, from this study can summarize that SHRM is one crucial part that contributed to organization performance. The numbers of research have shown that variables used in SHRM study are business strategy, human resource management systems, human resource outcomes, and organizational performance. Many practices are done by strategic human resource management to enhance the performance of company. To manage the human capital in organisation human resources managements are facing various challenges and issues which are identified in article. Moreover, human resource management is coming out with best outcomes from overcoming these barriers and the development of overall internal and external of organisation.

Task 2

Nature of Professional and ethical values and dilemmas  

Research on Human resources management based is to follow the professional and ethical. The principal moral estimation of the HR experts is that they should add to the moral honesty of the association they work in. HR professionals are widely implicated with the responsibilities of new set when its importance increased in HRM. Ethical dilemmas got rise when employment of people in contemporary business that is on the part of HR practice which have largely ignored.  Values and ethics generally originate and could be polished up from the same sources as family, spiritual beliefs, and school. All the Professional values and ethics are the values and extensions which one learns before starting job at the workplace.HR experts must follow each law as it will help them to settle on moral choices for the improvement of the business and the organization (johnson, 2003).

B) Evaluation of findings: