An organization consists of several departments but working together towards the achievement of set objectives. One of the most important departments of an organization is the human resource department. It is mainly charged with the duty of, recruitment, promotions, placement and rewards in an organization. For an organization to maintain operations and increase profit, it has to strategically manage its affairs. This enables an organization to assess its strategies and formulate new ones hence meet the customers’ demands. Since employees implement strategies, they have to be informed of the strategic missions of an organization. Strategic plans by an organization are always aimed at gaining competitive advantage, as such; human resource practices should be aimed at focusing the employees’ attention to the organization’s major strategies (JobsD.com, 2011).
Human Resource as a Competitive Advantage for Organizations
From the recent research, it is evident that the human resources are very essential for the competitiveness of organizations. An organization can define its strategic human resource roadmap by availing framework in which to plot a course to its future. For the achievement of this, an organization has to avail findings for utilization as benchmark for comparison with its assumptions, strategies and directions. The proper analysis of these factors may enable an organization to gain competitive advantage via its human resources in the marketplace. In the business context, the marketplace not only includes goods and services but also a good employer with both potential and existing employees (Thomas Cummings, 1994).
On the other hand for an organization to effectively stimulate dialogue with its employees and develop them professionally, it needs to effectively coordinate the various functions of the department. An organization can achieve this by applying the most effective HR practices among them; reward ceremonies, delight employees with the unexpected, acknowledge sharing, open house discussions and feedback mechanism, highlight performers, performance linked bonuses, fair evaluation system for employees, 360 degree performance management feedback system, safe, healthy and happy workplace and open book management style (Gireesh Sharma, 2010).
The major HR practices are; human resource planning, compensation, appraising, union-management relationships, training and development and staffing. For the attainment of competitive advantage via the department, it has to have in place both strategic thrusts and targets. An organization always has four targets that it can use for competitive advantage. The activities represent the company and both the downstream and upstream activities. The targets are; the company itself, suppliers, distributors and customers. A company can reach either forward or backward and hence shape the HRM practices of other companies. For instance, a company can train its store manager on...