Human Resource Management (HRM) Future Challenges
The main challenges for Human Resource Management (HRM) are employing people, training them, compensating them, developing policies related to the workplace, and developing strategies to retain employees. The main responsibilities of HRM managers are, Staffing, Establishment of policies, compensation and benefits, retention, training, employment law, and worker protection. In addition to being related to aspects of human resource management (HRM) managers should be aware of the future challenges, which can affect their employees and organizations. These are the following future challenges for the Human Resource Management (HRM) department, which are,
The biggest challenge for most of the business owners is cost management and maintaining cost. a major factor in the success or failure of business is to cut cost, when the economy is not doing well. Consider the expenses that any business people include Health Benefits, Training costs, Cost of hiring process and Too many others costs. These costs cut the bottom line of any business. The trick is to find out how much or how often benefits should be offered without sacrificing employee motivation. A company can cut costs by not offering benefits or plans, but if its goal is to hire the best people, then a hiring package without these items is definitely not the best people will get. Therefore, control of costs is a balancing act. The HR manager should provide as much as possible to attract and retain employees, but not offer too much, as this can put pressure on the company's bottom line. reduce the benefits given to cut costs Make changes to the plan or better negotiate to reduce health care costs. use three strategies to cut the cost of health care, another way to include costs in training, Training staff and management how to work within the law to reducing legal risk, 85 percent of managers say ineffective communication is the reason for lost revenue. E-mail, instant messaging, text messages, and meetings are all examples of communication in business. An understanding of communication styles, personality styles and means of communication can help us to be more effective in our communication, resulting in cost reduction. Human resource management (HRM), can have the tools to better communicate to reduce the costs and dollar savings in doing so. Of course, cost control is not just for human resource management (HRM) managers, but all organizations look at different ways of incorporating costs management, human resources can certainly provide solutions.
Technology is the major future challenge for human resources management (HRM), because everyday new technology is developing and obsolete old technology. Through the use of technology, many companies have virtual workforce that serves from almost all corners of the world. When employees are not located just down the hall, managing these human resources poses some unique challenges. technology requires multicultural or diversity understanding. Since many people will work with individuals around the world, the use of technology results in increased productivity rather than a decrease in productivity due to cultural sensitivity and understanding misunderstandings. Technology also creates a workforce that hopes to be mobile. Due to the ability to work from home or elsewhere, many employees may request and even demand a flexible schedule to meet their own family and personal needs. Productivity can be a concern for all managers in the field of fulltime, and another challenge is the fairness of other workers when an individual is offered a flexible schedule. However, many companies are going a step further and creating virtual organizations, that do not have physical space, cost control and allow all employees to work from home or from a location of their choice. As you can imagine, this creates concern over productivity and communication within the organization. The use of smartphones and social networking has affected human resources, as many companies now disseminate information to employees through these methods, Of course technology is constantly changing, so the methods used today will probably vary even after a year or six months from now. The different types of databases available to perform human resource (HR) tasks are a hallucination of the mind. The advanced technology is used to track employee data, compensation and training. Databases are also available to track recruitment and tracking processes.
Tough economic times in business are usually the result of hard times for human resource management (HRM). Because human resource management department has the issue of High unemployment and layoffs. If human resource (HR) manager works for a unionized company, union contracts are a guiding source when downsizing occurs due to a difficult economy. Human resource management (HRM) is at the forefront of the manager's mind, when he has to keep people due to a bad economy. Dealing with performance issues and measuring performance can be considered, when it is necessary to keep employees In a development economy, a human resource management (HRM) manager may experience a different type of stress. Hiring extensively to meet demand.
Human resource management (HRM) should be aware that the workforce is constantly changing. It is expected that in the next ten years, more than 40 percent of the workforce will retire, and there will not be enough young workers to fill up the gap of the retired workforce. the American Society of Training and Development concerns that, in the next twenty coming years, seventy six million Americans will retire, and only forty six million will replace them. As you can imagine, this would create a unique staffing barrier for human resources management managers, as they try to find talented people in a pool that does not have enough people to do the necessary work. Apart from the labor shortage, another challenge is the multicultural workforce. Employees have the ages difference of seventeen and sixty eight have different values and different expectations of their jobs. For human resource management (HRM) managers, there will be big challenge for trying to manage these workers from different generations. Even compensation preferences differ between generations.