In today’s competitive world with many goals and desires to be achieved, the concept of Human Resource Management (HRM) work hand in hand with all the aspects involved in an organisation. The duties of HRM not only focuses on keeping record on salaries of employees, however on the next level the legal components on employing an individual, abiding to the
laws imposed by the government provides various insights to the team. HRM is the vital means by which the authority and power of the leader is widely scattered within the organisation. Usually, HRM of an organisation has a clear glance on what is happening with the leaders and managers of the company.
This report will focus on the activities associated with HRM such as how they implement and execute policies related to
recruitment of right candidates and the following basis and also on the employment law to enhance advantage of competitiveness in the organisation.
Contents
Introduction
Importance of HRM Policies
Management Theories
Procedures for Successful Management…
Employment Laws….
Functions of Employment Laws
Conclusion
References….
Introduction
In today’s competitive world with many goals and desires to be achieved, the concept of Human Resource Management (HRM) work hand in hand with all the aspects involved in an organisation. The duties of HRM not only focuses on keeping record on salaries of employees, however on the next level the legal components on employing an individual, abiding to the laws imposed by the government provides various insights to the team. HRM is the vital means by which the authority and power of the leader is widely scattered within the organisation (Branson, et al., 2018). Usually, HRM of an organisation has a clear glance on what is happening with the leaders and managers of the company. This report will focus on the activities associated with HRM such as how they implement and execute policies related to recruitment of right candidates and the following basis and also on the employment law to enhance advantage of competitiveness in the organisation.
Importance of HRM Policies
The importance of HRM policies tend to support the strategic role in organisations to achieve better results. According to Armstrong (2012), the policies of HRM determine the approaches, aspirations and worth of the business entity with respect to how individuals are handled, and continue to assist as a benchmark for the growth of organisational abilities and for actions made by people, moreover leading to similar treatment among individuals. Pfeffer (1998) highlighted the significance of acquiring advantage of competitiveness by the means of employees and also indicated the value of various practices of human resource to procure this advantage. Thorpe (1991) mentions that the view of competitiveness is regularly getting modified and have been in the state of expecting new patterns of competitiveness which demand organisational capacities in return that will make the companies to serve the consumers with utmost standards.
HRM shall also not be exiled to a conventional assisting responsibility any longer, however alternatively needs to establish necessary proficiency in achieving the organisational objectives, considering that human resources have great value and represent an origin of competitive advantage (Rozzett et al., 2012). On the basis of strategic HRM, practices and policies can be collectively enhanced and generate a robust effect on organisational goals (Morris & Snell, 2010). Management theories by great scholars have been in the list since the adaption of management in an organisation was formed.
Management Theories
A company always implements more than one theory for its management as the roles of each department vary depending on the criteria and circumstance to be met. Choosing the right combination of theories for a particular business entity is challenging as angles such as how old the theory is having to be sought out before implementing the theory in the company. This report will be mentioning few theories and reviewing one vital theory which will be of use in the current market for growth. Generally, theories of management are classified into three, namely classical, behavioural and modern. According to Elkins (2019) the classical management theory directly focuses on improving productivity and mass production, while behavioural theory focuses more on considering the workplace as a social environment and has some considerations towards the employees and the final classification that is modern theory focuses on new innovative ideas and methods.
Under these classifications of theories, there are sub categories in which many theories work. Scientific management, behavioural science and systems theory are some of theories that come under each of the above-mentioned main theories. Systems theory is a cross sectoral theory concerning about every system in the fraternity and in several academic fields as well as a structure which can be used to examine the phenomena from an integrated approach. (Capra, 1997) . The systems theory sights the management as an interconnected element of the business entity, through which the management encourages the targets and goals that makeup the base structure of the organisation (Elkins, 2019). Uysal (2012) discovered robust, stable and substantial relationships between the major HRM policies for instance, training, staffing, performance evaluation etcetera. Successful management requires the HRM team to deliver excellence in recruiting and selecting individuals as it becomes an investment in the company.
Procedures for Successful Management
Barney (1991) proposes that, for any resource to meet the requirements for stable competitive advantage, the resource needs to provide benefits to the company with some uniqueness with matchless qualities so that it is not changed in the future. To acquire the talent and shortlist the job aspirants, the job description and other information needs to be clearly mentioned so that in return the organisation will gain aspirants with the right expertise and aptitudes. The job analysis by the HRM makes the recruits to think on whether to apply for the job unless the description matches their criteria (Dakin & Smith, 1995). According to Devanna (1995) mentions that there are four generic functions of HRM, they are appraisal, selection, rewards and development that operate as an entry parameter, in a revolution of the intrusions caused by the HR department. Assessing and analysing the achievement and efficiency of employees provides tough parameters for the managers as there are several elements to be evaluated critically in order for a perfect assessment. The following element will discuss about the importance of employment laws.
Employment Laws
According to the Global Competitiveness report in 2015-16, Singapore ranks 3rd position as the labour laws in the nation are fair, efficient and business-friendly. Employment laws are generally passed by the government of each country so that both the employer and employee abide to the terms and conditions posed by the law. According to a survey which was executed by the (CIPD, 2002), it was found that two-thirds of the HR professionals affirmed to devote in surplus of 20% of their time handling the issues related to employment laws, and also during a quarter it was noted that over 40% of their work days were spent this way. Contracts of employment are no different from other contracts and require the four essential ingredients: offer, acceptance, consideration and intention to create legal relations.
Every nation around the world has mandated an intricate structure of laws and regulations planned to safeguard the concerns of employees / workers and to help guarantee a minimum standard of living for its population (Botero & Shleifer et al., 2004).While the modern employment relationship appears to be dominated by legislation is still very much underpinned by the law of contract and those charged with the implementation and enforcement of legislative remedies, such as unfair dismissal, frequently have regard to the terms agreed between the parties, particularly where a dispute might be resolved or helped to be resolved by reference to what was specifically agreed amongst the parties (Moffatt, 2011). The next component to be focused is some of the employment laws that are implemented in Singapore.
Functions of Employment Laws
The functions and other components will discuss about the employment laws and acts in Singapore. Most employment contracts include several important clauses such as: appointment position, duration of contract, remuneration package, termination etcetera. The Employment Act of 1968 is Singapore’s primary labour legislation which governs the relations between the employer and the employees in an organisation (Start Up Decision, 2019). The main purpose of the Act is to maintain good employment standards and safeguard working conditions for the employees. The connection between the employer and employee in Singapore is governed predominantly by means of contract between them and usually parties are free to contract as they choose subject to complying with the employment act. The Singapore Employment Act does not apply to all employees, instead it applies only to “employees” as defined under the Act. Especially, the Employment Act does not apply to the following categories of employees: an individual who serves as a manager or executive, this is because the employee will have direct interaction and authority in the process of recruitment, termination, higher job promotion, rewards of other employees in the business entity, or he/she may have the duties like looking after the management for better running of the business (GMSH). Also, lawyers, dentists, accountants, doctors are not covered under the act as they tend to be professionals carrying out a service with specialised skills (GMSH).
Employees receiving remunerations below than SGD 2,000 per month are supported with supplemental protection, with respect to “hours of work, overtime, sick and annual leave, rest day, retirement benefits” under Part IV of the Act of Employment (GMSH). Work hours and overtime are governed under the Singapore Employment Act only for employees who earn below than SGD 2,000 per month and employees who get covered under the Employment Act of Singapore are not allowed to work more than 44 hours per week (GMSH). Comprehensive of over time work, employees should not work in excess of 12 hours per day except under certain conditions, comprising but not limited to an actual or threatened accident, work that is important to security services or the national defence force of the nation, or unpredictable scenarios which drives to work being discontinued (GMSH).
For employees who earn monthly salaries of SGD 2,000 and above, the work time is chosen and implemented by mutual understanding and mentioned in the contract, and the usual work hours is 9am to 6pm or 7pm from Monday to Friday (GMSH). The public holidays in Singapore add up to ten or twelve depending on the various cultures present, however all the workers and employees are provided with benefits of holidays. For an employee to get benefitted from the annual leave, he/she must have served for a minimum of 3 months in the company, following the usual slab in Singapore the annual leave for an employee is around 14 days. When these laws are not followed by the employees, it means that the contract has been breached by violating the laws mentioned in the contract. In such cases, termination occurs without prior notice. For employees who do not get covered under the act, the employer an employee signs a mutual contract with the termination period.
Conclusion
To conclude with, this report has clearly indicated the roles of HRM and other managerial staffs in the process of selecting, recruiting the right individuals along with providing the rewards for their performance and contribution to the company. The policies and procedures explain how HRM tend to be a factor of increase in competitive advantage of a business entity. It describes on how individuals are handled once they form a part of the company. Management theories by scholars provide great insights of how more than one theory is used for organization’s betterment based on the industry. Successful management techniques and ideas add more value to the team of HRM as they wholesomely work very close with the departments of the company when implementing these techniques. Employment laws of a country has to be followed by both the employer and employee and the need of contract between two parties is essential as to avoid any misconceptions in the future. Breaching the terms and conditions in the agreement by either party may lead to breaching of the contract and viable to penalties or disciplinary action if its an employee. Providing the right benefits as agreed in the agreement and serving for the organisation without violating the laws enriches the relationship between the two parties.
References
and Debates in NZ” Edited by Peter Boxall, Chapter 5, p 112-149.
and Debates in NZ” Edited by Peter Boxall, Chapter 5, p 112-149.
Armstrong, M. (2012). Armstrong’s handbook of human resource management practice (11th ed.). London: Kogan Page.
Barney, J. (1991) “Firm Resources and Sustained Competitive Advantage” Journal of Management, Vol. 17, No 1, pp99-120.
Botero, J. C., Shleifer, A., Djankov, S., Porta La, R. (2004) The Regulation of Labour.
Branson, C. M., Marra, M., Franken, M. and Penney, D. (2018) Leadership in Higher Education from a Transrelational Perspective. United Kingdom: Bloomsbury Publishing Plc.
Capra, F. 1997. The web of life. New York: Doubleday-Anchor Book.
Dakin, S. & Smith, M. (1995) “Reward Systems”. “The Challenge of HRM Directions and Debates in NZ”.
Dakin, S. & Smith, M.,1995, “Reward systems” ”,The Challenge of HRM Directions
Dakin, S. & Smith, M.,1995, “Reward systems” ”,The Challenge of HRM Directions
Devanna, M. A., Fombrun, C. J., & Tichy, N. M. (1995). Strategic human resource management. New York: John Wiley and Sons.
Guide Me Singapore Hawksford. Guide to Singapore Employment Act. https://www.guidemesingapore.com/business-guides/managing-business/hr-management/guide-to-singapore-employment-act
Elkins, H. (2019) Management theories and concepts at the workplace. https://smallbusiness.chron.com/management-theories-concepts-workplace-17693.html
Moffatt, J. (2011) Employment Law. 3rd ed. New York: Oxford University Press Inc.
Morris, S., & Snell, S. (2010). The evolution of HR strategy: adaptations to increasing global complexity. In A. Wilkinson, N. Bacon, T. Redman, S. Snell (Eds.), The SAGE handbook of human resource management (pp. 84-99). London: Sage.
Pfeffer J. The Human Equation: Building Profits by Putting People First. Boston, MA: Harvard Business Press; 1998. [Google Scholar]
Rozzett, K., Nunes, I., Neiva, E. R. and Demo, G. (2012) Human Resources Management Policies and Practices Scale (HRMPPS): Exploratory and Confirmatory Factor Analysis. Brazilian administration review. pp.395-420. http://www.anpad.org.br/bar.
Start Up Decisions. 2019 Singapore Employment Act.
Uysal, G. (2012). For the development of effective HRM systems: inter-relationships between HRM practices using correlation analysis. World Review of Entrepreneurship, Management and Sustainable Development, 8(1), 1-12. doi: 10.1504/WREMSD.2012.044483.
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