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HR Challenges Introduction

Human Resource Management used to be considered as other conventional administrative jobs. But over a period of time, it has evolved as a strategic function to improve working environment, plan out human resources needs and strike a balance between the organization and employers in order to increase organizational productivity and meet organizational goals. ot to e!aggerate but in today"s highly competitive world it has gradually become one of the most important functions of an organization. #t is really a huge challenge to understand the psychology of workforce, retain the best talents of the industry, motivate them to perform better and handle diversity while maintaining unity simultaneously, especially in countries like #ndia, where it is still evolving. $lobalization has resulted in many positive developments but it has left many concerns for HR managers. #n today"s tough world and tight job market, coordinating a multicultural or diverse workforce is a real challenge for HR department. Human resource managers are on their toes to strike a balance between employer and employees keeping in mind the recent trends in the market. %hey may find themselves in dire conse&uences if they are not able to handle the human resource challenges efficiently. %o remain in business, human resource managers need to efficiently address following human resource challenges: '. Identifying poor performers ( )onstant monitoring and evaluation is mandatory in identifying any acute talent shortages or decreased productivity. *nhanced training procedures, counseling and introducing high performance work systems are some of the factors that might help in talent management. Eg+( $,- . /#/ 0/erformance #mprovement /lan1 aims at encouraging improvement 2 supporting the individual to enable him3her to achieve the re&uired standard of performance 4. Synergy with other departments . 5ynergistic approach with other internal departments paves way for the win(win situation. /oor coordination not only hinders with the work flow but also decreases the performance rate. evertheless, this needs a lot of attention to detail and commitment. *ach move should be taken carefully and

e!tra cautiously. *g+(co ordination between sales and delivery dept, #n #B co ordination . material procured from other countries. M ) is supplying the prdct in th host country or in other other country by procuring it from the6rd country the problem becomes difficult. 6. Government policies/La or laws . #n some instances, stringent $overnment policies might interfere with the overall turnover and profit making. 7n the other hand, company"s policies and practices have to be in strict accordance with the labor laws giving no room for any litigation. *mployees are aware of the fact that 89ppearing employee friendly" is different from actually being so. Hence, e!ercising #ntegrity and accountability as admissible is vital. *g+( gratuity :. !utsourcing HR "ctivities . %he toughest challenge for any Human Resource ;epartment is the need to constantly reassure their importance with respect to the other departments. 7utsourcing HR activities is a better option to reduce cost and time in most instances. But, to bring forth such an e!ternal influence involves a lot of risk factors that might dilute and compromise &uality. *g+( ### <. $ealing with "ttrition . -eeping track on attrition rate is important in striking a balance between the depleting e!perienced hands and topping up of fresh talents. 5ome local competitors might as well go to the e!tent of indulging in constant poaching of skilled employees. %alent loss due to attrition will certainly have a conspicuous negative impact fiscally. #dentifying the causes and keeping attrition to the minimum would be the best option. #n #ndia unmarried women contribute considerably to attrition as they leave the job once they are married. Hence, some sort of diversity in the recruitment process is worth considering. *g+( Rewards and recognition% I# companies %o control the attrition rate, innovative techni&ues of rewards2 recognition are practiced in the organization to build the employees momentum to continue working in the firm for long. e&g& # %*= %R>* B=>* /9R% *R 9?9R; ( @or ABeing a solid partner to the businessB

6CD ;*$R** 9?9R;( #s something given out to individuals for effective stakeholder management R7==# $ B9%3R7%9%# $ @=9$( %o commend employees who have added value to the business and this bat 3 flag is rotated on a &uarterly basis e.g. RM5# /R#,9%* =#M#%*; %H9 - E7>F 7%*5 %7 5/7>5*5 ( ;ubbed as $old 5tars and this is one of the most high profile rewards within the company => )H ;9%* ?#%H ;#,#5#7 H*9;5 ( Heads of respective divisions delight the best performing teams by taking them out for lunch C. !rgani'ational $evelopment . 7rganizational restructuring making use of strong leadership and team building strategies would do wonders in developing an innovative organizational design. /erformance culture would become a part and parcel of such business. *g+(

G. (anaging glo ali'ation: #t is important for an HR Manager to study people management practices before implementing new practices which are global in nature. #t has become a challenge for the HR to educate its workforce on how globalization can be leveraged and how an individual employee benefits or is affected by it. #nstead of thrusting new practices upon them, it is ideal to study the e!isting practices which are in place. *g+( ) the culture of the firm keep ourselves updated with the global market n fit with

H. $eveloping leadership s*ills: #t is not just about knowledge, e!perience and e!pertise it is also about developing the right soft skills to give shape to the future leaders. 5ince the global economic and industrial scenario is very volatile and dynamic, what is re&uired now is a skill set in the workforce which distinguishes them as team leaders. *g+( +Coaching% mentoring 7rganizing training 2 development programs customize it for employees according to their needs after the /erformance 9ppraisals 0specifically1

I. (anaging change: )hange management is the call of the day with big organizations integrating 5i! 5igma methodologies in their businesses. )hange management defines the response of the business to the changing e!ternal and internal environment. %he industrial growth scenario in #ndia demands that there should be change brought about within all factions of the industry. But there are internal and e!ternal forces which resist the change. #t is a huge challenge to influence the resisting forces with the organization, manage internal conflicts, motivate them to embrace change and implement the changes. *g+( MarutiManesar /lant 'D. $eveloping wor* ethics: ?ith back to back slumps in the global economy, #ndia has not remained unscathed. *mployee morals and loyalty are being tested in a business"s day to the day functioning. #t has become very important to re(instill cultural values, loyalty, respect for the weak and elderly, and infuse &ualities like empathy, charity, austerity, team spirits, ethics and bonding in the workforce. *g+( $odrej 5uccessful Merger ''. Retaining #alent: Ees, this is one of the major challenges which HRM faces today. /oaching and cut(throat competition has given an impetus to high remuneration to the deserving. /eople have gained e!posure and their yearning to rise is sees them changing loyalty and organizations very fre&uently. %his is especially observed in the #% and #%*5 sector. %o manage low attrition rates and retain talent has become a mammoth hurdle which all organizations want to cross in order to reach their goals. *g+( #nnovative techni&ues of Rewards to employees. )onstant feedback from employees . allow them to voice their opinions. 7pen door policy '4. (anaging fast changing technological trends: Most large and medium scale organizations today prefer to be technologically oriented. %he technological trends in today"s global scenario are fast changing. *ducating the human resource about these changes, upgrading their knowledge and motivating them to learn, absorb and come out of their comfort zones is a great challenge faced by many organizations. '6. $eveloping "ccounta ility: ?ith the advent of 5i! 5igma methodologies, organizations have lowered their tolerance levels for mistakes, errors and delays. #t is a challenge which HRM in #ndia is facing like its global counterparts. #t is not easy to train people to shoulder responsibility.

':. (anaging wor*force stress and employment relations: HR is the face of an organization. #t hires and fires employees and if the HR of an organization is not emphatic towards its workforce it does not help in employment relations. %his factor is fast becoming a challenge for HRM especially in sectors like hospitality, #% and allied support services, media and entertainment. *g+( *mployee *ngagement in firms is a new trend e.g. "CCE,#-RE +Birthday )elebration of employees, /icnics organized for departments $ames 7rganized for employees in their free time . )hess, )arom, %able tennis '<. (anaging inter)functional conflict: *arlier it was the friction between different levels of an organization and now the new emerging challenge for the HR is to manage inter(functional conflict within an organization. ?ith organizational restructuring becoming common in the past few years, disputes and friction between different functions has been on the rise. *g+( 'C. (anaging wor*place diversity: ?ith globalization and #ndia"s economy changing gears to accelerate growth, organizations hire as well depend on a people from different countries, cultures and ethnicity. %o manage the diverse workforce who have fairly diverse physiological and the psychological influences, is also a huge challenge for the HR in the emerging #ndian economy. *g+( Reliance, Hawkins.