Human resource management can have an impact on all managers in an organization.

Human
resource managers' decisions affect all other managers in the company, including the finance
manager. The finance manager will be impacted by the human resource management's choice to
hire an employee since he or she will need to allocate cash for recruitment, selection, orientation,
training, and retaining personnel. The HR manager must also pick personnel who will carry out
operational goals effectively and efficiently, which will have an impact on the operations manager.
All business actions made by managers will have an impact on all other managers.

External factors
These are factors from outside an organization that directly influences HRM process. these
external factors are outside of the control of organization. These influences include the social and
cultural, technological, economic, and political and legal environments.

Social & Cultural Environment

The social and cultural environment in which an organization deals has a significant impact on
human resource management (HRM). Work ethic, attitude toward work, and employee
motivations are all aspects of the cultural and social environment. For example, monetary
rewards may be highly appreciated in some cultures, whilst a stronger work-life balance may be
valued in others. Human resource management must examine these cultural elements and match
motivators accordingly. Direct financial remuneration in the form of large salary may suffice if
money is king. A generous vacation and paid leave package, on the other hand, may be more
motivating if work-life balance is more important.

The social and ethical ideas of a society on the role of business in society will also influence how
HRM operates. For example, child labor was formerly not deemed unethical. It is now not only
unethical, but it is also unlawful.

Technology
Human resource management experts may face both opportunities and problems as a result of
technological advancements. New technology may necessitate HRM specialists, such as Marcy,
hiring new employees who are proficient in the new technologies. If current employees' abilities
are no longer relevant to organizational needs, they may need to be retrained or released. Even
minor changes such as a new version of a word processing application or a new digital copier
may necessitate HR-sponsored training.

Economic Environment
Economic conditions are a big external element that is largely outside the control of HRM but can
have a significant impact on the firm. Recessions, economic booms, and the overall rate of inflation
all have an impact on consumer demand, which in turn has an impact on labor requirements. The
unemployment rate is another significant economic aspect that influences the market rate for wages
and salaries.

Globalization has a significant impact on human resource management. It fosters a more

competitive climate that necessitates increased productivity and more efficient staff. This means
Marcy and her department must do all possible to choose and develop personnel in order to
increase production.