Requirement & Selection in Shaping Organizational Culture:

Organizational culture is a company's values, beliefs, and behaviors. It's the unwritten rules of
"how things are done around here." HRM practices, especially in recruitment and selection, serve
as the architects of this culture.

Google is an excellent Example of This. It is one of the largest powerful tech powerhouses
nowadays but to get in that position, it also stands out for its business model. When it comes to
the recruiting process, Google is not as interested in technical excellence as they are in locating
individuals who complement their culture of innovation, collaboration, and quirkiness. There
was no coincidence about this; instead, it was a choice. In this sense, it shares how their staff
could work together to create a work atmosphere built on their fundamental values.

In the same way, Southwest Airlines is known for its unique company culture that’s focused
around its employees. They don’t only have a challenging and elaborate hiring process, though:
they are seeking people who are truly passionate about helping others and open to collaboration.
Thus, their company culture cultivates a sense of appreciation among employees, which
eventually results in incredible customer service, and this is what makes Southwest one of the
most competitive companies in the airline industry.

Compensation in Shaping Organizational Culture:

Shaping an organization's culture goes beyond the surface-level aspects of mission statements
and office décor and one of the key pillars of this cultural shaping is compensation planning.

In terms of compensation. Think about Starbucks, it’s not only about coffee, but the experience
we get in the store. High wages, that includes health benefits, and generously high bonuses to
everyone make employees feel that they are an important part of the company which motivates
them to perform well and give the best service possible. Thus, fair compensation leads to a
positive culture at Starbucks.
Requirement & Selection in Fostering Employee Engagement:

Employ engagement is the heartbeat of a successful business. It is defined as the willingness of

employees to be emotionally affiliated to their jobs, their teams, and their company’s success.
HRM practices, especially those concerning compensation and benefits, are the most critical
instruments at a firm’s disposal for promoting work engagement.

Consider Costco, a successful retailer whose payrolls have been hailed for their reasonable terms
of employment and continue to be in a business where many are still struggling to survive on low
incomes. Not all of Costco’s compensation and benefits can be paid equally, but it does provide
some of the highest retail pay and benefits. It is not only grounded in kindness but also ensures
that its employees feel recognized, revered, and, whether desirable or treated fairly. That
employers take additional care of employees has resulted in factory workers’ satisfaction with
the job and near-zero turnover.

Compensation in Fostering Employee Engagement:

The concept of employee engagement is directly related to opportunities for growth and learning.
Even such giants as IBM recognize that engaged employees are those who perceive their future
within the company. Thus, they extensively concentrate on the implementation of various
training and development initiatives, allowing workers to learn and grow in order to make
meaningful changes. This desire does not only revolve around professional development, but
also a sense of community and meaning. Engaged workers are those who are inclined to become
an employer’s brand ambassadors, encourage innovation and drive it for better outcomes.

Requirement & Selection Driving Sustainable Competitive Advantage:

Sustainability competitive advantage is the most critical aspect of HRM’s strategic relevance. It
is not enough just to deliver the best or most services or goods; the best individuals could also
accomplish any job by a substandard one. Amazon’s good fortune in e-commerce has not been
entirely attributable to the enormous range of items accessible on its website. On the other hand,
the organizational culture of amazon is reliant on very cultural-specific management procedures
and strong leadership visions. Such HRM strategies put human resources into the middle of the
strategic view, and such a move makes the distinction in a demanding market.

Compensation in Driving Sustainable Competitive Advantage:

Compensation also plays a key role in achieving competitive advantage. Amazon has proved that
by offering competitive accepted salaries and benefits to the employer that is not only attract and
motivate employees and relishes. The company also offers stock options. It motivates the
employee to participate in the company in terms of ownership that allows aligning employee
success with the organizational success.

Similarly, Salesforce Inc. holds “Ohana” culture, which creates large family atmosphere to
cherish the community. Its demands include plausible time off plans for volunteer works and
good legacy strategies. It makes the employer attract the best worker workforce.

Critical Analysis of "Requirements & Selection" and Compensation:

Critical analysis of HRM techniques such as "Requirements & Selection" and Compensation
indicates their significant impact on organizational success. "Requirements & Selection" serves
as an entry point to organizational culture. A faulty selection procedure can have profound
consequences. Consider the cautionary tale of Enron, where aggressive hiring procedures
favored ambition over honesty. This cultural imbalance eventually led to Enron's devastating
downfall. It emphasizes the need of matching recruitment techniques to the organization's
values and goals.

Similarly, compensation strategies involve a careful balancing act. Walmart's history of criticism
for low salaries is the best example. While cost effectiveness is important, so is employee
satisfaction. Walmart's troubles with demonstrations and unfavorable press demonstrate the
dangers of putting cost savings ahead of fair compensation. A disgruntled workforce has an
impact not only on internal morale, but also on customer relations and public impression,
impacting the company's competitiveness.