The Challenges of Human Resource Management

IntroductionThe role of the Human Resource Managerquickly conclude that there is no future for them in the
is evolving with the change in competitive marketcompany. As the HR Manager, it is pertinent to show
environment and the realization that Human Resourcerespect for diversity issues and promote clear and
Management must play a more strategic role in thepositive responses to them. He/She must also show a
success of an organization. Organizations that do nothigh level of commitment and be able to resolve issues
put their emphasis on attracting and retaining talentsof workplace diversity in an ethical and responsible
may find themselves in dire consequences, as theirmanner.Control and Measure Results-A HR Manager
competitors may be outplaying them in the strategicmust conduct regular organizational assessments on
employment of their human resources.With theissues like pay, benefits, work environment,
increase in competition, locally or globally, organizationsmanagement and promotional opportunities to assess
must become more adaptable, resilient, agile, andthe progress over the long term. There is also a need
customer-focused to succeed. And within this changeto develop appropriate measuring tools to measure
in environment, the HR professional has to evolve tothe impact of diversity initiatives at the organization
become a strategic partner, an employee sponsor orthrough organization-wide feedback surveys and other
advocate, and a change mentor within the organization.methods. Without proper control and evaluation, some
In order to succeed, HR must be a business drivenof these diversity initiatives may just fizzle out, without
function with a thorough understanding of theresolving any real problems that may surface due to
organization's big picture and be able to influence keyworkplace diversity.Motivational
decisions and policies. In general, the focus of today'sApproachesWorkplace motivation can be defined as
HR Manager is on strategic personnel retention andthe influence that makes us do things to achieve
talents development. HR professionals will be coaches,organizational goals: this is a result of our individual
counselors, mentors, and succession planners to helpneeds being satisfied (or met) so that we are
motivate organization's members and their loyalty. Themotivated to complete organizational tasks effectively.
HR manager will also promote and fight for values,As these needs vary from person to person, an
ethics, beliefs, and spirituality within their organizations,organization must be able to utilize different
especially in the management of workplacemotivational tools to encourage their employees to put
diversity.This paper will highlight on how a HR managerin the required effort and increase productivity for the
can meet the challenges of workplace diversity, howcompany.Why do we need motivated employees?
to motivate employees through gain-sharing andThe answer is survival (Smith, 1994). In our changing
executive information system through proper planning,workplace and competitive market environments,
organizing, leading and controlling their humanmotivated employees and their contributions are the
resources.Workplace DiversityAccording to Thomasnecessary currency for an organization's survival and
(1992), dimensions of workplace diversity include, butsuccess. Motivational factors in an organizational
are not limited to: age, ethnicity, ancestry, gender,context include working environment, job
physical abilities/qualities, race, sexual orientation,characteristics, appropriate organizational reward
educational background, geographic location, income,system and so on.The development of an appropriate
marital status, military experience, religious beliefs,organizational reward system is probably one of the
parental status, and work experience.The Challengesstrongest motivational factors. This can influence both
of Workplace DiversityThe future success of anyjob satisfaction and employee motivation. The reward
organizations relies on the ability to manage a diversesystem affects job satisfaction by making the
body of talent that can bring innovative ideas,employee more comfortable and contented as a result
perspectives and views to their work. The challengeof the rewards received. The reward system
and problems faced of workplace diversity can beinfluences motivation primarily through the perceived
turned into a strategic organizational asset if anvalue of the rewards and their contingency on
organization is able to capitalize on this melting pot ofperformance (Hickins, 1998).To be effective, an
diverse talents. With the mixture of talents of diverseorganizational reward system should be based on
cultural backgrounds, genders, ages and lifestyles, ansound understanding of the motivation of people at
organization can respond to business opportunitieswork. In this paper, I will be touching on the one of the
more rapidly and creatively, especially in the globalmore popular methods of reward systems,
arena (Cox, 1993), which must be one of the importantgain-sharing.Gain-sharing:Gain-sharing programs
organisational goals to be attained. More importantly, ifgenerally refer to incentive plans that involve
the organizational environment does not supportemployees in a common effort to improve
diversity broadly, one risks losing talent toorganizational performance, and are based on the
competitors.This is especially true for multinationalconcept that the resulting incremental economic gains
companies (MNCs) who have operations on a globalare shared among employees and the company.In
scale and employ people of different countries, ethicalmost cases, workers voluntarily participate in
and cultural backgrounds. Thus, a HR manager needsmanagement to accept responsibility for major
to be mindful and may employ a 'Think Global, Actreforms. This type of pay is based on factors directly
Local' approach in most circumstances. The challengeunder a worker's control (i.e., productivity or costs).
of workplace diversity is also prevalent amongstGains are measured and distributions are made
Singapore's Small and Medium Enterprises (SMEs).frequently through a predetermined formula. Because
With a population of only four million people and thethis pay is only implemented when gains are achieved,
nation's strive towards high technology andgain-sharing plans do not adversely affect company
knowledge-based economy; foreign talents are luredcosts (Paulsen, 1991).Managing Gain-sharingIn order for
to share their expertise in these areas. Thus, manya gain-sharing program that meets the minimum
local HR managers have to undergo cultural-basedrequirements for success to be in place, Paulsen (1991)
Human Resource Management training to further theirand Boyett (1988) have suggested a few pointers in
abilities to motivate a group of professional that arethe effective management of a gain-sharing program.
highly qualified but culturally diverse. Furthermore, theThey are as follows:A HR manager must ensure that
HR professional must assure the local professionalsthe people who will be participating in the plan are
that these foreign talents are not a threat to theirinfluencing the performance measured by the
career advancement (Toh, 1993). In many ways, thegain-sharing formula in a significant way by changes in
effectiveness of workplace diversity management istheir day-to-day behavior. The main idea of the gain
dependent on the skilful balancing act of the HRsharing is to motivate members to increase
manager.One of the main reasons for ineffectiveproductivity through their behavioral changes and
workplace diversity management is the predispositionworking attitudes. If the increase in the performance
to pigeonhole employees, placing them in a differentmeasurement was due to external factors, then it
silo based on their diversity profile (Thomas, 1992). Inwould have defeated the purpose of having a
the real world, diversity cannot be easily categorizedgain-sharing program.An effective manager must
and those organizations that respond to humanensure that the gain-sharing targets are challenging but
complexity by leveraging the talents of a broadlegitimate and attainable. In addition, the targets should
workforce will be the most effective in growing theirbe specific and challenging but reasonable and
businesses and their customer base.The Managementjustifiable given the historical performance, the business
of Workplace DiversityIn order to effectively managestrategy and the competitive environment. If the
workplace diversity, Cox (1993) suggests that a HRgain-sharing participants perceive the target as an
Manager needs to change from an ethnocentric viewimpossibility and are not motivated at all, the whole
("our way is the best way") to a culturally relativeprogram will be a disaster.A manager must provide
perspective ("let's take the best of a variety of ways").useful feedback as a guidance to the gain-sharing
This shift in philosophy has to be ingrained in theparticipants concerning how they need to change their
managerial framework of the HR Manager in his/herbehavior(s) to realize gain-sharing payouts The
planning, organizing, leading and controlling offeedback should be frequent, objective and clearly
organizational resources.As suggested by Thomasbased on the members' performance in relation to the
(1992) and Cox (1993), there are several bestgain-sharing target.A manager must have an effective
practices that a HR manager can adopt in ensuringmechanism in place to allow gain-sharing participants to
effective management of workplace diversity in orderinitiate changes in work procedures and methods and
to attain organizational goals. They are:Planning aor requesting new or additional resources such as new
Mentoring Program-One of the best ways to handletechnology to improve performance and realize gains.
workplace diversity issues is through initiating aThough a manager must have a tight control of
Diversity Mentoring Program. This could entail involvingcompany's resources, reasonable and justifiable
different departmental managers in a mentoringrequests for additional resources and/or changes in
program to coach and provide feedback towork methods from gain-sharing participants should be
employees who are different from them. In order forconsidered.Executive Information SystemsExecutive
the program to run successfully, it is wise to provideInformation System (EIS) is the most common term
practical training for these managers or seek help fromused for the unified collections of computer hardware
consultants and experts in this field. Usually, such aand software that track the essential data of a
program will encourage organization's members to airbusiness' daily performance and present it to
their opinions and learn how to resolve conflicts due tomanagers as an aid to their planning and
their diversity. More importantly, the purpose of adecision-making (Choo, 1991). With an EIS in place, a
Diversity Mentoring Program seeks to encouragecompany can track inventory, sales, and receivables,
members to move beyond their own cultural frame ofcompare today's data with historical patterns. In
reference to recognize and take full advantage of theaddition, an EIS will aid in spotting significant variations
productivity potential inherent in a diversefrom "normal" trends almost as soon as it develops,
population.Organizing Talents Strategically-Manygiving the company the maximum amount of time to
companies are now realizing the advantages of amake decisions and implement required changes to put
diverse workplace. As more and more companies areyour business back on the right track. This would
going global in their market expansions either physicallyenable EIS to be a useful tool in an organization's
or virtually (for example, E-commerce-relatedstrategic planning, as well as day-to-day management
companies), there is a necessity to employ diverse(Laudon, K and Laudon, J, 2003).Managing EISAs
talents to understand the various niches of the market.information is the basis of decision-making in an
For example, when China was opening up its marketsorganization, there lies a great need for effective
and exporting their products globally in the late 1980s,managerial control. A good control system would
the Chinese companies (such as China's electronicensure the communication of the right information at
giants such as Haier) were seeking the marketingthe right time and relayed to the right people to take
expertise of Singaporeans. This is becauseprompt actions.When managing an Executive
Singapore's marketing talents were able to understandInformation System, a HR manager must first find out
the local China markets relatively well (almost 75% ofexactly what information decision-makers would like to
Singaporeans are of Chinese descent) and as well ashave available in the field of human resource
being attuned to the markets in the West due tomanagement, and then to include it in the EIS. This is
Singapore's open economic policies and Englishbecause having people simply use an EIS that lacks
language abilities. (Toh, R, 1993)With this trend in place,critical information is of no value-add to the
a HR Manager must be able to organize the pool oforganization. In addition, the manager must ensure that
diverse talents strategically for the organization. Hethe use of information technology has to be brought
She must consider how a diverse workforce caninto alignment with strategic business goals (Laudon, K
enable the company to attain new markets and otherand Laudon, J, 2003).ConclusionThe role of the HR
organizational goals in order to harness the full potentialmanager must parallel the needs of the changing
of workplace diversity.An organization that sees theorganization. Successful organizations are becoming
existence of a diverse workforce as an organizationalmore adaptable, resilient, quick to change directions,
asset rather than a liability would indirectly help theand customer-centered. Within this environment, the
organization to positively take in its stride some of theHR professional must learn how to manage effectively
less positive aspects of workforce diversity.Leadingthrough planning, organizing, leading and controlling the
the Talk-A HR Manager needs to advocate a diversehuman resource and be knowledgeable of emerging
workforce by making diversity evident at alltrends in training and employee development.
organizational levels. Otherwise, some employees will