Trends in Human Resource Management


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There are several elements that are shaping human resource management and influencing what human resource managers do and how they do it. These elements include demographic trends, trends in how people work, technology trends and globalization and economic trends.

Changing workforce demographics is a reason companies must change their practices to respond to increasing diversity. Diversity changes the availability of candidates and the needs of the potential employees. There are many changing demographics. Family dynamics are changing. Single parent families are becoming more common. Parents are having to juggle working, parenting, and household chores. There is more female participation in the workforce as well as many different ethnic and religious groups. Some companies are relying more on non-traditional workers. These non-traditional workers hold multiple jobs, are temporary workers, or part-time workers.

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Trends in how people work is also changing. They are becoming more freelance workers. Freelancing is a trend that allows workers with different types of specializations opportunities to work remotely for companies around the world. It also allows them to set their own schedule and for whom they work and at what pay rate they will accept. This causes the human resource manager to create non-traditional personnel policies for these on-demand workers. The human resource manager will become an expert in setting up workers with specific tasks that need to be done. There is a growing emphasis on worker’s knowledge, education, training and skills. Employers must enact practices to select, train, and engage employees to grown their human capital. Human capital is important to an organization’s profitability and success.

Globalization is causing organizations to revisit their human resource strategies. Organizations can now hire and recruit employees from all around the world. This allows human resource managers to fill vacant positions with the very best talent and they do not have to live locally. This also can bring diversity into the organizations. This causes a human resource manager to be creative in managing employees globally. Some U.S. companies have taken direction from companies from globally in managing their employees by offering such benefits as paternity leave programs, extended holiday time, work from home programs, and different types of childcare options.

Lastly, technology trends are also shaping human resource management in this day and time. Employers are increasingly using social media tools such as Twitter, Facebook and LinkedIn, to recruit and hire new employees. Companies are using mobile optimization to monitor employee location, provide digital photos, and as clock-in locations for workers. Potential candidates can also now apply for open positions using their cell phones without having to miss their day to day activities. Cloud based systems allows employers to monitor team goals attainments and provide real-time feedback on these goals. Human resource departments are also using talent assessment systems that use statistics and algorithms to solve a problem, determine a candidate’s traits, or which employees are most likely to quit. This could in turn reduce turnover.

Due to all these changing trends in human resource management, employers are having to take a new approach in organizing their human resource functions. Their functions now go beyond hiring and firing employees, administering benefits, and conducting appraisals.

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