Introduction: The Human Resource Management (HRM) is an academic theory and a business practice that is connected with the theoretical and practical techniques of managing a staff . its theoretical discipline is based primarily on the assumption that employees or the staff are individuals with changing goals and needs, and it should not be considered as basic business resources, such as trucks and filing cabinets.
The workers take a positive view of Field thinking that all wish to contribute to the enterprise productively and that the main obstacles to their endeavours are lack of knowledge, insufficient training, and failures of process. The Human Resource Management is considered to be the part of a business or company which recruits, develops and utilizes an organization’s personnel in the way which would benefit the firm’s aims and objectives. It creates alignment between an organization’s HRM strategy and the core objectives of a business considered as essential.
Human Resource Management (HRM) is all about managing people, human capital and culture for business success. The human resources management (HRM) function includes a variety of activities, and key among them is deciding what staffing needs you have and whether to use independent contractors or hire employees to fill these needs, recruiting and training the best employees, ensuring they are high performers, dealing with performance issues, and ensuring your personnel and management practices conform to various regulations. Activities also include managing your approach to employee benefits and compensation, employee records and personnel policies.
Human Resource Management is seen by practitioners in the field as a more innovative view of workplace management than the traditional approach. The techniques force the managers of an enterprise to express their goals with specificity so that they can understand the workforce, and to provide the resources needed for them to accomplish their assignments. Thus Human Resource Management techniques, when properly practised, seem to be expressive of the goals and operating practices of the enterprise overall.
Nowadays, it has concerned synonyms such as personnel management are often used in a more restricted sense to describe those activities that are necessary for the recruiting of a workforce, providing its members with payroll and benefits, by which Staff is administered. These activities require regulatory knowledge and effort, and enterprises can benefit from the recruitment and development of personnel with these specific skills. Academic theory
Human Resource Management aims to help an organization or Institution to meet strategic goals by attracting, and maintaining employees and also to manage them effectively. The academic theory of Human Resource Management is that humans should not be considered machines. Therefore, we should have an interdisciplinary examination of people in the workplace. The Fields such as psychology, industrial and organizational psychology, sociology, and critical theories: postmodernism, post-structuralism play a major role. Many colleges and universities offer bachelor and master degrees in Human Resources Management.
The activities of Human resource managers are involved such as interviewing applicants, staff training, and dealing with laws and regulations within employment. Human Resource Management is composed of seven interlinked activities taking place with organizations.
The seven major HR management activities are given below:
- Strategic HR Management
- Equal Employment Opportunity (EEO)
- HR Development
- Compensation and Benefits
- Health, Safety, & Security
- Employee & Labor Relations.
Within these activities, there are external forces involved such as legal, economic, technological, global, environmental, cultural/geographic, political, and social–which significantly affect HR activities and how they are designed, managed, and changed.
Resource Manager” and that is the only change. Empowerment has been noted as an HRM practice which by critics has been noted more as a pseudo-empowerment, based on attitudinal shaping Other such HRM practices have been noted as hidden within rhetoric, and many examples particularly within call centres are much more Orwellian, and hide the reality, through attitudinal shaping.
Today, unions remain a controversial topic. Under the provisions of the Taft-Hartley Act, the closed-shop arrangement states employees (outside the construction industry) are not required to join a union when they are hired. Union-shop arrangements permit employers to hire non-union workers contingent upon their joining the union once they are hired. The Taft-Hartley Act gives employers the right to file unfair labour practice complaints against the union and to express their views concerning unions.
The Human Capital: Carmeli, A and Schaubroeck, J argues that “having higher levels of human resources capital were strongly associated with performance only when top managers perceived that these resources provided distinctive value in terms of being highly valuable, inimitable, rare, and no substitutable”
For this reason, the motivation of employee is at the heart of how innovative and productive things get done within the work organization. Before studying the different ways to motivate, we have to give a clear definition of the word “motivation”. Bloisi, W argues that “motivation involves a conscious decision to perform one or more activities with a greater effort that one performs other activities competing for attention”.
Human capital is a way of defining and categorizing the skills and abilities as used unemployment and as they otherwise contribute to the economy. Many early economic theories refer to it simply as labour, one of three factors of production, and consider it to be a commodity — homogeneous and easily interchangeable. Other conceptions of labour are more sophisticated Origin of concept History
The term human capital was first discussed by Arthur Cecil Pigou: “There is such a thing as investment in human capital as well as investment in material capital. So soon as this is recognized, the distinction between the economy in consumption and economy in investment becomes blurred. For, up to a point, consumption is an investment in personal productive capacity. This is especially important in connection with children: to reduce unduly expenditure on their consumption may greatly lower their efficiency in after-life. Even for adults, after we have descended a certain distance along the scale of wealth so that we are beyond the region of luxuries and “unnecessary” comforts, a check to personal consumption is also a check to investment.
Global Presence of Companies: The global debate is on regarding the fair distribution of human capital between the countries. This points to the educated individuals, who typically migrate from poorer places or developing countries to richer places seeking opportunity, making ‘the rich richer and the poor poorer’. When these workers migrate, generally, their early care and education are benefited by the country where they move to work and live their lives. And, when they have health problems or retire, their care and retirement pension will typically be paid in the new country.
Historical HRM from 19th to 20th Centuries: During the late 19th and early 20th centuries, The Human Capital in the United States had become considerably more valuable as the need for skilled labour came with newfound technological advancement. These new techniques and processes also required further education than normally of primary schooling, which hence led to the creation of more formalized schooling across the nation.
The early insight into the need for education allowed for provided a Shift to US productivity and economic prosperity when compared to other world leaders at the time. The rights and freedom of individuals who travelled for the want of opportunity, despite some historical exceptions such as the Soviet bloc and its “Iron Curtain”, seem to consistently outweigh the rights of nation-states that nurture and educate them it’s worth mentioning that, the ability to have mobility with regards to where people want to move and work is a part of their human capital. They were able to move from one place to another.
HRM in Several Environments: Being increase in competition, locally or globally, organizations must become more adaptable, resilient, agile, and customer-focused to succeed. And within this change in environment, the HR professional has to evolve to become a strategic partner, an employee sponsor or advocate, and a change mentor within the organization. To succeed in this term, HR must be a business-driven function with a thorough understanding of the organization’s big picture and be able to influence key decisions and policies. The focus of today’s HR Manager is on strategic personnel retention and talents development.
HR professionals can be e coaches, counsellors, mentors, and succession planners to help motivate an organization’s members and their loyalty. The HR manager will also have to promote and fight for values, ethics, beliefs, and spirituality within their organizations, especially in the management of workplace diversity as compared to the WorkForce of various states. Many companies now have realized the advantages of a diverse workplace.
As many of them are going local in their market expansions either physically or virtually (for example, E-commerce-related companies), there is a necessity to employ diverse talents to understand the various niches of the market. If want to take the example of China when it was opening up its markets and exporting their products globally in the late 1980s, the Chinese companies (such as China’s electronic giants such as Hair) were seeking the marketing expertise of Singaporeans. This was due to Singapore’s marketing talents were able to understand the local China markets relatively well (almost 75% of Singaporeans are of Chinese descent) and as well as being attuned to the markets in the West due to Singapore’s open economic policies and English language abilities.
Similarly, if we take the Example of Microsoft a Global company and No1Software Company has some values to work in different environments. They are adaptable to any Culture or norms and rules of the Country because they employ the local Talent there besides their working capital already they have with. They rely on local Partners as entrepreneurs for their sales and marketing. In this Line, Google has done remarkable by establishing sites of Various Countries in their languages which have helped them to go forward and become the biggest advertising company for Web.
Billion of ads shown on site as ad words but the main thing they employ the Local talent for boosting their sales. Yahoo is also an International Company in competition with Google and Microsoft. But it shares went down due to improper Human Resource and improper understanding of the local markets of the Various Countries.
Conclusion: Finally, If the Human Resource Management Theory assessed globally, it has brought a revolution in outsourcing and hiring of the staff. It has opened the Vistas of talent and opened the doors of the talent to the Globe. Now opportunities are not limited to the particular Countries. The HRM has proved vital for the Biggest Companies such as Sony, Samsung, Motorola and LG also. They have the same phenomena of taking the products menus in the local languages to sell and market their Products through the Local Human Resource.
The Development of microfinance industry depends upon the resilience and risk management: SECP Chairman Amir Khan
Islamabad : SECP Chairman, Aamir Khan emphasized that in these challenging times the development of microfinance industry depends upon the resilience and risk management, achieved through quintessential pillars of liquidity-tapped through private capital and technology embracement. Khan was addressing the Non-Bank Microfinance Companies Stakeholders Forum organized by SECP to devise a way forward and collaborate strategic response to cope the challenges posed by COVID-19 pandemic and ensuing lockdowns.
The SECP Chairman Amir Khan, along with Commissioner Specialized Companies Division, Farrukh Sabzwari chaired the session. Representatives of Pakistan Microfinance Network (PMN), State Bank of Pakistan (SBP), National Bank of Pakistan (NBP), Pakistan Poverty Alleviation Fund (PPAF), Pakistan Microfinance Investment Company Limited (PMIC), Karandaaz Pakistan and multilateral donor agencies including the World Bank, International Finance Corporation (IFC) and Department for International Development (DFID) attended the session.
The Chairman SECP advised NBMFCs to go far product diversification to insurance solutions and saving products and build capacity of their workforce to attain business development and operational efficiency. He endorsed formation of a working group consisting of nominees from SECP, PMN, PMIC and NBMFCs to further analyze the situation. The working group will also take up the matters with relevant forums including ministry of finance, SBP and multilateral donor agencies for possible solutions.
Khan expressed SECP’s firm commitment to providing all possible support to industry not only during the current pandemic times but also in developing the industry on a strong footing. SECP Commissioner, Sabzwari highlighted the measures taken by SECP to provide relief and flexibility to the NBMFCs and their wholesale lender in managing funding requirements. He also talked about SECP’s advice to NBMFCs to defer and reschedule borrower loans.
Participants acknowledged SECP’s timely intervention to provide regulatory relief to NBMFCs in managing their credit lines and funding requirements. However, industry representatives expressed their concerns on potential defaults by borrower and liquidity crunch that may lead to capital crisis in the industry.
They raised the need of new money injection into the industry through collaborative efforts of microfinance regulators and the government. Representatives of international donor agencies attending the Forum expressed their resolve to extend fullest possible support to Pakistan’s microfinance sector.
Gov’t releases Rs 533.33 billion for various development projects so far
Islamabad: The federal government has so far authorized release of Rs 533.33 billion for various ongoing and new social sector uplift projects under its Public Sector Development Programme (PSDP) 2019-20, as against the total allocation of Rs 701 billion.
Under its development programme, the government has released an amount of Rs 230.3 billion for federal ministries, Rs 175.65 billion for corporations and Rs 43.46 billion for special areas, according to a latest data released by Ministry of Planning, Development and Reform.
Out of these allocations, the government released Rs 38.5 billion for security enhancement in the country for which the government had allocated Rs 53 billion during the year 2019-20.
An amount of Rs 81.37 billion has also been released for the blocks managed by finance division under the government’s 10 years development programme.
Similarly, for Higher Education Commission, the government released an amount of Rs 27.07 billion out of its total allocation of Rs 29 billion while Rs 301.47 million were released for Pakistan Nuclear Energy Authority for which the government had allocated Rs 301.48 million in the development budget.
For National Highway Authority, the government released Rs154.94 billion. Under annual development agenda, the government also released Rs 10.7 billion for Railways Division out of total allocation of Rs16 billion, Rs 7.7 billion for Interior Division, and Rs 8.38 billion for National Health Services, Regulations, and Coordination Division.
Revenue Division received Rs 4.3 billion whereas the Cabinet Division also received Rs 30.18 billion for which an amount of Rs 39.986 billion has been allocated for the year 2019-20.
The government also released Rs 26.9 billion for Azad Jammu and Kashmir (AJK) block and other projects out of its allocations of Rs 27.26 billion and Rs 16.54 billion for Gilgit Baltistan (Block and other projects).
Pakistan’s small businesses hit hard by COVID-19
Small businesses in Pakistan have been adversely affected by the Covid-19 pandemic. The low demand at home, disruptions in supply chains, constraints in international trading, and expected prolonged lockdowns are now leading to severe cash flow problems, the inability to pay back debts and cancellation of orders from clients.
This rising uncertainty is gradually leading them to lay off employees which will have welfare implications. In some sectors where recovery is difficult to predict, small businesses have started planning for the worst: complete shutdown. This crisis could also imply a much bleaker outcome for the startup ecosystem in Pakistan.
The government has announced a SME relief package. The central bank has also come forward to relieve some of the funding and finance related concerns of private enterprises. Yet, many micro and small businesses do not understand how to apply or if they are eligible, to receive such assistance. There are others who argue that this one off relief may not be enough given that businesses are going to face depressed demand for a longer term. Pakistan’s past record of small businesses trying to access such fiscal packages is also not encouraging, partly because many such firms do not access formal banking channels for their needs or banks impose steep collateral requirements. Also, large segments of micro enterprises have the entire or some components of their businesses in the informal sector.
Federal and provincial governments have two issues to address now: how to ensure that small businesses are able to access and utilize existing government-provided assistance, and secondly, what more can be done to support private enterprise in these times.
A progressive fiscal policy and commitment to redistributive taxation is in line with the spirit of Riasat-e-Madinah to which Prime Minister Imran Khan often refers to. A sincere effort is required to reduce the burden of compliance costs faced by small firms- often filing returns several times during a year and to multiple tax bodies across the country.
Dr. Vaqar Ahmed
On the former, it would be best to start by addressing information and outreach gaps. As the problems for businesses are evolving in real-time, hence there remains a need for structured and more frequent public-private dialogue which should be inclusive enough to also give representation to women, youth-led firms and social enterprises. Such a dialogue will also give a sense to the government about how these businesses will get affected in the forthcoming rounds of Covid-19.
On the latter, I believe the forthcoming budget for the fiscal year 2020-21 should be seen as an opportunity not only to provide support to collapsing businesses but also to put in place economic incentives that encourage enterprises to consider resilient business models. A large part of this has to do with reimagining a better taxation regime.
A progressive fiscal policy and commitment to redistributive taxation is in line with the spirit of Riasat-e-Madinah to which Prime Minister Imran Khan often refers to. A sincere effort is required to reduce the burden of compliance costs faced by small firms – often filing returns several times during a year and to multiple tax bodies across the country. It is an opportunity now to automate, rationalize or eliminate several filing and payment layers in taxation to ultimately help reduce the cost of doing business.
After a lot of persuasion from local think tanks and the International Monetary Fund (IMF), federal and provincial governments agreed to establish a National Tax Council (NTC) to harmonize the general sales tax (GST).
Currently all provinces have a different structure of GST on services. There are also issues regarding definition of certain activities which the federal government may assume to be under its jurisdiction. Perhaps smaller firms have been the hardest hit due to the fragmented tax structure across the federation and it is time now to expedite NTC’s establishment and work in this direction. Even when the system is finally harmonized, the GST should not be collected by multiple windows at federal and provincial levels. A unified tax return and collection should be made possible through online mechanisms.
It will also be timely to think about which sectors should be motivated to scale up production and services in the face of this health-related emergency. Hospitals and private clinics operating at micro, small, and medium scale are primary candidates for cut in GST on services and even rationalization in direct tax rates. Firms producing personal protective equipment should also see a relief in taxes. The trade taxes faced by such producers or even hospitals importing from abroad need to be revisited. The agro-based and food processing enterprises will need similar help as their input supplies face price and supply volatilities.
Covid-19 also increased demand on several other sectors providing essential services. Our policy circles have rarely seen these sectors as important for the social and mental wellbeing of society until the pandemic struck. It will now be timely to recognize the services of firms (including schools) providing online services. The economic policy managers must think out of the box how best to leverage e-commerce in the battle against Covid-19.
– Dr. Vaqar Ahmed is an economist and former civil servant. He is author of ‘Pakistan’s Agenda for Economic Reforms’ published by the Oxford University Press. Twitter: @vaqarahmed
Courtesy : ArabNews
Kashmir4 weeks ago
Pakistan Mission Islamabad Celebrates “KASHMIRI SOLIDARITY DAY “
Digital4 weeks ago
Pakistan Moves Closer to Train One Million Youth with Digital Skills
China10 months ago
What will the post-COVID world look like?
Digital2 months ago
WHATSAPP Privacy Concerns Affecting Public Data -MOIT&T Pakistan
News3 weeks ago
Dr . Arif Alvi visits the National Museum of Pakistan, Karachi
Digital10 months ago
SadaPay to launch e-money services in Pakistan after Green Signal from SBP
Funding11 months ago
Dawaai raises investment from Sarmayacar and London-based Kingsway Capital
Internet2 years ago
How to Promote Your Startup Blog using Best Content Marketing Skills