Globalization represents the structural making of the world characterized by the free flow of technology and human resources across national boundaries as well as the spread of Information Technology and mass media presenting an ever-changing and competitive business environment( ÄŒesynienÄ-, 2008). If companies are looking to have a real global appeal it will not just be about operating from country to country but by becoming integrated parts of the culture and understanding how the business dynamics change so rapidly in different regions. HR manager will come under great stress as they try and overcome the stresses of globalization and the endurances that come with this. HR practitioners will need the ability to undergo constant change in terms of their job structure and classification if they are to be in the best situation to attract the best staff for a globalized company. These expectations will put a lot of pressure on the Human Resources staff and seeing if they can cope with these pressures will be a concern for the business.
As the whole concept of the 'Global Business' is experiencing major growth it's clear that the role of Human Resource Managers will have to adapt accordingly. As the global market will effect even the smallest of firms it's important that Human Resource managers are trained to facilitate the change in culture, language and politics. It will be essential for the HR managers to develop and maintain an international workforce that remains competitive among the world's best, and educate those at the top of the pyramid about the importance of doing so. In order to maintain a business that is attractive to a variety of locations worldwide it is essential for the HR manager to be aware of any transnational issues that may have an effect on the delivery of their service in that area.
According to (Adler, 2003) "HRM managers must be able to source and recognize diverse and non-traditional talent especially in a global and increasingly diverse environment. Indeed, managing takeovers and acquisitions and the required integration of people and systems is a major challenge" (p. 29). The fact that businesses have been forced to change so much in the past and will continue to do so in the future due to increased globalisation, HR managers have been known as "change managers". (Edwards, 2006) explains that "more than conducting business across national borders but also entails expanding competition for almost every type of organisation presenting management with the challenge to operate in diverse cultural settings".(p310).
The second concern for Human Resource would be around the area of information Technology. According to (Hussain et al, 2007) There has been a huge increase in the number of organisations gathering, storing and analysing the human resource data using Human Resource Information Systems (HRIS).Over the past few decades, technology has impacted greatly on the role of the Human Resource Manager and the practises and processes that they must understand in order to be fully capable in their jobs. It has required HR managers to stay updated with the newest technology and indeed the increasing number of employees who are well educated in modern technology. For some people in HR the dependence on the internet and computer integrated control systems may be quite daunting as they are now taking over most of the old fashioned processes.
In fact Information Technologies have modified many HR processes and these include performance management, recruitment, human resource planning, work flow, selection and compensation. Hempel (2004) feels that the "HR professionals are on the catch-up position. Due to the fact that the technologies first change the structure of the work". (De Alwis, 2010) state just how widespread the information systems have spread I the business world with "The use of technology within HR has certainly increased over recent years with 77 % of organizations using some form of HRIS".
Because of the fast moving nature of Technology, Human Resource Management is constantly changing and this will be a concern for any HR manager that has had to adapt from the old style of management to the new generations gadget heavy workplace. Although information Technology (IT) can assist in many aspects of their jobs it's also a worry that they are becoming increasingly redundant especially in terms of their "classical" role. It's clear that IT has had a huge impact on the information side of their practise as they now are released form the burden of publishing information to various sectors of the business. If the rapid technology pace keeps its course, HR managers will have no choice but to adapt or else companies will just look for HR talent from emerging graduates who will not require training in modern information technology.
It's clear that Information Technology is at the forefront of HR issues at the moment. With an increasing amount of graduates now skilled in computers it's clear that the traditional role of the HR manager is under threat and they must now move with the times or risk been left behind altogether. In respects to HR practitioners that have been in business for decades it will prove even more of a concern as the change might prove to too severe.
Part 2: Information Technology
The new form of Human Resource management that we see in the current era is quite different from the situation even just 15 years ago. We now see a reinvented role for the HR structure which can be referred as The Human Resource Information System (HRSI). There has been a huge increase in the number of organisations gathering, storing and analysing the human resource data using HRIS. The Business Dictionary describes this as a "A system which seeks to merge the activities associated with human resource management (HRM) and information technology (IT) into one common database through the use of enterprise resource planning (ERP) software".
It's no surprise that information systems is getting such headline space in recent years as it has become a crucial aspect of modern business practise which has almost endless possibilities but many dangers as well. It's a system designed to help HR managers and make some menial tasks less time consuming as explained by the (Business Dictionary, 2012). "The goal of HRIS is to merge the different parts of human resources, including payroll, labour productivity, and benefit management into a less capital-intensive system than the mainframes used to manage activities in the past". The increased technology drastically increases the speed of information around a company and this may require an upheaval in old practises and the undertaking of new learning schemes to come to grips with the changes.
(Hook and Foot 2009) explains the type of information systems that are available for HR managers in order to make the overall HR experience more accessible and less time-consuming. "systems for e-recruitment, online shortlisting of applicants, online performance management and appraisals, e-learning, online psychometric testing, as well as IT systems to help with payroll, employment data, recruitment administration, references and pre-employment checks"(p14). These technological advances should be taken full advantage of as it will free up the time of any HR manager/practitioners to deal with others issues in company. If the organisation is large enough then there may also be a services centre that concentrates all of the HR services in one area. These centres will take full advantage of the technology available in order to facilitate workers at many different sites and even outside the country. HR personnel should be ready for changes such as these in the future.
Knowledge of the latest technology is a must for any HR manager in the modern era where as the workplace I constantly evolving and the management staff must evolve with it else risk becoming obsolete. It is also essential for communicating and understanding the new tech-aware generation who will be attracted to firm that is seen as future-focused and aware of the developments in modern technology. (Hook and Foot 2009) backs up this argument by saying "There is also the potential to get better quality information, better decision-making and with the latest developments, increased involvement and engagement of the workforce which may also prove attractive to Generation Y workers" (p15).
The effects of this have already been seen with the new generation attracted to the more technically advanced corporations where they see their skills been put to the test and as an arena to succeed in life. Companies who are on top of modern technology and adopt a softer approach to HR e.g. Google seem to attract the best and brightest our current generation and therefore will inevitably continue their strong financial position in the market.
HR managers should avail of information technology in order to free themselves from mundane tasks and use the free time to think more about the strategic elements of the company. The increased use of IT will also allow a greater amount of information to be stored on databases that will help the HR team and company as a whole to plan for the future. Teleconferencing and teleworking have enabled people who are opposite sides of the world to communicate in a fast, effective manner and HR managers are no longer confined to the building or premises of the company. "A number of authors have commented that the use of technology within HR not only makes HR activity more efficient, but may also facilitate a change in emphasis for HRM to become more strategic within the organization"(De Alwis, 2010).
Hempel (2004) states that HR managers need to evolve along with these changes or else it will prove impossible to support their staff. If the HR professionals involve themselves in the redesign process then they will need to have a solid understanding on the new technologies that are been implemented. This may have to be done through training schemes or workshops where any skills that the company feel are needed by the HR team are learned. One idea would be to use E-learning through smart phones or personal computers in the spare time of the HR manager to teach any new initiatives being brought into the company. This could also be used for new employees to come to grips with the company's values and practises through a computerised tutorial. All of these new technologies will bring in extra benefits and problems which will have to be closely monitored by HR manager especially if the new technology is only in its infancy stages within the company.
Since a lot of the current generation of HRSI will cut down on the need for routine Human Resource Management routines like administration and compliance duties there may be a chance or need to outsource some of the companies HR assets (Barron et al., 2004). By doing this the companies not only cut down in costs but also allows the HR managers to take a greater role and indeed input into the strategic direction of the company.(Lawler et al.,2003) explain that by automating many of the routine tasks it can provide HR professionals with the extra time and freedom to the more critical aspects of their duties such as leadership "development and talent management". This is definitely an option that most HR managers should participate in as it allows them to focus on employees more and develop a better relationship with management.
A challenge that HR managers will also have to look is that some of the key-end users may not be completely at ease with the introduction of new technology or even the upgrading of present technology. Some of higher ranked more traditional managers may not see the potential benefits that advanced HRIS will bring to the company and may be concentrating on the costs. With such barriers the HR team and manager should be able to manage the change process in a suitable system where the new systems are implemented and introduced at a reasonable pace to avoid confusion and dissatisfaction among the employees. (Carroll and Wager 2010) "IT can be viewed as a means of providing basic information to employees but it may also be asked to play a significant role in enhancing employment relationships".
So achieving this organisational "buy-in" in regards to the strategic benefit of HRIS is difficult with many people fearing the repercussions over the removal of existing models of work. It is important for the HR managers to let the workers know that the new systems are there to improve the work experience and not to replace the workers or force them into taking changes they do not want to take part in. That is why Hr manager along with the whole management tea should only pick system that will be suitable for their company after careful analysis and consultation. "It should be planned and implemented in the proper manner. An organization should identify the suitability of the select software through cost and benefit analysis, because it critically affects the post-performance of the whole system" (De Alwis, 2010).
HR managers should also customize any form of IT into the best possible from that will suit their needs while still contributing effectively to the frim as a whole. If the HRIS is effective it will have just about any kind of information that the firm will want to look at throughout its lifecycle and these would include data on former employees, applicants and detailed info on the current workforce. HR practitioner's practicing IT that is moulded around their personal need will find that they can facilitate employees with any any issues they might have by referring to the database, these issues could include legal,ethical, knowledge development, career prospects and many others which could be facilitated much quicker due to the implemented IT.
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One decision that the HR manager will have to have an effect on is whether to convince the top management whether to adopt a technology or business-driven approach. I would not advise going for a system "where the technology influences the direction of the business, a business-driven approach should be adopted as this encourages the implementation of technology within the context of the organisation and its strategic position" (Porter 2001).
Technology adoption will vary among companies especially among the small and medium-size organisational types. These smaller firms may not be as technologically advanced as some of the Multi-national companies but should look at the options anyway. (Carroll and Wager 2010) suggest that "Technology advancements over the past 20 years have presented both an external threat and internal opportunity for SMEs. Researchers have focused on strategic considerations regarding capital investment of such technologies". SME's will have certain organizational characteristics that are not found outside niche markets and with a structured HRIS they can compete with the larger companies as long as they play to their strengths. I would expect companies that put HR as a priority within the company to be the most inclined to adopt different forms of information technology
Gera and Gu (2004) feel that the relationship between IT and Human Resources were a very positive compliment towards each other. Their finding also showed that when there was an increased level of organisational change within the company when a heavy level of IT investment was invested into the company. Within HR the technology is an opportunity for the HR professionals to be "strategic partners" within the company. HR professionals who adopt the Technology approach would find themselves doing a much broader range of tasks and would allow time to get back to solving the more traditional HR problems that are still present such as flexibility, redundancies etc.
Overall I feel that HR managers should welcome the arrival of the digital age and all the beneficial technological benefits that come with it. It may be a daunting prospect at first but once HR practitioners take the time to understand and adapt to the new surrounding and channels of information distribution they will reap the benefits. Although many HR managers that have grown up with the traditional model of HR will find some aspects hard to grasp, once they apply themselves and participate in training they will be persuaded by the freedom that he knew technology brings. Information systems will continue to diversify the workplace in years to come and ensure that the HR role will have to undergo many changes yet.
Bibliography: People and Organisations
Adler, P. S. (2003). Making the HR Outsourcing Decision. MIT Sloan Management Review, Volume 45, Number 1, 53-60.
Cesyniene, R(2008)"Globalisation and Human Resource Management" Ekonomika 82, 41-56
Foot, M & Hook, C (2009). "Introducing Human Resource Management". UK: Pearson. 14-15.
Hempel, P. S. (2004). Preparing the HR profession for technology and information work. Human Resource Management, 43(2-3), 163-177.
Hussain, Z., Wallace, J., & Cornelius, N. E. 2007. The use and impact of human resource information systems on human resource management professionals. Information & Management, 44(1): 74-89
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