Factors Influencing Human resources Supply
A
successful human resources strategy complements a company mission and goals so
that what works for an industry grant won’t necessarily be suitable for your
small business. The factors influencing
human resources activities are not static:
to maximize recruitment and retention, and to maximize employee issues,
small business managers must continually monitor internal and external
environmental factors and adjust human resources strategy accordingly. In this paper the author is going to discuss
factors that influence human resource supply.
Definition
of Terms
Human
resources according to the en,Wikipedia.org is the set of individuals who make
up the workforce of an organization, business sector, or economy. Human capital is sometimes used synonymously
with human resources. The
whatishumanresources website www.whatishumanresource.com
defines human resources as the individuals or personnel or workforce within an
organization responsible for performing the tasks given to them for the purpose
of achievement of goals and objectives of the organization which is possible
only through proper recruitment and selection, providing proper orientation and
induction, training, skills developments, proper assessment of employees
(performance appraisal) providing appropriate compensation and benefits,
maintaining proper labour relations and ultimately maintaining safety, welfare
and health concern of employees, which is process of the human resources
management.
According
to Benjamin T (2013:1) competition is one of the factors that influence human
resources supply. He asserts that the
extent of competition in your industry affects your company’s ability to
recruit qualified workers industry giants find that candidates seek them
out. He says there is no need to spend
money advertising each recruitment in such a case, because candidates will visit
the company website of their own accord.
Small businesses typically don’t have the same branding power or company
reputation, though, and need to actively seek qualified candidates for critical
positions. Benjamin T (2013:1) argues
that in such a scenario, a human resources department will need to focus on
developing recruitment materials and attending job affairs to promote the
company and attract applicants.
Similarly, human resources should develop programs and incentives to
retain key employees.
Don
N. Mdr, Kasim N and Shamsudin A (2012:181) adds organization strategy as one of
the organizational internal factor which can influence human resources
supply. Organization strategy includes
organizational financial strength. The
ability to do away with subcontracting and directly employ labour from the
labour market on a permanent employ basis.
The
website www.businessteacher.org.uk
says promotions of employee from within are one way for increasing the level of
the existing work group. The website
says while considering this aspect to assess the number of likely entrants into
a particular job level, it is important to study th trends of past promotions. It is also necessary to evaluate the feeder
stock to assess its potentiality for promotion, training needs etcetera. Other aspects of employee feeder groups, such
as their retention analysis, age and performance profiles, skills and knowledge
profiles should be studied. Since it is
desirable to fill positions from within through internal promotions, depending
on the needs, strategies need to be planned to facilitate promotions from
feeder groups. Internal promotions
creates employee satisfaction and therefore a factor that can influence human
resources supply.
Heil
U (2003:1) say employee compensation is another factor that contributes to
influence human resources supply. He
asserts that compensation administration is a segment of management or human
resource management focusing on planning, organizing, and controlling the
direct and indirect payments employees receive for the work they perform. Compensation includes direct forms such as
basement, and incentive pay and indirect forms such as vacation pay, deferred
payment, and health insurance. The
ultimate objectives of compensation administration are; efficient maintenance
of a productive workforce, equitable pay and compliance with state and local regulations
based on what companies can afford.
Compensation of employees impacts positively or negatively on human
resources supply.
Law
and regulations impact the remuneration of employees in many areas, such as
working hours and compulsory time-off paid and unpaid, minimum wage, overtime,
compulsory bonuses and employment at will.
Benjamin T says legislation impacts all human resources activities. The government typically dictates how long a
business must retain personnel records and other employee data, what can be
stored, and how.
The
other factor which can influence the human resources supply are the employee
unions. Trade unions are formed to
safeguard the interests of its members/workers.
Human resources activities like recruitment, selection, training,
compensation, industrial relations and separations are carried out in
consultation with trade union leaders (Chand S) www.yourarticlelibrary.com
Chand
S in his article found on www.yourarticlelibrary.com
talks of organization culture as an influence to human resource supply. He says each organization have its own
culture that distinguishes one form another.
Culture may be understood as sharing of some core values or beliefs by
members of the organization. There is
often conflict between organizational culture and employee’s attitude. Conflict usually surfaces because of issues
such as personal goal versus organizational goal, disciple versus autonomy,
rights versus duties etcetera. Some
conflicts have their bearings on human resources activities in an organization.
Economic
forces also influence the supply of human resources which includes the growth
rate and strategy, industrial production, national and per capita incomes,
money and capital markets, competitions, industrial labour and
globilisation. All these forces have
significant influence on wage and salary levels. Growing unemployment and reservation in
employment also affects the choice for recruitment and selection of employees
in organizations.
Technological
advances affect also the functions.
First technology makes the job more intellectual or upgraded. Second, it renders workers dislocated if they
do not equip themselves to the job.
Third, job becomes challenging for the employees who cope with the
requirement of technology. Fourth,
technology reduces human interaction at the workplace. Finally job-holders become highly professionalized
and knowledgeable in the job they perform.
Lastly
Chand talks of demographic variables as a contributing factor to the supply of
human resources. Demographic variables
include sex, age, literacy, mobility, etc.
modern workforce is characterized by literate, woman and scheduled caste and scheduled tides workers. Now, workers are called knowledge workers and
the organizations wherein they work are called ‘knowledge organisations’
As
such, the traditional line of distinction between manual and non-manual workers
is getting blurred. Employees are
demanding parity in remuneration and responsibility among various categories
and level of employees
Conclusion
The
author had listed technological advances, organizational culture, the work of
the trade unions, demographic variables, laws and regulations, economic forces,
promotion of employees, employee compensation, competition in the job market
and organizational strategy as some of the factors which can influence human
resources supply. With these there is a
need for intensive planning. Planning is
very essential for future human resource needs and possibilities.
References
Chand S Environment
in Human Resource Management: Internal
and External Environment – Accessed online on 26/02/15 www.yourarticlelibrary.com/hrm/environment-in-human-resource-managemeninternal-and-external-environment
en.wikipedia.org/human-resources
Ivangenich J.M, 1995, Human Resource
Manangement, Chicago, Irwin Press
Human Resource Planning (HRP): factors affecting labour supply
www.ivythesis.typepad.com/term-paper-topics/2010/07/human-resource-planning-hrp-factors-affecting-labour-supply.html
Etiwel Mutero is an archivist by profession.If you need assistance on your assignment or you need a workshop on records and archives management you can contact him on +263773614293 or email etiwelm02@gmail.com
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