Effects Of Global Competitiveness On Strategic Human Resources Management Research Paper

Effects of Global Competitiveness on Strategic Human Resources
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Effects of Global Competitiveness on Strategic Human Resources
Since the turn of the 21st Century, the business environment has been subject to more dynamics than ever. Globalization by itself has influenced business operations significantly and thus, businesses have to adapt if they are to improve their productivity and consequently, their profitability. The rising relevance in globalization implies more competition for the available resources with financial benefits a central factor (Truong, van der Heijden, & Rowley, 2010). As more firms delve and make expansionary plans into the global markets, the function of human resources becomes imperative. Human resources are exceptional assets for an organization. They are exceptional because they are inimitable and non-substitutable.
Strategic human resource management (SHRM) is a primary cause of competitive advantage in a firm. SHRM aims at managing a diverse workforce which as a situation that multinationals have to endure eventually. The major aim of SHRM is to advance the integration and adaption of individuals across various hierarchical levels. When this is the case, the SHRM framework has to assess the skillset of a firm’s employees, availability of a competitive workforce, and also perform environmental scanning to evaluate the viability of their employees to the external circumstances. The subsequent discussion offers more insight into the impact that global competitiveness has created on strategic human resources.
Human resource (HR) professionals are fundamental in establishing the base operations for multinationals particularly when it comes cultural settings. HR professionals have the skills and knowledge required in aligning people from different cultures towards common organizational objectives. An organization that deals in global operations has to have the right personnel that can balance the various complementary forces necessary to achieve the set organizational goals (Alharthey, 2018). Moreover, multinationals need cross-diverse individuals in the firm if it is to meet the emerging requirements of globalization.
SHRM practices elevate the skills and professional competence of the respective HR managers. This factor is quite essential because it helps in the management of people which is quite a complicated task. The combination of these two factors guarantee that the HR manager can articulate the internal and external factors that affect the organization and are fundamental in developing the necessary integrative framework in the global organization. The greatest impact can only be realized when the relevant firm and its HR managers initiate the best fit between the relevant strategies and the policy frameworks (Alharthey, 2018). In this case, examples of external factors include technology, regional environment, nature of competitors, and industry characterist...