Human Resource Management (HRM or HR) is the management of human resources. It is designed to maximize employee performance in service of an employer's strategic objectives.
Some businesses globalize and form more diverse teams. HR departments have the role of making sure that these teams can function and that people can communicate across cultures and across borders. Due to changes in commerce, current topics in human resources include diversity and inclusion as well as using technology to advance employee engagement.
This article throws light on the eight difficulties faced by HR manager in decision making.
1. HR managers have to face various dilemmas in making decisions relating to various aspects of HR functions.
2. They confront situations where distinctions between “What is” and “What ought to be” have to be made while making decisions. In reality, “What is” can never define” What ought to be”
3. A decision which is good in one situation may prove to be evil in other situation. The HR managers get in a fix deciding whether to treat it as good or evil. Good and bad are, in fact, inter related.
4. In an uncertain environment, consequences of an action cannot be predicted. The utilitarian principle of decision making assumes that the consequences of an act are defined. In practical life, decision making particularly ethical decision making is not possible since the knowledge about the consequences of an action is limited.
5. Every organisation may have in ethical stand based on premises that may be different from the ethical stand of the critics. An industry which is supplying a necessity article in a particular locality may be criticized by people on account of environmental pollution. To stop the production will go against the interests of the community whereas according to the critics the production results in pollution.
6. Some ethical standards may vary with the passage of time. Donations to political parties were forbidden earlier but these are allowed now.
7. Unethical practices are abundant in number and are available in every aspect of life. An honest HR manager is not able to do anything as he is surrounded by unethical behaviour everywhere. One has to learn to live with the system rather than fight against it.
8. The 21st century presents the HR managers with new and emerging ethical problems which cannot be solved with traditional ethical guidelines. For example, restructuring an organisation amounts to layoffs. Restructuring is a must to strive in the global environment. How will it balance against the job loss, capital investment etc.
The HR manager who is a member of the top management team can influence and sometimes bring about changes in the ethical culture of the organisation. However, if one expects to substantially and positively influence an organization’s ethical behaviour one is doomed to disappointment.
HR departments strive to offer benefits that will appeal to workers, thus reducing the risk of losing corporate knowledge.