Human resource management objectives

Welcome to Human Resource Management (HRM) Objectives!

Hello there! Welcome to one of the most important parts of your Business studies. Think of a business like a football team. You can have the best stadium and the best equipment, but if the players aren't motivated, trained, or in the right positions, you won't win many games. In business, Human Resource Management (HRM) is all about managing the "players" (the employees) to make sure the business wins.

In this section, we are going to look at HRM objectives—the specific targets a business sets for its people. Don't worry if this seems a bit "corporate" at first; we'll break it down into simple, real-world steps!

What are Human Resource Management (HRM) Objectives?

An objective is simply a target. Therefore, HRM objectives are the goals set for the people-side of the business. These targets help the HR department decide how to recruit, train, and keep staff happy.

Common HR objectives include:
• Employee Engagement: Making sure staff feel involved and proud of their work.
• Talent Retention: Keeping your best workers so they don't leave to join a rival.
• Diversity and Inclusion: Ensuring the workforce represents different backgrounds and everyone feels welcome.
• Labour Productivity: Increasing the amount of work each employee completes.
• Training and Development: Improving the skills of the staff.

Quick Review: Think of HR objectives as the "GPS" for the workforce. They tell the managers which way to go to get the best out of their team.

Why Does a Business Need Clear HR Objectives?

Imagine a ship where the captain hasn't told the crew where they are going. Some might row left, some might row right, and others might just go to sleep! Clear HR objectives prevent this by:
1. Providing Direction: Everyone knows what the priority is (e.g., "This year, we are focusing on improving customer service skills").
2. Measuring Success: Managers can check if they are actually improving. If the objective was to reduce staff leaving (staff turnover) by 10%, they can look at the numbers at the end of the year to see if it worked.
3. Motivating Staff: When people have a clear target to hit, they often feel more focused and motivated.

Memory Aid: The "North Star" Analogy

HR objectives are like the North Star for managers. Even when things get busy or confusing, they can look at their objectives to make sure they are still heading in the right direction.

How HR Objectives Support Corporate Objectives

This is a big point for your exams! HR objectives don't exist in a vacuum. They must help the business achieve its Corporate Objectives (the overall goals of the whole company).

Example:
• Corporate Objective: To become the most loved brand for customer service in the UK.
• HR Objective: To provide 20 hours of specialist "empathy and communication" training to every shop floor worker this year.

If the HR department sets an objective to "cut costs by firing half the staff," but the Corporate objective is "high-quality service," the business will fail because the two goals are fighting each other!

Evaluating HR Objectives: Are They Always Good?

While having objectives is usually great, they aren't perfect. In your essays, you should be able to "evaluate" (look at both sides).

The Benefits (The Pros):
• They help with Workforce Planning (knowing how many people to hire).
• They help allocate the HR Budget effectively.
• They create accountability for HR managers.

The Potential Problems (The Cons):
• Too Rigid: If the world changes (like a sudden economic crash), a target set 6 months ago might be impossible to hit.
• Conflict: Sometimes, hitting one target hurts another. For example, pushing staff to work faster (Productivity) might make them stressed and more likely to quit (Retention).
• Measuring "Soft" Targets: It is easy to measure "how many people quit," but it is very hard to measure "how happy staff are" accurately.

Stakeholders and HR Objectives

Different groups of people (Stakeholders) care about HR objectives for different reasons:
• Employees: Want objectives that focus on fair pay, safety, and training.
• Shareholders (Owners): Usually want objectives that increase productivity and lower costs to make more profit.
• Trade Unions: Want objectives that protect workers' rights and job security.

Common Mistake to Avoid: Don't assume all stakeholders want the same thing! Managers often have to balance the Shareholders' want for "low costs" with the Employees' want for "better training and higher pay."

Summary: Key Takeaways

• HRM Objectives are targets set for the people within a business.
• They provide direction, motivation, and a way to measure success.
• They must align with the overall goals (Corporate Objectives) of the business.
• External factors (like new laws or the economy) often force a business to change its HR objectives.
• Evaluation Tip: Success depends on whether the objectives are SMART (Specific, Measurable, Achievable, Realistic, and Time-bound).

You're doing great! HRM is all about the human element of business. Keep thinking about how these targets would affect a real person working in a shop or an office, and you'll find this topic much easier to master!