Features of Shrm & Human Resources Function
Section A
To what extent does the approach being taken by Macquarie Bank demonstrate features of SHRM? (10 marks)
There are 3 models of Strategic Human Resource Management (SHRM) being taken by Macquarie Bank – the best practice view, the best fit view and the resources-based approach. Each approach is capable to make impact in an organizational performance, usually through increased competitive advantage and added value.
The meaning of SHRM can only really be understood in the context of something else, namely organizational performance, whether that be in terms of economic value added and increased shareholder value, customer value added and increased market share, or people added value through increased employee commitment and reservoirs of employee skills and knowledge (Ian Beardwell, et al, 2004).
The best practice view starts from the promise that a single set or ‘bundle’ of Human Resource (HR) policies and practices will lead to better organizational performance, sustained over a lengthy period, whatever the prevailing business circumstances (John Leopold, et al, 2009). In best practice view of Macquarie Bank, it is talking about long-term plan, strategy or policies. The priority areas in Macquarie Bank human resources practice were recruitment and selection, performance appraisal, rewards and compensation and organization and development.
They are strict in recruitment and selection because they believe corporate image as an employer is important. One of the way for them to recruit and select good employees is by using psychological tests, and another key strategy is the policy of ‘growing our own’ from graduate trainees. Performance appraisal is their essential mechanism for tracking goal achievement and help in determining rewards.
Macquarie Bank pays well for their employee through rewards and compensation.
“At Macquarie, you are recognized and rewarded for your hard work. Managers care about their staff, and are not full of empty promises.”
To what extent does the approach being taken by Macquarie Bank demonstrate features of SHRM? (10 marks)
There are 3 models of Strategic Human Resource Management (SHRM) being taken by Macquarie Bank – the best practice view, the best fit view and the resources-based approach. Each approach is capable to make impact in an organizational performance, usually through increased competitive advantage and added value.
The meaning of SHRM can only really be understood in the context of something else, namely organizational performance, whether that be in terms of economic value added and increased shareholder value, customer value added and increased market share, or people added value through increased employee commitment and reservoirs of employee skills and knowledge (Ian Beardwell, et al, 2004).
The best practice view starts from the promise that a single set or ‘bundle’ of Human Resource (HR) policies and practices will lead to better organizational performance, sustained over a lengthy period, whatever the prevailing business circumstances (John Leopold, et al, 2009). In best practice view of Macquarie Bank, it is talking about long-term plan, strategy or policies. The priority areas in Macquarie Bank human resources practice were recruitment and selection, performance appraisal, rewards and compensation and organization and development.
They are strict in recruitment and selection because they believe corporate image as an employer is important. One of the way for them to recruit and select good employees is by using psychological tests, and another key strategy is the policy of ‘growing our own’ from graduate trainees. Performance appraisal is their essential mechanism for tracking goal achievement and help in determining rewards.
Macquarie Bank pays well for their employee through rewards and compensation.
“At Macquarie, you are recognized and rewarded for your hard work. Managers care about their staff, and are not full of empty promises.”
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