How Hr Contributes Towards Making Their Human Resources Into a Competitive Advantage
Introduction
The scope of this essay is to critically evaluate why it is important for companies to make their human resources into a competitive advantage and how HR contributes towards this process.
It was always feared that machines will replace the need for people at work. But in reality, it’s just the opposite. People are more important in today’s organizations than ever before. As Edward L. Gubman author of The Talent Solution, (cited in Bohlander et al, 2007, p.4) points out, “in many fast-growing economies, it maybe easier to access money and technology, than good people.” Successful organizations are particularly good at bringing together different kinds of people to achieve a common purpose. People can make a difference when they dare to believe in creating advantage for themselves, their communities and their future (Creating People Advantage, 2008, p.1).
The Importance of Talented People for an Organization
People are the most important success factor for companies going forward and people should be seen as an investment for the short and long term.
As Dr. Hans-Paul Buerkner, CEO of Boston Consulting Group (BCG) (The Talent Advantage, 2008) says that, how well a country or a company performs, depends on its people. Even when some countries have good natural resources, they need people to translate it into wealth. And for countries like Singapore, which has no natural resources, they are still doing well because of a good educational system. Every company is in the people business, whether it be consulting, banking or manufacturing. If the company has good people, who are engaged, motivated, highly skilled and innovative then they can be successful, and if the company neglects or doesn’t have them, they’ll automatically fail.
Companies such as Seylan Bank of the Ceylinco Corporations had failed in the recent past due to poor leadership, poor quality and poor competitiveness. Now they are using HRM to restructure their bank and they have come up
The scope of this essay is to critically evaluate why it is important for companies to make their human resources into a competitive advantage and how HR contributes towards this process.
It was always feared that machines will replace the need for people at work. But in reality, it’s just the opposite. People are more important in today’s organizations than ever before. As Edward L. Gubman author of The Talent Solution, (cited in Bohlander et al, 2007, p.4) points out, “in many fast-growing economies, it maybe easier to access money and technology, than good people.” Successful organizations are particularly good at bringing together different kinds of people to achieve a common purpose. People can make a difference when they dare to believe in creating advantage for themselves, their communities and their future (Creating People Advantage, 2008, p.1).
The Importance of Talented People for an Organization
People are the most important success factor for companies going forward and people should be seen as an investment for the short and long term.
As Dr. Hans-Paul Buerkner, CEO of Boston Consulting Group (BCG) (The Talent Advantage, 2008) says that, how well a country or a company performs, depends on its people. Even when some countries have good natural resources, they need people to translate it into wealth. And for countries like Singapore, which has no natural resources, they are still doing well because of a good educational system. Every company is in the people business, whether it be consulting, banking or manufacturing. If the company has good people, who are engaged, motivated, highly skilled and innovative then they can be successful, and if the company neglects or doesn’t have them, they’ll automatically fail.
Companies such as Seylan Bank of the Ceylinco Corporations had failed in the recent past due to poor leadership, poor quality and poor competitiveness. Now they are using HRM to restructure their bank and they have come up
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