Human Resource Is the Most Important Assets in an Organization
| Human Resource Management: Strategy and Policy (HRM2001S) Assignment 1Human Resource is the most important asset of an organisation |
Done By:
Soh Wei Sheng Fabian
Student Number: 12262455
Submission Date: 6 Jun 13
Statement of Authorship
I declare that all material included in this essay/report/project/dissertation is the end result of my own work and that due acknowledgement have been given in the bibliography and reference to ALL sources be they printed, electronic or personal.
INTRODUCTION
Assets can be defined as "tangible and intangible resources of a firm which can be drawn upon by a the firm when required to achieve its objective(s)" (Ray and Ramakrishnan, 2006). Tangible assets include financial and physical assets such as machineries and manufacturing plants while examples of intangible assets are branding, company reputation, technological know-how and human resource (Noe et al., 2012).
Human resource is the most important asset of an organisation. Using studies which showed that effective use of human resources contributed to better corporate performance and/or productivity, this essay attempts to show that this intangible asset is a key driver in the survival and competitiveness of an organisation.
SUCCESSFUL ORGANISATIONS
For organisations to be successful, they need to survive and obtain an advantage over their competitors. There are many ways to attain a competitive advantage, including patented product and process technologies, protection and regulation of domestic markets and access to financial resources (Pfeffer, 1994). However, the aforementioned contributors of success are deemed to be less relevant in today 's societies because technologies can be imitated, markets are increasingly globalised and global capital markets ever more opened for worldwide movement of financial resources (Pfeffer, 1994).
Instead, in today 's organisations, it is widely accepted that employees are key strategic resources for companies because
Done By:
Soh Wei Sheng Fabian
Student Number: 12262455
Submission Date: 6 Jun 13
Statement of Authorship
I declare that all material included in this essay/report/project/dissertation is the end result of my own work and that due acknowledgement have been given in the bibliography and reference to ALL sources be they printed, electronic or personal.
INTRODUCTION
Assets can be defined as "tangible and intangible resources of a firm which can be drawn upon by a the firm when required to achieve its objective(s)" (Ray and Ramakrishnan, 2006). Tangible assets include financial and physical assets such as machineries and manufacturing plants while examples of intangible assets are branding, company reputation, technological know-how and human resource (Noe et al., 2012).
Human resource is the most important asset of an organisation. Using studies which showed that effective use of human resources contributed to better corporate performance and/or productivity, this essay attempts to show that this intangible asset is a key driver in the survival and competitiveness of an organisation.
SUCCESSFUL ORGANISATIONS
For organisations to be successful, they need to survive and obtain an advantage over their competitors. There are many ways to attain a competitive advantage, including patented product and process technologies, protection and regulation of domestic markets and access to financial resources (Pfeffer, 1994). However, the aforementioned contributors of success are deemed to be less relevant in today 's societies because technologies can be imitated, markets are increasingly globalised and global capital markets ever more opened for worldwide movement of financial resources (Pfeffer, 1994).
Instead, in today 's organisations, it is widely accepted that employees are key strategic resources for companies because
References: Bartlett, C.A. and Ghoshal, S. (2002): 'Building Competitive Advantage Through People ', MIT Sloan Management Review, 43(2): 34-41. Camelia, B. (2012): 'Human Capital 's Impact on the Performance of Romanian Knowledge Based Companies ', Annals of the University of Oradea, Economic Science Series, 21(2): 337-342 Choudhury, J Collis, D.J. and Montgomery, C.A. (2008): 'Competing on Resources ', Harvard Business Review, 86 (7/8): 140-150 Covers, F Liao, C.H., Mo, S. and Grant, J. (2011): 'Marketing Implication of Human Capital Investment in Training ', Academy of Accounting and Financial Studies Journal, 15: 59-87 Noe, R.A., Hollenbeck, J.R., Gerhart, B Ojo, O. (2011): 'Impact of Strategic Human Resource Practice on Corporate Performance in Selected Nigerian Banks ', Ege Academic Review, 11(3): 339-347 Pfeffer, J Ray, S. and Ramakrishnan, K. (2006): 'Resources, Competences and Capabilities Conundrum: A Back-To-Basics Call ', Decision, 33(2): 1-24 Rucci, A.J., Kirn, S.P Russell, J.S., Terborg, J.R. and Powers, M.L. (1985): ' Organizational Performance and Organizational Level Training and Support ', Personnel Psychology, 38: 849-863 Yeung, A.K