Meaning: -Business environment has undergone changes in the post reform period (since 1991). The process of LPG-liberalization, Privatization and globalization of Indian economy has made the role of HR more challenging than ever before. The challenging role of HR managers in the changing environment is stated as follow: -
1. Aligning HRM with Corporate Strategy: - HR managers need to align (bring into line) the HR function with the corporate strategy. HR managers can contribute to the development of corporate policy by indicating how corporate strategy can be implemented with the effective use of human resources. if the corporate strategy cannot be implemented by the current level of human resources, the HR manager needs to train and develop human resources to acquire additional competencies.
2. Bargaining for higher allocation of funds: - Nowadays, HR departments needs lot of funds for implementing its programmes such as training and development. Therefore, HR manager needs to have good negotiating skills to bargain for more funds with the top management.
3. Counseling and Stress Management: - The HR managers may play an important role in counseling and stress management. The HR managers may provide counseling to the employees. Counseling is a discussion with an employee of a problem that usually has an emotional content, in order to help the employee to cope (handle) with it better.
4. Developing Integrated HR System: - In HR system, there are several variables. The variables include programmes and policies. The policies are in respect of recruitment and selection, induction, training and development, transfer and promotion, career development and compensation.
5. Human Resource Research: - Nowadays, Professional organizations undertake research on various management issues including HRM. The purpose is to solve problems facing the organizations.
6. Management of Workforce Diversity: - Nowadays, the workforce in large organizations is richly diverse. The workforce comes from different educational and cultural backgrounds, different age groups and even from different regions or countries. HR manager must consider that diversify of workforce is an asset. Therefore, managing diverse workforce is a challenge before managers. HR managers need to design effective programmes to get the best out of diverse workforce.
7. Training and Development: - Organizations are facing growing challenges due to changes in the environment, such as changes customer expectations, changes in competitor’s strategies, and changes in employee expectations and so on. Therefore, HR managers play an important role in training and development of manpower.
8. Potential Appraisal: - Nowadays, there is a need to undertake potential appraisal and development of employees. It is not enough to conduct only performance appraisal, but it is equally important to conduct potential appraisal. Talented employees would appreciate HR manager’s efforts to undertake potential appraisal, which would give them an opportunity to achieve their career development goals.
9. Proactive Actions: - In the today’s challenging environment, HR managers need to take proactive actions rather than reactive actions. Proactive actions help to handle activities or issues effectively before any issue becomes a problem for the organization.
