In the contemporary competition-driven world, organizations strive to enhance their performance in a way that outweighs competitors and enables the completion of company goals and serving its mission. In this regard, while the technical, technological, and economic opportunities are more or less equally available to all organizations, the most valuable asset that an entity might use to its benefit is human resources. Indeed, the ability to manage human resources successfully and effectively provides an organization with a large pool of developmental opportunities. When employees and their talent development are well-managed, the organization is capable of adding value by fostering performance excellence and employee loyalty. In this answer to the question, the actions of human resource managers at Google Inc., LinkedIn, and Amazon will be discussed to exemplify the most efficient practices in the area of HR management that add value to a company.
Overall, added value in business is the profit manifested through monetary, competitive, or status advantages achieved due to influential factors. One such factor is human resource management, which entails proper facilitation of employee behavior, skills, knowledge, and performance. According to Al-Khaled and Fenn (2020), an approach that human resource managers might use to maximize value for their companies is the application of strategic human resource management approaches. Indeed, according to the researchers, “strategic human resource management is a process involving the use of holistic methods for the creation of human resources strategies that are vertically integrated with the strategy of the business” (Al-Khaled & Fenn, 2020, p. 54). Indeed, when the overall strategy of the business is aligned with the approaches and methods of handling employees, the company is more likely to strive and become a leader in its respective field of economy.
Many contemporary companies that demonstrate high levels of performance, especially in the advancing sphere of information technologies, use effective human resource management strategies. For example, Google Inc. applies thorough human resource planning to employ diverse and highly talented personnel with creative potential (Al-Khaled & Fenn, 2020). Similarly, LinkedIn uses an approach that facilitates the recruitment of creative individuals and further develops their talent for the benefit of the company (Al-Khaled & Fenn, 2020). In such a manner, human resource planning and the deliberate strategy for employing talented and creative employees allow organizations to maximize their value in the long-term perspective.
The human resource managers at these companies were successful in adding value to their organizations by means of efficient and talent-driven management of their employees. In particular, one of the most vividly represented features across these productive and competitive companies’ human resource management is their focus on prioritizing talent. Indeed, according to Hamid (2019), if “an organization succeeds in recruiting and retaining human talents,” it is capable of maintaining high levels of expertise, performance excellence, and loyalty of the workers (p. 2). Ultimately, these indicators allow for a long-term competitive advantage, profit-making, and expansion of an organization. Thus, talent development and retention are essential particularities of the work of human resource managers at companies where human resources are handled most successfully.
Another pivotal attribute of effective human resource management that adds value is the creation of a reinforcing, comfortable, and motivating work environment for exceptional employee experiences. Indeed, as research suggests, companies like Google and Amazon provide their employees with outstanding means of work and a performance environment (Hamid, 2019). In other words, human resource managers at these companies provide their workers with all necessary equipment, developmental opportunities, learning, career growth, support, and social aids, which maximize the favorable experiences for employees. They are more likely to satisfy their needs while employed at the organization, are motivated to contribute to the entity via their talent, and have a long-term view of cooperating by ensuring loyalty to the organization (Al-Khaled & Fenn, 2020). Consequently, human resource management aimed at providing workers with the best job experience and meeting their needs is an immediate constituent of the successful accomplishment of organizational goals.
Furthermore, employee flexibility and agility are essential for adding value to the company. Indeed, as stated by Hamid (2019), “the strategic role of HRM is to translate an organization’s strategies and goals into practices to make human resources focused on flexibility and innovation” (p. 2). Thus, the more freedom and flexibility employees have, the higher the level of their creativity and innovation, which is essential in the performance of companies driven by competition. In addition, an agile workforce is more likely to perform well under the burden of change, which is an immediate feature of the contemporary business world. For that matter, human resource managers at companies like Google, LinkedIn, and Amazon facilitate and train their employee’s agility and change tolerance to maximize their performance contribution to the growth of their organizations (Al-Khaled & Fenn, 2020; Hamid, 2019). Therefore, if an organization seeks ways to add value via human resource management, it should plan the recruitment process, prioritize talent development and retention, maintain a favorable work environment and experience, and encourage flexibility, creativity, innovation, and agility.
References
Al-Khaled, A. A. S., & Fenn, C. J. (2020). The impact of strategic human resource management practices on organizational performance. BERJAYA Journal of Services & Management, 14, 53-60.
Hamid, H. (2019). The strategic position of human resource management for creating sustainable competitive advantage in the VUCA world. Journal of Human Resource Management and Labor Studies, 7, 1-4.