For increased efficiency in the hiring of employees within an organization so as to ensure consistency as well as in compliance with the procedures of recruitment and selection it is recommended that the following measures need to be adhered to.
Human resource recruitment procedures
These include identification of the vacancy with evaluation for the need which is followed by the development of a description of the position. The next step is the development of a recruitment plan followed by selection of a search committee proceeded by posting of the position and implementation of the plan for recruitment. This is followed by review of the applicants and development of a short list that is followed by conducting of interviews with the next steps being selection of hire and finalization of the recruitment (Arthur, 2010). Within these procedures there is no consideration of for affirmative action with equality in employment opportunities as well as diversification with these aspects instead being treated as separate entities or actions in the process of recruitment and selection. Instead they are treated as major variables that are integrated into each level of the process with support for the organization’s objective for achieving excellence.
Literature review of human capital and performance
There is considerable and growing industrial evidence as a demonstration of the linkage that is positive between the development of human capital and the performance of the organization. The focus is on human capital within organizations as a reflection of the perception of the market valuation as being dependant on resources that are less tangible instead of those that are intangible more so human resources. Recruitment and retainership of the best employees is a component of the issue but not the main factor. The organization also holds the leverage in terms of skills and the capability of the employees in the form of encouragement on an individual basis for the learning of the organization. This is in addition to creation of environments that are supportive with formulation of knowledge in terms of sharing and application (Arthur, 2012). Human resource literature is meant to provide a review in the form of assessment in a contextual approach of human capital as the discussion with the identification of the major elements within the concept. Furthermore, it also examines the linkage in forms that are complementary of capital more so in an intellectual approach within the social and organization structures. The literature is also concerned with the examination of the issue of human capital as making a vital impact with evidence of growth and exploration of mechanisms in the measurement of human capital. The notion is held in the form of evidence of the linkage between human capital and the performance of an organization that is convincing with empirical work showing more sophistication as it shifts from a single measure of human resource to embrace a combination of several human resource practices(Coleman, 2010). This is in addition to the traditional findings that hold power with such outcomes providing a support for scholars of the approach to best practices in the argument of establishing of practices that are universal with a positive impact on the performance of an organization (Cascio, 2012). Other arguments within the industry by scholars are based on the contention of the specific details of the best practice constituents in addition to the sheer quantity of contingencies of the organization experience. This creates the best approach in form of practice that is problematic with the overall trend showing the debate to hold the view of these approaches as being complementary. This is instead of the view being that such approaches exist as compliments instead of being opposing with the best practice perception being in the dimension of architecture (Barney, 2011). With this holding a generalization of impacts within specific organizations with bundled practices that are aligned in variation as a reflection to the context and contingencies being experienced by the organization. Though the appearance is held of the convergence that is growing on these matters in terms of human capital measurement this continues to be ad hoc with an increased need for development with methods that are robust with valuation for the human contribution.
The context of human capital in a resource perception
The concern of the contribution of the advantage that is competitive as viewed within the literature strategy entails a shift in focus away from the position that is external within the industry as well as the balance that is relative within forces of competition towards internal resource acknowledgement. This is viewed as being vital for the balance of forces of competition for effectiveness that is sustained as competitive advantage is not entirely dependent on the traditional assumptions such as natural resources, technology or the economy of scale as there is an increased need for imitation. Instead competitive advantage is dependent on the valuation that is rare with difficulty in resource imitation that exists within an organization. Human capital in a realistic sense is the asset that is invisible with the importance of pooling of human capital which is the collection of the capabilities of employees. This is in addition to management of human resource procedures with the apparent existence of the strategic objectives of the organization (Barney, J. (2010).
If there is no equal distribution of the degrees of skills with no equal distribution such that certain firms can acquire skills that are needed which others cannot attain in the form of capital that is human then the sustained competitive advantage is the only source. In aspects of inimitability we observe at least two reasons of the possibilities in imitation difficulties which include casual ambiguities and dependency on paths. The initial approach presents difficulties in grasping the exact mechanisms which exist as interplay in human resourcing practices as well as policy generation valuation. The second aspect is that human resource systems are dependent on paths which comprise of policies from the development with time and not mere simplified purchase within market competition. The interdependency that exists between human resource practices in combination with a context is idiosyncaratic more so to companies with the creation on increase barrier imitations. More importantly human resource requires valuation with latency in the possibilities of productivity (Bartel, 2011). As such the advantage of human capital is dependant in the securing of talents that is exceptional which can be identified in the similar phrasing of "the best and the brightest". The increased need for human resource literature in the recruitment procedures in done with emphasis on the promotion of management of human resources in the overall management of human capital;
This is most especially to bring out the existing convergence between strategic fields within strategy and human resource management. The second resource based perception of the organization provides strength in the normally repeated statement from the area of strategic management of human resources which is based on people being increasingly vital assets to organization success. The suggestion has been provided that individuals are the greatest assets to the largest contemporary misconception in the capitalist world with the rise of management of human resource being based on terms of rhetoric with spectacularly (Becker, et al. 2012).
Capital as a compliment to human capital
The general perception is that human resource is understood to comprise of the capabilities on an individual basis of the capability and knowledge in addition to experience of the employees of the company and its manager as being relevant to the assignments that lay ahead (Becker, 2010). This is in addition to the capacity as an addition to the knowledge reservoir as well as experience through learning that is individual (Collins, et al. 2011). As such with the aforementioned definition we are provided with clarity in understanding human capital in wider terms that on the human resource scope with focus on knowledge being vital? Although human resource literature has several aspects to say concerning knowledge the debate remains traditionally rooted in the perspective level of the individual. The main concern here is the related job knowledge while on the other hand literature of human capital has shifted beyond the individual level to embrace the ideal of knowledge being shared among grouping and within institutions. This is in addition to the organizational procedures and routines with the concept and view of human capital originating from the fact that there is no substitute of knowledge with learning, creativity and innovation with competency and capabilities. This is in addition other relentless pursuit and emphasis of the organization in the context of the environment as well as logic that is competitive. These considerations have led to point that is crucial in the accumulation of talent that is exceptional that is not optimal for the organization (Becker, 2011). There is also the need for the desire in part on the individual basis for skill investment and organizational expertise within the position with individuals being required to show commitment as well as engagement with the organization. This is observed in the effective human capital utilization in addition to the concern for human capital with the need being social and capital in organizational structures that surround the context that is essential.
Performance and human capital
The linkage between performance and human capital lays on the basis of two strands that are theoretical with the initial one as earlier discussed being resource view basis of the organization. The second aspect is the theory of expectancy of motivation that comprises of three elements which include valence also known as value that is an attachment to reward with the others being instrumentation and the notion of the employee receiving a reward upon attaining a certain degree of performance. This is in addition to the expectancy and the notion of the employee actually attaining the required degree of performance (Boxall, 2011). Human resource management practices that provide an encouragement of increased skills and capabilities for example that careful selection and increased investment in terms of training as it can be specific to the formulate a linkage between the management of human capital and performance.
Human capital will continue to be central to the explanation of the earnings on an individual basis in the existing variations with employee investment in education and training increasing the level of skills and increased productivity of those with fewer skills and as such justify their increased earnings as an outcome of human capital investment.
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Arthur, J. B. (2012). The linkage between business strategy and industrial relations systems in American steel mills. Industrial and Labor Relations Review, 45: 488-506.
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Barney, J. (2010). Examining competitive advantage. Academy of Management Executive, 9 (4): 49-61.
Bartel, A. P. (2011). Productivity gains in implementation of employee training programs. Industrial Relations, 33: 411-425.
Becker, B. & Gerhart, B. (2012). The impact of human resource management on the performance of an organization. Academy of Management Journal, 39: 779-801.
Becker, G. S. (2010). The economic approach to human behavior. Chicago: University of Chicago Press.
Becker, G. S. (2011). Human capital. New York: National Bureau of Economic Research.
Boxall, P. F. (2011). The strategic human resource management debate and the resource-based view of the firm. Human Resource Management Journal, 6 (3): 59-75.
Cascio, W. F. (2012). Costing human resources: The financial impact of behavior in organizations. Boston: PWS-Kent.
Coleman, J. S. (2010). Social capital in the creation of human capital. American Journal of
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Collins, J. & Porras, J. (2011). Built to last: Successful habits of visionary companies. New York: Harper Business.