Human resource management in a broad sense may be defined as the utilization of the human assets of an organization with a view to achieving organizational objectives. The specific Human resources courses of action a company pursues in order to achieve its goals and objectives are vital to overall success. As such, the Human Resource process and implemented strategies can and must play a critical role in the development and implementation of the business strategy of any organization. An effective Human Resource management system will achieve the following outcomes:.
Ã An effective and streamlined cost administration system, which would encompass a resulting reduction in personnel management, costs with minimal negative effects on employee competency. In essence companies with active and effectual Human Resource strategies that are in alignment with the overall strategic objectives of the business should achieve dynamic cost leadership strategies in comparison with others companies in their global and or national arenas. .
Ã Differentiation in the business global marketplace. By implementing effective strategies a company can set itself apart from the competition .
Ã The realization of a body of clever, capable motivated and committed employees who are enthusiastic about the environments in which they are employed. Employees will produce their best not because of fear or obligation, but out of a desire to see the company develop and expand. .
Ã Strengthened support for both business and human resource strategies. The Human Resource function in the global arena has a more value added role to the entire business function. Human resource management is not limited to the personnel department. In fact, senior management as a critical component of the business strategy of the entire organization embraces the HRM role. This is the case with British Airways, this company stated "that every manager should be a human resource manager-.