Human resource management has that have the potential to improve and sustain organizational performance. Organizations today have increasingly become aware of the importance of Human Resource Management. This awareness in a system is a critical dimension in the performance of organizations. Most organizations today are undergoing some structural, operational, and business strategic changes with the aim of improving their organizational performance.
According to some undergraduate projects I read online, I found out that the organization’s competitive strategy may include mergers and acquisitions, downsizing to increase efficiency, internal operations, or the acquisition of automated production technology. These strategic decisions determine the demand for skills and human resource. Incompetent and unbalanced: resourcing, training, development, reward, and appraisal methods have led to poor performance. These practices include emphasis on employee selection based on fit with the company’s culture, emphasis on behavior, attitude, and necessary technical skills required by the job, compensation contingent on performance, and employee empowerment to foster team work, among others.
Human Resource Management indicates the policies, practices and procedures that persuade the behaviors, attitudes and also performance of employees. So, Human Resource Management (HR) practices are involved in recognizing Human Resource Management (HR) needs, getting pools of applicants, screening them and then giving them training, compensating, evaluating and further involved in labor relations, health and safety programs and also concerned towards fairness. Hence the effective execution of HRM practices in organizations is the main foundation in order to create a unique edge and it has positive relationship with the company performance.

ORGANIZATIONAL PERFORMANCE

Organizational performance covers both what has been achieved and how it has been achieved. Performance is measured through key performance indicators which are usually to do with financial results or productivity.
Organizational performance refers to both short term and long term measurable outcomes which contribute to the sustainability of the organization. These outcomes could include financial, human/social and environmental outcomes. However, the emphasis is on the way these outcomes contribute to the long term financial survival and adaptation of the organization.

HUMAN RESOURCE MANAGEMENT

Human Resource Management is a strategic, integrated and coherent approach to the employment, development and well-being of people working in organizations. The overall purpose of human resource management is to ensure that the organization is able to achieve success through people. HRM aims to improve organizational effectiveness and capability-the capacity of an organization to achieve its goals by making the best use of the resources available to it.

ROLES OF HUMAN RESOURCE MANAGEMENT

The role of human resource management are employment security; Selective hiring of new personnel; Self-managed teams and decentralization of decision making as the basic principles of organizational design; Comparatively high compensation contingent on organizational performance; Extensive training; Reduced status distinctions and barriers, including dress, language, office arrangements, and wage differences across levels and Extensive sharing of financial and performance information throughout the organization.
Human resource management practices can also improve organizational performance through: Developing a psychological contract; Increasing motivation and commitment; Increasing employee skills and extending the skills base; Providing employees with extended responsibilities so that they can make full use of their skills and abilities; Instituting processes of performance management and continuous development ; Using reward management systems to convey message about what the organization believes to be important and what it is prepared to provide financial and non-financial rewards for; and Developing employee relations strategies which provide employees with a voice. HR can contribute to the achievement of competitive advantage and added value, and to total quality initiatives.

CONCLUSION

Conclusively, the potential success of a business depends on its organizational performance, which means its ability to effectively implement strategies to achieve institutional objectives. The performance of any organization depends in large part on the level of skill its leaders possess when it comes to implementing strategies.