Critically Assess the Current Practice and Status of Hrm.

Critically assess the current practice and status of HRM.

Nowadays an important factor, which determines the company's successful co-existence and survival in a competitive market environment, is their employees. A strong, cohesive and qualified team, which can respond fast to the change in the external environment and is able to carry out the goal of a business manager – to survive in a competitive environment, to promote business development and prosperity, to build its image and gain the greatest possible profit.

Competence and creativity of the workforce is the most important factor in the development of new technologies. An employee's ability to generate new ideas or products, using his brain potential, is evaluated as a product with the highest added value. So it is of significant importance that this potential is being maintained.


The changing conditions that currently prevail in the market of labour makes the company's managers seek alternative routes for attracting employees to the company and to form relationships in a different manner with the existing human resources. A mistake that is often seen from the company’s management team is that personnel management is separated from the company's overall strategic planning process, leaving it only with administrative functions. A wrongly chosen management style of human resources leads to a failure. There is no focus on employees 'personal needs, no opportunities for the employees' career development, inability or unwillingness to improve working conditions, as well as "gaps" in the wage payment system, which usually leads to the best skilled workers leaving the company, an increase of internal conflict, unnecessary stress and other negative tendencies within the company as a whole (Beardwell 2001).

Today, management has taken on a strategic form in every company. Strategic management is the scope of senior management and its task is to determine the best possible ways for business to develop, to...