Your Chief Executive Officer (CEO) has e-mailed you following a networking webinar which included a brief presentation about ‘high commitment models of HRM’. She asks you to critically evaluate the pros and cons of either adopting this model for your organisation or making further use of it. Draft a 1000 word briefing paper on this topic for your CEO.

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Introduction

It’s almost redundant to say that the nature of the job relationship has altered dramatically in the last two decades. Whereas the traditional employment relationship might once be described as a commutation of job security for organizational adhesion and consistent price for performance, changes like work and people’s expectations of work have resulted in forming a new employment relationship. A more competitive corporate environment needs advanced accent on short-term job contracts and performance-based awards for organizations. For employees, a substitute definition of success implies that companies are continuously dealing with a decreasing labor pool that values the well-being and personal advancement at least as much as continuance employment and internal promotions.

Organizations have difficulty as expectations of the employee relationship change. How can organizations elicit loyalty and performance from their employees when they cannot deliver the long-term work stability and other valuable field possibilities that were once anticipated of them? Other businesses have reacted to the issue by using what has been dubbed high performance management techniques that commits them to the course.

High Commitment HRM model

Intellectual curiosity and study in emerging political human resource management approach known as “high performance” management techniques have increased dramatically since the early 1990s (Teo et al., 2021). Such processes include the collective decision, education and training, selective staffing, information, merit-based promotions, work security, and teamwork. Given the prevalence, it emphasizes the essentiality of fostering a sense of belonging through participation in shared organizational objectives and attempts to regulate corporate culture and ensure that employees work effectively within and for it. According to a substantial amount of study done over the last few years, high commitment management strategies, as well as some other approaches like high performance, complex sampling, and accelerated Human Resource Management practices, have been linked to various organizationally positive benefits, including high ROI, profitability, production efficiency, and super low associated with employee turnover(Rubel et al.,2018).

Importance High Commitment HRM model

The High Commitment HRM model may be of critical relevance to the firm since it allows management to include every employee in a specific activity. Additionally, management incorporates employees in the decision-making process, which motivates all employees to work harder to achieve success within a set time frame. As a result, our control may need to adopt this strategy, which will make all permanent employees feel valued and inspired to work harder soon. Apart from that, it should be noted that this HRM strategy will ensure that this organization will never have to worry about losing a large number of talented clientele. The High Commitment HRM approach ensures that no single person is left behind in the progress-making process, which gives all employees a sense of self-assurance and motivates them to work harder (Meijerink et al., 2020).

Negative effects of HCM

Considering the apparent advantages of high-commitment aspects of worker management, we believe that implementing such techniques could harm employer-worker relationship. We contend that high-performance management techniques such as promotions based on merit and work security imply significant commitments that most organizations are unable to fulfill. Despite having good intentions, the uncertainty and turbulence that characterize today’s business environment make it challenging for organizations to meet their commitments to employees by applying HCM principles. The high performance management strategy to employee management, in effect, reflects a paradox. Because of the positive impacts that high commitment management methods have been found to have on organizational performance, they have received a lot of attention. The favorable effects of high commitment management methods are theorized to be due to their excellent influence on corporate attitudinal reactions (e.g., organizational commitment, perceived administrative support). However, what happens when organizations is unable to meet its promises made in numerous HCM practices discussed in the literature (e.g., job stability, promotion chances, and investments in employee development)? We anticipate that contract breaches will frequently occur, given the nature of HCM activities. Still, we believe that the adverse consequences of contract breaches will be compounded in the case of violations involving HCM procedures. Employees are more likely to find HCM procedures appealing, and failing to relinquish them when promised is more likely to result in negative feedback than failure to pay more traditional HRM practices (Biscotti et al., 2018).

Conclusion

In an increasingly competitive company environment, high commitment management has been extensively delineated as an efficient technique of fostering excellent work connections. As a result, while implementing this model in the organization, as I have suggested, may result in more positive contracts than classical HRM practices, it is also more likely to understand contract violations and adverse outcomes for job relationship and worker level outcomes. With the numerous advantages of a high commitment governance strategies to worker management, implementation of the model should be combined with interpersonal treatment and fair procedures when changing or withdrawing HCM practices to aid in mitigating the negative implications that this model may else bring. Lastly, while the links connecting HCM and several organizationally favorable outcomes have been widely documented, there has been relatively little research on the potential negative consequences of HCM. As a result, to maximize the benefits of the models, our management team should support future research that will help us better understand the possible and potentially contradictory consequences of high commitment management techniques on worker outcomes and contract?

Reference

Biscotti, A.M., D’Amico, E. and Monge, F., 2018. Do environmental management systems affect the knowledge management process? The impact on the learning evolution and the relevance of organisational context. Journal of Knowledge Management.

Meijerink, J., Bos-Nehles, A. and de Leede, J., 2020. How employees’ pro-activity translates high-commitment HRM systems into work engagement: The mediating role of job crafting. The International Journal of Human Resource Management31(22), pp.2893-2918.

Rubel, M.R.B., Rimi, N.N., Yusliza, M.Y. and Kee, D.M.H., 2018. High commitment human resource management practices and employee service behaviour: Trust in management as mediator. IIMB Management Review30(4), pp.316-329.

Teo, S.T., Nguyen, D., Shafaei, A. and Bentley, T., 2021. High commitment HRM and burnout of frontline food service employees: a moderated mediation model. Employee Relations: The International Journal.

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Your Chief Executive Officer (CEO) has e-mailed you following a networking webinar which included a brief presentation about ‘high commitment models of HRM’. She asks you to critically evaluate the pros and cons of either adopting this model for your organisation or making further use of it. Draft a 1000 word briefing paper on this topic for your CEO.

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