HR in a Financial Crisis - 2627 Words

The Role of Human Resources in a Financial Crisis Contents Executive Summary 3 Literature Review 4 Recession and Human Resource Strategies 7 Case Studies 8 Conclusion 12 Works Cited 13 Executive Summary The role of human resources in a financial crisis can be one of the most important roles in preserving the overall health of an organization in times of uncertainty. The role of Human Resources contains such functions as maintaining motivation of the employees and fostering morale. However under some conditions it can be virtually impossible to maintain morale due to high levels of uncertainty surrounding the business, the industry, or the macroeconomic environment in general. During the most recent crisis 2009, which was considered a Global Recession, many companies faced tough choices regarding the workforce levels they maintained. Many companies were forced to implement hiring freezes, pay freezes, and some even had to layoff many of their employees. During times of harsh macroeconomic conditions, it can be extraordinarily challenging to maintain high levels of morale. One way to describe the challenges is that there are massive amounts of uncertainty on all levels. Employees esp ecially often may have job uncertainty that contribute to job-related stress. In such situations employees might become so stressed that it makes it difficult for them to perform their job duties especially when job security is one of the issues that they are concernedShow MoreRelated3rai1059 Words   |  5 Pages1. Explain why an organisation needs to collect and record HR data. Reasons why organisations collect data To meet legal requirements: †¢ Checking that each employee is eligible to work in the UK †¢ Ensuring that the Company is complying with any governing body e.g. FCA †¢ Making sure that processes such as grievances, disciplinary, maternity etc. are performed in the correct manner. To help make informed decisions: †¢ Understanding whether the company needs to expand andRead MoreGeneral Motors, A Multi Billion Industrial Organization1471 Words   |  6 Pagesimplementation of joint-stock and expert group management. But all companies run into barricades of problems in their time, especially for huge organizations. And one of the problems for General Motors was about their Corporate Culture. This culture crisis led to at least 13 deaths which came from a 325-page independent investigator report (Volukas report). The company received a lot of flak in during this time thus forcing them to make huge changes (as per GM CEO Mary Barra). In this report, we willRead MoreGlobal Crisis1656 Words   |  7 PagesGlobal crisis occurs due to financial crisis and economic crisis. These are nothing but risk that could threaten humankind as a whole or even cause the end of planet Earth. A financial crisis is a situation where money demand quickly rises relative to money supply. A stock market crash is an example for this. Whereas economic crisis refers to the economic down of countries all over the world. They are going down in -ve zone. Global economy has become a hot topic for international forumsRead MoreHcp Essay842 Words   |  4 PagesYour views with respect to the legal rights of HCPs during times of crisis. Our views concerning the legal rights of HCPs during times of crisis align with the general recommendations published since the last SARS crisis in Ontario. The SARS crisis brought several legal and ethical debates to the public place. The most popular topics related to the legal rights of HCPs during times of crisis surround were: †¢ The HCPs’ â€Å"Duty to care† vs. HCPs individual rights and personal autonomy to use some discretionRead MoreTrends in Hr Practices During Recession !1185 Words   |  5 Pagessuggest that if the human element was responsible for plunging companies and the world into this deep financial crisis, then the human resources of an organisation are also perhaps the best bet to help it emerge out of the same. And this is the reason why experts view this period of economic recession as an opportunity for HR management rather then a crisis. The recession is an opportunity for HR professionals to step and contribute strategically. In the classical strategy paradigm, we begin byRead MoreEvolution Of Human Resource Management Essay974 Words   |  4 PagesEvolution of Human Resource Management Administrative Functions The objective of the Human Resource Department is to design management systems to ensure human talent is maximized to effectively and efficiently achieve organizational goals. HR has seven functions that are intertwined. These functions are global, environmental, cultural geographic, political, social, legal, economic, and technological. Human resource management has the potential to drastically impact the success and effectivenessRead MoreImpacts of Global Financial Crisis on Hrm Policies8256 Words   |  34 PagesWhat is the role of hr in global crisis to retain the talented employees ? http://www.edalys.fr/documents/Stakeholders%20theory.pdf http://lexicon.ft.com/Term?term=stakeholder-theory Article - 1 Employees are not the most important asset of the company but the â€Å"right† employees are. Human Resource Management (HRM) plays a strategic role in the survival of an  organization. In this time of global financial crisis, Human Resource (HR) managers must not only innovate but must also act as change agentsRead MoreThe Problems Of The Healthcare Industry1528 Words   |  7 Pagesmedical centers of how taking decisions caused cost crisis in their facilities and for the Organizations. We realize that when the employees are not happy and when the Leaders make errors in judgement and behavior the economic ramifications are huge. The Pine Village Community Medical Center: The Community medical center which was once 280 bedded had to make one third of its facility to assisted living and lay off 25 employees due to financial issues and changes in the uncertainty of Government regulationsRead MoreEcon984 Words   |  4 Pagesrepresents the entire production of its economy, where the table shows the production of goods and their prices for 2012 and 2013: Streaming Movies Popcorn 2012 {quantity, price/unit} {10000 hrs, $1.00/hr} {5000 bags, $2.00/bag} 2013 {quantity, price/unit} {12000 hrs, $0.95/hr} {4000 bags, $2.20/bag} (a) Calculate nominal GDP for each year. Calculate the percentage growth rate of nominal GDP. [3] (b) Calculate real GDP for each year using 2012 as the base year. CalculateRead MoreCrisis Management in Today Organization: Hr Strategic Role1796 Words   |  8 PagesCrisis management in today organization: HR strategic role 1. Introduction What is a crisis management? It is an unexpected crisis that happens on the company that will affect the trust and loyalty of the stakeholder. It can be extremely costly because it will affect the company reputation and brand. For example like financial failure from poor business management, workplace violence, fires, cybercrime, computer viruses, product tampering or union strikes and other external issue like damaged economy