Fundamentals of human resource management, 6th ed.

Abstract

Managing human resources is a critical component of any company’s overall mission to provide value to customers, shareholders, employees, and the community in which it does business. Value includes profits as well as employee growth and satisfaction, creation of new jobs, contributions to community programs, and protection of the environment. All aspects of human resource management, including acquiring, preparing, developing, and compensating employees, can help companies meet their daily challenges, create value, and provide competitive advantages in the global marketplace. In addition, effective human resource management requires an awareness of broader contextual issues affecting business, such as the economy, legislation, and globalization. Both the media and academic research show that effective HRM practices result in greater value for shareholders and employees. For example, the human resource practices at companies such as Google, SAS, The Boston Consulting Group, Edward Jones, and Quicken Loans helped them earn recognition on Fortune magazine’s recent list of “The Top 100 Companies to Work For.” This publicity creates a positive vibe for these companies, helping them attract talented new employees, motivate and retain current employees, and make their products and services more desirable to consumers.