Human Resource Essay Example | Topics and Well Written Essays - 2500 words

Human Resource - Essay Example Employee motivation is inducement or incentive which may be self-generated or from external forces, that promotes satisfaction and an urge towards improvement in performance. Productivity is defined as â€Å"the efficient as well as the effective use of resources to achieve outcomes† (Berman, Bowman, West & Van Wart 2005: 309). Productivity depends on the quality of human resources and their levels of performance. In contemporary organizations, there is growing emphasis on implementing high performance work practices based on all aspects of organizational operations. Thesis Statement: The purpose of this paper is to explain analytically how a firm’s Human Resource strategy could be its source of competitive advantage. HRM strategies implemented according to policies based on relevant theories on workforce motivation for achieving increased productivity outcomes will be examined. The HRM Strategy of Promoting Employee Motivation In studying employee motivation and human resource management strategies to improve motivation, the factors that affect how people behave at work should be taken into consideration. These factors encompass the fundamental characteristics of people which include: individual differences pertaining to competencies based on abilities, intelligence and skills; constructs or the conceptual framework of how people perceive their environment; expectations from own and others’ behaviours, values or what people believe to be important, and self-regulatory plans or goals and how they intended to achieve them (Armstrong 2006). Other important characteristics of people that impact employees’ behaviour at work are: their attitudes, their causes, manifestations and influences on behaviour; attribution theory or how other people are judged; orientation or approaches adopted to work; and roles played by employees to carry out their work (Armstrong 2006). Besides the employees’ personal characteristics, environmental var iables include the type of work that individuals carry out; the culture, climate and organizational style in the organization; the social group within which individuals work; and the reference groups that individuals use for comparative purposes such as comparing conditions of work between various categories of employees. There is an increasing trend for human resources to be considered as the main differentiating factors contributing to a company’s competitive advantage. This underscores the belief that the knowledge and skills of employees is much more difficult to imitate, as compared to other resources. Thus, HRM believes employees to be valued assets, with the potential to ensure competitive advantage based on their commitment, adaptability and high quality skills. A study conducted by Pathak, Budhwar, Singh and Hannas (2005) examined the relationship between the implementation of HR best practices and employees’ positive psychological contract, higher commitment and greater motivation. The evidence indicates that employees experiencing a high number of best practices were more motivated as compared to those who experienced few best practices. Thus, best human resource management practices led to increased employees’ performance resulting in high levels of the company’