How The HRM Has Changed The Personnel Management

Firms with effective HRM tend to link the HRM with the overall strategy in the organization. Firms with effective HRM practices and policies integrate all the strategies in either changing the corporate culture or reinforcing the corporate culture. Integration is essential in two ways:-
1. Incorporation if the HRM concerns in the firms strategic plans and
2. Accepting and including the HRM in decision making process panels of firms.

The HRM course of action need to be consistent with the underlined firm strategies and has to reflect the firms core values but occasionally there arise problem when the HRM is integrated in a business which deals with various products since its hard to match the HRM policies with those of different business operations of business. In ER there is some contradiction as the HRM is integrated with the business policies which may call for cost reduction meaning that the employees are resources and through increasing their flexibility, commitment can enhance their values, however, this contradiction is re-solved by people who claim that business can only be successful if the employees are well developed. If one of the policies of the firm is cost cutting then dispensing the non performers is not unethical however this is reconciled by business initiative to adjust the firm’s strategy through more employee commitment, involvement and training.nno Building a Strong Corporate Culture
The HRM has the responsibility of building a strong corporate culture that is aimed at uniting all the employees by sharing the managerial values like quality, innovation and service among others. This is aimed at identifying the employer interests together with those of the employees. However, a strong organizational culture is face with the challenge of adapting to the changes in the environment due to its inflexibility. Firms like IBM are faced with this challenge of responding to the swift market changes from the main frames to customized computers (personalized computers) which are demanding the salesmen to act like the management consultant to the customers who are need quality services and products. Nevertheless, a strong corporate culture is given preference to a weak one in the long run. There are number of paradoxes in firms with strong employee commitment and strong culture, employees tend to respond slowly in unfamiliar changes but very fast to familiar changes which is the opposite in the firms with weak culture which usually has low employee commitment. From the cost point of view a strong culture and employee commitment come along with higher cost but its an investment to organizations.