Human Resource Management practices are critical for the effective performance of all
employees. Linking employees to performance scorecard optimizes the output of employees
while also building the trust in the company’s system. HRM systems create trust on the
management systems as all rewards are based on merits which are documented in employee
records (Becker, Huselid & Ulrich, 2001). Becker et al (2001) states that employee performance
is directly related to training and skill management. Well trained personnel perform well
especially in environment where HRM is effective.
Kramar et al (2014) contends that though the impact of HRM largely depends on the ability and
response of the workers towards the HRM systems, employees generally prefer clear systems
that HRM provides. HRM impacts employees positively and its application provides incentives
for skilled and professional employees. The soft HRM approach to employee motivation leads to
high performance and commitment. Most organizations demand employee loyalty and trust
while eliminating the structures that support job security, long term employee development and
other benefits that literally foster employee trusts in organizations and management systems
(Kramar et al, 2014).
Annotated Bibliography 2
Martin-Alcazar et al (2005) demonstrates that HRM develops skills and abilities that increases
knowledge and potential of employees to yield high positive returns hence adding value to the
company’s strategic management. HR development is pivotal to organization performance as it
facilitates the growth of core competencies and development of high performance capabilities in
employees (Becker et al, 2001). However, the implementation and evaluation of the HR
functions is a continuous exercise that is challenging and requires regular improvement. The
profession must develop ways of valuing human capital like all other assets that organizations
Annotated Bibliography 3
Becker, BE, Huselid, MA & Ulrich, D. (2001) The HRM scorecard: linking people, strategy and
performance, Harvard Business School Press.
Kramar, R., Bartram, T., Ceiri, H.D., Noe, R.A., Heooenbeck, J.R., Gerhart, B., & Wright, R.M.
(2014). Human Resources Management, McGraw-Hill, Sydney, NSW.
Martin-Alcazar, F., Romero-Fernandes, P.M., & Sanchez-Gardey, G. (2005) ‘Strategic human
resource management: integrating the universalistic, contingent, configurational and
contextual perspectives’, International Journal of Human Resource Management, vol.
16, no. 5, pp. 633–659.