The importance of human resource policies - As managers, before considering any human resource policy, it is important to pose a number of questions which have to be answered by the managers themselves because developing human resource policy to address specific areas of human resource management is an investment which, in principle should have positive returns in terms of facilitating decision making and creating a motivating environment for the employee.
However, despite the fact that this topic is important for people management in organizations, a cursory review of the coverage of human resource policies as a distinct topic in the mainstream literature of human resource management studies show inadequacies in terms of scope and content (Cuming 1985; Beach & Dale 1985; Armstrong 2006).
One of the reasons seems to be that policies, when defined as guidelines, are implicitly covered in separate topics such as strategic human resource management, human resource plans, performance and reward management and so on. However, where human resource policies are discussed, the best arguments for establishing human resource policies are:
However, despite the fact that this topic is important for people management in organizations, a cursory review of the coverage of human resource policies as a distinct topic in the mainstream literature of human resource management studies show inadequacies in terms of scope and content (Cuming 1985; Beach & Dale 1985; Armstrong 2006).
One of the reasons seems to be that policies, when defined as guidelines, are implicitly covered in separate topics such as strategic human resource management, human resource plans, performance and reward management and so on. However, where human resource policies are discussed, the best arguments for establishing human resource policies are:
- First, human resource policies help managers to ensure that people management is in line with corporate values. It is not an easy task to solicit employees’ commitment to the organization if what is contained in the corporate vision, mission, and values is not further developed and put across in such a way that both managers and employees feel that the organization is not just paying lip service. Indeed, human resource policy is useful in judging the extent to which the consistency between the declared philosophy in people management at the strategic level and the day-to-day management of human resources in terms of decisions and activities at operational level is sustained.
- Second, the importance of human resource policies includes ensuring that human resource management decisions are made consistently. Managing employees is about decision-making and implementation of human resource intents in the whole spectrum of the terms and conditions of employment Human resource policies provide a reference and guidance for avoiding inconsistent decision making by substantive managers or those who make decisions in similar matters and thus affecting different employees over time. This builds confidence and trust between managers and staff.
- Third, is to minimize inequality in the treatment of employees. Although the mere presence of human resource policies cannot guarantee equality in the treatment of employees in various areas such as training, employment benefits or gender, lack of specific policies can create even more disparity between employees. It becomes difficult for employees to demand equal treatment when there are anomalies and when there are no clear definitions and criteria for judging equality.
- Fourth, human resource policies facilitate decentralization, delegation and local empowerment. Staffing decision making can be delegated to lower levels of management without the risk of the wrong decisions being taken because the policy will provide guidance on how certain issues or problems on staffing should be handled. The importance of human resource policies can be presented that the human resource policy document becomes the source of power and authority for those entrusted with the execution of duties affecting employee’s work and welfare.