Effects of Organisational Structure on HRM in a Business

Share

Organization Structure _ HRM
Introduction
Associations are arranged as a mixture of routes that is dependent on the society and their goals. The organisation structure of an association shall focus on the way it works and performs its functions in an appropriate manner. People who are part of the organisation need a defined and a systematic manner of working so that they can relate to each other and coordinate their efforts. The proper relationships between the important elements of the organisations are called the organisation structure (Jesinoski, Miller and Volker 2016).

Thus, it means a systematic arrangement of people who work for the organisation so that they are able to achieve certain goals. It is the framework of different relationships among the people and groups in the organisation.

Organisation Chart
The formal relationship in the organisation is explained with the help of an organisation chart. The boxes represent the different important position within the organisation. The distance of the box is inclusive of the position in the top hierarchy. The closer is the position of the box the higher is the status and vice versa. The line that joins between the different positions is representative of the formal reporting of the relationships (Bell, Bryman and Harley 2018).

Factors that influence the choice of structure
Forming an organisation structure is a continuous process. Depending on the type of organisation, an organisational structure is formed. Thus, it the responsibility of of managers to ensure that there is improvement on the design of the organisation. There are certain factors that should be taken care of before forming an organisational structure. These factors have played an important role and have always been a part of academic writing as well by different authors (Olson et al. 2018).

  • The first factor is strategy and choices that shall influence the organisational structure. The strategy means the way a particular business is able to position itself. The different attempt that is needed to fulfil the strategy is vision and other needs of the organisation.
  • The second factor is complexity ad size of the organisation. As an organisation becomes bigger, it becomes more complex and the structure needs to change so that proper information is exchanged and coordinated.
  • The third factor is technology. Technology can influence an organisation especially if a organisation is complex by size.
  • The organisations are continuously interacting with the environment in terms of putting inputs and providing the output. All the organisations operate in an environment that comprises of economic, legal and political subsystems.

Human Resource Management (HRM) is a set of management practices that is aimed to develop the human resources for a better performance at the organisation. The task of the HRM within an organisation is to regulate the organisational structure in an appropriate way so that the organisation is able to achieve its aims and objectives. A HRM has four major tasks that is associated with the organisational structure in the business (Purce 2014).

  • As illustrated by different authors in academic writing it has been held that forming an organisation is called labour market in which wages are given to the employees. The operations of the business and other functions of the company are decided by the HR manager.
  • To mobilise the organisation it not sufficient that employees are qualified. It shall largely depend on what the organisation has to offer the employees. The HR managers prepare the format in a business.
  • Providing proper skills and training to the employees. The HR department of a company conducts the training, recruitment and management of job positions and they use all the means to provide proper qualifications to the employees of the company.
  • HRM also includes management of regulation of organisations in a proper manner. The failures of the organisation should be exposed in a normal manner and the organisations should prevent expression of their failure in a particular matter.

Relationship between HRM and organisational structure
Organisation structure means the proper arrangement of people working for the company so that the company achieves certain goals. The framework of relationships is formed between people and the organisation. Different types of organisation are present such as Line, Functional, divisional and line and staff matrix. The position of the HR department in the total organisation setup is largely dependent on whether a particular unit is small or large. In small organisations, there might not be a separate HR department and the human resource functions might be conducted with the help of an office manager. However, this is not the case in bigger organisations (Paauwe and Boon 2018). In the present times, an organisation has a chair and managing director as part of the human resource management (HRM).

In an organisation, HR organisational structure plays a very important role as the framework and other aligning resources is defined as part of the business strategy stating the organisation’s culture. The structure directly influences the company’s ability to attract and retain proper HR talent. Consequently, the work of the HR influences the success of the organisation in the future as the well. Its influence is within and outside the scope of the HR function as well.

An effective organisational structure has its roots in the creation of a positive impact on the business and that is why it is always aligned with a proper business strategy. It is designed in a manner to attract their high performing people and create positions so that the growth and development opportunities are also impacted.  The present researching trends help us to find the needs of the business so that important contributions can be made to the business (Alagaraja and Shuck 2015).

Conclusion
Thus, it can be said that organisation structure of an association shall focus on the way it works and performs its functions in an appropriate manner. People who are part of the organisation need a defined and a systematic manner of working so that they can relate to each other and coordinate their efforts. The proper relationships between the important elements of the organisations are called the organisation structure. It means a systematic arrangement of people who work for the organisation so that they are able to achieve certain goals. It is the framework of different relationships among the people and groups in the organisation.

References
Alagaraja, M. and Shuck, B., 2015. Exploring organizational alignment-employee engagement linkages and impact on individual performance: A conceptual model. Human Resource Development Review14(1), pp.17-37.
Bell, E., Bryman, A. and Harley, B., 2018. Business research methods. Oxford university press.
Jesinoski, T., Miller, G.J. and Volker, J.X., 2016. Entrepreneurial Human Relations And Organizational Behavior. Business Journal for Entrepreneurs, (4).
Olson, E.M., Slater, S.F., Hult, G.T.M. and Olson, K.M., 2018. The application of human resource management policies within the marketing organization: The impact on business and marketing strategy implementation. Industrial Marketing Management69, pp.62-73.
Paauwe, J. and Boon, C., 2018. Strategic HRM: A critical review. In Human Resource Management (pp. 49-73). Routledge.
Purce, J., 2014. The impact of corporate strategy on human resource management. New Perspectives on Human Resource Management (Routledge Revivals)67.