Contemporary Developments in HRM & HRD

How has the role of HRM and HRD changed in the last ten years?

The role of Human Resource Management (HRM) and Human Resource Development (HRD) has undergone significant transformation over the past decade. Traditionally, HRM was perceived as a largely administrative function, primarily concerned with employee recruitment, payroll, and compliance with employment laws (Lawler & Boudreau, 2015). However, in the last ten years, HRM has evolved into an organisation's strategic partner, working towards aligning HR policies and practices with business strategies, fostering employee engagement, and building a company culture that supports business objectives (Ulrich, 2016).

Similarly, HRD, which primarily deals with employee training and development, has broadened its scope to include talent management, succession planning, and organisational development (Garavan et al., 2016). The aim is to improve individual performance and facilitate learning and development at organisational and societal levels (McGuire & Jorgensen, 2011).

This shift in roles is mainly due to increasing recognition of human capital as a critical competitive advantage, changes in workforce demographics, technological advancements, and the turbulent business environment (Shipton et al., 2017). However, this transformation has been challenging. For instance, aligning HR policies with business strategies often requires HR professionals to deeply understand the business and its strategic goals, which may only sometimes be the case (Rousseau & Barends, 2011). Furthermore, the increased focus on employee engagement and company culture may require a shift in organisational mindset, which can be challenging.

In what ways do contemporary HRM and HRD practices reflect how organisations have to respond to change?

Contemporary HRM and HRD practices increasingly reflect the need for organisations to adapt to change. One of the key ways this is seen is through the emphasis on agility and flexibility (Sherehiy & Karwowski, 2014). HRM practices now often involve creating flexible work arrangements and fostering a culture of continuous learning to help organisations adapt quickly to external changes such as technological advancements or market shifts (Obeidat, 2016).

HRD practices, on the other hand, are increasingly focused on developing employees’ skills to meet future needs rather than just current job requirements (Zemke, 2018). This includes focusing on soft skills like leadership, creativity, and adaptability, which are critical for navigating change.

Another reflection of the response to change is the increased use of data and analytics in HRM and HRD. HR professionals now leverage data to make evidence-based decisions, predict future trends, and measure the impact of HR initiatives (Marler & Boudreau, 2017).

Furthermore, the rise of remote work, driven by technological advancements and recently accelerated by the COVID-19 pandemic, has also influenced HRM and HRD practices (Kelliher & Anderson, 2010). HRM now involves managing a dispersed workforce, while HRD faces the challenge of providing effective learning and developing opportunities in a virtual format.

To be precise, contemporary HRM and HRD practices are increasingly becoming a strategic tool for organisations to navigate and respond to the rapidly changing business environment (Ulrich et al., 2012).