Recruitment Essay Example | Topics and Well Written Essays - 1500 words - 1

Recruitment - Essay Example For example, smaller firms engage differently with the external labour market than does the larger firm (Atkinson and Meager 1994). For the small firm, such engagement is less predictable and not easily incorporated into formalised systems (Atkinson and Meager). This report highlights the mitigating factors that will determine which strategy is most effective and beneficial for a variety of firm types. â€Å"Human resource management is a strategic and coherent approach to the management of an organization’s most valued assets, the people working there who contribute to the achievement of its objective† (Armstrong 2007, p.14). Centralised hierarchies, as one example, will often use the hard approach to HRM, which is focused around the tangible management activities of controlling, planning and scheduling. The hard style of HRM aligns, technically, human resource capital with business objectives usually using transactional leadership philosophy where rewards are highly contingent on achievement of specific, identified performance guidelines and objectives (Antonakis et al. 2003; Armstrong 2007). The soft approach, however, is more relationship- and people-centric where HR managers and line managers seek to actively build human capital through transformational leadership strategy, coaching, mentoring, and building social capital through establishment of a unified organ isational culture. Whether the business uses hard or soft HRM philosophy will determine whether formal or informal systems of recruitment and selection are most appropriate to the business. Centralised hierarchies do not provide employees with much opportunity for feedback and decision-making whilst decentralised firms genuinely try to exploit human capital by allowing employees to illustrate individualism, creativity and problem-solving on a regular