The Impact of Human Resource Management Practices Over Supply Chain Qualitative Performance

 

Blog 02

The supply chain is a vitally important stage for all industries. It is a systematic and strategic coordination of the business functions within a particular industry, which is being used for improving long-term performance of the individual companies. It is also helpful to increase operational efficiency and effectiveness of the company in terms of product transfer and information sharing (Beamon, 2019).

In order to have solid control over the products and services provided, management ought to focus on monitoring and measuring the process. Traditionally, performance measurement is used to express the level of effectiveness and efficiency of the action taken. It is expected to provide deep insight of the operational process and contribute a set of information to be utilized by the management of the company. Therefore, accurate performance measurement is helpful in improving companies’ performance and without a sufficient measurement, improvement may be in danger (Beamon, 2021).

In this era of global village, firms are facing intense competition and uncertain business environment due to high level of globalization, technological advancement and ever-changing customer demands and expectations. Therefore, flexibility is a must for companies to react toward those changes. Even though the function of supply chain plays significant role that consolidates the level of competitiveness of the firms, it has gained tremendously complex structure due to increased competition, technological advancement and globalization (Huselid, 2020). According to Supply Chain Forum (2020), there is an insufficient awareness, namely, gaining competitive advantage in terms of supply chain efficiency and effectiveness rest heavily on human performance that is being controlled and improved by Human Resources Management. An effective and strategic management of human resource can equally provide strong source of competitive advantage. As both the researchers of Supply Chain Management and Human Resource Management have independently focused on improving and consolidating competitive edge of the firms, they have begun to collaborate their mutual functionality and purpose to strengthen companies’ position in the market compared to its rivals (Daugherty, et al., 2021).

Supply chain consists of supplier, manufacturer, distributer and consumer where the materials and information flow from suppliers to the customers. The basic purpose of Supply Chain Management is to provide optimum customer service and minimize cost compared to competitors (Beamon, 2019). Supply Chain Management pays great deal of attention on marketing, product development and customer service which reveals that one of the classified characteristics of SCM is to establish an approach that obtains customer satisfaction. In this context, SCM performance has a significant impact on a company’s overall achievements that leads a company to create value for customers by fulfilling their expectations and gain greater operational efficiency (Brah, 2021).

In the supply chain context, human performance is considered employee performance quality in fulfilling supply chain-related task and activities, meeting expected levels that facilitating the achievements of organizations goals (Huselid, 2020). Swart and Duncan (2018), have firstly developed human performance concept in general context that specified the expected performance in workplace could be achieved through proper education and set of valid and appropriate process. When the actual workplace performance consistent with behavioral expectations, then the excellent human performance is achieved. When human performance deflect from expected performance, then the reason behind performance discrepancy must be investigated and appropriate corrective action must be taken in order to minimize organizational disruption (Beamon, 2019).

Employees are key drivers related to the execution of supply chain strategy. In this regard, managing human assets effectively by focusing attention on employee engagement, helps firms to improve their performance toward given task and therefore, human performance is vitally important for every organization in creating value for both the company and customers. Human failure in meeting ideal performance expectation is likely to result in reduction of quality of goods and services. A firm may have solid supply chain strategies to be implemented, but unexpected performance from workers can easily distort the achievement of goals. In order to meet customer requirements and expectations, firms may develop an extensive process for quality of goods and services (Beamon, 2019).

However, if the employee has been assigned to perform given task cannot or choose not to perform as trained, the desired service level or product quality may still be in danger. It is vitally important to take into account that supply chain is not only about set of strategy or process design, but it is also strongly related to human performance that has to be managed effectively. Human Resource Managements plays critical role in recruiting capable talents that can be utilized for achievement of companies’ goals. It is basically process of selecting appropriate candidate to assign specific task (Huselid, 2020). Managements are required to develop the workforce that proficient in using emerging global technological resources and also meeting companies’ expectations. This helps mitigating high turnover of employees that is likely to cause organizational performance reduction. Selection consists of two connected process. Firstly, firms are generating a pool of capable people to apply for a particular position of an organization. Secondly, it is processed with selecting most suitable candidates for the job by taking into account management goals and the legal requirements. Various of techniques can be employed during the selecting process which include various forms of interviews in order to analyze whether job applicant is met the requirements, curriculum vitae, references among others and assessment centers (Brah, 2021).

In order to achieve superior human performance, well-managed reward system is crucial. Reward system also can be used as a motivation tool within firm to increase employees’ effectiveness. Payment strategies within firms can be managed based on performance, based on production, based on skill and based on knowledge related payment. This strategy helps obtaining the superior performance provided by employees in order to achieve specific task by motivating the staff members (Daugherty, et al., 2021). Expected output from staff members can be achieved through relevant training programs and effective performance can be ensured if employees pose better knowledge. Supply chain has a complex structure that involves high amount of understanding of the whole process. Therefore, training is used to attain better employee performance and solid control over the process (Beamon, 2019).

Training is the formal and systematic model of behavior that can be gained through learning, which derived as a result of proper education and instruction. In order to solve organization-related problems, to advance employees performance and to enable continuous development of human resource, appropriate training program is a must for every organization that pursue performance excellence and it is required to keep organizations ahead of their competitors (Huselid, 2020).

Conclusion

Even though the functionality of supply chain management is widely accepted among its practitioners as the core of the organizations in terms of its efficiency and effectiveness the influence of human resource management on supply chain has started it be realized as main element of supply chain success. Without high level of employee performance and dedication provided success of supply chain management may stay in risk. So, each of human resource management practices has significant impact on supply chain performance.

References

Beamon, 2019. A Process Quality Model for the Analysis, Improvement, and Control of Supply Chain Systems. International Journal of Physical Distribution & Logistics Management, 4(1), pp. 25-51.

Beamon, 2021. Measuring supply chain performance. International Journal of Operations & Production Management, 8(5), pp. 75-95.

Brah, 2021. The Effects of Technology and TQM on the Performance of Logistics Companies. International Journal of Physical Distribution, 6(2), pp. 45-58.

Daugherty, Stank & Bowersox, &., 2021. Managing product introduction risk through response based logistics. International Journal of Production Innovation Management, 15(5), pp. 91-98.

Huselid, 2020. High Performance Work Systems and Firm Performance: A Synthesis of Research and Managerial Implications. International Journal of Human Resource Management, 11(1), pp. 69-78.

 

 

 

 

The supply chain is a vitally important stage for all industries. It is a systematic and strategic coordination of the business functions within a particular industry, which is being used for improving long-term performance of the individual companies. It is also helpful to increase operational efficiency and effectiveness of the company in terms of product transfer and information sharing (Beamon, 2019).

In order to have solid control over the products and services provided, management ought to focus on monitoring and measuring the process. Traditionally, performance measurement is used to express the level of effectiveness and efficiency of the action taken. It is expected to provide deep insight of the operational process and contribute a set of information to be utilized by the management of the company. Therefore, accurate performance measurement is helpful in improving companies’ performance and without a sufficient measurement, improvement may be in danger (Beamon, 2021).

In this era of global village, firms are facing intense competition and uncertain business environment due to high level of globalization, technological advancement and ever-changing customer demands and expectations. Therefore, flexibility is a must for companies to react toward those changes. Even though the function of supply chain plays significant role that consolidates the level of competitiveness of the firms, it has gained tremendously complex structure due to increased competition, technological advancement and globalization (Huselid, 2020). According to Supply Chain Forum (2020), there is an insufficient awareness, namely, gaining competitive advantage in terms of supply chain efficiency and effectiveness rest heavily on human performance that is being controlled and improved by Human Resources Management. An effective and strategic management of human resource can equally provide strong source of competitive advantage. As both the researchers of Supply Chain Management and Human Resource Management have independently focused on improving and consolidating competitive edge of the firms, they have begun to collaborate their mutual functionality and purpose to strengthen companies’ position in the market compared to its rivals (Daugherty, et al., 2021).

Supply chain consists of supplier, manufacturer, distributer and consumer where the materials and information flow from suppliers to the customers. The basic purpose of Supply Chain Management is to provide optimum customer service and minimize cost compared to competitors (Beamon, 2019). Supply Chain Management pays great deal of attention on marketing, product development and customer service which reveals that one of the classified characteristics of SCM is to establish an approach that obtains customer satisfaction. In this context, SCM performance has a significant impact on a company’s overall achievements that leads a company to create value for customers by fulfilling their expectations and gain greater operational efficiency (Brah, 2021).

In the supply chain context, human performance is considered employee performance quality in fulfilling supply chain-related task and activities, meeting expected levels that facilitating the achievements of organizations goals (Huselid, 2020). Swart and Duncan (2018), have firstly developed human performance concept in general context that specified the expected performance in workplace could be achieved through proper education and set of valid and appropriate process. When the actual workplace performance consistent with behavioral expectations, then the excellent human performance is achieved. When human performance deflect from expected performance, then the reason behind performance discrepancy must be investigated and appropriate corrective action must be taken in order to minimize organizational disruption (Beamon, 2019).

Employees are key drivers related to the execution of supply chain strategy. In this regard, managing human assets effectively by focusing attention on employee engagement, helps firms to improve their performance toward given task and therefore, human performance is vitally important for every organization in creating value for both the company and customers. Human failure in meeting ideal performance expectation is likely to result in reduction of quality of goods and services. A firm may have solid supply chain strategies to be implemented, but unexpected performance from workers can easily distort the achievement of goals. In order to meet customer requirements and expectations, firms may develop an extensive process for quality of goods and services (Beamon, 2019).

However, if the employee has been assigned to perform given task cannot or choose not to perform as trained, the desired service level or product quality may still be in danger. It is vitally important to take into account that supply chain is not only about set of strategy or process design, but it is also strongly related to human performance that has to be managed effectively. Human Resource Managements plays critical role in recruiting capable talents that can be utilized for achievement of companies’ goals. It is basically process of selecting appropriate candidate to assign specific task (Huselid, 2020). Managements are required to develop the workforce that proficient in using emerging global technological resources and also meeting companies’ expectations. This helps mitigating high turnover of employees that is likely to cause organizational performance reduction. Selection consists of two connected process. Firstly, firms are generating a pool of capable people to apply for a particular position of an organization. Secondly, it is processed with selecting most suitable candidates for the job by taking into account management goals and the legal requirements. Various of techniques can be employed during the selecting process which include various forms of interviews in order to analyze whether job applicant is met the requirements, curriculum vitae, references among others and assessment centers (Brah, 2021).

In order to achieve superior human performance, well-managed reward system is crucial. Reward system also can be used as a motivation tool within firm to increase employees’ effectiveness. Payment strategies within firms can be managed based on performance, based on production, based on skill and based on knowledge related payment. This strategy helps obtaining the superior performance provided by employees in order to achieve specific task by motivating the staff members (Daugherty, et al., 2021). Expected output from staff members can be achieved through relevant training programs and effective performance can be ensured if employees pose better knowledge. Supply chain has a complex structure that involves high amount of understanding of the whole process. Therefore, training is used to attain better employee performance and solid control over the process (Beamon, 2019).

Training is the formal and systematic model of behavior that can be gained through learning, which derived as a result of proper education and instruction. In order to solve organization-related problems, to advance employees performance and to enable continuous development of human resource, appropriate training program is a must for every organization that pursue performance excellence and it is required to keep organizations ahead of their competitors (Huselid, 2020).

Conclusion

Even though the functionality of supply chain management is widely accepted among its practitioners as the core of the organizations in terms of its efficiency and effectiveness the influence of human resource management on supply chain has started it be realized as main element of supply chain success. Without high level of employee performance and dedication provided success of supply chain management may stay in risk. So, each of human resource management practices has significant impact on supply chain performance.

References

Beamon, 2019. A Process Quality Model for the Analysis, Improvement, and Control of Supply Chain Systems. International Journal of Physical Distribution & Logistics Management, 4(1), pp. 25-51.

Beamon, 2021. Measuring supply chain performance. International Journal of Operations & Production Management, 8(5), pp. 75-95.

Brah, 2021. The Effects of Technology and TQM on the Performance of Logistics Companies. International Journal of Physical Distribution, 6(2), pp. 45-58.

Daugherty, Stank & Bowersox, &., 2021. Managing product introduction risk through response based logistics. International Journal of Production Innovation Management, 15(5), pp. 91-98.

Huselid, 2020. High Performance Work Systems and Firm Performance: A Synthesis of Research and Managerial Implications. International Journal of Human Resource Management, 11(1), pp. 69-78.