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We describe why human resource management (HRM) decisions are likely to have an important and unique influence on organizational performance. Our hope is that this research forum will help advance research on the link between HRM and organizational performance. We identify key unresolved questions in need of future study and make several suggestions intended to help researchers studying these questions build a more cumulative body of knowledge that will have key implications for both theory and practice.
This questions is somehow diplomatic as HR persons are usually under direct influence of top management and senior directors. Most of the time, the HR is already conveyed the results. An independent HR can only bring the actual facts and figures about progress and prospects, but none of the HR is transparent as a team or as a individual.
Let’s put his query in another way i.e. what is the impact on organization without HR department;
1 –There will be no rules and regulation and if they exist then no one is there to enforce them.
2 – Its absence creates ambiguity.
3- Low employee morale due to no neutral performance monitoring.
4 – High turnover rate which cost double to organization.
5 – Profit margin declines and this might lead to close of business.
This is how organization impact with this division. HR department plays a pivotal role in developing the organization through hiring, retaining and grooming individual as they are the one who runs the process and division and this is the driving force for all.
