Human Capital Essay Example | Topics and Well Written Essays - 750 words

Human Capital - Essay Example The qualification, skills and experience of an employee has an economic value for his employer as well as for the economy as a whole. Human Resource Practices are defined as those methods, processes, rules and procedures used in the field of HR. Examples include recruiting, hiring, firing, training, monitoring, reviewing performance, performance appraisals etc. Human Resource Behavior refers to interdependence of individuals in co-coordinating their activities in order to perform at a higher level. Firm Performance is usually measured in terms of financial health of a firm. There are numerous contributing factors which effect firm’s performance. Some of the prior mentioned variables are also leading factors which influence firm’s performance. Finally, Overlapping Tenure is the amount of time employees have worked together in order to achieve common performance outcomes. Relationship among prior mentioned variables Extensive researches have been performed in order to exa mine the relationship among these variables. Aldehayyat & Twaissi (2011) examined a strong positive relationship between Financial Performance and Strategic Planning. The empirical results of this research also supported the practice of firms’ strategic planning in small and medium sized business firms. Leana & Van Buren, (1999) studied the relationship between Overlapping Tenure and Firm’s Performance. In this study, Leana & Van Buren, (1999) focused on the overlapping tenure that is the amount of time employees have spent in working with each other as well as with their manager. The authors stated that it may take time for individuals to form relationships with their-co-workers and allows them to work for common goals. Leana & Van Buren, (1999) stated that some studies found positive long term relationship between the two while other found negative relation between overlapping tenure and firm’s performance. Research conducted by Carmeli & Schaubroeck, (2005), Takeuchi, Lepak, Wang, and Takeuchi, (2007) and Lopez-Cabrales, Valle & Herrero, (2006) found positive relationship between firm performance and human capital. These studies employed industry accepted measures of human capital in order to investigate the relationship between performance and human capital. Leana & Van Buren, (1999) conducted a study to determine overlapping tenure and its relation with firm’s performance. In this study, the main area of focus was the amount of time employees have worked with each other and the amount of time they have worked with their manager. Leana & Van Buren, (1999) concluded that human capital is influenced by stability of employees’ relations. By having flexibility and promoting stability among employees, organizations may enhance their social capital. Study of Huselid (1995) stated that firm performance and high performance work reduces employee turnover and increase employee performance. Also, high performance work by employees leads to greater organizational performance (financial and productivity) (Huselid, 1995). The behavioral perspective of human resource behavior facilitates relation between organization performance and human resource practices. Human resource practices are utilized to improve and control the behaviors and attitudes of human resource. Behavioral perspect

Business Information Systems Essay Example | Topics and Well Written Essays - 2250 words - 2

Business Information Systems - Essay Example One such factor that is very essential for success of any business, especially in present era of huge competition, is processing and dissemination of information in and out of the organisation. Nowadays, accurate and rapid management of information has become an essential and imperative task for business organisations since besides product quality, it has been an observation that service delivery now plays an important role in deciding future orders, and for this reason, a company can make or lose business just by focusing on its information management and systems. Although management of information was essential in the past as well; however, volume of such information was not so huge that it needed systems and thus, humans were performing the task efficiently (Martin, 1973, pp. 255-257). However, nowadays, due to huge number of customers, suppliers, vendors, etc, the need of business information systems has become inevitable, especially for companies that are dealing with suppliers and customers on national and international levels. One such company under consideration in this paper is Bognor Marine Watercraft (BMW) Company. In the last few years, BMW Company has witnessed an amazing progress in its business of watercraft and ancillaries that was limited to the UK market. Now, the decision-makers are now thinking about expanding the business due to increase in demand from the customers, especially for specialised high-end luxury watercrafts that has been the reason of their presence in the media lately. As the result, the notion of a ‘global village’ (Avgerou, 2003, pp. 97-99) is becoming a reality for the owners of BMW Company who now wants to become a market leader in their particular industry, not only in the UK market but internationally as well. Although the company was aware of the importance of information technology and therefore, it did invested in different information management systems and databases, however, it is an observation that the company did not give consideration to various aspects that are very essential before setting up of any IT structures and systems (Lan, 2005, pp. 130-134). In this regard, this paper will include understanding of different aspects related to IT systems that will potentially assist BMW Company in making the best use of its IT systems. Business Information Systems It will not be wrong to declare 21st century as the era of science and technology since even in the business market, the flow of information from one source to another has now become a decisive factor of success or failure of a company (Laudon & Laudon, 2007, pp. 101-103). As the result, nowadays, business information systems have taken place of humans and performing their tasks of processing and storing information while holding records and data related to different processes of an organisation. Companies have now installed information systems that are capable of comparing and relating past and present data to provide st atistics that enable owners to take crucial decisions in an efficient manner. Moreover, in bigger organisations such as BMW Company where there are different and various departments, information syste