Human Resource Management: Emerging Trends

Subject: Employee Management
Pages: 5
Words: 1166
Reading time:
5 min
Study level: Bachelor


The practice of human resource management often comprises of the activities that involve the management of the people, commonly known as a workforce. Since the practice of managing people changed from personnel management to human resource management, the human capital paradigm has been evolving rapidly with numerous transformative changes in its practices (Rawat, 2013). The human resource or the human capital management field is continually facing changes in its operations as several factors and trends seem to influence its progress (Rawat, 2013). Computerized HR information systems, high workforce compensation, and employee retention are three major concerns for the modern human resource departments. With reference to the motor industry, the intention of this essay is to provide an analysis of the mentioned trends, factors that influence the trends, and how the trends positively and negatively influence the HR practice.

Quiz 1: An Overview of the Three HR Trends

The use of Computerized HR Information Systems

In the modern human resource management practice, companies are using computerized HR information systems in the form of computer software to manage the activities of hiring, tracking employee applications, assessing the workflow, managing the workforce payroll, monitoring performance management, controlling the disbursement processes, and maintaining the employee databases (Bansal, 2014).

High Workforce Compensation

The human resource departments are now curious about the rising compensation packages among the workers. With better education and expertise, employees are requesting for high compensations that seem to cause high wage bills in the companies (Bebchuck & Fried, 2013).

Employee retention

A crucial emerging trend in the management of human capital, is the rising quest to retain a highly-skilled workforce. A challenge in the retention process is the high compensation and wages that the skilled workers often demand from the companies for their services.

Quiz 2: Factors that have an Influence on these Trends

Several issues are influencing the three changes witnessed in the human resource paradigm.

Concerning the use of computerized HR information systems

Issues of professionalism, work efficiency, data management, workflow management, constant recruitment, the accuracy of the information, and the effectiveness of HR audits, have the most influence on the future of the HR practice (Bansal, 2014).

Concerning the high workforce compensation

Skillful working, workplace competence, technological competence, and educational levels, are the factors that are reshaping the compensation strategies.

Pertaining to the issue of employee retention

Changes in the labor market, the changing technologies, corporate competition, and diverse consumer demands are the factors that are behind the changes in the demands for employee retention. In the motor industry, technology is becoming essential to manage the strategic activities, to improve the services, to reduce the labor costs, to trace workforce information, and to maintain consumer demands.

Quiz 3: Positive Influence of the Trends

The motor industry has various departments that require strategic management, sophisticated approaches, and a constant overhaul of the workforce.

The use of computerized HR information systems

Will, in the future, improve the workforce recruitment processes, reduce the operational costs of the companies, stabilize the HR functional practices, maintain the accuracy of worker’s information, and improve the management of HR information (Bansal, 2014).

High workforce compensation

will bring about competitive working, enhanced determination, employee commitment, professionalism, job satisfaction and enhanced motivation. Such changes will help the motor companies to improve productivity, enhance creativity, reduce the operational costs, and meet the ever-changing consumer demands.

Employee retention

Will assist the motor companies in maintaining a persistent performance, enhancing job commitment among the employees, and reduce the compensation rates and maintenance costs incurred in maintaining employee turnover.

Quiz 4: Negative Influence of the Trends

The use of computerized HR information systems

Will bring about negative consequences such as uncontrolled data risks, dilemmas of employment ethics such as the privacy of employees, problems of financial fraud, problems of workplace time management, and problems associated with the training of the workforce to operate the systems (Batool, Sajid, & Raza, 2012). In the motor industry, the workforce requires data safety, efficient time management, and constant employee training and development about the new technologies and how to manage the various operating systems.

High workforce compensation

The unrelenting demand for higher compensation and remuneration among the employees will jeopardize the controlling of the expenses of maintaining a workforce. Companies may collapse or become bankrupt due to high wage bills.

Employee retention

The rates of youth unemployment will increase, workplace laxity will dominate within the companies, there will be uncontrolled expenditures, and poor succession plan will affect the company operations.

Quiz 5: Repercussion When the Trends Remain Ignored

The motor industry is a highly competitive field of business, where market trends, technology, human resource management, and marketing, act as important facets of development. In the field of human resource management, the issues of using the computerized HR information systems, practicing high workforce compensations, and adopting employee retention processes are very crucial. When companies ignore these issues, the future of HR management will be at stake because the three emerging trends affect the management of workers, the management of corporate finances, the management of market issues, and the management of operational costs. In the motor companies, when the trends remain ignored, the automobile industry may suffer from financial crises, human capital management crises, policy development conflicts, decreased human performances and collapsed structures of human resource management. Motor companies may underperform in the markets or collapse completely.

Quiz 6: Recommendations on What the Organizations should

Pertaining to the use of computerized HR information systems

Investing in reliable technologies such as information systems is beneficial for modern firms. According to Bansal (2014), companies should increase financial investment, human capital investment, policy formulation and improvement, and market preparedness, to offset the challenges that the information systems may bring.

High Workforce Compensation

The demand for a pay rise is relentless because companies are depending on an already mature workforce that established its expertise alone (Bebchuck & Fried, 2013). The use of constant on-job training, the use of reward systems, the use of professional development strategies, and enhanced benefits will offset and reduce the persistent pay increase demands (Edwards, 2010).

Employee retention

It is important for companies to retain its competent workforce. Nonetheless, to prepare for the issues that may arise from the issues of employee retention, companies must be strategic. According to Narang (2013), companies should establish training institutions; develop turnover assessment strategies, set performance appraisals, and develop compensation policies.


The HR practice is in a continuous change process due to the several emerging trends that seem to affect the operations of the human resource sector. Computerized HR information systems, high workforce compensation, and employee retention are some of the emerging trends that seem very influential in the progress and the future of human resource management. All these trends can affect the operations of the companies positively or negatively in several ways, depending on the manner in which the operational factors relate to the trends. To offset the disappointments that these trends may present in the future, companies must be strategic in their future preparations.


Bansal, A. (2014). Computerized Human Resource Information System– An Emerging Trend for Managing Human Resources. International Journal of Innovative Technology and Exploring Engineering, 3(10), 33-35.

Batool, S., Sajid, M., & Raza, S. (2012). Benefits and Barriers of Human Resource Information System in Accounts Office & Azad Jammu &Kashmir Community Development Program. International Journal of Humanities and Social Science, 2(3), 211-217.

Bebchuck, L., & Fried, J. (2013). Executive Compensation as an Agency Problem. Journal of Economic Perspectives, 17(3), 71–92.

Edwards, C. (2010). Public Sector Unions and the Rising Costs of Employee Compensation. Cato Journal, 30(1), 87-115.

Narang, U. (2013). HRM Practices – Its Impact on Employee Retention. IRC’S International Journal of Multidisciplinary Research in Social & Management Sciences. 1(4), 48-51.

Rawat, R. (2013). Emerging Employee Retention Strategies in IT Industry. Pioneer Journal, 6(2), 12-26