HRM370-4 Contemporary Issues in Human
Resource Management
Chapter 13
The role of HRM in the 21st Century
The workplace of the twenty-first century
Barner's - identifies seven changes, expected over the next few years, which will reshape the work
environment:
The virtual organisation
a just-in-time workplace
The ascendancy of knowledge workers
Computerised coaching and electronic monitoring
The growth of worker diversity
An ageing workforce
The birth of a dynamic workforce
The virtual organisation
As we indicated earlier in this book, organisations are already using electronic technology to link their
members at different work sites, and their members are communicating with each other via these
systems. This type of operation is known as a virtual organisation.
Virtual organisations exhibit a number of characteristics:
reliant on the medium of cyberspace
They are enabled via new computing and communications developments
They initially exist only across conventional organisational structures
The growth in this area can be attributed to developments like:
The rapid evolution of electronic technology in the area of video, audio, and text information
The worldwide spread of computer networks, as a result of globalisation
The growth of home offices (telecommuting).
From a management perspectiveas well as HR profession¬als, these developments hold a number of
important challenges for the future.
From a management perspective, issues such as effective communication and planning will need
attention as the face-to-face approaches, which have worked well over the years, disappear.
Managers and team members will have to form clear agreements from the outset regarding issues such
as performance expectations, team priorities, communication links, and resource allocation.
Other problems that may arise include possible misunderstandings and interpretations as a result of e-
mail correspondence.
The advantage of e-mail is that it cuts down on paper use and increases the speed of messages.
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, The redistribution of power within the organisation can also be problematic.
As a result of the computer networks, faster decision making and easier access to company information
are also possible. However, the speed of decision making may place great pressure on individuals who
do not possess the necessary skills to function within such environments.
Those who thrive in such an environment will find themselves in a strong competitive position in the
networked marketplace.
The virtual organisation also holds a number of challenges.
More companies and employees are using the internet to match jobs and candidates. If the information
on individuals is up-to-date and correct, no skill within a company can go unnoticed.
Easy access to relevant information will mean that individuals will also be able to plan their own career
moves within the company, thus utilizing the available talent to the benefit of both the company and
the individual.
Companies will follow the competency-based approaches more enthusiastically
Competencies can and should be organised into menus that individuals and teams can use to describe
their work and conduct peo¬ple practices.
Hertel, Konradt & Voss have considered so called telecooperation-related KSA's that should become
particularly important with high degrees of virtuality.
The just-in-time workforce
Companies are using more temporary workers.
Conflict between permanent staff and temporary staff can easily occur where
Due to their employment contract, temporary workers cannot be motivated by the traditional methods
of promotion, merit increases or, even, profit-sharing programmes.
Management and HR professionals will have to spend more time and money on providing training,
giving such workers greater access to company information and a bigger role in decision making.
The ascendancy of knowledge workers
The emerging knowledge worker in this new environment will be a unique individual whom the
organisation must nurture to enable it to gain the competitive edge it desires.
As companies continue to become flatter, they will retrench individuals who do not add value.
Managers and employees will have to make a strong commitment to lifelong learning and skill
advancement to achieve job security in the new work environment.
Computerised coaching and electronic monitoring
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