What is Agile Human Resource Management ?
Figure 01Introduction
For
many years, both industry and academia have focused heavily on the issue of how
companies can effectively deal with the volatility, uncertainty, complexity,
and ambiguity of today's environments (the "VUCA world"). Although
agility is seen as a trendy management concept, it has existed for a long time.
Despite having a history that extends back to the 1920s, it only really came to
light in the 1960s when some experts created theories on how organizations
would handle the more unpredictable world. The word "agility" was
coined in the 1990s by academics at Pennsylvania's Lehigh University. Aiming
initially at agile production, supply chain management, software development,
production economics, and information technology gradually adopted the concept.
In the current business
environment, there is growing interest in agile HRM as many firms have shifted
their strategies and practices to incorporate agile techniques in a variety of
organizational domains, including project management, operations management,
human resource management, and more. When it comes to their jobs, employees
want more freedom and autonomy as well as recognition for their efforts. An
increasingly popular trend today is to use this agility in the context of human
resource management. Agile HRM places a strong emphasis on treating each person
as an individual. 'HRM for Agile' and 'Agile for HRM' are two distinct Agile
HRM viewpoints that are currently being used. The majority of the time,
practitioners use the phrase "HRM for agile" to describe how to
develop and deploy HRM systems that help a business implement agile. The phrase
"Agile for HRM" refers to the use of agile concepts and principles in
HRM operations.
Definition
and Development of Agility
In
the 1991 Iacocca Institute paper titled "21st Century Manufacturing
Company Strategy," the Persian word agility was used for the first time in
an organizational context. (Candan et al., 2017).
proactive
and swift enterprise element response to unforeseen and unanticipated
developments (Sherehiy et al., 2007).
By integrating reconfigurable resources and
best practices in a knowledge-rich environment, agility is the successful
exploration of competitive bases (speed, flexibility, innovation proactivity,
quality, and profitability) in order to deliver customer-driven goods and
services in a rapidly evolving market environment. (Yusuf et al. (1997).
According
to another definition, "agility is the ability to create and respond to
change to profit in a turbulent business environment" (Highsmith, 2002).
The
organization's strategic flexibility to adjust to rapid market developments. (Rzepka
& Bojar 2020).
In today's competitive world, agility fosters
flexibility and responsiveness and is more and more associated with
organizational success. (Harraf et al. 2015).
What is Agility?
Figure 02
(Teich and Faddoul 2013) When referring to a
continuous technique, Agile means maximizing/expanding the capacity to develop
and deliver goods and services more quickly and more effectively. Agile
concepts work at several levels of philosophy and culture and have an impact on
the teams, individual employees, and leaders' roles and behaviours.
The waterfall model's
shortcomings led to the adoption of agility as a concept in the IT software
development sector. In terms of project management techniques, the waterfall
model was highly well-liked in the 1970s. The progress is essentially tracked
using this way, step by step. There was, however, little opportunity for error
or flexibility. (Thoren, 2017).
What is Agile HRM?
Agile is now applicable
to more than only technology (Cappelli & Tavis, 2021). It has filtered into
a variety of other crucial areas and tasks that a business prioritizes,
including product development, production, marketing, etc. It is currently
changing how businesses find, select, train, and manage their personnel. Agile
will have a significant impact on HR, including hiring, training &
development, motivation, engagement, pay, and performance (Thoren, 2017). When
used in a business setting, the term "agility" mostly relates to
workforce agility, which involves adapting labor levels to changes in demand.
Figure 03
Difference between Traditional HRM and Agile HRM
Structures used in traditional
human resource management are a direct result of the industrial revolution.
These concepts and structures are now evolving to keep up with the world's
accelerating change. Additionally, in this age of information and knowledge
abundance, the demands of the individual are prioritized over those of the
system. Knowledge workers currently have to cope with complicated issues as
technology is always changing. The distinction between conventional HRM and
agile HRM is shown in Table 1.
|
Traditional HRM |
Agile HRM |
|
Top-down, hierarchical
organizations can be seen. Decisions making power is not delegated among the
parts of the organization. |
Practice bottom-up
approach where effective communication and the decision making foster. |
|
There are episodic
processes that are standardized and reactive. |
There are ongoing
processes that are proactive. Processes are implemented on the need basis. |
|
There are HR specialists
or HR generalists, or HR admins |
There are T-shaped HR
people who can take on many different roles |
|
Mainly focused on HR
functions |
Mainly focused on value
stream-based HR |
|
Human view is negative |
Human view is positive |
|
Extrinsic motivation is there |
Intrinsic motivation is there |
|
The HR role is to control
and implement standards |
The HR role is to support
and coach organizational agility |
|
Seldom feedbacks are present |
Frequent feedbacks are present |
Table 01
Conclusion
Companies of all sizes,
from start-ups to established giants, must operate effectively and efficiently
if they are to succeed. However, many businesses are mired in archaic and
restrictive human resource procedures and methods that work against rather than
for the organization As a result, the assistance provided by human resource
techniques is ineffective and slow. The active HR, however, implies that this
is not the case. Agile HR promotes greater teamwork, quicker work cycles, and a
stronger emphasis on collective effort. Instead of each employee working alone
in accordance with the top management's directives, teams would plan, develop,
and deliver HR initiatives under an Agile strategy. Agile HR methods thus
enable firms to continuously help employees in achieving their goals and
objectives in an effective and efficient manner.
References
Ranasinghe,V.,Sangarandeniya,Y.,(2021)Agile
Human Resource Management : ResearchGate, pp.23-31[Online]Available from https://www.researchgate.net/publication/352135010
Accessed on 18th April 2023.
Tolay, E., (2022) Agility and Agile organization form employees
perspective : A Qualitative research in the context of the SAAS business model ,
International Journal of Management Economics and Business, Vol. 18, No. 4, 2022 [Online]
Available from https://www.researchgate.net/publication/366513920
Accessed on 18th April 2023
Figure 01
Figure 02
Figure 03
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great work.Overall, I found your blog article on Agile Human Resource Management to be very informative and well-written. You did an excellent job of explaining the key principles and benefits of this approach, and provided practical tips for HR professionals who are interested in implementing it in their organizations.
ReplyDeleteHi Sugath , Very important and you have gathered information very well.
ReplyDeleteAccording to senior consultant Joe McCollum of McKinsey, "agile gives you back control; your voice is heard, you help design the task, and you help form the team dynamics. You are much closer to the action than the old hierarchy since everyone is a doer."
Hierarchies hinder people's ability to regulate their job in the old, conventional model, which serves as a barrier to change. The outdated approach discourages fluidity, which is essential in today's VUCA and BANI (brittle, anxious, non-linear, and incomprehensible) business environments
Dear Sugath.
ReplyDeleteThis article provides an insightful overview of the concept of agile human resource management (HRM). The article explains the definition of agility and how it has evolved over time. It also highlights the difference between traditional HRM and agile HRM and how agile HRM is changing how businesses find, select, train, and manage their personnel. Overall, this article is informative and useful for understanding the shift towards agility in HRM practices. Well done..!!
Very important and when it comes to their jobs, employees want more freedom and autonomy as well as recognition for their efforts. Agile HR methods thus enable firms to continuously help employees in achieving their goals and objectives in an effective and efficient manner. This is attractive article.
ReplyDeleteExcellent work.
ReplyDeleteAgile Human Resource Management is a people-focused approach to managing an organization's workforce that is aligned with the Agile methodology used in software development. It involves using Agile principles such as collaboration, adaptability, and continuous improvement to manage HR processes and practices.
Well done.