Essential of HRM Metrics

Question: Discuss about the Essential of HRM Metrics. Answer: Introduction HRM metrics measures and surveys the department activities as well as productivity and employees related issues throughout the work period (Paauwe, 2004). In business, it is able to assess and know the funding needed to allocate each department. This helps it to justify and budget for the return of the businesses. HRM metrics help in decision making of the employees input in the business. By knowing the strong hold and the weak point: for instance, it may decide to increase employees income so as it maintain their loyalty. Also, it is able to connect with the external members who are there clients and this enables to increase its output. It is also able to measure the performance of the business by determining its image to the outsides hence it helps to either increase its product or decrease its product on the basis of the demand of the market. It is capable of highlighting areas of excellence for example the sales performance metrics by either rewarding the best sales man and customer sales service. HRM metrics enable businesses to make decision on its technology. For instance, it can decide due to the high demand more computers are needed to increase the work input and also improve the quality of productivity. Or else labors are in excess or fewer than needed. By adapting the modern technology will help the business to target the market in a more favorable and efficient way. For instance, advertising its product and selling them online which enable them to reach a wider market. This will increase their sales and improve their profit margin. The survey also enables it to determine when the market is at its pick and when is at its low level this will help them to supply appropriately without fear of losses. Also, the government will be able to know the net profit of the business and will be able to determine the tax payable to the per year. The corporate can be in position to determine whether to start a new project or continue investing in the same project by the profit brought about from its sales. In partnership business, the dividend payable is approximated out of the sales done and the business may as well decide to sell its share to the public if its a public business. Services offered by its workers are measurable by the output they produce. If there is an issue with the management the survey will be able to come to a conclusion on which side is not performing its duty as needed (Strategic HRM and HRM Strategic Integration, n.d.). HRM metrics help to determine the level of competition in the market since they may ask their client and also check the books of accounting of therefore competitor. Therefore, they are able to come up with an idea which will out due their competitors hence improve their popularity in the economy. For instance, a business shoe company may improve its sales by designing more shoes which will attract the customer. References Paauwe,J. (2004). Changing HRM Roles: Towards a Real Balanced HRM Scorecard.HRM and Performance, 179-208. doi:10.1093/acprof:oso/9780199273904.003.0009 Strategic HRM and HRM Strategic Integration. (n.d.).HRM Strategic Integration and Organizational Performance, 29-71. doi:10.4135/9788132108269.n2