Human Resource Transactional services



Human Resource Transactional services

Company's approach

The approach company is using is called HR transactional services. This is a method used to create synergies with businesses and with corporate HR. It combines functional HR processing that is benefits administration, salary management, HRIS and other HR programs to get the administrative costs reduced. Transactional services focuses on HR management efforts for maximizing the service effectiveness and personnel transactions with reducing the personnel spending, thus increasing the response time to business needs and increasing HR team's service orientation.

This approach is used in leveraging HR programs and plans for meeting customer/client defined requirements at agreed upon performance standards that are:

HR service design and delivery.

Customer service and satisfaction.

Employee motivation and commitment.

HR business contribution.

Theoretical review

The theoretical discipline of HR was basically developed on the assumption that employees are individuals with different needs and goals and they should not be thought of as some ordinary business resource like work stations or computers. It requires a positive view of employees or workers, to assume that all are willing to contribute to the productivity of the enterprise and that if there is any lacking in that commitment that is due to the lack of knowledge or insufficient training or because of the failed HRM process, It is an innovative approach to look at the workplace management as a process that asserts that human techniques are to be practiced properly so that they are expressive of their goals and operating practices of the overall enterprise.

The academic theory suggests that the goal of HRM is to aid in making an organization meet its strategic goals by attracting and maintaining employees effectively with the most suitable personnel compatible to the organizational structure. If briefly explained, “Fit” is the key word here which means that HRM approach seeks to develop a fit between management of employees and the strategic direction of the company.

HR is focused highly on the transformation of service delivery through creating value, especially with business leaders seeking higher service levels with stressing on the lower HR costs (Hewitt, 2011). This is also supported by the existing literature that suggests that for consistency, better quality, consolidation, technology enablement, business value and labor cost savings organizations are turning into shared services (Mercer, 2008). The studies also support the idea of the popular concept that HR can operate effectively when it is managed and organized according to its two basic responsibilities that are

Strategic HR teams.

Transactional HR teams.

It is argued by a number of books, articles and studies that the HR needs to become strategic partner. But whether the HR is becoming a strategic partner? What must a strategic partner entail? And is the HR function more effective when it acts as a strategic partner? Answers to all these questions are crucial for the future development and direction of the human resource function of the enterprises or the organizations.

The idea of HR being a strategic partner is supported by a number of forces who have converged ...