Effective people management policies and practices can increase performance in various areas such as creativity, productivity, quality and financial performance. The key is to focus on the management of people as a tool to gain competitive advantage.
Two core aspects are essential: (1) the importance given to the integration of the people management function into the business and corporate strategy, and (2) the devolution of ongoing people management responsibility to line managers, instead of personnel specialists in the central function.
Devolution of people management to line managers is still not widely practised in organisations, yet the potential benefits are significant, including:
- Addressing certain issues that are too complex for top management to comprehend alone
- Developing more motivated employees and more effective control
- Responding more quickly to local problems and conditions
- Resolving most routine problems at the ‘grassroots level’
- Affording more time for personnel specialists to perform strategic functions
- Helping to systematically prescribe and monitor the most effective styles of line management
- Improving organisational effectiveness
- Preparing future managers and leaders by allowing them to practise decision-making skills
- Assisting in reducing costs by repurposing traditionally central bureaucratic personnel functions
Using the table below, evaluate to what degree people management responsibilities are effectively delegated to line managers in your organisation (state 1-5, where 5 is the highest):| Delegation of people management responsibilities | 1-5 |
|---|
| The primary responsibility for decision-making regarding people management lies with line managers (regarding pay and benefits, recruitment and selection, training and development etc.) | |
| Line managers are trained in people management in your organisation | |
| Feedback is given to managers/line managers regarding people management related strategies | |
| Line managers are involved in more general decision-making | |
| Line managers have ownership of the management of employees | |
| Line managers realise / accept their role by acknowledging responsibility | |
Chowhan J. (2016) ‘Unpacking the black box: understanding the relationship between strategy, HRM practices, innovation and organizational performance’, The Human Resource Management Journal, vol 26, no. 2, April, pp 112-133; Budhwar, P. and Aryee, S. (2007) An Introduction to Strategic Human Resource Management, Chapter 1 [online], Available: www.cipd.co.uk › Resources › Factsheets; Schrift, R. (2014) Can Creativity Be Taught?, KaW, Aug 27.
Action Point
Using the table above, evaluate to what degree people management responsibilities are effectively delegated to line managers in your organisation (state 1-5, where 5 is the highest).