HR and human capital development

Scroll down for posts that have been tagged with “HR and human cap­it­al devel­op­ment” as it relates to travel & tourism.

Human resource man­age­ment (HRM) and human cap­it­al devel­op­ment (HCD) are two closely related con­cepts in organ­isa­tion­al man­age­ment. How­ever, there are some key dif­fer­ences between the two.

HRM is primar­ily con­cerned with the admin­is­trat­ive and trans­ac­tion­al aspects of man­aging employ­ees, includ­ing recruit­ment, selec­tion, train­ing, com­pens­a­tion, and per­form­ance man­age­ment. It is a react­ive approach to man­aging employ­ees, focused on respond­ing to the needs of the organ­isa­tion and ensur­ing com­pli­ance with labor laws and reg­u­la­tions. The goal of HRM is to max­im­ise the pro­ductiv­ity and effi­ciency of the workforce.

HCD, on the oth­er hand, is a stra­tegic approach to devel­op­ing and invest­ing in the skills, know­ledge, and abil­it­ies of employ­ees, with the aim of enhan­cing organ­isa­tion­al per­form­ance and achiev­ing long-term suc­cess. It is a pro­act­ive approach that focuses on cre­at­ing a learn­ing cul­ture with­in the organ­isa­tion, provid­ing oppor­tun­it­ies for ongo­ing devel­op­ment and train­ing, and recog­nising and reward­ing employ­ees for their con­tri­bu­tions. The goal of HCD is to build a highly skilled and motiv­ated work­force that is equipped to meet the chal­lenges of the future.

In the con­text of the travel &  tour­ism industry, HRM and HCD play a vital role in enhan­cing the per­form­ance and com­pet­it­ive­ness of busi­nesses. How­ever, the tour­ism industry is highly dynam­ic and con­stantly evolving. There­fore, HCD is crit­ic­al in enabling busi­nesses to devel­op and adapt to chan­ging trends and cus­tom­er needs.

Research sug­gests that HCD can also have a pos­it­ive impact on employ­ee engage­ment, job sat­is­fac­tion, and over­all per­form­ance (Jain & Gupta, 2018). A study by Oku­mus, Alt­inay, and Rop­er (2018) found that HCD prac­tices such as train­ing and devel­op­ment, know­ledge shar­ing, and ment­or­ing were pos­it­ively asso­ci­ated with employ­ee reten­tion and organ­isa­tion­al per­form­ance in the hos­pit­al­ity industry.

In sum­mary, HRM and HCD are both essen­tial for the suc­cess of busi­nesses in the travel & tour­ism industry. By com­bin­ing effect­ive HRM prac­tices with a focus on devel­op­ing the human cap­it­al of the organ­isa­tion, busi­nesses can gain a com­pet­it­ive advant­age and achieve sus­tain­able growth.

Ref­er­ences:

• Arm­strong, M., & Taylor, S. (2014). Arm­strong’s hand­book of human resource man­age­ment prac­tice. Kogan Page Publishers.
• Beck­er, B., & Huselid, M. A. (2006). Stra­tegic human resources man­age­ment: Where do we go from here?. Journ­al of Man­age­ment, 32(6), 898 – 925.
• Jain, R., & Gupta, M. (2018). Human cap­it­al devel­op­ment and per­form­ance: A study of the Indi­an hos­pit­al­ity sec­tor. Journ­al of Human Resources in Hos­pit­al­ity & Tour­ism, 17(4), 406 – 429.
• Oku­mus, F., Alt­inay, L., & Rop­er, A. (2018). The role of human resource man­age­ment and human cap­it­al in the suc­cess of hotels: A mul­ti­di­men­sion­al approach. Inter­na­tion­al Journ­al of Hos­pit­al­ity Man­age­ment, 71, 41 – 50.

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