International Journal of Economics and

Vol. 1, No. 4, 2011, pp. 01-11

MANAGEMENT JOURNALS
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Management Sciences

HUMAN RESOURCE MANAGEMENT CHALLENGES IN NIGERIA UNDER A GLOBALISED ECONOMY

Francis C. Anyim Ph.D ! Cyri" Os#"$%a I%#m#&'na( an) Sam'#" E. M*ah+
FCIPM, FNIM, FABS, FCAI; Department of Industrial Relations and Personnel Management, Facult of Business Administration, !ni"ersit of #ago$ %&mail' c(uc)san im*++,- a(oo$com * Department of Industrial Relations and Personnel Management, Facult of Business Administration, !ni"ersit of #ago$ %&mail' c i)em&unilag- a(oo$co$u) . Department of Industrial Relations and Personnel Management, Facult of Business Administration, !ni"ersit of #agos$ %& mail' m/asam0o11- a(oo$com
1

ABSTRACT 1(e pace of glo/ali0ation is increasing continuousl in terms of mar)ets for goods and ser"ices, in"estment opportunities across /orders amongst ot(ers$ %nterprises face competition from all fronts$ 2uman resource management is not left out in t(is transformation crusade as it (as o/ligation to mo"e along 3it( t(e c(anging demands of t(e glo/ali0ation process$ 4ne of t(e o/5ecti"es of t(is paper is to s(o3 t(at effecti"e managers s(ould constantl /e a3are of t(e c(anges ta)ing place in domestic 6(ome countr 7 en"ironment, as 3ell as around t(e glo/e 6international and foreign en"ironments7 on 2R issues and de"elopments$ B so doing, t(e can scan t(eir en"ironment on an ongoing /asis, and 3(en t(e detect opportunities and8or t(reats, t(e can transform t(eir organi0ation to sei0e t(e opportunities and8or com/at or neutrali0e t(e t(reats as t(e case ma /e$ In t(is presentation, pro/lems, issues and trends in 2RM practice in Nigeria in t(e current period 3ere re"ie3ed$ 1(e factors affecting 2RM and its practice in a glo/al conte9t and 3(at s(ould /e t(e direction of t(e profession and its practice in Nigeria constitute t(e main focus of t(is paper$

INTRODUCTION Human resources are the life blood of an organization. espite the application of technolog! in modern business management, human resources are still rele"ant and most adapti"e resources of the organization. #he strategic "alues of H$ stem from the fact that apart from other resources emplo!ed in the course of production %land, capital, technolog! etc& 'hich are passi"e, human resources are endo'ed 'ith discretionar! decision-ma(ing po'er and thus ha"e competiti"e ad"antage o"er the other resources. )esides, H$ combines other resources in the right mi* to formulate appropriate strategies for the accomplishment of the desired objecti"es of the enterprise. #his essential attribute of H$ assist the enterprise to ma(e rightful decisions and respond effecti"el! to the threats and opportunities 'ithin the en"ironment of the organization. #hus the enterprise depends highl! on its H$ for success and sur"i"al. #his dependence continuousl! is increasing considering the comple* and turbulent nature of the business en"ironment of this centur!. #he management of H$ is comple* and problematic because the indi"iduals as 'or(ers hardl! adapt or "oluntaril! embrace the objecti"es of the organization. +s indi"iduals, the emplo!ees ha"e needs, aspirations, moti"ations, desires and interests 'hich influence their beha"iour at 'or( but unfortunatel! these objecti"es are sometimes in conflict 'ith the corporate objecti"es of the enterprise. ,n reconciling this conflicting interests Human $esources -anagement and .lanning are useful tools emplo!ed in harmonizing the needs of the emplo!ees 'ith the goals and objecti"es of the organization on a continuous basis. TRADITIONAL FUNCTIONS HUMAN RESOURCE MANAGEMENT ,n a nutshell, the primar! tas( of H$- is to ensure that the organization H$ are utilized and managed effecti"el!. H$ practitioners are saddled 'ith the responsibilit! of designing and implementing policies and

International :ournal of %conomics and Management Sciences ;ol$ 1, No$ ,, *+11, pp$ +1&11 implications of a mo"ement into an era of decentralization, 'hich if used properl!, can lead to and emancipation. #he era 'ill re/uire a ne' (ind of programmes that 'ill enhance human abilities imp organization, based on a different paradigm that studies ha"e sho'n that poor human relations at can bring together the contributions of autonomous 'or(, neglect of staff 'elfare programmes and lac( indi"iduals in a sociall! sustainable 'a!. ,t is thus of moti"ation are often the factors that cause clear that a ne' 'a! to manage H$ as a paradigm industrial strife and declining producti"it! in the is emerging, as 'ell as ne' H$ managers should 'or( setting. #he modern da! entrepreneurs manage themsel"es %4imeric( et al, 2002&. #he recognize that the H$ are "ital element in the main focus for managers of this centur! is the organization and concomitantl! ac(no'ledge the urgenc! to manage change speedil! and efficientl! role the H$ practitioners pla! in de"eloping these in a H$- conte*t 'ith appropriate competencies. "aluable resources. #o ac/uire and retain H$ in the ,ssues li(e international H$-, di"ersit!, organization, the H$ practitioners in brief perform emplo!ment e/uit!, generation ;, reputation four critical roles0 management and corporate ethics amongst others must be factored regarding future identification of H$ professionals<roleandcapabilities. 1. 1reate and implement policies, 'hich should be in 'riting and Various authors %=ane, 200>? )urton, 2003? communicated to all emplo!ees @'anepol et al, 2002 and Nel et al, 200:& ha"e through circulars or the emplo!ee identified factors 'hich act as barriers to effecti"e handboo(. H$-. @ome of the pertinent issues are0 top 2. 2ffer ad"ice and counsel the management has a lo' priorit!, and offer a shortemplo!ees on matters bordering on producti"it!, safet! at 'or(, career term "ie' of 'hat the real issues in H$- and the path or management, morale, honest! profession are according to "arious researchers %.armenter, 2002? )urton, 2003&, H$and integrit!, human relations etc. 3. .ro"ision of ser"ices that assist 4ine practitioners are percei"ed to lac( sufficient -anagers in performing their jobs or (no'ledge and s(ills necessar! to implement ser"ing the organizational units e.g effecti"e H$- practices at "arious le"els in their recruitment, selection and placement, organization %Aa!ne, 2002? )urton, 2003&. H$ compensation management, training professionals ha"e not been asserti"e enough to be and de"elopment, staff 'elfare present in the boardroom to guide H$ programmes programmes, industrial and labour to achie"e long-term impacts on H$ initiati"es. relations, research and planning. #his probabl! points to a lac( of ade/uate dri"e and 4. 1ontrol of H$ programmes and laid communication to appl! strategic human resources do'n procedures i.e. to monitor and management %@H$-& full! %=ane, 2001? )irchfield ensure that H$ policies and , 2003? u .lessis, 2004&. guidelines are implemented religiousl! or to the letters e.g. grie"ance handling and disciplinar! #o function effecti"el! in the future, H$ procedures, 5ederal 1haracter professionals should find ans'ers to the follo'ing principles or 6uota s!stem, fairness issues0 first, ho' can H$- add "alueB 8hat can be of appraisal e*ercise, granting of outsourced, ta(en on b! line managers or simpl! stoppedB Ho' can these s(ills be de"elopedB loans etc. #hirdl!, from a structural perspecti"e, ho' can H$ 7ach of the abo"e functions is a comple* flo' of managers de"elop organizations capable of acti"ities and it underscores H$ management (no'ledge dissemination and inno"ationB 5ourthl!, functions as integral part of the o"erall corporate ho' can H$ managers ensure emplo!ees remain plans of the enterprise. ,t follo's therefore, that H$ engaged and committed during times of turbulenceB management function is a joint responsibilit! for all ,t is therefore, clear that the 'ho does 'hat debate managers 'ithin the enterprise. regarding the roles and function of H$ professionals and line management has not been ade/uatel! resol"ed %4arsen and )re'ster, 2003&. LITERATURE RE,IE8orld'ide, the H$ profession had to respond to #he foregoing also acts as a barrier to the effecti"e increased competition for globall! mobile talents, e*ecution of the role of H$ professionals. changes in both 'or(force attitudes and composition, shifts in the emplo!er9'or(er a'son %2003& clearl! states that the forces of relationship and rapid ad"ances in H$ technolog!. global change are at 'or( in organizations and are Ne' (inds of technical (no'ledge, s(ills and bound to significantl! influence the future of the abilities 'ould re/uire H$ practitioners in future H$- profession. Aa!ne %2002& and ,son and )arton %2003& obser"e that there are dri"es to'ards 'ho are fle*ible and 'illing to deal 'ith the e"er achie"ing a 'in-'in focus 'ith a gro'th surge in accelerating pace and often unpredictable changes coaching and mentoring, team in the global 'or(place %-a!rhofer and )re'ster, 200:&. #he H$ profession needs to e"aluate the

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building, leadership de"elopment, up s(illing and personal de"elopment. #hese along 'ith technolog! ad"ances and increased outsourcing are encroaching on the traditional H$- roles such as recruiting, administration, pa! roll, performance assessment and training. ,t is therefore clear that a range of H$ functions probabl! needs a 'ide s'eeping re"ie' and possible re-tooling to ma(e it effecti"e to ser"e the business 'orld and practice of the H$ profession of the future. H$ professionals should displa! a high le"el of sensiti"it! 'ith regards to performance management and the de"elopment of leadership in particular, as these are (e! dri"ers for an organizations future objecti"e achie"ement. .erformance management also impacts significantl! on leadership and culture 'hich are interdependent but crucial components to e*ecute the H$ professional<srole effecti"el! %)irchfield, 2003&. H$ leadership entails organizations being able to manage interactions bet'een indi"iduals and groups to achie"e the desired outcomes %@mith and )irchfield, 2001? Hamilton, 2003&. @!(es %2003& also points out that H$ leadership b! practitioners needs to be "isible in the 'or(place at all le"els of an! organization to be successful. ,n the abo"e conte*t, three major roles challenges face H$ professionals in organization to pro"ide ma*imum contributions to the leadership and bottom line in the future %)urton, 2003&. #hese are first? the H$ managers need to become more "ocal and influential in the boardroom alongside the financial and mar(eting directors. @econdl!, /uantitati"e s(ills such as the measurement of human 'orth and the understanding of organizational structure and d!namics need to be increased for H$ professionals to pro"ide effecti"e ser"ice in organizations. #hirdl!, H$ professionals need to de"elop a ne' set of s(ills and competencies around "isioning, s!stems thin(ing, and organizational de"elopment and change management. 2rganization<s effecti"eness could be significantl!beabletoenhance impro" corporate culture %Craetz et al, 2002&. ,t is a common (no'ledge that leadership, performance management and culture are interrelated, but must be managed in an integrated and inno"ati"e manner b! H$ professionals as core elements of their role and capabilities in organizations in future. )irchfield %2003& also states that management sometimes onl! focus on ho' indi"iduals e*ecute their jobs, and do not decide if the tas(s is actuall! contributing to other'ise. organisation<s,nthisregard,hestatesthatH$ greater professionals must in their role as leaders continuall! and inno"ati"el! facilitate the effecti"e management of emplo!ees to enable the function to "isibl! add "alu balance the demand to thin( globall! and act locall!. Ho'e"er, some en"ironment factors ma! constitute a GLOBALI.ATION AND HRM IN NIGERIA problem and affect the rate of adaptation from ,n the present da!, business is conducted on international scale and international to local en"ironment for the underlisted this in"ol"es the transfer of goods and ser"ices, technolog!, reasons0 managerial (no'ledge and capital to other countries or across national boundaries. Clobalization has made the 'orld smaller 1. 7conomic s!stem %capitalism? mi*ed through fast communication net'or(. #he economies of the 'orld econom!, -ar*ist& and le"el of economic ha"e become increasingl! integrated %)hag'atti, 2004&. )esides, de"elopment % e"eloped, e"eloping and 'e are no' in a 'orld 'here /ualit!, efficienc! and competi"eness underde"eloped& count most. 2. 4egal s!stem9en"ironment and constraints %la's, regulations and administration of #he progress and sur"i"al of the business enterprise of this centur! justice& can be measured in this se/uence0 information, (no'ledge and their 3. .olitical en"ironment %po'er, ideologies, application through science, engineering and technolog!. ,n other go"ernment polices and regulations& 'ords, (no'ledge sharing impacts on global enterprises as the! 4. 7ducational s!stem and language "ar! from e*port their management philosophies and techni/ues, as 'ell as one countr! to the other? their technologies, products and ser"ices around the 'orld %=uru"illa et al, 2003&. #he internet has made communication net'or( to be "er! eas! and also for mar(eting to ta(e place 'ithout necessaril! mo"ing from !our des(. ;ou can e"en see 'hat the product is li(e and be ad"ised b! the seller. 5or !ou to Management Journals participate in the global mar(et, !ou must produce an internationall! acceptable product. ;our product must satisf! the mar(et !ou are targeting. ;ou must add "alue to the product. 8ith the rapid e*pansion of global mar(ets coupled 'ith the "ie' that the 'hole 'orld in one mar(et, it has no' become imperati"e for the Human resource practitioners to adapt to international needs b! mo"ing people, ideas, products and information around the 'orld to meet local needs. ,n addition to these factors, the geographic dispersion, multiculturalism, different legal and social s!stem and cross-border mo"ement of capital, goods, ser"ices and people that the international firm faces adds a need for competenc! and sensiti"it! that is not found in the domestic firm %Vance and .ai(, 200>&. #herefore, -anagers of this centur! must stri"e to

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:.

@ocio-cultural97thical en"ironment %"alues, social organizations9s!stems, re'ard s!stem etc&

#he foregoing constraints ha"e high potentials for conflicts hence -anagers must de"elop social and diplomatic s(ills to forestall emergent conflict%s& FIGURE / FACTORS AFFECTING HRM IN INTERNATIONAL MAR0ETS

7conomic s!stem

4egal s!stem

.olitical s!stem

Human resource management

specific cultural re/uirements of different societies. 8hile the global nature of the business ma! call for increased confidenc!, the "ariet! of cultural en"ironments ma! be calling for differentiation %4aurent, 1EF>&.

7ducation s!stem

+ countr!<s economic s!stem .influences,nsocialisteconomics!stems,H$-therei nare ample opportunities for de"eloping human #he underlisted /uestions 'ill be "er! rele"ant capital because the education s!stem is free. ,n and pertinent to H$- practitioners on capitalist s!stems, the opposite situation e*ists. globalization trends0 #here is less opportunit! to de"elop human capital 'ithout higher costs. Ho'e"er, those 'ho do in"est %1& Ho' thorough is the training and in human capital especiall! through education are de"elopment of the staffB 8e should able to reap monetar! re'ard through 'age e*pect less from the staff if the! are increase for each additional !ear of schooling. #he not properl! trained differences in economies ha"e a profound impact %2& Ho' competiti"e is the pa! structureB on pa! s!stems particularl! among global %3& +re the staff carried along in thecompanies see(ing to de"elop an international decision ma(ing process of thecompensation and re'ard s!stem that maintains cost controls and allo's local operations to organisationB compete and hunt for talents. 5or compensation %4& ,s there team'or( in place to managers to design these s!stems, the! loo( at a enhance capacit! buildingB #eam'or( must be encouraged as a number of factors including the global firm house di"ided amongst itself cannot strateg!, the local regulator!9political conte*t, sur"i"e in an! business en"ironment. institutions and sta(eholders, local mar(ets, and national culture. #he! also learn from the best iplomac! is an important matter in labour practices that e*ist globall! and balance the administration and this is conducted on behalf of approaches 'ith the constraints imposed b! the the go"ernment of Nigeria b! the 5ederal -inistr! local en"ironment %)loom et al, 2000&. 4abour and .roducti"it!. #he most prominent of the organization the -inistr! interacts 'ith is the ,nternational 4abour 2rganization %,42& 'hich is a specialised agenc! of the Dnited Nations %DN&. ,42 'as set up in 1E1E to ensure that social justice Management Journals and better 'or(ing conditions pre"ail for the achie"ement of uni"ersal lasting peace all o"er the 'orld or globall!. S$'rc#0 A'1h$r Jan'ary! (2 . #he go"ernment in Nigeria has ratified a good number of the con"entions adopted b! ,42 in a bid to strengthen her diplomatic relations. ,n order to build, maintain and de"elop their corporate identit!, multinational organizations need to stri"e for consistenc! in their 'a!s of managing people on a 'orld'ide basis. ;et, in order to be effecti"e locall!, the! also need to adapt these 'a!s to the

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#he regulations imposed b! a countr!<s legal s!stem the culture in 'hich it e*ists and it also reflect societal norms about 'hat constitutes legitimate beha"iour. 7"er! firm that operates in the global econom! must contend 'ith the "ar!ing emplo!ment la's in e"er! countr! in 'hich it operates, as 'ell as abiding b! 'hate"er international standards also e*ist%)lanpain et al,200G&. 5or instance, in Nigeria, there is regulations that dictate the process of negotiation bet'een unions and management. 5urthermore, the political-legal s!stem states the re/uirements for certain H$- practices such as training, compensation, hiring, firing, and la!offs. #he potential to find and maintain a /ualified 'or(force is an important consideration for a firm mo"ing into a foreign mar(et. #he countr!<s human capitalterms ofresourc (no'ledge, s(ills and e*perience that ha"e economic "alue is "er! germane to H$-. 1ountries 'ith lo' human capital attract facilities that re/uire lo' s(ills and lo' 'age le"el 'hile countries 'ith high human capital are attracti"e sites for direct foreign in"estment that creates high-s(ill jobs. ,t is in order to promote human capital resource in Nigeria that most state go"ernments ha"e adopted free education. +t the national le"el, the federal go"ernment has been in"esting hea"il! on the education sector and the sector had enjo!ed rapid e*pansion 'ith the proliferation of tertiar! institutions. 1ulture ha"e an important impact on approaches to managing people. 1ultures differ strongl! on issues such as ho' subordinates e*pect leaders to lead and 'hat moti"ates indi"iduals. #he e*tent to 'hich culture promotes an indi"idualistic "ersus a collecti"ist orientation 'ill impact on H$- s!stems. ,n Nigeria, e*posure to 'estern educational "alues ha"e tended to promote the culture of indi"idualism in people 'ith disastrous conse/uences for the famil! as an institution and the 'ea( indi"iduals. #hus the moral and cultural fabric of the societ! had largel! been destro!ed 'ith serious conse/uence for trust and confence0 t'o basic elements re/uired for business to thri"e. #oda!, 'e ha"e cases of fraud, embezzlement and H41E<on the increase threatening the basis for business relationship. #o the e*tent that possession of the positi"e traits of trust'orthiness and reliabilit! cannot be readil! read on the faces of job applicants or their certificates. #he problem poses a gra"e challenge for human resource practitioners. PROBLEMS! ISSUES AND TRENDS IN HUMAN RESOURCE MANAGEMENT IN NIGERIA #raditionall!, the responsibilit! of the H$- has been centred primaril! on recruitment, selection, orientation, training, job anal!sis and e"aluation, labour relations, appraisal e*ercise etc but in the modern time, some problems and issues ha"e created a ne' da'n for the H$ practitioners and professionals. @ome of these issues are discussed belo'0

%1&

Pr$)'c1i3i1y Im4r$3#m#n1 .oor producti"it! is li(el! to create unemplo!ment and inflation, decline in standard of li"ing of the masses, hence all hands must be on dec( in search of 'a!s to impro"e producti"it! and thus strengthen the econom! for the betterment of all parties in emplo!ment relations. -odern da! H$ practice has led to greater output and impro"ed /ualit! of products and thus the trend has encouraged H$ practitioners in ta(ing acti"e roles on matter impinging on producti"it! impro"ement.

%2&

5'a"i1y $& -$r% Li&# 65-L7 #his term refers to the e*tent to 'hich emplo!ees< perso impro"es as one<s 'or( meets more and more personal 684 'ill affect the performance of the organisation fa"ourabl!. #he H$ professionals are (no'n to be ta(ing (een interest on issues that relates to job satisfaction and commitment in their bid to promote 6ualit! of 8or( 4ife %684&.

%3&

H#a"1h an) Sa&#1y a1 -$r% #he focus is on creating of a 'or( en"ironment 'hich minimises the li(elihood of an accident or injur!. +(in to this, is job stress 'hich can be as hazardous as an unsafe 'or( place. #he modern Management Journals managers ha"e recognised the dangers of potential personal and organisational job stress and ha"e ta(en interest on 'a!s to reduce the problem through medical attention. %4& 5'$1a Sys1#m in Em4"$ym#n1 #his is "er! common in public organisation 'here emplo!ment in go"ernment establishments is e*pected to reflect the 5ederal character principle. #he H$ practitioners ha"e herculean tas( in ensuring that emplo!ment is carried out in line 'ith the abo"e principle 'ithout compromising merits and standards.

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%:&

La*$'r an) S$cia" L#8is"a1i$ns 5rom the G0<s to date, the abo"e legislationsrmsofsecurit!of ha"e emplo!ment and entitlements 'hich 'ere percei"ed as mere e*pectations in the !ester!ears. #hese rights and entitlements %"arious fringe benefits, medical care for emplo!ees and famil!, .ension. Cratuit! @chemes, National Housing 5und, $etrenchment benefits etc& ha"e added additional strain and costs 'hich the emplo!ers must bear in hiring, maintaining and disposing emplo!ees.

%>&

La*$'r Dissa1is&ac1i$n a1 -$r% #his has to do 'ith issues li(e gro'ing rate of unionisation of emplo!ees, lo' morale and alienation from 'or(. 2thers include labour turno"er, brain drain, poor 'or( habits9attitudes, industrial conflicts and stri(es 'hich are ine"itable phenomena in the 'or(place.

%G&

Chan8in8 ,a"'#s $& 1h# Em4"$y##s ,n the past decades, 'or( ethics 'as tenaciousl! follo'ed b! the emplo!ees in terms of punctualit!, honest!, diligence etc but in the modern da!, there is gro'ing e"idence of serious decline in 'or( ethics. #he s!ndrome is such that some of the enterprises do not pro"ide the basic guidelines for li"ing rather the indi"iduals are responsible for e*ploring and determining for themsel"es 'hat the! 'ant to do and become in life. 8ith this philosoph!, one need not to 'onder 'h! 'or( has become one alternati"e among man! to the 'or(ers 'ho 'ant to sur"i"e in a turbulent and harsh en"ironment of the modern da!. #he trend led to erosion of "alues as briber!, corruption, lac( of transparenc!, indiscipline, 'asteful spendings etc became rampant. Chan8in8 D#man)s $& 1h# Em4"$y#rs ue to competiti"e pressures, the organization must embar( on changes in its internal en"ironment as 'ell as technological inno"ations. #he foregoing factors no doubt ha"e serious effect or repercussion for H$ management and planning in the organization as manpo'er contraction or e*pansion becomes imminent.

%F&

Chan8in8 R$"# $& G$3#rnm#n1 $r S1a1# in In)'s1ria" R#"a1i$ns ue to the ci"il 'ar in Nigeria, the go"ernment shifted its non-interference posture for more positi"e roles in industrial relations practice. #his is e"idenced b! its I,nter"entionist .olic!J in coined as ICuided emocrac!J in 4abour maters. #he industrial situations ma! 'arrant and implements labour standards appro"ed b! ,42. #he H$ practitioner need to (eep himself abreast of labour legislations on continous basis. #his phenomenon 'hich is caused b! decline in economic acti"ites brings dramatic changes 'ith decline Th# C"#an -a8# O41i$n in industrial production and output coupled 'ith #his is the consolidation of the basic pa! 'ith all allo'ances or corresponding rise in the rate of unemplo!ment. #his fringe benefits. ,n other 'ords, it is the pa!ment of total pac(age as trend affects industrial relations institutions and salar! 'ithout segmentation or distinction bet'een the salar! and constitutes the main en"ironmental factor affecting the fringe benefits components. #his is currentl! being practiced b! collecti"e bargaining process. ,t also creates room for man! countries in the #hird 'orld including Chana 'hich adopted spate of industrial actions due to manpo'er contraction the option in 1EFF. ,n Nigeria, the option 'as adopted b! some oil caused b! capacit! under-utilization in industries. #he H$ companies including -obil .roducing Nigeria in 1EEG. #he option managers must modif! their responses b! aligning 'ith has implications 'hich are mi* grill for both the emplo!ees and the the unions to emplo!ers. 5or the emplo!ees, the option 'ill attract high element of ta*ation because onl! basic salar! 'hich is e/ui"alent to the total pac(age or clean 'age 'ill be ta*able 'hile the total emolument 'ill increase the terminal benefits and holds more prospects for the retirees. 2n the other hand, it 'ill translate into Management Journals higher contributions b! the 7mplo!er to @taff .ension and Cratuit! @chemes as calculation 'ill be based on the clean 'age option.

%E&

%10&

S$cia" R#s4$nsi*i"i1y *y 1h# Em4"$y#rs @ince the enterprises operating 'ithin some communities ha"e made life unbearable for the populace through 'ater pollution and destruction of other natural resources, the enterprises thus ha"e social responsibilit! in terms of ma(ing contributions to the 'ellbeing and de"elopment of these communities. e.g 2il companies in Nigeria pro"ide social amenities to the host communities to a"ert crises. 2ther companies sponsor sporting acti"ities, gi"e scholarships to brilliant and need! students, sponsor or host educational acti"ities etc as contributions to the need! sectors of the econom!.

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Ec$n$mic R#c#ssi$n

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face these challenges realisticall! all in a bid to (eep the enterprise afloat rather than adopting ad"ersarial approach to labour9management relations.

%12&

P'*"ic S#r3ic# R#&$rm *y G$3#rnm#n1 ,n Nigeria, the main thrust of public ser"ice reform is to sho' that go"ernment business can be carried out openl!, economicall! and transparentl! de"oid of fa"ouratism and corruptible tendencies. #he reform focuses on reformining go"ernment institution, implementing social charter, "alue re-orientation, moral rectitude, respect and due process to guarantee effecti"e and transparent s!stem of economic and financial management of go"ernment resources. #he foregoing underscores the need to launder the image and future of the public ser"ice. H$- managers in the public sector should act as "anguard in bringing bac( the ser"ice to the good old da!s or past decades 'hen it enjo!ed recognition and respect.

%13&

Cas'a"i9a1i$n $& La*$'r #his is a nonstandard 'or( arrangements caused b! the affects of globalization and trade liberalization. #his shift from standard to nonstandard 'or( arrangements is as a result of emplo!ers orientation to a"oid costs associated 'ith the application of the pro"isions of the labour la's 'hich are designed to protect permanent emplo!ees in standard and pensionable emplo!ment and also for the purpose of fle*ibilit!. #he practice gi"es emplo!ers the freedom to Hhire< and Hfire< casual em conflict bet'een unions and emplo!ers. No legislation in Nigeria is supporti"e of this practice hence H$ managers should be bold enough to guide and ad"ise management accordingl!.

%14&

O'1s$'rcin8 $& S#r3ic#s #he practice in"ol"es emplo!ers contracting out some of their non-core or anciliar! ser"ices. +(in to casualization, this is done to cut costs as it denies emplo!ees the right to organise or belong to trade unions. +s e*perience had sho'n, permanent emplo!ees 'ho ha"e sta(e in the organization sho' more commitment to their jobs than the contract emplo!ees supplied b! "endors. H$ managers should e*amine the cost-benefit implications of outsourcing certain ser"ices "is-K-"is engaging emplo!ees on permenent basis. 5rom the foregoing, it is thus ob"ious that the en"ironment of H$- has continuosl! "aried and becoming more comple*. #he trends ha"e made it more imperati"e for ne' approach to be e"ol"ed in H$ planning and management. #he approach should integrate H$ policies 'ith the strategic objecti"es of the enterprise in pursuance of its corporate goals. THE CHALLENGES OF HUMAN RESOURCE MANAGEMENT IN A GLOBALISED ECONOMY #he competiti"e pressures faced b! the modern da! enterprise for sur"i"al and success due to globalization and liberalization 'ill continue to create room for future demand for organisational e*cellence. #he ne', global, comple*, and often chaotic 'orld of the -ulti- national 7nterprises re/uires a ne' strategic focus and ne' capabilities from H$ just as it does from other management functions %)riscoe et al, 200E&. 5or the H$ practitioner to thri"e and be rele"ant in the global conte*t, ne' roles and agenda for the profession should not focus on traditional H$ acti"ities such as staffing and compensation, but on its outcomes. 5urthermore, H$ should not be defined b! 'hat it does but 'hat it deli"ers i.e results that enrich the organization<s "alue to customers, in"estors and emp need to be changed to facilitate the achie"ement of 5or the H$ practitioners to contribute their /uota to the enterprise in goal%s&. #he architectural frame 'or( ma! be defined in terms of 'or( related "ariables such as leadership culture, achie"ing e*cellence, the! need to adopt the follo'ing0

%1&

HR C$""a*$ra1i$n -i1h Lin# Mana8#rs H$- function is a joint responsibilit! for all managers 'ithin the enterprise i.e both H$ or staff and line managers must be in"ol"ed. Management Journals H$ professionals should become a partner 'ith senior and line managers in strateg! e*ecution, helping to mo"e planning from the conference room to the mar(et place% Dlrich, 1EEF&. #he H$ department in the e*ecution of the corporate plans should gi"e guidance on the 'a!s to carr! out the plans b! pla!ing the role of an +rchitect. )! so doing, H$ department 'ill come up 'ill a comprehensi"e set of blue prints sho'ing "arious units or parts and their 'or(ing9operational relationship. ,n the same "ein, organisational or H$ audit 'ill be underta(en and same related to the blue prints. #he outcome of the comparison or e*ercise ma! sho' areas that re/uire addition or reduction in manning le"el as the case ma! be. ,t can identif! components that

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go"ernance, management st!le, competence, moti"ation, human relations, discipline etc. Ha"ing identified the fault! parts, the ne*t step is to embar( on replacement of the parts.

%2&

HR E:hi*i1i$n $& E:4#r1is# in 1h# Or8anisa1i$n $& -$r% +s trained administrators, the H$ professionals 'ill ha"e to e*plore and design means of carr!ing out H$ functions in a better, faster and cheaper 'a!s to reduce costs. )eside cost reduction, efficienc! and /ualit! ha"e to be maintained in ser"ice deli"er!. H$ professionals should become e*perts in the 'a! 'or( is organised and e*ecuted, deli"ering administrati"e efficienc! to ensure that costs are reduced 'hile /ualit! is maintained %Dlrich 1EEF&. ,n a nutshell, the H$ professionals could streamline the organisation<s s!stems and p and deli"er fla'less administrati"e ser"ices to become a rec(onable part! in the e*ecution of corporate plans.

%3&

HR As ,an8'ar) $& Em4"$y##s; -#"&ar# #he H$ professionals 'ill be held accountable for ensuring that emplo!ees sho' commitment and add "alue to the business of the organization irrespecti"e of attending lto their social needs. #his goes to underscore the rele"ance and importance of H$ approach 'hich holds that organisational goals and human needs should be mutual and compatible and that one set need not to be gained at the e*pense of the other. +ccording to Dlrich %1EEF& H$ professionals 'ould become champion of emplo!ees, "igorousl! representing their concerns to senior management and to toincreasetheorganization andemplo!ees<theirabilit!todeli"er! commitm results. 5urthermore, H$ managers must ta(e responsibilit! for orientating and training line managers on the importance of building high morale for their emplo!ees and to achie"e same. ,n similar "ein, the H$ managers shall assume the role of spo(esmen for personal and professional gro'th? and pro"ide resources to help emplo!ees meet the global and challenging demands put on them b! the job.

%4&

HR As An Inn$3a1i3# A8#n1 #he H$ professionals must 'or( to'ards initiating change that are focussed on creating high performing teams, reduce c!cle time for inno"ation or implementing ne' broad "ision statements get transformed into specific beha"iours tailored to'ards ma(ing the "ision a realit!. +s Dlrich %1EEF& puts it, H$ should become an agent of continuous transformation, shaping processes and a culture that together impro"e an organization<scapacit! for change. 1hange can generate resistance in some cases hence the H$ managers as an agent of transformation and tactician can b! ps!chological means replace resistance 'ith e*citement through the application of change models. #he model must identif! the (e! strengthssuccessand fact 'ea(nesses regarding each factor.

%:&

U48ra)in8 1h# S%i""s $& HR Pr$&#ssi$na" #o be able to cope 'ith the global challenges and be rele"ant in the current centur!, the /ualit! of H$ staff need to be impro"ed. #he enterprise need people 'ho (no' the business, understand the theor! and practice of H$. #hose 'ho can manage people effecti"el! and ma(e change happen and ha"e personal credibilit! and integrit!. @ometimes such indi"iduals or talents ma! alread! e*ist 'ithin the organisation but the! must be identified and gi"en additional /ualitati"e training to sharpen their s(ills. ,n sum, the H$ professionals cannot e*pand their role in the organisation 'ithout the re/uisite e*pertise considering the current (no'ledge-dri"en operating en"ironment. =no'ledge is part of learning process. ,t is the accumulated e*perience and actionable information that e*ists 'ithin an organization. ,t is information or the capacit! to ta(e action %Nona(a and #eece, 2001&. 5or H$ professionals to be effecti"e partners in e*ecuting corporate plans, the! must ha"e (no'ledge about strateg!, business polic!, mar(ets and the operation of the econom! both locall! and globall!. #he! must also be con"ersant and update themsel"es continuousl! on legal and regulator! norms of their home countr!. 63i 7 HR Cr#a1in8 ,a"'# in 1h# Or8ani9a1i$n #o meet the increased e*pectations of the organisation, the H$ professionals must articulate their role in terms of creating "alue. #he! must measure their effecti"eness in terms of business competiti"eness and success rather than emplo!ee comfort or satisfaction. #he! must lead cultural transformation rather than consolidate same in order to turn the enterprise around. ,n support of the foregoing, )re'ster %200:& asserts that in increasing fle*ibilit!, firms also 'ant to change the nature of emplo!ee identification and their sense of in"ol"ement, and this change identit! (no's fe' national borders.

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%G&

B'sin#ss Cha""#n8#s An) G"$*a"isa1i$n ue to globalisation, enterprise no' face business challenges 'hich re/uire the organisation to build ne' capabilities. #his inno"ation has created opportunit! for the H$ professionals to pla! leadership role in assisting the organisation to meet the competiti"e challenges. 8ith the rapid e*pansion of the global mar(ets as earlier stated, the H$ professionals must thin( globall! and transform same to meet local needs. #he! must be more literate in the 'a!s international customers are handling commerce and competition than e"er before. Clobalization and ,nternationalization has gi"en rising concern for processes and competencies, more emphasis on customer9client satisfaction, increased education and enlightenment of 'or(ers amongst others.

%F&

Th# E&&#c1 $& In&$rma1i$n T#chn$"$8y In -$r%4"ac#s ,nformation technolog! has made the 'orld smaller and faster through internet. ,deas and large amount of information no' mo"e freel! and constantl!. #he challenge for the H$ -anagers is to ma(e good use of 'hat information technolog! offers and to ma(e it to be a "iable producti"e part of 'or( setting and tool. Ne' information technolog! has opened up possibilit! of greater strategic control in companies. #he possitilities from such technological inno"ations 'ill pro"ide continued strategic opportunities for companies %4!nch, 200>&.

%E&

Th# Cha""#n8# $& Pri3a1isa1i$n an) Li*#ra"i9a1i$n #he pri"atization of go"ernment companies in"ol"es the di"estment of public holdings in these enterprises for the benefit of single or multiple pri"ate shareholders or o'ners. #he e*ercise 'ill usher in a lot of changes 'ithin the pri"atized organization and the H$ professionals must brace up to the challenges posed b! the e*ercise as it relates to H$ planning and management. +(in to the foregoing, it is an incontestable fact that deregulation or liberalization encourages the use of automation all in support of globalization. 4abour unions must realize that the current transformation process 'ill ob"iousl! change the economics and politics of organizations. #herefore, education, training and retraining of its ran( and file members in the organization should be seen as an important "ehicle and gi"en priorit! in building the re/uired human capital. #he unions must stri"e to build capacit! 'ith /ualitati"e technical (no'ledge and competence to match the sophistication on the management<sside %+n!im, 2011&. #he H$ professionals must assist the union to elicit management support for capacit! building as enlightened 'or(force helps in reducing conflict in labour9management relations.

%10&

HR an) P$"i1ica" Pr$c#ss 8ith the democratic changes occurring all the 'orld o"er, the populace in 'hich the 'or( communit! is inclusi"e must internalize democrac! and discharge their ci"ic duties to the countr!. #he H$ professional must through the process of socialization assist the political authorit! or the go"ernment in promoting democratic ideals to enhance stabilit! and progress of the nation. ,t is ob"ious that a countr! in crisis 'ill face a decline in economic acti"ities and this 'ould in turn affect the operations of corporate entities. #he H$ professionals o'e it a dut! to contribute to'ards political stabilit! due to its fa"ourable conse/uences for organizational progress and prosperit!.

%11&

M'"1i<S%i""in8 Pr$c#ss/ #he pace of change in the H$ en"ironment in this era of globalization 'ill re/uire the H$ professionals to be multi-s(illed. #he! must de"ote more attention to core strategic issues in H$ management and be facilitator or change initiators and internal consultant to the organization. #he process of multi-s(illing endo's the H$ professionals to function in other capacities and also affords them the opportunit! to appreciate the job schedule of line -anagers.

%12&

Di3#rsi1y $& -$r%&$rc#/ #he concept focuses on the attachment of "alue to indi"idual differences in the 'or(place 'hich is made up of heterogeneous groups. #he H$ practitioner must ensure that no group of members has ad"antage or disad"antage o"er the other in the 'or(place. )esides he9she must also ensure that the producti"it!, creati"it! and commitment of the 'or(force are ma*imized 'hile meeting the needs of their di"erse interests.

%13&

Th# Em#r8#nc# $& G#n#ra1i$n Y in -$r%4"ac#/ Ceneration ; are !oung emplo!ees born after 1EF0 entering the 'or(force, necessitating changes b! management and H$ ali(e %+llen, 2003&. )ased on research, Ceneration ; appears different from pre"ious generations, because the! are self-confident, generall! independent and often pursue multi-career paths 'hich re/uire them being managed differentl!. Ceneration ; is also generall! at ease 'ith the re/uirements of technolog! and uncertaint! 'hich is characteristics of the !ounger emplo!ees in the 'or(force. #he! also

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demand responsibilities earl! in their careers and are unafraid of challenging their emplo!ers policies and procedures. Heathfield %2004& states that these 'or(ers 'ill become more li(e independent contractors, 'hich are t!pical of generation ;. #he! 'ill also mo"e from 'or(place to 'or(place 'ithout an! hesitation, and are a(in to free agents 'ho 'ill decide 'here and 'h! the! should 'or(. #he emergence of this ne' breed of 'or(force 'ill create additional responsibilit! for H$ practitioners 'ho ha"e to pro"ide a 'ide range of ser"ices in a different configuration in a bid to ca

%14&

HR! R#4'1a1i$n Mana8#m#n1 an) C$r4$ra1# E1hics/ $eputation management relatestheimpression the!tohold sta(eholders<abouttheoperationalconduct "ie' or integrit! of an organization. #op management and the H$ practitioners currentl! pa! high-le"el attention to reputation management and ethics %@chultz, et al., 2003&. ue to cases of corruption scandals and other "ices in organizations, the H$ practitioners should ta(e the responsibilit! of facilitating the training of emplo!ees in sustaining and protecting their organization<s reputation. )es and ethics in the organization and this 'ould assist management to assess its reputation management efforts.

%1:&

HR an) 0n$="#)8#>Ta"#n1 Mana8#m#n1/ =no'ledge management focuses on identification of emplo!ees 'ith intellects and e*pertise and ho' to channel same to'ards organizational effecti"eness. ,n the information age, (no'ledge rather than ph!sical assets or financial resources is the (e! to competiti"eness. +s pointed out b! -ec(lenberg et al %1EEE& (no'ledge management allo's companies to capture, ap and e*pertise. 1onse/uentl! the role of the H$ practitioners is to ensure that the organization has the intellectual capital it needs in the right proportion and at the appropriate time. .rogrammes must be created to enhance (no'ledge management initiati"es and also to elicit means to ensure that "alued and talented emplo!ees 'ho can contribute to (no'ledge creation and sharing are attracted and retained. CONCLUSION 5ollo'ing the challenges posed b! globalization, it is hoped that the H$ professionals 'ill not onl! destro! the stereot!pe routine methods of doing job but 'ould launch H$ full potentials for more positi"e contributions to emplo!ees< 'ell being and organization building. REFERENCES +llen, 1-.;ou %2003&should1are<,H; 7mplo!ment $e"ie', +ustralia, 1%1 +n!im, 5.1. %200E&-orientatio nI4eadershipinthe.ublic$e and .ri"ate @ecto #raining and e"elopment in Nigeria .ublic and .ri"ate 7nterprises, held at Laranda Hotel, )auchi, Aul! 2Fth to 31st. Aanuar!. )hag'atti, A. %2004& ,n efense of Clobalization, N.;, 2*ford Dni". .ress. )lanpain, $.,- )isom-$app, @., 1orb'ell, 8.$., Aosephs, H.==. and @immer -.A. %200G& #he Clobal 8or(place0 ,nternational and 1omparati"e 7mplo!ment, 4a's, N.;.? 1ambridge Dni"ersit! .ress. )riscoe, .$? @chuler, $.@ and 1laus, 4 %200E& ,nternational Human $esource management0 .olicies and .ractices for -ulti-national 7nterprises %3ed.& N.;, $outhedge. )urton, 4. %2003&,.eopleI#he !namicsNe*t21%2&. )ig #hingJ

+n!im, 5.1. %2011& I-anagement ofth onar!#rade 7conom!J,Dnionsin . presented at > th +frican $egional congress of the ,47$+ held at the Dni"ersit! of 4agos, 24 M2Fth

Heathfield, @.-. %2004&ends @hapingI5our;our 5uture#r. +bout http099humanresources.about.com9librar!9'ee(l!9nosearch9naao10>02b.htm. ate accessed0 10th Aanuar!, 2011. Aac(son, @.7., +l"arez, 7.).through%1EE2& i"ersit! asI8or(inga@trategic ,mperati"eJed.& in @ i"ersit! in the 8or(place, N.;, Culford. =ane, ). %2001&endsin -anagement0IH$-and#ra"elling#ra8ell-'orn .athBJ Ne' Lealand .aper .resented to 1:th +nnual +NL+- 1onference, >-F ec. =uru"illas, @., 5ren(el, @., and .eetz,esinH$-94$ . in%2003& e"eloping countriesJ in 8.-. 1o(e %ed& -ultinat @trategies, 8estport, 1#0 6uorum )oo(s. 4arsen, H.H. and )re'ster, 1. %2003& I4ine -anageme 7urope GB 7mplo!ee $elations 2:%3&. 4aurent, +. %1EF>&-1ultural.uzzle I#heof,nternational1rossHuman$esource -anagementJ H$-, 2:%1& E 4imeric(, ? 1unnington, ). and 1ro'ther, 5. %2002& -anaging the Ne' 2rganization0 1ollaboration and @ustainabilit! in the .ost-corporate 8orld %2nd ed.&, 1ro's Nest0 +llen and Dn'in.
(ttp88 '333 $man agem ent5o urnal s$org

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-a!rhofer, 8. and )re'ster,uman$esource 1-anagement.%200:&$esearchingI7uropean e"elopments H o"er #imeJ, #he ,nternational $e"ie' of -anagemen -ec(lenberg, @., eering, +. and @harp, . %1EEE& I=no'ledgesecret 7ngine-anagement0of1orporate + Cro'thJ, 7*ecuti"e +genda, 2. Nel, ..@., -ar*, +.7. and u .lessis uture+.1onte*tA. %200:&of8or(inthe )usinessI#he7n"ironment5 in @outh +frica0 @ome@outh7mpirical+fricanAournalof 7conomic7"idenceJand-anagement @ciences F%2&. Nona(a, , and #ecce. .A. %2001& -anaging ,ndustrial =no'ledge, 4ondon, @age .ublication. .armenter, . %2002& IHo' H$ adds ValueJ, Ne' Lealand -anag @chultz, H., )agraim, A., .otgieter, #., Viedge, 1. and 8erner, +. %2003& I2rgani 1ontemporar! @outh +frican .erspecti"eJ, .retoria @mith, .. and )irchfield, $. %2001& I.utting .eople @'anepoel, ).A. %ed.&? 7rasmus, ).A., Van 8!(, -. and @chen(, H. %2003& @outh +frican H!man $esources -anagement0 theor! and .ractice %3rd ed.& 1ape #o'n0 Auta. @!(es, -. ice%2003&-a(esI.ract.erfectJ 2ctoberNe'. Lealand Herald, 1: Dlrich, . %1EEF& I+ Ne' -andater"ard)usiness $e"ie'forG>%1&Human. $esourcesJ Vance, 1.- and .ai(, ;. %200>& -anaging a Clobal 8or(force0 1hallenges and 2pportunities in ,nternational H$-, N.;. @harpe.
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