In an organization like PepsiCo, the human resource director is used to direct, lead, develop, coordinate and plan all the activities, staff, and policies of the human resource department. This is essential in an organization since it enhances legal compliance as well as the enactment of the company’s strategies and missions. The human resource director is essential in promoting the organizational performance in every organization (Para-González, Jiménez-Jiménez, and Martínez-Lorente, 2018, p. 66). This is because they are used to recruit and maintain employees thus improving organizational performance. They only recruit and retain employees that increase the performance of the organization. Some companies such as PepsiCo are making progress as a result of their policies. At PepsiCo, they believe that their employees or their people at large are their greatest assets and that is why they take pride in recognizing every contribution that is made by each one of them (Kianto, Sáenz, and Aramburu, 2017, p. 15). The human resource directors enhance their staff’s development by equipping them with the right systems hence developing their potential.
They also create a collaborative environment that supports their people to grow in every way possible. There is also a reward system at PepsiCo that encourages employees to work hard towards increasing the performance of the organization (Church, 2019, p. 500). This is the same thing that happens at Facebook which is in the social networking sector. A talented workforce is strategically used to promote as well as add value to the development of the organization. Recently, businesses was all about making sales and competing against one another. However, things have changed and Human Resources is a new thing. For instance, Facebook is a huge competitor of Google and has become famous for creating an environment and culture that brings about joy and satisfaction. Facebook has been ranked at the top for having the best employees who work towards the performance of the organization (Su and Chen, 2020, p. 1166). Just like PepsiCo, Facebook is equipped with the right systems that make sure employees develop to their full potential.
The human resource department is useful in relieving the burden of other managers. Some time-consuming tasks such as recruiting employees or coming up with policies and procedures to be implemented will be dealt with by the department. This is one of the benefits of having a human resource department. The company’s CEO can now focus on better things such as increasing the sales of the organization as well as gaining a competitive advantage in the market. Another benefit of having a human resource department is that it is responsible for influencing the overall productivity as well as the profitability of a business organization. This is the department that ensures the allocation of resources and that none of them are wasted. The department does this by making sure that they hire the right person with the perfect qualification for the right job. However, some benefits come along with having a human resource department. One of them is incurring the cost to implement a new human resource system.
For a human resource department to be successful, it must have a license and system to be productive. Another disadvantage is that the CEO has to allow other people in the human resource department to make huge decisions such as the recruitment of employees. It can be problematic to have a human resource department that does not align with the CEO’s directions and goals (Carbery and Cross, 2018, p. 67). This is because a human resource department with different goals can cause the company’s direction to change. Even if there is the alleviation of the burden by the department, changing the objectives is not necessary. However, it is important to have a department that has the same objectives as that of the CEO. In conclusion, it is significant to have an organization that has a human resources department since it contributes to the performance of the organization.
List of References
Carbery, R. and Cross, C. (eds.) (2018) Human resource management. London: Macmillan International Higher Education UK.
Church, A. H. (2019) ‘Building an integrated architecture for leadership assessment and development at PepsiCo’, In Evidence-based initiatives for organizational change and development. Hershey, PA: IGI Global, pp. 492-505.
Kianto, A., Sáenz, J. and Aramburu, N. (2017) ‘Knowledge-based human resource management practices, intellectual capital and innovation’, Journal of Business Research, 81, pp.11-20.
Para-González, L., Jiménez-Jiménez, D. and Martínez-Lorente, A.R. (2018) ‘Exploring the mediating effects between transformational leadership and organizational performance’, Employee Relations, 40(2), pp. 412-432.
Su, Y.S. and Chen, H.R. (2020) ‘Social Facebook with big six approaches for improved students’ learning performance and behavior: A case study of a project innovation and implementation course’, Frontiers in Psychology, 11, p.1166.
