The Influence of Economic and Financial Crisis on Human Resources Management

Abstract

There is no doubt that the way in which entities operate and engage with each other, locally, nationally and internationally, will be profoundly influenced by the factors that are rapidly gaining attention: economic collapse of nation states; political collaboration on structural reform to address climate change; the integration of social media into every aspect of our communication; the development of fast moving communities of interest; and the changing role of government in partnership with third parties to deliver services.These are just some of the forces creating a new paradigm for HRM. The potential for major transformation within organizations and the intersection with community, customer and supply chain relationships offer a huge opportunity for HR to reinvent itself as a major source of inspiration and innovation in leadership and management. Our paper describes steps that every HR leader needs to take to adapt to the changing environments: redefine the boundaries of our role; be the owners and drivers of the brand that reflects a commitment to service towards staff, customers, suppliers and the community; be recognized professionally; take ownership of the competencies required to work successfully at a strategic level; be the thought leaders on internal and external factors impacting on how our organizations operate. We need to use our knowledge and networking to highlight global trends and maintain a high level of vigilance on workforce issues; build internal trust that allows us to challenge the role of the HR function has dramatically changed in just a few short years. Where will HR be as a profession in another three years?.