Analyse the impact of the key external environmental influences on HRM, using examples to illustrate.

Gomez-Mejia, L., Balkin, D., & Cardy, R. (2012). Managing Human Resources (7th ed.). Upper Saddle River, N.J.: Prentice Hall.

Amongst reading the material presented in this chapter about the job market trends, I was able to determine that the job market is extremely dynamic and has a great rate of change depending on the company’s needs. These adjustments also affect salaries, if there is a high demand for a position where there is a shortage in qualified candidates the salaries and benefits will be higher. As new technologies grow, the need for employees in these areas do as well, people need to maintain their skills up to date and seek professional growth to be able to keep up with the requirements and challenges of this fast pacing changing job market. However, some of these changes in the job market are being caused by the rapid change in the workforce. Companies are having to adapt some of their philosophy and the way they view employees, because so much has changed in the way the workforce behaves. Let’s examine the

Gómez-Mejía, L. R., Balkin, D. B., & Cardy, R. L. (2016). Managing human resources (7th ed.). Harlow: Pearson.

2. Leatherbarrow, C., Fletcher, J. & Currie, D. (2010) Introduction to Human Resource Management. 2nd Edition. London: CIPD

Currie, D (2010). Introduction to Human Resource Management. 2nd ed. London: Chartered Institute of Personnel Development. 293

The economic climate surrounding a company can determine many things and can have financial implications as well as affecting the levels productivity. Economic growth can lead to a lack of employees available to fill positions because the labor market is saturated with jobs. A company will look to offer higher wages, more benefits and incentive programs to entice potential candidates and will invest in current employees with training and development to help retain the staff and promote succession planning throughout the company. A downturn in economic growth can have the opposite effect. Companies have a tendency to cut the workforce to maintain profit margins, thus applying extra pressure to the remaining employees, causing extra work loads, poor morale and a high

Human Resources, focuses on recruiting new employees and managing existing workers, plays a significant role in employment relationships as do several additional internal and external factors. Listed below are a couple of Internal and external Factors that may affect the employee’s relationship.

Gerhart, B., Hollenbeck, J., Noe, R., & Wright, P. (2009). Fundamentals of human resource management (3rd ed.). New York, NY: McGraw-Hill.

Boxall, P and Purcell, J (2011), The Goals of Human Resource Management, Strategy and Human Resource Management, 3rd Edition, Palgrave Macmillan, New York, pp. 1-36.

C. Leatherbarrow & J. Fletcher, 2014, Introduction to Human Resource Management, guide to HR in practice, 3rd edition, London, CIPD

Alexander, M., 2003. A handbook of Human Resource Management Practice. 9th ed. London: Kogan Page

Globalization can best be defined as the shrinking of our world. As technology advances the gaps between Countries is closed, and our society as a whole becomes more integrated. Globalization is something that has been occurring for thousands of years, with one early example of Globalization being the use of the Silk Road, which connected China and Europe during the Middle Ages. Globalization can offer businesses many was to increase business, while at the same time threatening them (Globalization101.org, 2014).

Globalization, in its most literal definition, is the process of making, transforming or expanding a product or service into a global one. This process is a combination of economic, technological, socio-cultural, and political forces (Button, 2008).

2. Elkin, Graham: Editor (2001) Human Resource Management in Action – Contemporary New Zealand Cases Vol. 2”.

Managing the Human Resource Environment is a crucial tool, which encompasses of compliance issues, companies objectives and the work environment. Here,