Operation Of Peter’s Principle In My Organization Essay Example

they play a key role in helping to achieve organisational success and determining the organisation’s competitive advantage” (Sims, 2002, pg 5). Thus, the Peter Principle enables Human Resource Managers sees the Human Resource as strategic partners working towards the organisation’s strategic goals.

Thus, this gives the organization the right resource to compete favourably. The awareness of strategic function of Human Resource Manager is emphasised by Chaturvedi (2005). He put it that “By design the perspective demands that Human Resource Managers become strategic partners in business operations playing prospective roles rather than their being passive administrators reacting to the requirements of other business functions. Strategic Human Resource Managers need a change in their mind set from seeing themselves as relationship managers to resource managers knowing how to utilise the full potential of their human resources. The Peter Principle has the effect of changing the mind frame of HR manager to making them see the reason to cooperate with other personnel to make right decisions regarding promotion, assigning functions that would affect the strategic and competitive stand of the organization. The strategic function of Human Resource Managers are existed when they participate in the process of defining business strategy, when they partake in asking questions that move strategy to action and when they design Human resource practices that align with the business strategy.

In executing this role, the Human Resource Professionals increase the capacity of a business to execute its strategies. Thus, the current challenge of Human Resource Management, according to Sims (2002), “is to integrate programs involving human resources with strategic organisational objectives”. Truss and Gratton (1994:663) as cited in Sims (2002, pg 2), sees, “the linking of

Human Resource Management with strategic goals and objectives in order to improve business performance and develop organisational cultures that foster invocation and flexibility”.Today’s competitive business world has made the significant role of the Human Resource Management in strategic planning more acknowledge than ever before. Thus, the Peter Principle future reemphasised the role of HR manager to make decisive and right choice of human resource structuring for the effective operation of the organization. “Today’s top company executives are increasingly looking to Human resource to improve the bottom-line.

The traditional Human resource functions of staffing, recruiting, compensation, and benefits are losing ground to a new generation of value added core Human Resource functions that include career planning, executive development, training, succession Planning, and organisation development” (Caudron 1994). Furthermore, corrective measures is emphasised by the principle where HR managers are expected to demote incompetent workers to lower positions where they can effectively perform. Though, as Peter Principle observed, this is rarely executed in organizations. Effective Human Resource Management practices are recognises as to enhance an organisation’s competitive advantage by creating both cost leadership and differentiation.

Today’s competitive global environment has made organisation maintaining a competitive advantage puts a premium on having a committed and competent workforce. Low-cost, high- quality products and services are a result of committed employees all working hard to produce the best products and provide the best services that they can at the lowest possible cost. Thus, it is important that the Human Resource Managers are made to get in touch and be included in the organisation’s strategic plan, since they have the wealth of experience in the motivation of the organisational workforce into putting their best

in the attainment of the strategic goals of the organisation.

Conclusion

The Peter’s Principle sees the wrong choice of promoting worker to higher position with no comfort and competence to perform better than the previous post goes a long way in influencing HR Manager to make right decisions, regarding rewards and promotion of workers. The principle do not negate the fact that HR functions are only feasible in theory, but erroneous decision leads to reduced productivity and the ability of the organization to compete favourably. Furthermore, the principle gives HR Manager the sense to know that his/her decision has significant impact in the corporate operational and competitive levels.

Corrective measures need to be taken in situation where lapses are recognized in the promotion of workers to higher positions.When this is adhered to it leads to effective operations and competition of the organization.

References

1. Caudron, S. (1994), “HR Leaders Brainstorm” Personnel Journal, 54-61, August Chaturved, Siddharth (2005), “Strategic Human Resource Management” http://www.humanlinks. com/manres/articles/shrm. htm (15/08/05)
2. Koch, Alexander K. & Nafziger, Julia (2007), “Job Assignment under Moral Hazard: The Peter Principle Revisited” IZA Discussion Paper Series No. 2973 August ftp://repec.iza. org/RePEc/Discussionpaper/dp2973. pdf (20/02/08)
3. Peter, L.J. , and R. Hull (1969): The Peter Principle: Why Things Always Go Wrong.
4. William Morrow & Co. Inc, New York. Sims, Ronald R. (2002), Organisational Success through Effective Human Resources Management West Port, CT: Quorum Books. Pp.
5. 1-5, 8, 9, 20, 23. Tortorici (2006) “Can we turn back the rising tide of incompetence? ” The Conference Board at http://www. conference-board. org/utlities/press (22/01/207)
6. Wilson, John P. (1999), Human Resource Development: Learning and Training for Individuals and Organizations London: Kagan Page