Critical Thinking of Human Resources in the Goal

Abstract

Recently, changes within the business industry have led to human resource management (HRM) positions and structures being reconsidered. Human resources (HR) used to be centralized, but the constant changes to organizational culture has caused HR to become decentralized. The HR operations have been incorporated into other departments, as well. Now, HRM is essential to business processes that mirror other departments, such as accounting and finance, but HR is still centralized in specialized areas, such as recruitment and compensation. Examining Goldratt & Cox's “The Goal” reveals its involvement with HRM. This study evaluates the implication of HRM on a business, its relationship to the Theory of Constraints (TOC), and the ways in which these concepts can aid a business in reaching its main objective.