BEGG Final Article Kelompok 4 - English

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ETHICAL CHALLENGES IN HUMAN RESOURCE MANAGEMENT;

A LITERATURE REVIEW

1,2,3,4,5
Master Program in Management, Faculty of Economics & Business, Mercubuana University

1
Dadan Nurhidayat
2
Andri Widianto
3
Asep Helmi
4
Rismana Adji
5
Arif Ramadan

I. Background
Ethics, according to Becker (2019), is "the systematic examination of values and
norms: their content and evolution, as well as their meaning, justification, and
determination." Ethics is concerned with norms and values, with what is right and what is
good, with what should be done and what should not be done, and with what makes a person
or a life good. Individuals and society are extremely reliant on established norms and values.
They provide direction for individual behavior and societal interactions.
Ethics refers to ethical behavior (the true ethical notion), and human resource
management, which is essentially concerned with the management of people, may believe
that the two are inextricably linked and integrative. While the discourse on employee rights
has long been a part of business ethics literature, the link between ethics and human resource
management has received little attention (Greenwood 2013).
At a time when businesses aspire to provide superior products and services to their
clients, the issues they encounter have been exacerbated by a rewriting of the employer-
employee relationship. Jeffrey Pfeffer, a Stanford University professor, cites issues that have
led to a world that is sometimes referred to as volatile, unpredictable, complex, and
ambiguous, or VUCA (Pfeffer, 1998).
Pfeffer observes that a "new employment contract" has placed employees in a
situation where they are frequently treated as commodities, notwithstanding firm leaders'
platitudes about employee importance. The assertion that "people are our most valuable
asset" contradicts a corporate culture that views employees as a cost center to be minimized
rather than a resource to be developed. According to Pfeffer, the solution is to develop aligned
human resource policies and programs that engage, empower, and increase employees'
talents, while also treating them as partners in the organization's success (Pfeffer, 1998).

The objective of this paper is to discuss the ethical dilemmas that Human Resources
Professionals (HRP) confront when they are attempting to encourage employees. This paper
discusses the function of human resource management (HR) in setting the stage for Human
Resource Professionals' responsibilities to stakeholders. These roles are then contextualized
using a matrix of descriptions of the complicated collection of ethical responsibilities and
obligations linked with the human resources function. This article discusses eight guiding
principles that human resource professionals should keep in mind when confronted with
severe ethical dilemmas in their roles. Following that, highlight five contributions to the
Human Resources (HR) literature, concluding with a challenge for HR management to
integrate the eight concepts in order to contribute more effectively to their organizations'
success.
II. KEY ROLES IN HUMAN RESOURCES
It is widely accepted that HRPs serve as staff support – and that the objective of HRPs
and the job of HRM are to assist an organization's Top Management Team in accomplishing
its overall mission (Gomez-Mejia, et all, 2015). Despite this fundamental perspective, human
resource professionals' roles are frequently misinterpreted and misused in enterprises.
Nonetheless, the human resource management role is critical to an organization's strategic
success (Caldwell, et al, 2011).
It is widely accepted that HRPs serve as staff support – and that the objective of HRPs
and the job of HRM are to assist an organization's Top Management Team in accomplishing
its overall mission. Despite this fundamental perspective, human resource professionals' roles
are frequently misinterpreted and misused in enterprises. Nonetheless, when human resource
management functions are carried out properly, they make a critical contribution to an
organization's strategic success.
Unfortunately, well-documented data indicates that the vast majority of employees now
serving in HRP posts lack formal training in the sector and are unaware of the nuances of
their roles (Gomez-Mejia, et all, 2015). The following is a list of seven critical strategic roles
of human resource professionals (HRPs) and a brief description of each of those positions
(Caldwell & Anderson, 2018).
a. Recognizing and recording employee attitudes.
Not only are HRPs sensitive to the perspectives and priorities of employees at all levels, but
they also conduct periodic polls of employee sentiments. Employee surveys supplement and
give specific data on employee concerns and viewpoints.

b. Assisting with organization analysis training.


Employees in organizations frequently lack refined abilities in doing organizational analysis.
Although these skills can be developed by employees throughout the organization, training
in the process of accurately assessing organizational conditions, the root causes of occurring
problems, and the impact of those problems can exponentially improve employees' and
managers' ability to analyze systems, processes, and organizational outcomes.

c. Improving employee empowerment and engagement through the implementation of


programs.
Human resource professionals may make a significant contribution to the development of
employee empowerment and engagement programs that foster employee ownership, boost
commitment, and foster a change-oriented culture.

d. As a subject matter expert, demonstrating technical expertise in support of corporate


objectives.
Human resource management demands a specific understanding of technical, interpersonal,
and legal themes that are critical to an organization's effective performance and capacity to
hire, retain, and support personnel.

e. Developing measures for evaluating the driving and restraint forces.


HRPs must develop the ability to accurately quantify the value added by people and
departments and to support the Top Management Team in assessing the crucial components
necessary to effect organizational transformation if they are to be significant strategic
resources for the business.
f. Conducting study into optimum practices.
To effectively support a business in managing change, human resource professionals must
develop into Subject Matter Experts in organizational analysis and change management.
Change may be vague, unclear, and difficult to implement, and HR professionals must grasp
not only best practices but also the underlying ideas upon which they are based.

g. Creating programs that foster a change-oriented culture.


By establishing aligned programs that encourage change, HR professionals contribute
significantly to the creation of productive and supportive work culture. When there are no
structures, policies, or processes in place to reinforce change initiatives, resistance to change
is a regular occurrence.

It is critical to understand the significance of each of these jobs, as HRPs help the Top
Management Team, supervisors, and team leaders. Additionally, the responsibilities
connected with these seven jobs are necessary to uphold the ethical obligations assigned to
individuals with whom HRPs interact. HRPs must develop expertise in all seven of these jobs
and be proficient at collaborating with both the Top Management Team and employees for
their organizations to compete successfully in today's demanding climate.
The Top Management Team's expectations and priorities, as well as those of the
organization's employees, may differ slightly concerning each of the goals previously
outlined. The following table summarizes the critical features of each function as viewed
through the prism of top management and employee expectations.
Each of these seven positions implies a range of significant ethical duties that HRPs
owe to individuals they serve in their staff capacity. LaRue Hosmer of the University of
Michigan explained more than four decades ago that ethical issues frequently arose during
the human resource management process – and that an analysis of those issues revealed that
employer actions or failure to act appropriately frequently resulted in undue harm to
employees. Leaders and organizations have a moral need to avoid such harms ethically – and
it is in leaders' long-term interests to uphold what has been referred to as "covenantal"
commitments due to employees (Hosmer, 1987).
Table 1. Human Resource Roles and Expectations of Top Management and Employees

Key Roles Top Management Expectations Employee Expectations Comment


Peran Kunci Harapan Manajemen Puncak Harapan Karyawan Komentar
Identifying Gathering information about Collecting this information The credibility of the Top
Employee employee attitudes should imposes an expectation to Management Team and the
Attitudes include identifying ways to employees that issues identified HRPs are on the line regarding
respond effectively. will be addressed. the response.

Resource for HRPs are expected to train Involving employees in this Training participants about
Organizational employees at all levels in how to training obtains their input and analysis of the organization
Analysis conduct this analysis. identifies problems. creates ownership.

Empowerment Identifies to Top Management Opportunities to be fully involved Programs and systems that
and the need for engagement and in the organization and to support empowerment and
Engagement empowerment and how to participate in decisions strengthen engagement require constant
Programs achieve both. commitment. monitoring.

Demonstrating Advising Top Management as a Implementing cutting-edge HRM The practical reality is that the
Technical subject matter expert keeps an best practices enables an technical skills of HRM are both
Skills organization current and out of organization to serve employees very complex and constantly
trouble. and support them. evolving.

Metrics Monitoring metrics about By teaching employees about key Tracking key performance
Assessing Key organization performance factors affecting their jobs and indicators enable an
Forces internally and externally how to measure those factors organization to respond on a
increases responsiveness. increases awareness. timely basis.

Research Constantly staying current about Sharing information with In a world that is marked by
About Best best practices and how they are employees about the constant innovation and change, tracking
Practices.
implemented enables the changes in technology and best best practices is an essential
organization to compete. practices creates ownership. task.

Supporting a Explains to Top Management Creating systems and processes Change is likely to be resisted
Culture of how creating a change- that support change reinforces the unless elements of a changing
Change responsive culture can benefit the ability of employees to adapt as culture are successfully
organization. needed. implemented.
III. ETHICAL DUTIES AND HUMAN RESOURCE ROLES

The complexity of the ethical concerns and problems confronting contemporary


organizations has reached mind-numbing proportions. With increased pressures on
executives and their human resource professionals to manage efficiently, many of these
ethical complications create difficulties for employees and make it more difficult for firms to
cooperate toward the same goals (DePre, 2004). Diagram I and table II below summarize
and explain how each of the sixteen ethical views affects the seven responsibilities of human
resource management.

Figure 1. Sixteen Ethical Perspectives.


Table II. Ethical Perspectives and Human Resource Roles

Ethical Perspective Primary Idea Value Application to HRM Roles Comment

Ethic of Self- “Pursue outcomes Balanced Self- HRPs should advise the Top Short-term efforts to
Interest which have a greatest Interest Management Team in increase revenue can be
positive benefit for establishing policies that detrimental to the ability
oneself and one’s generate employee best of a firm to be profitable
organization without efforts to optimize long-term in the long term.
infringing upon the value creation. Protecting
rights of others.” employee rights also applies
to maintain credibility.
Virtue Ethics “Constantly pursue Commitment The Top Management Team Excellence and
excellence, make it a to Excellence and the HRPs need to honor virtuousness are qualities
habit, and treat others their obligations to be that earn followership.
with integrity.” virtuous examples and role
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

models to generate employee


trust.
Ethics of Religious “Treat others with Authentic Honoring others and treating People are not
Injunction dignity, respect, and Understanding them as friends complies commodities and HRPs
kindness – as valued with the ethical requirements have the duty of
‘Yous’ and never as of this ethic and strengthens emphasizing that point
anonymous ‘Its.’” relationships. Kindness is a to Top Management.
moral obligation of HRM
personnel.
Ethics of “Live by both the letter Legal Organizations are vulnerable Many HRPs fail to
Government and spirit of the law in Compliance when they violate the laws understand the
Regulation honoring duties owed to governing a broad range of requirements of the law
others, but remember HRM issues. However, they or the actual intent
that the law by itself is are also vulnerable when they
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

a minimal moral fail to honor the intent of which the laws were
standard.” those laws and violate established to protect.
individual rights.
Utilitarian Ethics “No actions should be Value The HRP role includes Understanding topics
engaged in which do Optimization advising the Top such as High-
not result in the Management Team about Performance Work
greatest good for that opportunities to increase Systems are necessary
community of which employee commitment and for HRPs.
you are a part.” trust – keys to greater
innovation, better service,
increased profits.
Ethics of Universal “Act according to Just Action Complying with universal Because fairness and
Rules universal principles principles, values, and rules justice are subjective
and rules which you enables organizations to constructs, leaders and
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

Etika Aturan would have others demonstrate their basic HRPs earn a reputation
Universal apply if they were in fairness. Justice and fairness for fairness when they
your similar situation are key elements to explain decisions.
and your positions establishing a reputation for
were reversed.” the trustworthiness of leaders
and HRPs.
Ethics of Universal “No one, including Guaranteed Respecting the rights of each Individual rights
Rights governments, may take Rights employee and honoring those associated with justice
Etika Hak Universal action that infringes rights through policies and and fairness transcend
upon the legitimate procedures that demonstrate legal requirements and
rights of any other fairness increases a reputation affect credibility.
individual.” for integrity.
Ethic of Economic “Achieving an Efficient Use Avoiding wasting HRPs have the
Efficiency efficient use of organization resources and opportunity to help an
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

resources to create establishing policies and rules organization to achieve


value for society is a that reward efficiencies and this goal as they
virtuous goal.” cost savings serve to monitor performance
demonstrate the importance metrics.
of efficient actions and build
commitment.
Ethic of “Act only in ways that Honoring Fairness and justice are key Taking advantage of
Distributive Justice acknowledge rights, Everyone ethical standards that employees – often
liberty, and equality of demonstrate the respect that under the color of the
all and take no actions an organization has for law – destroys
that harm the least employees and their rights. confidence in the
among us.” Protecting those rights organization.
increases trust.
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

Ethic of “Take no actions Self- The ethical obligation to help Training and
Contributing Liberty which impede the self- Fulfillment employees to develop skills development programs
development or self- Pemenuhan become the best version of and effective coaching
fulfillment of others.” Diri themselves is a moral help to achieve this
obligation of organizations. objective.
Ethics of Self “Seek to discover your Discovered Truly effective efforts to The benefit to the
Actualization innate greatness, fulfill Greatness enhance employee organization when
potential to create a Menemukan performance and to help them employees excel is also
better world.” Kehebatan to become their best selves obvious.
enable employees to excel.
Ethics of Care “Respect others as Responsible Acknowledging the Acknowledging the
valued individuals, Caring responsibilities owed to partnership that exists
share a concern for employees and treating them with employees requires
their welfare, and honor as valued partners earns the that HRPs willingly
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

the responsibility to long-term commitment of assume an obligation to


treat each person with those employees and serve those employees.
empathy and demonstrate that the
compassion.” organization truly values
them.
Ethics of ”Seek to assist others Authentic Organizations that treat The “command and
Friendship to achieve their highest Commitment employees with authenticity control” arms-length
potential and be candid and with a commitment to treatment of employees
but considerate of them their employees’ welfare see generates distrust and a
and their needs.” employees respond with an lack of commitment.
effort to optimize their
contribution to the
organization.
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

Ethic of Self- “Always acknowledge Personal Setting an example of Setting the bar high and
Mastery and seek to overcome Discipline individual excellence and supporting employees to
Etika Penguasaan your shortcomings and Disiplin personal discipline by achieve greatness results
Diri strive to better Pribadi modeling those behaviors is in excellence.
yourself.” responded to by employees Menetapkan standar
“Selalu akui dan following that example. yang tinggi dan
berusaha untuk Memberi contoh keunggulan mendukung karyawan
mengatasi kekurangan individu dan disiplin pribadi untuk mencapai
Anda dan berusaha dengan memodelkan kehebatan menghasilkan
untuk memperbaiki diri perilaku tersebut ditanggapi keunggulan.
sendiri.” oleh karyawan yang
mengikuti contoh itu.
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

Ethic of “Seek to not only Supportive Recognizing employees’ Identifying employees’


Compassionate empathize with others’ Validation needs and responding in shortcomings without
Understanding needs but to take Validasi yang ways that affirm the helping them to improve
Etika Pengertian positive actions that Mendukung employees’ worth – even their performance fails to
Welas Asih enable them to address when their performance may help those employees to
those needs.” be inadequate – enables improve nor benefits the
“Berusahalah untuk those employees to build organization – and shows
tidak hanya berempati competencies while neither empathy nor
dengan kebutuhan addressing organizational compassion.
orang lain tetapi juga needs as well. Mengidentifikasi
untuk mengambil Mengenali kebutuhan kekurangan karyawan
tindakan positif yang karyawan dan merespons tanpa membantu mereka
memungkinkan mereka dengan cara yang meningkatkan kinerja
menegaskan nilai karyawan mereka gagal membantu
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

memenuhi kebutuhan – bahkan ketika kinerja karyawan tersebut untuk


tersebut.” mereka mungkin tidak meningkatkan atau
memadai – memungkinkan menguntungkan
karyawan tersebut untuk organisasi – dan tidak
membangun kompetensi menunjukkan empati
sambil menangani atau kasih sayang.
kebutuhan organisasi juga.
Transformative “Incorporate the ethics Enlightened Respecting others’ ethical HRPs and the Top
Ethics and values of each of Insight perspectives demonstrates Management Team earn
the other ethical moral and ethical virtue and the dedication of others
perspectives to honor a commitment to the best when they are perceived
the rights of others and interests of others and the as ethical and wise
conform to correct principles of interpersonal leaders.
connection. Being highly
Ethical Perspective Primary Idea Value Application to HRM Roles Comment

moral and ethical ethical confirms the wisdom


principles.” of leaders.
We classify the ethical obligations associated with each of them into seven roles based
on the explanation and explanation in the table above. By highlighting the significance of
this responsibility, we can understand how vital it is for HRP to consider their moral and
ethical obligations to others when carrying out their substantial responsibilities.

a. Identifying Employee Attitudes (Mengidentifikasi Sikap Karyawan)

HRPs are not only responsible for tracking those attitudes, but also for
upholding the Utilitarian Ethic obligation to add value by advising Top
Management on the most effective ways to address employee concerns and
priorities. This response to employee needs also satisfies ethical obligations
under the Care Ethics and the Compassionate Understanding Ethic.

b. Organization Resource Analysis


Analyzing how resources are best utilized and training employees to
monitor key performance indicators support the Economic Efficiency Ethic
by empowering the organization to make the most efficient use of available
resources to accomplish organizational goals. This analytical process also
adheres to the obligations imposed by the Ethic of Universal Rules'
application.

c. Empowerment and Engagement Programs.


Working with top management to develop empowerment and
engagement programs contributes to employees' growth and development –
incorporating the Ethic of Self-Actualization, the Ethic of Contributing
Liberty, and the Ethic of Care – by providing opportunities for individuals to
excel, become their best selves, and achieve personal fulfillment.

d. Demonstrating Technical Skills.


Technical expertise not only complements the Ethic of Government
Regulations and the Ethic of Universal Rights but also enables organizations
to operate smoothly and efficiently on a variety of levels. As HRPs
incorporate those skills, they also uphold the Ethic of Self-Mastery through
the adoption of best practices in human resource management.
e. Metrics for Evaluating Critical Forces.
By continuously monitoring key indicators of organizational purpose
in the external environment – as well as internally – HRPs assist their
organizations in achieving both short- and long-term goals as defined by the
Self-Interest and Transformative Ethics.

f. Research about Best Practices (Penelitian tentang Praktik Terbaik)


As subject matter experts, HRPs exemplify Economic Efficiency and
Self-Interest Ethics by identifying opportunities for their organizations to
incorporate best practices. Adopting best practices in human resource
management also conforms to the Ethic of Care and Virtue Ethics by treating
employees as valued partners – a time-tested method of optimizing value
creation.

g. Supporting a Culture of Change (Mendukung Budaya Perubahan)


Collaborating with top management to foster an environment that values continuous
improvement and change serves the best interests of employees and exemplifies the Ethic of
Care, the Ethic of Religious Injunction, and the Ethic of Self-Actualization. Employees'
personal financial interests are protected, and they are able to contribute to organizational
goals that align with both the Economic Efficiency Ethic and the Friendship Ethic.
This concise summary demonstrates the practical application of various ethical
perspectives and their relationship to the seven critical human resource professional roles.
By upholding their obligations to employees and organizations by serving as ethical role
models for employees, human resource professionals foster the development of the trust,
commitment, and loyalty that are so often lacking in many modern organizations.

IV. EIGHT GUIDING ETHICAL PRINCIPLES


HRPs and other organizational leaders can strengthen their ability to be perceived as
ethical leaders through their commitment to high ideals and values. Ignoring the complex
and varied ethical perspectives of others is a surefire way to lose their trust and jeopardize an
organization's success. As Hosmer noted, virtually every aspect of human resource
management is ethical, value-based, and principle-centered. The following is a concise
summary of eight critical ethical principles that can help HR professionals and other
organizational leaders build their credibility (Hosmer, 1995).

1. Acknowledge the variance in ethical perspectives of employees


Perhaps the most frequent error made by leaders and human resource
professionals is to assume that others view the world through the same ethical lens as
they do regarding what constitutes ethical behavior. As previously stated, there are
numerous ethical perspectives, each with a rational and justifiable philosophical
foundation. Until HRPs and other leaders recognize that their actions are evaluated
according to how individual employees view ethical obligations, those HRPs and
leaders will fail to recognize that their actions may be perceived as unethical by each
employee with whom they interact.

2. Recognize the importance of honoring employee rights and interests.


As several of the ethical perspectives discussed in Table II point out, employee
rights are a critical component of ethical relationships. More importantly, research on
human relations and trust demonstrates that respecting employees' rights and working
for their interests results in positive outcomes for organizations, such as increased
employee commitment, increased innovation, and improved customer service
(Cameron & Spreitzer, 2012).

3. Prepare yourself well by researching the complex issues facing


organizations.
Numerous HRP roles require employees to develop subject matter expertise in a
broad range of behavioral, technical, and industry issues affecting their organization.
External adaptation and internal integration are critical to the purposes of every
organization, and they require HRPs to become knowledgeable, current, and precise
in their understanding of issues, as they each bear an inherent ethical responsibility
(Schein, 2016).

4. Constantly refine your understanding of HRM issues.


Human resource management is a broad, far-reaching, and complex profession
that has evolved significantly over time. HRPs rarely possess sufficient knowledge of
the diverse issues confronting the profession – even those with professional
certifications (Gomez-Mejia, et all, 2015). Significantly, there is a great deal of
inaccurate information that HRPs fail to comprehend correctly, necessitating
extensive study. For instance, few human resource professionals understand the
critical nature of High-Performance Work Systems in fostering organizational
cultures that maximize performance (Beer, 2009).

5. Strive to create partnerships with employees in optimizing value creation


By establishing partnerships with employees, an organization's culture is
transformed from the current "arms-length" relationship that exists in many
organizations today. When employees receive treatment that demonstrates
interpersonal skills, a commitment to their welfare, a high level of trust, and genuine
kindness (Caldwell, 2017), their performance improves significantly (Cameron,
2012). Training and development programs demonstrate to employees that they are
partners in the process of improving the organization and increasing value.

6. Advise Top Management about the long-term consequences of decisions


(Memberi nasihat kepada Manajemen Puncak tentang konsekuensi jangka
panjang dari keputusan).
The HRM function's strategic credibility and the role of HRPs include advising
the Top Management Team on the long-term implications of decisions on employee
attitudes – as well as the impact of decisions on key performance indicators (Caldwell
& Anderson, 2018). Because business leaders are frequently focused on the short term
in pursuit of quarterly stock prices, they frequently overlook the long-term
consequences of decisions that may have significant long-term consequences and
undermine value creation (Caldwell & Anderson, 2018).
7. Incorporate best practices in establishing key elements of organizational
culture.
Understanding how to implement best practices and translate those practices
associated with improving an organization's culture into action is significantly
different than simply establishing the goal of improving that culture (Schein, 2016).
Developing the finesse and interpersonal expertise necessary for changing
organizational culture is a refined ability that is not easily acquired and requires an
awareness of organizational change best practices (Kotter, 2012).

8. Develop personal relationships based upon trustworthiness and


competence
Effective interpersonal relationships and the establishment of trust require both
character and competence (Covey, 1992). Trust generates value, and the capacity to
earn the trust of others is one of the most honed leadership capabilities (Caldwell &
Ndalamba, 2017). Leadership, whether that of the Top Management or the HRP, is
fundamentally a relationship based upon the demonstrated ability of leaders to
integrate trustworthy-ness and the ability to achieve results (Kouzes & Posner, 2017).

HR professionals and organizational leaders fulfill their ethical responsibilities by


adhering to these principles and demonstrating their personal commitment to excellence –
because excellence and ethics are inextricably linked (Solomon, 2017).
V. CLOSING
The critical importance of ethical issues in human resource management and the
importance of HRPs understanding these ethical factors are frequently underestimated. As a
result, this paper makes five significant contributions to the human resource management
literature.

1. Reiterates the importance of human resource management as an ethically


responsible organizational priority.
HRPs frequently view their roles as solely focused on assisting Top Management
in achieving short-term objectives. However, human resource management has
significant ethical obligations with long-term consequences that are clearly ethical
and impact an organization's ability to create wealth (Gomez-Mejia, 2015). While
others have recognized the ethical nature of employee relationships, the importance
of ethical issues in human resource management is frequently underestimated
(Caldwell & Anderson, 2018).

2. Introduces ethical perspectives that have never been described as human


resource management (HRM) factors.
This article discusses the significance of sixteen ethical perspectives and how they
relate to the HR professional's role in organizations. The significance of these sixteen
perspectives and their interconnected nature has never been addressed in a previous
document about human resource management and its ethical responsibilities.

3. Proposes ethical principles for HRPs to follow in order to maximize their


effectiveness.
Using the work of scholars such as LaRue Hosmer as a springboard (Hosmer,
1987), this article emphasizes the importance of ethics in human resource
management and offers specific guiding principles with significant implications for
HRPs (Gomez-Mejia, et all, 2015). The eight principles outlined here contribute to
the effectiveness of human resource professionals and the human resource
management role.

4. Increases the bar for human resource professionals in terms of developing


their capabilities.
Identifying the complex nature of the seven human resource management roles
and their far-reaching implications for an organization's success is far beyond the
expectations and performance level of many current human resource professionals
(Gomez-Mejia, et all, 2015). Human resource professionals and members of top
management teams must be fully aware of these seven roles and the importance of
holding human resource professionals accountable for their effective performance.

5. Reiterates the critical importance of HR professionals comprehending the


complexities of ethics in their roles.
Whereas the HR professionals may believe they understand their ethical obligations, this
article demonstrates why they must go far beyond their current level of comprehension in
order to recognize the nature of the ethical obligations they owe their organizations and their
employees. Additionally, HRPs must become acquainted with the broad range of ethical
issues that others perceive – and through which HRPs are viewed.
These five contributions add breadth and depth to our understanding of the issues raised
by Hosmer more than three decades ago (Hosmer, 1987). In a world where trust in leaders
and organizations is low, updating Hosmer's insights has practical value (Clifton & Harter,
2019).

VI. CONCLUSION
LaRue Hosmer addressed the critical importance of HRPs coming to terms with the
profoundly complex ethical issues inherent in the HRM function more than thirty years ago.
According to Hosmer (1987)
LaRue Hosmer membahas pentingnya HRP untuk menerima masalah etika yang
sangat kompleks yang melekat dalam fungsi HRM lebih dari tiga puluh tahun yang lalu.
Menurut Hosmer
“There is no single system of belief to guide managers in reaching
difficult ethical decisions, but this does not mean that all of us are on our
own, to do as we like in our decisions and actions that affect others adversely,
in ways that are outside their control. We can understand the financial, legal,
organizational, social, and personal impacts of our decisions and actions;
what we need is a means of evaluating those impacts, with no single set of
moral standards to guide us”.

Hosmer (1987) advised human resource professionals and senior management to


broaden their horizons in order to fully comprehend the complexities of ethical perspectives
and their profound implications for individuals and organizations.
Given the increased complexity of organizations, the increased competitiveness of
the global marketplace, and the rewriting of the employment contract to treat employees as
cost centers and commodities, the consequences of understanding the ethical implications of
human resource management decisions appear self-evident. Fortunately, the research
confirms that it is possible to increase employee commitment and loyalty, even during
difficult times – but the key to accomplishing this goal is to understand, as Hosmer advised,
the diverse and unique ethical perspectives of organizational employees.
As organizational commitment and trust in leaders erode, HR professionals who
incorporate the insights provided herein have the opportunity to have a significant impact on
their organizations' success. However, HR professionals who are unaware of the ethical
nature of their roles will undoubtedly struggle to earn employee trust – with predictable
negative consequences and a continued decline in organizations' ability to compete in an
increasingly competitive world (Caldwell & Anderson, 2018).
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