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162                                       analysis of performance potential
                               POTENTIAL ANALYSIS IN THE CONTEXT OF HRM FUNCTIONS

                               Potential analysis is embedded in the human resources management, the major function
                               of which is to guarantee a continuously high performance level of the organization with
                               regard to the workforce (Kraiger, 1999). The human resources management not only has
                               to secure the smooth running of the daily business, but, following the strategic goals of the
                               organization, it has to bridge the discrepancies between the vision of the desired future
                               and the current situation. Necessary and operational means to fulfill this major function
                               are the implementation of satisfactory inter-individual conditions and the effective and
                               efficient planning of human resources with regard to members and would-be members of
                               the organization (Ilgen & Pulakos, 1999). Creating satisfactory and motivating conditions
                               involves securing a general fairness in dealing with employees (see Figure 8.1). The


                                                       Safe and
                                                                   Adequate
                                   Tasks related to  ergonomically  reward and   Work       Positive
                                   the planning of   designed work  compensation   contentiveness  climate
                                   human resources      place
                                       Recruitment:
                                        Personnel
                                        marketing

                                       Recruitment:
                                        Selection


                                       Recruitment:
                                         Hiring

                                     Recruitment: Initial
                                       placement

                                        Personnel
                                      development:
                                        Selection

                                        Personnel
                                      development:
                                      Preservation of
                                       performance
                                        Personnel
                                      development:
                                      Improvement of
                                       performance


                                       Controlling

                               FIGURE 8.1 Overview of the Human Resources Functions: Satisfactory inter-individual condi-
                               tions have to be realized throughout all human resources planning tasks in order to guarantee a
                               continuously high performance level of the organization with regard to the work force. Controlling
                               is a task that concerns all other planning tasks.
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