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I would say that there are more benefits to having a formal Human Resource Management process. The more formal the Human Resources process is in an organization, the more likely it is that there will be synchronicity between management and workers, understanding of essential principles in the organization, and greater avenues that can be pursued if there is confusion in the organization. A formal Human Resource Management process also enables an organization to be in compliance with legal issues related to hiring and working in a particular organization. Formal processes and procedures can also enable employees to have an outlet in pursuing their own grievances or even opportunities for advancement. The data collection process on how to maximize effective employees and how to help those in need can be best accomplished through a formal Human Resource Management process model. If there are any potential drawbacks, I would suggest that they reside in making the transition form an organization without a formal Human Resources Management process to one that does have one. This is a challenge because of the seismic shift in responsibility and communication. In the short term, some challenges will present themselves from such a move. Yet, the long term benefits in such a move can help to ensure a company's viability and prosperity.
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