Strategic Human Resourse Managment

Topics: Human resource management, Human resources, Strategic management Pages: 57 (18048 words) Published: April 3, 2009
Define strategic HRM. When a large firm is formulating and implementing its strategic plan, why might the HR manager be advised to participate? Elaborate your answer taking into consideration the usual stages in strategic planning and suggest the kinds of material that a conscientious HR professional might want to include in each of those stages. Thinking about HRM in the future, describe some of the HR outcomes that HR practitioners may need to demonstrate.

Essay Marking Guide

|Assessment Criteria |Worth | |Demonstrated understanding of the HRM topic; |5.00 | |Quality and completeness of the analysis and discussion; |5.00 | |Ability to analyse critical incidents and to apply HRM solutions |5.00 | |Evidence of appropriate reading & research (academic and other relevant |3.00 | |journals, text and reference books), Use of in-text reference, completion of a | | |full reference list at the end (APA style) ; and | | |Correct presentation (format, completed and signed cover page, word count, line|2.00 | |spacing, spell check etc.), and clarity of expression. | | |Total marks |20.00 |


Human Resource Management (HRM) is the function within an organization that focuses on recruitment of, management of, and providing direction for the people who work in the organization. Human Resource Management can also be performed by line managers.

Human Resource Management is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training. Defining SHRM

The purpose of this portion of the paper is to provide an explanation into strategic human resource management (SHRM). This information will look at the ways that some scholars have defined the concept of SHRM, and the role that it serves within an organization. In addition, the first part of this research will examine how a human resource department can actually be called strategic in nature. This information will also be examined in relation to an actual organization. Various models of SHRM will be discussed, and the idea of how they compare to the organization in question will be presented. After reading this portion of the paper, it should become clear that SHRM is much more than simply hiring people. It is also much more than operating within a bubble. It is about actually helping the overall strategy and vision of a company.

The first thing that needs to be done is to provide an actual definition and analysis to what it actually means to be SHRM. In order to define this concept, it is first important to actually explain what is meant by human resources in general. Appleby & Mavin (2000) explain that Human resources are the efforts, skills, and capabilities that people contribute to an employing organization which enable it to continue in existence. Although difficult to define, SHRM is generally perceived as a distinctive approach to managing people which seeks to achieve competitive advantage through the strategic development of a highly committed and capable workforce (s555).

The definition that is provided here explains that human resources is really about the skills that the people of an organization bring together in order to keep it alive. In addition, the authors explain that moving into the realm of SHRM is about managing the human capital of an organization in such a way as to achieve some type...

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(Devanna, Fombrum, & Tichy, 1981; Wright, 1998). In this scenario, a human resource (HR)
department that is highly administrative and lacks strategic integration fails to provide the
competitive advantage needed for survival, thus losing its relevance. Huselid and Becker (1997)
found that there were noticeable financial returns for the organisations whose human resource
strategic business partner. Youndt and Snell (1996) find that firms employing HR practices
according to the stated strategy are regarded to have better perceptual performance.
supported by authors like Mathis and Jackson (1985) and Beer, Spector, Lawrence, Mills, and
Walton (1984), HRM is strategic by its very nature and all its elements have strategic linkages.
The decision-focused approach formulated by Devanna et al. (1981) is based on three decisionmaking
levels, namely operational, managerial and strategic and considers HRM at strategic
Hall (1995), SHRM emerges when HRM elements match the organisation’s strategy. According
to the implementation-focused approach that is brought forward by Miles and Snow (1984),
works of various researchers (Brockbank, 1999; Delery and Doty, 1996; Devanna, Fombrun, and
Tichy, 1984; Golden and Ramanujam, 1985; Martell and Caroll, 1995; Truss and Gratton, 1994;
Wright and McMahan, 1992). Wright and McMahan (1992: 298) define SHRM as “the pattern of
planned human resource deployments and activities intended to enable an organisation to achieve
(Devanna et al., 1984; Dyer, 1984; Golden and Ramanujam, 1985; Martell and Caroll, 1995;
Mirvis, 1985; Schuler and Walker, 1990)
ways. Brockbank (1999) conceptualises this as strategically reactive HR. Kesler (1995) considers
this alignment as the partnering role of HR where HR is highly integrated with business
processes. This alignment is also seen in the contingency approach of Delery and Doty (1996).
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