This document defines strategic human resource management and discusses its importance. It provides definitions of strategy and HRM. Strategic HRM develops and implements HR policies that enable an organization to achieve its strategic objectives by managing employment relationships to optimally contribute to goal achievement. The primary goal of strategic HRM is to enhance business performance while upholding organizational culture. It discusses the strategic HRM process which includes developing a new business strategy with HR as a key player, conducting a SWOT analysis, assessing HR capacity, designing a new organization, developing core competencies, and testing and evaluating initiatives. Barriers to strategic HRM include a short-term focus, inability to think strategically, lack of appreciation for HR's contributions, difficulty quantifying

1. Nature of Strategic Human
Resource Management

2. What is STRATEGY?
• The determination of the basic long-term goals and objectives of an
enterprise and the adoption of courses of action and the allocation of
resources necessary for carrying out these goals.
What is HRM?
• HRM is the effective use of human resources in order to enhance
organizational performance
• HRM is the art of procuring, developing & maintaining competent
workforce to achieve the organisational goals in an effective &
efficient manner

3. Definition,Etymology:
• Strategic HRM is developing and implementing HR policies and practices that will
enable the organization to achieve its strategic objectives.
• It is about how the employment relationships for all employees can be managed in
such a way as to contribute optimally to the organization’s goal achievement.
• Strategic human resource management is a concept used in an organization to help
solve problems and set long-term objectives. The primary goal of strategic human
resource management is to enhance business performance while upholding the
organizational culture
• Strategic Human Resource Management first came to light in 1984, and since then,
this concept has blossomed.
• Today, strategic human resource management mainly focuses on employee issues
and how they can impact an organization’s long-term plans.
• There is no set definition that strategic human resource professionals can follow.

4. Why Strategic HRM is important?
• Communication of Goals and Objectives
• Setting efficient people to achieve specific goals
• Forecasting future human needs.
• Selecting and utilizing motivational tools
• Measuring performance by the help of HRM
• Helps employees learn new skills

6. Steps in the Strategic HRM Process
• New Business Strategy
• HR Must be a Key Player in this Process
• SWOT Analysis.
• Assess HR Capacity
• Design New Organization
• Develop Core Competencies
• Assess new core competencies
• Test and Evaluate
• Recruit
• Initiate HR Practices

7. Barriers to Strategic HRM
• Short-term mentality/focus on current performance
• Inability of HR to think strategically
• Lack of appreciation of what HR cann attribute
• Failure to understand employees’ role as an HR manager
• Difficulty in quantifying many HR outcomes
• Perception of Human assets as higher risk investments