Strategy and Human Resource Development Chapter 16 Schools of Strategic Thinking HRD, Expertise, and Strategy The influence of HRD on strategic planning is moving from being exclusively in a role supportive of business strategy to becoming a major force in the shaping of business strategy. Two factors that have influenced the evolution of HRD toward a more active role as a key determinant of business strategy are: (1) the centrality of information technology to business success and (2) the sustainable competitive advantage offered by workforce expertise. HRD as a Shaper of Strategy Strategic initiatives based on employee expertise are briefly illustrated in successful manufacturing and service organizations where they have become firmly established The business planning and relocation strategies of multinational corporations are examined. These strategies are increasingly based on the availability of a competent workforce and reflect changing patterns of workforce skill development at the global level. HRD as a Shaper of Strategy HRD that is truly of strategic value to an organization has three important attributes: It is rooted in needs and outcomes that are performance based It has earned credibility and respect among key stakeholders by demonstrating its strategic capability Its role as shaper of strategy arises as organizational leaders acknowledge the importance of strategy’s emergent properties, for only emergent strategy can be actively shaped by influential forces such as HRD. Strategic Role 1: Performance-Based HRD HRD must contribute directly to important business goals and must be based on key business performance requirements (Swanson 2009) Strategic Role 2: Demonstrating the Strategic Capability of HRD Must Demonstrate genuine strategic Capability HRD demonstrates its strategic capability as it adds two important dimensions to the organization’s business-planning process: 1) HRD provides education and learning in the concepts and methods of strategic planning and systems thinking to those responsible for setting the strategic direction for the organization; and (2) the HRD function itself plays and active role in strategic planning through direct participation of HRD professionals in the business planning process. Strategic Role 2: Demonstrating the Strategic Capability of HRD Education and Training in Strategic Planning Active Participation in Strategic Planning Strategic Role 3: Emergent Strategy and HRD Strategy is a dynamic phenomenon that necessarily unfolds over a period of time in a business environment that is inherently unstable (Swanson 2009) The benefits of developing and using employee expertise to capitalize on evolving business opportunities can only be fully realized if strategy is treated as both a deliberate and emergent phenomenon. Scenario Planning “ a tool for ordering one’s perceptions about the future environments in which decisions might be played out” (Swanson 2009) Interviews Wo.

1. Strategy and Human Resource Development
Chapter 16
Schools of Strategic Thinking
HRD, Expertise, and Strategy
The influence of HRD on strategic planning is moving from
being exclusively in a role supportive of business strategy to
becoming a major force in the shaping of business strategy.
Two factors that have influenced the evolution of HRD toward a
more active role as a key determinant of business strategy are:
(1) the centrality of information technology to business success
and (2) the sustainable competitive advantage offered by
workforce expertise.
HRD as a Shaper of Strategy
Strategic initiatives based on employee expertise are briefly
illustrated in successful manufacturing and service
organizations where they have become firmly established
The business planning and relocation strategies of multinational
corporations are examined. These strategies are increasingly
based on the availability of a competent workforce and reflect
changing patterns of workforce skill development at the global
level.
HRD as a Shaper of Strategy

2. HRD that is truly of strategic value to an organization has three
important attributes:
It is rooted in needs and outcomes that are performance based
It has earned credibility and respect among key stakeholders by
demonstrating its strategic capability
Its role as shaper of strategy arises as organizational leaders
acknowledge the importance of strategy’s emergent properties,
for only emergent strategy can be actively shaped by influential
forces such as HRD.
Strategic Role 1: Performance-Based HRD
HRD must contribute directly to important business goals and
must be based on key business performance requirements
(Swanson 2009)
Strategic Role 2: Demonstrating the Strategic Capability of
HRD
Must Demonstrate genuine strategic Capability
HRD demonstrates its strategic capability as it adds two
important dimensions to the organization’s business-planning
process:
1) HRD provides education and learning in the concepts
and methods of strategic planning and systems thinking to those
responsible for setting the strategic direction for the
organization; and (2) the HRD function itself plays and active
role in strategic planning through direct participation of HRD
professionals in the business planning process.
Strategic Role 2: Demonstrating the Strategic Capability of
HRD
Education and Training in Strategic Planning
Active Participation in Strategic Planning

3. Strategic Role 3: Emergent Strategy and HRD
Strategy is a dynamic phenomenon that necessarily unfolds over
a period of time in a business environment that is inherently
unstable (Swanson 2009)
The benefits of developing and using employee expertise to
capitalize on evolving business opportunities can only be fully
realized if strategy is treated as both a deliberate and emergent
phenomenon.
Scenario Planning
“ a tool for ordering one’s perceptions about the future
environments in which decisions might be played out” (Swanson
2009)
Interviews
Workshops
Creating the Scenario Stories
Using scenarios to Examine Strategy
Advanced Scenario Planning; Theory and Practice
Strategic Planning: Refers to the business planning and systems
thinking required of those responsible for setting the strategic
direction for the organization.
Contributions of HRD to Strategic Organizational Planning
The Strategic Agenda Facing the HRD Profession

4. Performance-Based
Strategic Capability
Emergent Strategy
Accountability in Human Resource Development
Chapter 17
The Four-Level Kirkpatrick Model
New Approaches to Program Evaluation
Performance Results:
System
Financial
Learning Results
Expertise
Knowledge
Perception Results
Stakeholders
Metrics Approach to Accountability
ASTD Approach
Financial Approach
Intellectual Capital Approach
Intellectual Capital
Five Key Development Metrics

5. Metrics
Development Quality
Capacity to meet needs
Customer Satisfaction
Formal Employee Development
Human Capital Development
Human Resource Development Policy and Planning
Chapter 18
HRD adds value in helping its host organization do its work
through development efforts.
Policy Analysis and Planning For HRD
A Policy is a deliberate plan or course of action to guide
decisions for achieving certain rational outcomes (Swanson
2009)
Policies have critical influence on strategies of any economic
entity.
Comparative Framework

6. Understand and analyze any economic entity from a
comparative view.
Workforce Planning Models
Blueprint Model for Workforce Planning
Reference:
Swanson, R. A., & Holton III, E. F. (2009). Foundations of
human resource development (2nd ed.). San Francisco, CA:
Berrett-Koehler Publishers, Inc.
Strategy and Human Resource Development
Chapter 16
Schools of Strategic Thinking
HRD, Expertise, and Strategy
The influence of HRD on strategic planning is moving from
being exclusively in a role supportive of business strategy to
becoming a major force in the shaping of business strategy.
Two factors that have influenced the evolution of HRD toward a

7. more active role as a key determinant of business strategy are:
(1) the centrality of information technology to business success
and (2) the sustainable competitive advantage offered by
workforce expertise.
HRD as a Shaper of Strategy
Strategic initiatives based on employee expertise are briefly
illustrated in successful manufacturing and service
organizations where they have become firmly established
The business planning and relocation strategies of multinational
corporations are examined. These strategies are increasingly
based on the availability of a competent workforce and reflect
changing patterns of workforce skill development at the global
level.
HRD as a Shaper of Strategy
HRD that is truly of strategic value to an organization has three
important attributes:
It is rooted in needs and outcomes that are performance based
It has earned credibility and respect among key stakeholders by
demonstrating its strategic capability
Its role as shaper of strategy arises as organizational leaders
acknowledge the importance of strategy’s emergent properties,
for only emergent strategy can be actively shaped by influential
forces such as HRD.
Strategic Role 1: Performance-Based HRD
HRD must contribute directly to important business goals and
must be based on key business performance requirements
(Swanson 2009)
Strategic Role 2: Demonstrating the Strategic Capability of

8. HRD
Must Demonstrate genuine strategic Capability
HRD demonstrates its strategic capability as it adds two
important dimensions to the organization’s business-planning
process:
1) HRD provides education and learning in the concepts
and methods of strategic planning and systems thinking to those
responsible for setting the strategic direction for the
organization; and (2) the HRD function itself plays and active
role in strategic planning through direct participation of HRD
professionals in the business planning process.
Strategic Role 2: Demonstrating the Strategic Capability of
HRD
Education and Training in Strategic Planning
Active Participation in Strategic Planning
Strategic Role 3: Emergent Strategy and HRD
Strategy is a dynamic phenomenon that necessarily unfolds over
a period of time in a business environment that is inherently
unstable (Swanson 2009)
The benefits of developing and using employee expertise to
capitalize on evolving business opportunities can only be fully
realized if strategy is treated as both a deliberate and emergent
phenomenon.
Scenario Planning
“ a tool for ordering one’s perceptions about the future
environments in which decisions might be played out” (Swanson
2009)
Interviews
Workshops

9. Creating the Scenario Stories
Using scenarios to Examine Strategy
Advanced Scenario Planning; Theory and Practice
Strategic Planning: Refers to the business planning and systems
thinking required of those responsible for setting the strategic
direction for the organization.
Contributions of HRD to Strategic Organizational Planning
The Strategic Agenda Facing the HRD Profession
Performance-Based
Strategic Capability
Emergent Strategy
Accountability in Human Resource Development
Chapter 17
The Four-Level Kirkpatrick Model
New Approaches to Program Evaluation
Performance Results:
System
Financial
Learning Results

10. Expertise
Knowledge
Perception Results
Stakeholders
Metrics Approach to Accountability
ASTD Approach
Financial Approach
Intellectual Capital Approach
Intellectual Capital
Five Key Development Metrics
Metrics
Development Quality
Capacity to meet needs
Customer Satisfaction
Formal Employee Development
Human Capital Development

11. Human Resource Development Policy and Planning
Chapter 18
HRD adds value in helping its host organization do its work
through development efforts.
Policy Analysis and Planning For HRD
A Policy is a deliberate plan or course of action to guide
decisions for achieving certain rational outcomes (Swanson
2009)
Policies have critical influence on strategies of any economic
entity.
Comparative Framework
Understand and analyze any economic entity from a
comparative view.
Workforce Planning Models
Blueprint Model for Workforce Planning
Reference:
Swanson, R. A., & Holton III, E. F. (2009). Foundations of
human resource development (2nd ed.). San Francisco, CA:
Berrett-Koehler Publishers, Inc.

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