Dessler ch3 (1)

PowerPoint Presentation by Charlie CookPowerPoint Presentation by Charlie Cook
The University of West AlabamaThe University of West Alabama
1
Human ResourceHuman Resource
ManagementManagement
ELEVENTH EDITIONELEVENTH EDITION
G A R Y D E S S L E RG A R Y D E S S L E R
© 2008 Prentice Hall, Inc.© 2008 Prentice Hall, Inc.
All rights reserved.All rights reserved.
Strategic Human Resource ManagementStrategic Human Resource Management
and the HR Scorecardand the HR Scorecard
Chapter 3Chapter 3
Part 1 | IntroductionPart 1 | Introduction

© 2008 Prentice Hall, Inc. All rights reserved. 3–2
The Strategic Management ProcessThe Strategic Management Process
• Strategic ManagementStrategic Management
 The process of identifying and executing theThe process of identifying and executing the
organization’s mission by matching its capabilitiesorganization’s mission by matching its capabilities
with the demands of its environment.with the demands of its environment.
• StrategyStrategy
 A chosen course of action.A chosen course of action.
• Strategic PlanStrategic Plan
 How an organization intends to balance its internalHow an organization intends to balance its internal
strengths and weaknesses with its externalstrengths and weaknesses with its external
opportunities and threats to maintain a competitiveopportunities and threats to maintain a competitive
advantage over the long-term.advantage over the long-term.

Business Vision and MissionBusiness Vision and Mission
• VisionVision
 A general statement of an organization’s intendedA general statement of an organization’s intended
direction that evokes emotional feelings indirection that evokes emotional feelings in
organization members.organization members.
• MissionMission
 Spells out who the company is, what it does, andSpells out who the company is, what it does, and
where it’s headed.where it’s headed.

FIGURE 3–1 The Strategic Management Process

FIGURE 3–2 A SWOT Chart

FIGURE 3–3 Strategies in a Nutshell
Source: Arit Gadiesh and James Gilbert, “Frontline
Action,” Harvard Business Review, May 2001, p. 74.

Types of StrategiesTypes of Strategies
Diversification
Strategy
Geographic
Expansion
Strategy
Vertical
Integration
Strategy
Corporate-Level
Strategies
Consolidation
Strategy

Types of Strategies (cont’d)Types of Strategies (cont’d)
Cost Leadership Focus/Niche
Business-Level/
Competitive Strategies
Differentiation

Achieving Strategic FitAchieving Strategic Fit
• The “Fit” Point of View (Porter)The “Fit” Point of View (Porter)
 All of the firm’s activities must be tailored to or fitAll of the firm’s activities must be tailored to or fit
the chosen strategy such that the firm’s functionalthe chosen strategy such that the firm’s functional
strategies support its corporate and competitivestrategies support its corporate and competitive
strategies.strategies.
• Leveraging (Hamel and Prahalad)Leveraging (Hamel and Prahalad)
 ““Stretch” in leveraging resources—supplementingStretch” in leveraging resources—supplementing
what you have and doing more with what you have—what you have and doing more with what you have—
can be more important than just fitting the strategiccan be more important than just fitting the strategic
plan to current resources.plan to current resources.

Strategic Human Resource ManagementStrategic Human Resource Management
• Strategic Human Resource ManagementStrategic Human Resource Management
 The linking of HRM with strategic goals and objectives in order toThe linking of HRM with strategic goals and objectives in order to
improve business performance and develop organizational culturesimprove business performance and develop organizational cultures
that foster innovation and flexibility.that foster innovation and flexibility.
 Involves formulating and executing HR systems—HR policies andInvolves formulating and executing HR systems—HR policies and
activities—that produce the employee competencies and behaviorsactivities—that produce the employee competencies and behaviors
that the company needs to achieve its strategic aims.that the company needs to achieve its strategic aims.
 People are the strategic asset of an organization. People have corePeople are the strategic asset of an organization. People have core
competencies, the basis of competitive advantage. Humancompetencies, the basis of competitive advantage. Human
resource is the combination of talent and skills, some of them areresource is the combination of talent and skills, some of them are
inform and others can acquired through learning and education.inform and others can acquired through learning and education.
The SHRM focuses on people management programs, and long-The SHRM focuses on people management programs, and long-
term solution, and stresses organizational developmentterm solution, and stresses organizational development
interventions, achieving employees organizational fit, and otherinterventions, achieving employees organizational fit, and other
aspects that ensure employees add value to the organization.aspects that ensure employees add value to the organization.

FIGURE 3–6 Linking Company-Wide and HR Strategies
Source: © Gary Dessler, Ph.D., 2007.

Differences between strategic human resource management andDifferences between strategic human resource management and
human resource management.human resource management.
• 1.1. SHRM is based entirely on aSHRM is based entirely on a
soft HRM approach that viewssoft HRM approach that views
employees as humans and preciousemployees as humans and precious
resources.resources.
• 2.2. Strategic human resourceStrategic human resource
management focuses on business-management focuses on business-
level outcomes.level outcomes.
• 3.3. SHRM is proactive in natureSHRM is proactive in nature
and it sets the trend in the market.and it sets the trend in the market.
• 4.4. SHRM looks to develop overallSHRM looks to develop overall
strategic competencies of thestrategic competencies of the
organization from the HR perspective.organization from the HR perspective.
• 5.5. SHRM operate at the higherSHRM operate at the higher
levels of management.levels of management.
• 6.6. Understanding the operationalUnderstanding the operational
dimensions of the organization is thedimensions of the organization is the
basic necessity for strategic HR.basic necessity for strategic HR.
• 7.7. Gaining competitive advantageGaining competitive advantage
out of human resources is the basis ofout of human resources is the basis of
SHRM.SHRM.
• 1.1. HRM is based mainly on a hardHRM is based mainly on a hard
HRM approach that views employeesHRM approach that views employees
as tools of production and headcountas tools of production and headcount
resources.resources.
• 2.2. Human resource managementHuman resource management
focuses on HR outcomes.focuses on HR outcomes.
• 3.3. HRM is reactive in nature and itHRM is reactive in nature and it
follows the trend in the market.follows the trend in the market.
• 4.4. HRM aims at developingHRM aims at developing
functional competencies pertaining tofunctional competencies pertaining to
human resources aspects.human resources aspects.
• 5.5. HRM function at relatively lowerHRM function at relatively lower
levels of the organization.levels of the organization.
• 6.6. Understanding the operationalUnderstanding the operational
aspects of the organization is not aaspects of the organization is not a
priority area for HR managers.priority area for HR managers.
• 7.7. Managing employees is theManaging employees is the
primary aim of HRMprimary aim of HRM

Report: HR entering strategic territory
HRM Asia –
21 Sep 2015
HR job scopes are now deemed to be more than just administrative functions.
HR is increasingly seen to play an important role in business growth.
According to Micheal Page report titled, “Putting People First – How HR is at the Forefront of
Business Growth and Transformation”, HR is expanding its strategic roles beyond administrative
functions.
Eighty percent of HR leaders said that they have “strategically significant responsibilities”. Among
their responsibilities are talent acquisition (86%), HR policies (83%), employee relations (81%) and
training and development (79%).
Only 60% of respondents reported that payroll or staff administration is within their scope of
responsibility.
The report also stated that the top priorities among HR professionals globally are talent
management (33%), training and development (33%) and talent acquisition(32%).

HR, are you doing enough in engagement?
HRM Asia -
28 Sep 2015
Study reveals that HR is the least likely to have a positive impact on employee engagement
levels.
Only a shockingly low three percent of respondents have cited that HR has the biggest
positive impact on their levels of engagement.
This is according to a study titled Oracle Simply Talent, which was recently unveiled by
Oracle.
The Oracle Simply Talent study deduced that 42% of employees across Europe think their
peers have the most positive effect on how engaged they feel at work, well clear of line
managers (21%) and business unit managers (seven percent).
Alarmingly, only three percent of respondents have claimed HR has the biggest positive
effect on their engagement levels.
Conversely, in terms of negatively affecting employee engagement, workers in European
firms think the senior leadership team (19%) and line managers (11%) are the most
responsible.

Creating an HR ScorecardCreating an HR Scorecard
1
2
3
4
5
Outline value chain activities
Define the business strategy
Outline a strategy map
Identify strategically required outcomes
Identify required workforce competencies and
behaviors
6
7
8
9
10
Create HR Scorecard
Identify required HR policies and activities
Choose HR Scorecard measures
Summarize Scorecard measures on digital
dashboard
Monitor, predict, evaluate
The 10-Step HR Scorecard Process

• A value chain is the full range of activities —A value chain is the full range of activities —
including design, production, marketing andincluding design, production, marketing and
distribution — businesses go through to bring adistribution — businesses go through to bring a
product or service from conception to delivery.product or service from conception to delivery.
For companies that produce goods, the valueFor companies that produce goods, the value
chain starts with the raw materials used tochain starts with the raw materials used to
make their products, and consists of everythingmake their products, and consists of everything
that is added to it before it is sold to consumers.that is added to it before it is sold to consumers.

FIGURE 3–A4
Strategy
Map for
Southwest
Airlines
Source: Adapted from “Creating a Strategy Map,”
Ravi Tangri, Team@TeamCHRYSALIS.com.

FIGURE 3–A5
HR Scorecard
Process for
Hotel Paris
International
Corporation*
*Note: An abbreviated
example showing selected
HR practices and outcomes
aimed at implementing the
competitive strategy, “To
use superior guest services
to differentiate the Hotel
Paris properties and thus
increase the length of stays
and the return rate of
guests, and thus boost
revenues and profitability
and help the firm expand
geographically.”

Can colours affect productivity at the office?Can colours affect productivity at the office?
HRM Asia - 02 Oct 2015HRM Asia - 02 Oct 2015
Colours are reportedly able affect our mood and emotions. So should
employees be encouraged to have colourful workspaces which can
boost their creativity, productivity and happiness?
An online article on Inc.com highlights some of the best office colours
which can help employees improve their day in the office, whether it is
to focus on finishing a big project or uplift their mood at work.
Blue
Psychologist Sally Augustin, who is also the founder of consulting firm
Design With Science said shades of teal and aqua are soothing and
bring out a sense of trust. Hence, they are suitable in detail-oriented
offices, such as those in the legal or accounting industry.
White
To promote creativity, a white workspace can create a sense of
spaciousness when paired with lots of natural light, said designer Kerrie
Kelly.

How to improve performance at work... by
eating
HRM Asia -
18 Sep 2015
If you thought potatoes, white bread and pasta can boost your energy at work, you are wrong.
Do you find yourself yawning after lunch, or feeling lethargic by the afternoon?
You might find the root cause in the type of food you ate during lunch.
According to an online article on The Daily Mail, having low energy affects many aspects of
the job. Just some of them include motivation, mood and work performance.
Essentially, diet not only affects weight but also the brain.
If you have been consuming jacket potatoes, white bread or pasta, it's time you save those
meals on non-working days.
The article stated that these foods makes one’s body waste energy in digesting and as a result,
leaves one feeling exhausted during work hours.
Turning to sugar for an energy boost is also not advisable.

Dessler ch3 (1)

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Viewers also liked

Viewers also liked (20)

Similar to Dessler ch3 (1)

Similar to Dessler ch3 (1) (20)

More from MAHFUZ RAIHAN

More from MAHFUZ RAIHAN (7)

Recently uploaded

Recently uploaded (20)

Dessler ch3 (1)