1. Role of STRATEGIC Human Resources Management (HRM) in Business strategy GMB 6070 - Session 1 9th May ‘11 9th May '11 1 GMB 6070 - SHRM 1

2. Presentation Plan Introduction Leveling – (Expectations, Group formations, Assessment, Evaluation and Grading) Concept of Human Resource Management Strategy Strategic role of Human Resource Management HRM and Personnel Management HRM and Corporate and Business Strategy Role of HRM in Strategy formulation - (planning, formulation, development and implementation effectiveness) Group work and Reading Assignment 9th May '11 2 GMB 6070 - SHRM 1

3. Introduction Map network opportunities for comparison and benchmarking Form discussion and presentation Groups (Name for team identity and inspiration) 9th May '11 3 GMB 6070 - SHRM 1

4. Leveling – (Expectations, Assessment, Evaluation and Grading) Individual expectations Course work expectations Attendance Group work presentations Individual assignments Reading Assignments Case Studies Assessment and Grading 9th May '11 4 GMB 6070 - SHRM 1

5. Concept of Strategic Human Resources Management Strategic human resource management is the process of linking the human resource function with the strategic objectives of the organization in order to improve performance.John Bratton 9th May '11 5 GMB 6070 - SHRM 1

6. …Strategic Human Resources Management Conceptual quotes ‘If a global company is to function successfully, strategies at different levels need to inter-relate.’ ‘An organization’s [human resource management] policies and practices must fit with its strategy in its competitive environment and with the immediate business conditions that it faces.’ 9th May '11 6 GMB 6070 - SHRM 1

7. …Concept of Strategic Human Resources Management ‘The [human resources–business strategy] alignment cannot necessarily be characterized in the logical and sequential way ….. rather, the design of an HR system is a complex and interactive process.’ 9th May '11 7 GMB 6070 - SHRM 1

9. It was first used in the English language in 1656.9th May '11 8 GMB 6070 - SHRM 1

11. In a management context, the word ‘strategy’ has now replaced the more traditional term – ‘long-term planning’ – to denote a specific pattern of decisions and actions 9th May '11 9 GMB 6070 - SHRM 1

12. …Concept of Strategic Human Resources Management Wheelen and Hunger (1995, p. 3) define strategic management as ‘that set of managerial decisions and actions that determines the long-run performance of a corporation’. Hill and Jones (2001, p. 4) took a similar view when they defined strategy as ‘an action a company takes to attain superior performance’. 9th May '11 10 GMB 6070 - SHRM 1

13. How HRM links into Corporate Strategy Mission and goals Environmental analysis Strategic formulation Strategy implementation Strategy evaluation. 9th May '11 11 GMB 6070 - SHRM 1

14. …Linking SHRM to Corporate Strategy 9th May '11 12 GMB 6070 - SHRM 1

15. …Linking SHRM to Corporate Strategy 9th May '11 13 GMB 6070 - SHRM 1

16. …Linking HRM to Corporate Strategy 9th May '11 14 GMB 6070 - SHRM 1

17. …Linking HRM to Corporate Strategy 9th May '11 15 GMB 6070 - SHRM 1

18. …Linking HRM to Corporate Strategy 9th May '11 16 GMB 6070 - SHRM 1

20. Prospectors

21. Analyzers

22. Reactors9th May '11 17 GMB 6070 - SHRM 1

23. …Linking HRM to Corporate Strategy Many HR management gurus have championed the evolving and expanding strategic role of HR professionals. But a recent report from the Conference Board of Canada seems to indicate that most HR executives feel they aren’t very involved with their companies’ strategic plans. 9th May '11 18 GMB 6070 - SHRM 1

24. …Linking HRM to Corporate Strategy In a recent survey of 155 senior-level HR executives 63% of the respondents felt that ‘HR is never, rarely or only sometimes’ a major part of their companies’ overall strategy. The remaining 37 per cent did feel that HR plays a significant role in their companies’ strategic planning. 9th May '11 19 GMB 6070 - SHRM 1

25. …Linking HRM to Corporate Strategy According to researchers with the Conference Board, employees at companies that encourage HR participation in strategic planning have a stronger understanding of their functions within the organization. ‘ There is a strong correlation between those companies that say HR is always linked to the strategic process, and how well the companies’ employees understand where the company wants to go’, says Brian Hackett, a senior HR specialist with the board. 9th May '11 20 GMB 6070 - SHRM 1

26. …Linking HRM to Corporate Strategy According to the work of management gurus such as (example Ouchi, 1981; Peters & Waterman, 1982), the importance of the effective management of people was affirmed as a source of competitive advantage. A framework emphasizing the strategic role of the HR function (for example Beer et al., 1985; Fombrunet al., 1984) and attaching the prefix ‘strategic’ to the term ‘human resource management’. 9th May '11 21 GMB 6070 - SHRM 1

28. Environment,

29. Resources available9th May '11 22 GMB 6070 - SHRM 1

31. Rules and procedures

33. Departments

34. Delegating Authority and communication

35. Coordinating9th May '11 23 GMB 6070 - SHRM 1

37. Recruiting

38. Selecting

39. Performance standards

40. Compensation

41. Evaluating performance

42. Counseling

43. Training and developing9th May '11 24 GMB 6070 - SHRM 1

45. Morale

47. Comparing actual performance to standards

48. Corrective action9th May '11 25 GMB 6070 - SHRM 1

50. Job analyses

51. Labor needs

52. Recruit

53. Select candidates

54. Orient and train

55. Wages and salaries

56. Incentives and benefits9th May '11 26 GMB 6070 - SHRM 1

57. HRM and Personnel Management Human Resource Management could be described in two ways. Strategic Proactive. Strategies are ongoing and they constantly work towards managing and developing an organizations workforce. It can be seen as Proactive arising from continuous nature of development and functions that focus on the improvement of the organization’s workforce. 9th May '11 27 GMB 6070 - SHRM 1

58. Human Resources Management In human resource management almost everybody in Managing Position plays a part in Training and Development. They aim is to have many different Managers in various departments with the necessary skills to handle employee issues that arise HRM holds the view that improved performance leads to employee satisfaction. HRM sees work groups, effective strategies for meeting challenges, and job creativity as primary motivators." 9th May '11 28 GMB 6070 - SHRM 1

59. Personnel Management Personnel Management can be described as reactive. Personnel management responds to demands and concerns as they are presented. Personnel management can include administrative tasks that are both traditional and routine. 9th May '11 29 GMB 6070 - SHRM 1

60. …Personnel Management "When a difference between personnel management and human resources is recognized, human resources is described as much broader in scope than personnel management. Human resources is said to incorporate and develop personnel management tasks, while seeking to create and develop teams of workers for the benefit of the organization. A primary goal of human resources is to enable employees to work to a maximum level of efficiency. 9th May '11 30 GMB 6070 - SHRM 1

61. …Personnel Management From Personnel Management perspective, motivation of employees depends largely on compensation, bonuses, rewards, and the simplification of work responsibilities. i.e., employee satisfaction provides the motivation necessary to improve job performance. 9th May '11 31 GMB 6070 - SHRM 1

62. Group work 9th May '11 32 GMB 6070 - SHRM 1

63. Reading Assignment Read Course Text – Anthony, Kacmar and Perrewe ( 2006 ) - Ch. 1 and 4 Read Michael Armstrong (2007) Strategic Human Resource Management, Kogan Chap. 1 and 2 9th May '11 33 GMB 6070 - SHRM 1

64. End Thank you 9th May '11 34 GMB 6070 - SHRM 1