The document discusses the role of strategic human resource management in business strategy. It defines strategic HRM as linking human resource functions with organizational strategic objectives to improve performance. It also discusses how HRM links into corporate strategy through environmental analysis, strategic formulation, implementation, and evaluation. Finally, it compares HRM and personnel management, noting that HRM is more strategic, proactive, and focuses on continuously developing the workforce, while personnel management is more reactive and routine.

1. Role of STRATEGIC Human Resources Management (HRM) in Business strategyGMB 6070 - Session 19th May ‘119th May '111GMB 6070 - SHRM 1

2. Presentation PlanIntroductionLeveling – (Expectations, Group formations, Assessment, Evaluation and Grading)Concept of Human Resource Management StrategyStrategic role of Human Resource ManagementHRM and Personnel ManagementHRM and Corporate and Business StrategyRole of HRM in Strategy formulation - (planning, formulation, development and implementation effectiveness)Group work and Reading Assignment9th May '112GMB 6070 - SHRM 1

3. IntroductionMap network opportunities for comparison and benchmarkingForm discussion and presentation Groups (Name for team identity and inspiration)9th May '113GMB 6070 - SHRM 1

4. Leveling – (Expectations, Assessment, Evaluation and Grading)Individual expectationsCourse work expectationsAttendanceGroup work presentationsIndividual assignmentsReading AssignmentsCase StudiesAssessment and Grading9th May '114GMB 6070 - SHRM 1

5. Concept of Strategic Human Resources ManagementStrategic 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 Bratton9th May '115GMB 6070 - SHRM 1

6. …Strategic Human Resources ManagementConceptual 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 '116GMB 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 '117GMB 6070 - SHRM 1

8. …Concept of Strategic Human Resources ManagementThe word ‘strategy’, was derived from the Greek noun strategus, meaning ‘commander in chief’

9. It was first used in the English language in 1656.9th May '118GMB 6070 - SHRM 1

10. …Concept of Strategic Human Resources ManagementThe development and usage of the word suggests that it is composed of stratos (army) and agein (to lead).

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 '119GMB 6070 - SHRM 1

12. …Concept of Strategic Human Resources ManagementWheelen 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 '1110GMB 6070 - SHRM 1

13. How HRM links into Corporate StrategyMission and goalsEnvironmental analysisStrategic formulationStrategy implementationStrategy evaluation.9th May '1111GMB 6070 - SHRM 1

14. …Linking SHRM to Corporate Strategy9th May '1112GMB 6070 - SHRM 1

15. …Linking SHRM to Corporate Strategy9th May '1113GMB 6070 - SHRM 1

16. …Linking HRM to Corporate Strategy9th May '1114GMB 6070 - SHRM 1

17. …Linking HRM to Corporate Strategy9th May '1115GMB 6070 - SHRM 1

18. …Linking HRM to Corporate Strategy9th May '1116GMB 6070 - SHRM 1

19. …Linking HRM to Corporate StrategyMiles and Snow (1984) have identified four modes of strategic orientation:Defenders

20. Prospectors

21. Analyzers

22. Reactors9th May '1117GMB 6070 - SHRM 1

23. …Linking HRM to Corporate StrategyMany 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 '1118GMB 6070 - SHRM 1

24. …Linking HRM to Corporate StrategyIn 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 '1119GMB 6070 - SHRM 1

25. …Linking HRM to Corporate StrategyAccording 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 '1120GMB 6070 - SHRM 1

26. …Linking HRM to Corporate StrategyAccording 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 '1121GMB 6070 - SHRM 1

27. …Linking HRM to Corporate StrategyStrategic management is considered to be a continuous activity that requires a constant adjustment of three major interdependent poles: Values of senior management,

28. Environment,

29. Resources available9th May '1122GMB 6070 - SHRM 1

30. Strategic Role of HRM - (Planning, Organizing, Staffing, Leading, Controlling)Planning Goals and standards

31. Rules and procedures

32. Plans and forecasting.Organizing Tasks

33. Departments

34. Delegating Authority and communication

35. Coordinating9th May '1123GMB 6070 - SHRM 1

36. …Strategic Role of HRM - (Planning, Organizing, Staffing, Leading, Controlling)Staffing Hiring

37. Recruiting

38. Selecting

39. Performance standards

40. Compensation

41. Evaluating performance

42. Counseling

43. Training and developing9th May '1124GMB 6070 - SHRM 1

44. …Strategic Role of HRM - (Planning, Organizing, Staffing, Leading, Controlling)Leading Getting the job done

45. Morale

46. MotivationControlling Setting standards

47. Comparing actual performance to standards

48. Corrective action9th May '1125GMB 6070 - SHRM 1

49. …Strategic Role of HRM - (Planning, Organizing, Staffing, Leading, Controlling)Strategic PartnershipImparting managers with soft skills

50. Job analyses

51. Labor needs

52. Recruit

53. Select candidates

54. Orient and train

55. Wages and salaries

56. Incentives and benefits9th May '1126GMB 6070 - SHRM 1

57. HRM and Personnel ManagementHuman Resource Management could be described in two ways. StrategicProactive. 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 '1127GMB 6070 - SHRM 1

58. Human Resources ManagementIn 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 '1128GMB 6070 - SHRM 1

59. Personnel ManagementPersonnel 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 '1129GMB 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 '1130GMB 6070 - SHRM 1

61. …Personnel ManagementFrom 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 '1131GMB 6070 - SHRM 1

62. Group work9th May '1132GMB 6070 - SHRM 1

63. Reading AssignmentRead Course Text – Anthony, Kacmar and Perrewe ( 2006 ) - Ch. 1 and 4Read Michael Armstrong (2007) Strategic Human Resource Management, Kogan Chap. 1 and 29th May '1133GMB 6070 - SHRM 1

64. End Thank you9th May '1134GMB 6070 - SHRM 1