gggg

1. Strategic Human Resource Management
Anubha Dadhich (PhD-IIT/D)
Course Instructor

2. 07/03/2025 2
SHRM: Important Goals
• To Optimize Cost
• To Deliver Maximum Value to company’s business units
• To realign HR Leaders as strategic partners Business
Leaders

3. 07/03/2025 3
Strategic Human Resource Management
Types of Strategy
• Corporate: What Business are we in ?
• Business (competitive): How will we compete?
• Functional: How do we support the Business competitive
strategy?

4. 07/03/2025 4
Core Areas of Corporate Strategy
• Strategic Analysis
• Strategic Formulation
• Strategic Implementation

5. Strategy
Management
Process
07/03/2025 5
Evaluate Evaluate the Performance
Implement Implement the strategy
Formulate
Formulate the strategies to achieve the
business goals
Translate Translate the Mission into Strategic Goals
Formulate Formulate a New direction
Perform
Perform External & Internal Audits
(Environmental Scanning)
Define Define the current business

6. The strategic planning process begins with four
critical questions:
• Where are we now? (Assess the current situation.)
• Where do we want to be? (Envision and articulate a desired future.)
• How do we get there? (Formulate and implement a strategy and
strategic objectives.)
• How will we know if we are on track toward our intended destination?
(Establish a mechanism to evaluate progress.)

7. 07/03/2025 7
Environmental Scanning

8. Environmental scanning
• Environmental scanning is a process that systematically surveys and
interprets relevant data to identify external opportunities and threats
that could influence future decisions.
• It is closely related to a SWOT analysis and should be used as part of
the strategic planning process.

9. 07/03/2025 9
Strategy Map
• A strategy map is a visual summary of what a company plans to do to improve its
business, gain more customers and improve its financial outlook.
• Many companies find strategy maps valuable because they include intangible
factors like culture in the strategic analysis.
• A strategy map provides multiple perspectives when evaluating a company and
helps in the strategy's effective execution.

10. 07/03/2025 10
Benefits
• Set clear financial and customer goals.
• Visualize the connections between various ideas and show how those ideas could
lead to specific results.
• Identify the necessary parts of the organization that will support new undertakings
and changes including any necessary training and business process changes
• Communicate the company's goals and show how they will be achieved.
• Provide a starting point for each division and see how they fit into the overall
strategy.

11. 03/07/2025 11

12. Continue…..
• A Strategy Map is a diagram that describes how a company or organization can
create value by linking strategic objectives in a cause-and-effect relationship
• Based on the four Balanced Scorecard Perspectives:
• Financial, Customer, Internal Processes and Learning & Growth.
• The key element of the Strategy Map is
• That it is linked to ‘scorecards’ that monitor progress towards the Strategic
Objectives.
• The ‘scorecards will include metrics, targets for the metrics and strategic initiatives
to drive performance towards achieving the metrics.
03/07/2025 12

13. 07/03/2025 13
Balance Score Card
• A balanced scorecard is a performance metric used to identify, improve, and control a
business's various functions and resulting outcomes.
• The concept of BSCs was first introduced in 1992 by David Norton and Robert Kaplan, who
took previous metric performance measures and adapted them to include nonfinancial
information.
• BSCs were originally developed for for-profit companies but were later adapted for use by
nonprofits and government agencies.
• The balanced scorecard involves measuring four main aspects of a business: Learning and
growth, business processes, customers, and finance.
• BSCs allow companies to pool information in a single report, to provide information on
service and quality in addition to financial performance, and to help improve efficiencies.

14. 07/03/2025 14
Continue….
• The balanced scorecard model reinforces good behavior in an organization by
isolating four separate areas that need to be analyzed.
• Four areas are as follows
• Finance
• Customers
• Internal business processes
• Learning and growth

15. 03/07/2025 15

16. 07/03/2025 16
Continue…
• Financial : data, such as sales, expenditures, and income, are used to understand
financial performance.
• These financial metrics may include dollar amounts, financial ratios, budget
variances, or income targets.
• Customer perspectives are collected to gauge customer satisfaction with the quality,
price, and availability of products or services.
• Customers provide feedback about their satisfaction with current products.

17. 07/03/2025 17
Continue..
Internal business processes are evaluated by investigating how well products are
manufactured.
Operational management is analyzed to track any gaps, delays, bottlenecks, shortages, or
waste.
Learning and growth are analyzed through the investigation of training and knowledge
resources.
How well information is captured and how effectively employees use that information to
convert it to a competitive advantage within the industry.