The document discusses how HR can add value to an organization through strategic human resource management practices. It outlines the HR value chain model which shows how HR activities can lead to improved HR outcomes and organizational objectives. Effective HR practices like talent acquisition, learning and development, and performance management can increase employee engagement, commitment and skills, leading to higher organizational performance in areas like productivity, quality and customer service. This in turn can improve the organization's financial results. Strategic HR aims to improve business performance through people by meeting both business and individual needs.
This presentation contain the detail about Human resource management & strategy. And the stages of strategic management. Principles of labour legislation. Strategy Formulation Process etc..
This presentation contain the detail about Human resource management & strategy. And the stages of strategic management. Principles of labour legislation. Strategy Formulation Process etc..
Approaches to strategic hrm - strategic human resource management - Manu Me...manumelwin
There are five approaches to strategic HRM. These consist of
Resource-based strategy.
Achieving strategic fit.
High-performance management.
High- commitment management.
High-involvement management.
Strategic Human Resource Management Lecture 1RECONNECT
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The process of systematically reviewing HR requirements to ensure that the required no. of employees, with the required skill, are available when they are needed.
Approaches to strategic hrm - strategic human resource management - Manu Me...manumelwin
There are five approaches to strategic HRM. These consist of
Resource-based strategy.
Achieving strategic fit.
High-performance management.
High- commitment management.
High-involvement management.
Strategic Human Resource Management Lecture 1RECONNECT
This is the lecture 1 of course "Strategic Human Resource Management"
This slideshare network of RECONNECT will provide all the presentation related to case studies, project presentations, educational, motivational slides & much more.
Follow Reconnect on slide share.
Official fb page: facebook.com/reconnectt
Official fb group: facebook.com/groups/reconnecting.tech/
Rights are reserved for this presentation. Please inbox 1st to get permission to use this
The process of systematically reviewing HR requirements to ensure that the required no. of employees, with the required skill, are available when they are needed.
In-depth discussion of HR Key Performance Indicators - selecting, measuring them, and designing tracking and decision processes to enable a strong, sustaining competitive advantage in your business... This deck was presented on 4-7-2015 as part of a BLR sponsored Webinar .
The sample material covers the following topics as under.
Strategic Staffing
What is Strategic Staffing?
Comparison between Strategic and Traditional Staffing
Components of Strategic Staffing
Goals of Strategic Staffing
Functional areas of HRM
In order to get the final copy of the reading material, click on the below link.
http://www.vskills.in/certification/Human-Resources/certified-hr-staffing-manager
Definition of Training
Training Design Process
The Forces influencing working and learning
The Strategic Training and Development Process
Organizational Characteristics that Influence Training
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The empire's roots lie in the city of Rome, founded, according to legend, by Romulus in 753 BCE. Over centuries, Rome evolved from a small settlement to a formidable republic, characterized by a complex political system with elected officials and checks on power. However, internal strife, class conflicts, and military ambitions paved the way for the end of the Republic. Julius Caesar’s dictatorship and subsequent assassination in 44 BCE created a power vacuum, leading to a civil war. Octavian, later Augustus, emerged victorious, heralding the Roman Empire’s birth.
Under Augustus, the empire experienced the Pax Romana, a 200-year period of relative peace and stability. Augustus reformed the military, established efficient administrative systems, and initiated grand construction projects. The empire's borders expanded, encompassing territories from Britain to Egypt and from Spain to the Euphrates. Roman legions, renowned for their discipline and engineering prowess, secured and maintained these vast territories, building roads, fortifications, and cities that facilitated control and integration.
The Roman Empire’s society was hierarchical, with a rigid class system. At the top were the patricians, wealthy elites who held significant political power. Below them were the plebeians, free citizens with limited political influence, and the vast numbers of slaves who formed the backbone of the economy. The family unit was central, governed by the paterfamilias, the male head who held absolute authority.
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Roman architecture and engineering achievements were monumental. They perfected the arch, vault, and dome, constructing enduring structures like the Colosseum, Pantheon, and aqueducts. These engineering marvels not only showcased Roman ingenuity but also served practical purposes, from public entertainment to water supply.
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2. • The bad news: It’s not easy to do.
• The good news: It’s hard to imitate.
• The HR levers for competitive advantage
are identifiable.
• The only issue is whether we consciously
manage them.
HR In Building Competitive
Advantage
3. The HR value chain
It’s a three-step process that starts with HRM activities, followed by HRM outcomes and organizational objectives. It
clearly depicts how HR activities lead to organizational goals.
https://www.analyticsinhr.com/blog/hr-value-chain-essential-tool-for-adding-value-to-hr/
4. On the left of the chain, we find the HRM activities. These are
measured using the so-called efficiency metrics. Examples
include:
• Cost of hire
• Time to hire/time to fill
• Learning and development budget
• Training time in days
• Time since last promotion
All these metrics measure HR processes and give information
about how efficient the HR function is. It doesn’t say anything
about how well HR is hitting its marks, a.k.a. HR effectiveness.
HRM activities and processes: Efficiency metrics
5. In the second category, we observe the HRM outcomes. These
are the outcomes that are traditionally seen as important HR
KPIs. Examples include:
• Engagement
• Retention/employee turnover
• Absenteeism rate
• Individual performance
• Team performance
• Quality of hire
All these metrics provide information about how well the
workforce is doing. This involves both HR and line management.
HRM outcomes: Effectiveness metrics
6. The last category is organizational objectives. These are the
strategic goals that the organization is trying to reach.
Examples of metrics include:
• Market share
• Profit margins
• Market capitalization
• Customer satisfaction
• Customer loyalty
These are the kind of outcomes that add value to the business
and make the business more viable in the long term.
Level 3 HR organizations focus on the business contribution
they make with all of their people policies. These are truly
strategic HR functions.
Organizational objectives
7. The HR value chain in practice
Let me give you an example about how these different levels of
HR organizations think. Say we want to increase learning in the
organization.
A level 1 HR organization will allocate more L&D budget to
employees, believing that better-trained employees will benefit
the organization.
A level 2 organization will allocate more L&D budget to
employees and follow up by checking if these investments pay off.
They test knowledge retention and check if the investments lead
to better individual performance. If not, they will test and change
training programs and/or training providers in order to optimize
return.
A level 3 organization does it the other way around. They know
that the L&D spending was increased because the organization
wanted to become more innovative and profitable. This
organization will do all of the above and test how it impacts these
two key performance indicators. They will only be satisfied when
there’s a positive relationship between the L&D spending and the
key performance indicators.
HR level Focus How Level
Level 1
HR organization
Focus on cost-
saving…
…through optimizing HR
efficiency
Operational
Level 2
HR organization
Focus on HR
results…
…through maximizing HR
outcomes. Cost efficiency
is secondary
Tactical
Level 3
HR organization
Focus on
business
results…
…through efficient and
effective HR policies
Strategic
https://www.analyticsinhr.com/blog/hr-value-chain-essential-tool-for-adding-value-to-hr/
8. Creating value through HR: HR Strategy
https://www2.deloitte.com/content/dam/Deloitte/de/Documents/human-capital/creating-value-through-hr.pdf
9. HR motivates workers to perform at the highest level possible and maintain an
organizational culture of high morale. A primary way HR adds value to a
company is by persuading company leaders to train and develop employees
and reward strong performance through increased compensation and regular
promotions.
Strategic HR has emerged as a prominent view of the role this functional area
plays in building and developing a strong organization.
https://smallbusiness.chron.com/hr-add-value-organization-50980.html
How Does HR Add Value to an Organization?
• People and Performance
• Talent Acquisition and Retention
• Protection from Lawsuits
• Participation in Strategic Planning
10. People and Performance
A well-run human resources department manages an essential link to company success, quality workers and exceptional performance. The long-
term success and financial performance of a company is usually directly correlated to the talents, motivation and accomplishments of its people.
People make and sell products, work with customers and collaborate on decisions. A primary way HR adds value to a company is by promoting this
link and persuading company leaders to train and develop employees and reward strong performance through increased compensation and regular
promotions.
Talent Acquisition and Retention
Hiring and retaining talent is a foundation of high-performing companies and is essential for small businesses and start-ups that want to grow
quickly. HR is largely responsible for building and managing the systems that recruit, attract, hire, train, motivate and retain a company's best
employees. This includes establishing strong job designs and hiring the right employees to match. It also involves building strong interviewing and
screening processes, planning orientation and training, developing successful employee evaluation tools and constructing motivating compensation
programs that maximize what your business has to offer. For example, a start-up may provide shares of the company while an established small
business offers a generous vacation policy.
Protection from Lawsuits
One of the less-heralded ways HR adds value to a business is through legal protection from discrimination and wrongful termination lawsuits. HR
professionals must be continually up to speed on employee laws and educate business owners and managers. They must also design hiring and
promotional systems that promote fairness and equality. Interview questions that align specifically to a job, for instance, minimize risks of a
discrimination claim. This element of HR becomes increasingly valuable as workplaces become more diverse.
Participation in Strategic Planning
As proactive HR strategies have overtaken reactive responses to employment conditions, HR professionals play a stronger role in planning. HR
directors commonly serve on company management teams and participate in strategic planning. This includes assessments of company strengths
and weaknesses and projections of opportunities and threats. HR participants contribute the current view and future expectations of people and
resource needs, discussion of compensation and training changes and research on emerging opportunities and threats.
11. Improving business performance through strategic HRM
• Strategic HRM is about improving business performance
through people.
• Organizations in all sectors (private, public or voluntary)
have to be business-like in the sense that they are in the
business of effectively and efficiently achieving their
purpose, whether this is to make profits, deliver a public
service or undertake charitable functions.
• The major concerns of strategic HRM are to meet the
business needs of the organization and the individual
and collective needs of the people employed in it.
12. How HR impacts on organizational Performance?
People are the organization’s key resource and
organizational performance largely depends on them.
Therefore, an appropriate range of HR policies and
processes is developed and implemented effectively, then
HR will make a substantial impact on firm performance.
Human Resource activities such as recruiting skilled and
talented individuals, developing them during their time
with the company and ultimately retaining them affects
positively the general performance of the company by
linking individuals to the operational, business and
strategic aspirations of the organization, providing for the
possession, improvement and retention of brilliant
workforce, who can bring higher productivity, flexibility
,innovation and who fit the corporate culture and the
planned necessities of the company
13. Section Break
Insert the Subtitle of Your Presentation
http://www.free-powerpoint-templates-design.com
a) HR practices can make a direct impact on employee characteristics such as
engagement, commitment, motivation and skill
b) if employees have these characteristics it is probable that organizational
performance in terms of productivity, quality and the delivery of high levels of
customer service will improve
c) If such aspects of organizational performance improve, the financial results
achieved by the organization will improve.
d) If you have HR practices that focus on effort and skill; develop people’s skills;
encourage cooperation, collaboration, innovation and synergy in teams for most, if
not all employees, the whole system functions and performs better.
Key points
14. HR practice area How it impacts
Attract, develop and
retain high quality
people
Match people to the strategic and operational needs of the organization. Provide for the
acquisition, development and retention of talented employees, who can deliver superior
performance, productivity, fl exibility, innovation, and high levels of personal customer service
and who ‘fi t’ the culture and the strategic requirements of the organization
Talent management Ensure that the talented and well motivated people required by the organization to meet
present and future needs are available
Job and work design Provides individuals with stimulating and interesting work and gives them the autonomy and fl
exibility to perform these jobs well. Enhance job satisfaction and fl exibility which encourages
greater performance and productivity
Learning and
development
Enlarge the skill base and develop the levels of competence required in the workforce.
Encourage discretionary learning which happens when individuals actively seek to acquire the
knowledge and skills that promote the organization’s objectives. Develop a climate of learning
– a growth medium in which self-managed learning as well as coaching, mentoring and training
fl ourish
Managing knowledge
and intellectual
capital
Focus on organizational as well as individual learning and provide learning opportunities and
opportunities to share knowledge in a systematic way. Ensure that vital stocks of knowledge
are retained and improve the fl ow of knowledge, information and learning within the
organization
How HRM practices make an impact
15. Increasing engagement,
commitment
and motivation
Encourage productive discretionary effort by ensuring that people are positive and
interested in their jobs, that they are proud to work for the organization and want to go
on working there and that they take action to achieve organizational and individual
goals
Psychological
contract
Develop a positive and balanced psychological contract which provides for a continuing,
harmonious relationship between the employee and the organization
High performance
management
Develop a performance culture which encourages high performance in such areas as
productivity, quality, levels of customer service, growth, profi ts, and, ultimately, the
delivery of increased shareholder value. Empower employees to exhibit the
discretionary behaviours most closely associated with higher business performance
such as risk taking, innovation, and knowledge sharing. of knowledge and establishing
trust between managers and their team members
Reward management Develops motivation and job engagement by valuing people in accordance with their
contribution
Employee relations Develops involvement practices and an employee relations climate which encourages
commitment and cooperation.
Working environment Core values, leadership, work/life balance, managing, diversity, secure
Employment
Develop ‘the big idea’ (Purcell et al, 2003), ie a clear vision and a set of integrated
values. Make the organization ‘a great place to work’