Specific Approaches to Develop HR Strategies in Modern Business Environment


Introducing Human Recourse Management

Many definition can be sited on Human resource management, according to the Bratton and Gold, (2012) Human resources management is a set of concepts and mixture of practices of organisational works & managing employee relations explains under main categories as


·     ·       Micro HRM      -  This category concerned about the managing individual employees &
                                 small work Groups by aiming job designing, selection of employees,
                                 recruitment & training and development

      ·    Strategic HRM -   Concern the overall organization performances by the process of
                     Matching the Human resources strategies with its business
                     strategies (Bratton & Gold, 2012).

Human resource Strategies


Since the 1990s readings & many study materials have been found and progressively evolving on strategic HRM and the researches on SHRM has increased, further emphasized that the importance of organisational success links with the SHRM directly (O’riordan, 2017).When it comes to Human resource strategy many definitions were found. According to Wright (2008) human resources Strategy have been identified as a system or a way of Human resource practices for a particular work or series of works to meet the organisational goals by using the best outcomes of the employees. Further HR Strategies are categorized according to the systems of HR Practices that reflect the outcomes of the employees’ not individual tests or recruiting or interviews techniques (Patrick, M., Wright, 2008). However According to Armstrong (2006) Strategic HRM explains as the organization’s purposes and plans on how its business objectives ought to be accomplished through employees.

Characteristics of SHRM


O’Riordan (2017) explain two main characteristics of SHRM as

·       Integration or mixing- when comes to the practical SHRM, environment strategies of employees directly to be connected with business strategies means mixing the both human & business strategies together, Which described as Vertical-fit.

·       Alignment- each Human resource policies should be combined together means should be arranged accordingly which described as Horizontal fit and in some way as bundling of HR policies.  

In an organisation, to deliver a logic way of achieving organisational objectives by cooperating with the Strategic management & planning is the Objective of SHRM. To achieve these objectives Management identify main areas of the employee related points. Further action plan is to be designed by combining employee related points, management & planning and organisational objectives to meet those organisational objectives (O’Riordan, 2017).

Categories of SHRM


Further Armstrong (2006) explains three main categories of SHRM based on three different sub schemes as
·       Human capital – it is a major source of competitive advantage

·       People who implement the strategic plan

·       Systematic approach – this should be implemented according to the objectives & way to lead those objectives of the organisation

When it comes to The exploration of the effect of Strategic Human Resources Management on organisational performances, has widely  been focused on universally applicable two main approaches, identified as "Best fit” and “Best practice”, which will be described further in details.having said that in the modern world, recognition of the Importance of Human resource Management has been increased. In recent years many organisations reviewing their policies on employee investments.
Giving the collective skills by the employees and knowledge and the abilities of employee are the main assets to an Organisation. By confirming that many CEOs openly stated in their success stories the effectiveness of the Strategic Human Resources Management (Jeffrey, A & Mello, 2015).

Jack welch  CEO of General Electric USA emphasizing the effectiveness of employee investments



                                                         Source: (Strayer University)

For example, according to Jeffrey, A & Mello (2015). Jack welch CEO of General Electric USA has noted in one of his last annual report the importance of developing and motivating people by stating one billion expenses and one third of the time spending annually on people management. Further recent study of fortune 100 (Annual ranking of USA latest cooperative companies) 14% of the reports contains quantitative measures of HRM


List of Reference
  • Armstrong, M. (2006) A Handbook of Strategic Human Resource Management Guide to action.3rd ed. London, Kogan Page Limited.
  • Bratton, J & Gold, J. (2012Human Resource Management Theory and Practise. 5th ed. Basingstoke, Palgrave Macmillan.
  • Jeffrey, A & Mello. (2015)  Strategic human resource management. 4th ed. United States of America, Cengage Learning.
  • O’Riordan,J. (2017) The Practice Of Human Resource Management State Of The Public Service Series IPA An Forasriara chain institute Of Public Administration
  • Patrick, M., Wright. (2008) Adapting to the Age of Globalization Human Resource Strategy SHRM Foundation’s Effective Practise Guidelines Series.United States of America.
  • Purcell,J.(2015) Review of Boxall, P. and Purcell, J. (2003) Strategy and Human Resource ManagementIndustrial & Labour Relations Review,1.Labour Relations Review, Vol. 57, No. 1.
  • Strayer University (2012) Jack Welch on Investing in employees[Online].Available at <youtube.com.>[Accessed on 17 September 2019].






Comments

  1. Adresi and Darun's study (2017) highlights the importance of aligning various strategic human resource management practices, where managers must play a critical role in initiating, leading and executing such SHRM plans to obtain successful outcome.

    ReplyDelete
    Replies
    1. Yes Kanchana aligning strategic resource management practices is much important. Managers have to identify main areas of the employee related points.Whatever the practices used, the best outcomes of employees should comes out to get the best in organizational objectives (Patrick, M., Wright, 2008).

      Delete
  2. As per Reed (2018), Every organization is different, and there are employees from different backgrounds, industries, goals, ambitions, and so on. The key to a successful HR strategy is to determine what is the unity and motivation of the employee and to develop a strategic plan around this understanding to consider conducting a regular survey asking what motivates the employee and asking them to rank a series according to their importance and Option.

    ReplyDelete
    Replies
    1. This comment has been removed by the author.

      Delete
    2. Sure, regular surveys asking what motivates the employee and asking them to rank a series according to their importance and Options support for a successful HR strategy. in parallel rewarding & training make employees encouraged & align with organizational objectives DeBellis P, (2018) & help to obtain the the best ideas through surveys.

      Delete
  3. The ‘‘best fit’’ approach promotes the concept that strategic HR should be inextricably linked to the formulation and implementation of strategic corporate and business objectives (Wilton, 2011). This means that the HR strategy is concerned with matching the employee’s role behaviour with the company‘s mission, values and goals.

    ReplyDelete
    Replies
    1. Yes, That s the key concept of HR Strategy.Further Wright (2008)explains nicely, human resources Strategy have been identified as a system or a way of Human resource practices for a particular work or series of works to meet the organisational goals by using the best outcomes of the employees & meeting the organizational goals & objectives is the aim.

      Delete
  4. Human resource management comprises the formal system designed to manage the employees in an organization. Organizational demand is factors within a firm that affects decisions regarding how to manage employees. According to Gust (1987) state four main elements to HRM - Commitmemnt -Flexibility - Quality - Integration.

    ReplyDelete
    Replies
    1. Human resource management is a system design & mixture of practices of organisational works & managing employee relations. and Strategic HRM is Concern the overall organization performances by the process of matching the Human resources strategies with its business strategies (Bratton & Gold, 2012).When it comes to the employee management in Strategic HRM Guest (1987) suggested four central elements of HR as (a). Commitment, flexibility, quality & strategy (b). communication, flexibility, quantity strategy (c). collaboration, functionality, quality, standardization (d).communication, functionality, quality, strategy

      Delete
  5. Hi Anne, SHRM is of paramount importance in today's business era. The benefits for a company in incorporating SHRM practices are endless. For example, while providing the company a competitive edge, SHRM also keep track of downturns, risks and various other business acquirement (Purcell, 2015). In addition, SHRM gives priority to organizational codes of moral value, while integrating HR workflow, defining new goals and aligning employee workforce towards a common business goal (Armstrong, 2006).

    ReplyDelete
    Replies
    1. SHRM has widely been focused on universally. In recent years many organisations reviewing their policies on employee investments through various SHRM practices.
      Many success stories in modern world are the samples for the effectiveness of perfect SHRM(Jeffrey, A & Mello 2015).

      Delete
  6. Human resources are a strategic asset because that can play an important role in both strategies and management system (Becker, Huselid and Ulrich, 2001).Human resources can play a strategic role in the success of an organization, thereby changing technology,competition and globalization can achieve a competitive advantage (Allen and Wright,2006).

    ReplyDelete
    Replies
    1. Sure Sankalpa that strategic roll nicely explained by Amstrong 2006 as the definition of SHRM 'The organization’s purposes and plans on how its business objectives ought to be accomplished through employees'.Human resources this strategic asset should be nicely handled by the employers to obtain the maximum benefits to the organization. Human capital , systematic approach and the people who implement the approach should blend perfectly to obtain the maximum benefit.

      Delete
  7. As Richardson and Thompson (1999) comment: ‘A strategy’s success turns on combining vertical or external fit and horizontal or internal fit.’ They conclude that a firm with bundles of associated HR practices should have a higher level of performance, provided it also achieves high levels of fit with its competitive strategy.

    ReplyDelete
    Replies
    1. Sure Sharon, Bundles of associated Hr practices provides higher level of out put. The examples explained in my final blog post will emphasize well the advantages of mix policies.

      Delete
  8. Agreed upon the content. To add further SHRM can affect the organization performance in multiple contexts such as productivity, financial performance and quality. SHRM is a tool that can be used to gain competitive advantage and to enhance the performance of the organization. Furthermore, SHRM ensures the continuity of the organization as well (Cania, 2014).

    ReplyDelete
    Replies
    1. According to Wright (2008) human resources Strategy have been identified as a system or a way of Human resource practices for a particular work or series of works to meet the organisational goals by using the best outcomes of the employees.HR Strategy, Organizations strategy, & culture of the organization should be well matched to gain the competitive advantage.

      Delete
  9. Agree you’re your comments furthermore, Employment participation is the process by which the employee power is used and the means of increasing their contribution to the organization's performance (Khan et al., 2011; Mildred, 2016)

    ReplyDelete
    Replies
    1. Thank you for adding value Mizni, Human resources is a asset because bacause of playing important role in both strategies and management system (Becker, Huselid and Ulrich, 2001).

      Delete
  10. This comment has been removed by the author.

    ReplyDelete
  11. Agree with you Anne,
    Storey (1995) defines HRM as “a distinctive approach to employment management which seeks to achieve competitive advantage through the strategic deployment of a highly committed and capable workforce, using an integrated array of cultural, structural and personnel techniques".

    ReplyDelete

Post a Comment

Popular posts from this blog

Best fit & Best Practice Approach - Best fit approach

Final thoughts on Best fit or Best practice

Organization adaption to the Best Fit approach