Strategic Human Resource Management Toolkit

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Strategic human resource management toolkit
The purpose of the toolkit is to provide the basis for conducting a strategic review of human resource management practices in order to develop and implement strategic human resource management. The individual tools can serve as checklists to analyse different aspects of HR strategy. They can also be used to involve people in the formulation of strategy by prompting discussions in workshops and focus groups. The kit consists of the following tools: l l l l l l l l l l l l l Tool 1: Tool 2: Tool 3: Tool 4: Tool 5: Tool 6: Tool 7: Tool 8: Tool 9: Tool 10: Tool 11: Tool 12: Tool 13: Overall business analysis and HR implications; Analysis of competitive strategy and its implications; Analysis of business strategies and their implications; Analysis of fit between type of organization and HR strategy; ‘Best-practice’ analysis; Overall analysis of HR strategic goals; Overall strategic HRM gap analysis; Integration of business and HR strategies; Bundling of HR activities; Analysis of high-performance goals; High-performance work system gap analysis; Analysis of engagement and commitment levels – survey; Analysis of employee engagement goals;

206 l The strategic HR toolkit

l l l l l l l l l l l

Tool 14: Tool 15: Tool 16: Tool 17: Tool 18: Tool 19: Tool 20: Tool 21: Tool 22: Tool 23: Tool 24:

Employee engagement gap analysis; Analysis of resourcing goals; Resourcing gap analysis; Analysis of talent management goals; Talent management gap analysis; Analysis of learning and development goals; Gap analysis of learning and development activities; Analysis of reward management goals; Gap analysis of reward management activities; Analysis of employee relations goals; Gap analysis of employee relations activities.

Tool 1

Overall business analysis and HR implications
Human Resource Implications What sort of people do we need in the business?

Business Matters What business are we in?

Where are we going?

What sort of organization do we need to get there? To what extent are these strengths and weaknesses related to our HR capability? What opportunities have we got to develop and engage our people? What are the threats with regard to skills shortages and retention of key people?

What are our strengths, weaknesses, opportunities and threats?

What are the main strategic issues facing the business? What are the drivers of performance in the business?

To what extent do these issues involve HR considerations? What contribution should our people make to drive performance?

Strategic human resource management toolkit l 207

Tool 2

Analysis of competitive strategy and its implications
HR Area Possible Actions Recruit and retain high-quality people with innovative skills and a good track record in innovation. Develop strategic capability and provide encouragement and facilities for enhancing innovative skills and enhancing the intellectual capital of the organization. Provide financial incentives and rewards and recognition for successful innovations. Use sophisticated selection procedures to recruit people who are likely to deliver quality and high levels of customer service. Encourage the development of a learning organization, develop and implement knowledge management processes, and support total quality and customer care initiatives with focused training. Link rewards to quality performance and the achievement of high standards of customer service. Proposed Actions

Achieve Resourcing competitive advantage through Learning and innovation development


Achieve Resourcing competitive advantage through quality Learning and development


Achieve Resourcing competitive advantage through cost leadership Learning and development

Develop core and periphery employment structures; recruit people who are likely to add value; if unavoidable, plan and manage downsizing humanely. Provide training designed to improve productivity;...