Strategic Thinking with Hrm
Discuss why human resource management (HRM) is essential to strategic thinking, and identify several key aspects of strategic HRM.
Introduction
“Corporations began viewing employees as assets rather than as cogs in machine. ‘Human resources management’, consequently, became the dominant term for the function—the ASPA even changing its name to SHRM in 1998. (SHRM)” The realisation from organisations that their most prised and valuable asset is their employees. This lead to development and integration of HRM and has become crucial to plan an organisation’s strategic approach “to generate a competitive advantage, the resources must be valuable, rare, imperfectly mobile inimitable. (Taylor, Beechler & Napier 1996)” To understand why HRM is essential to strategic thinking first we must understand what is HRM? why it essential to strategic thinking? What are the key points required for HRM strategy? How can Hambrick and Fredickson are the five major elements provide a framework for a good HRM strategy? These questions must be understood to be able to fully understand why HRM is essential to strategic thinking.
What is HRM “Human resource management (HRM) is a strategic and coherent approach to the management of an organisation most valued assets – the people working there who individually and collectively contribute to the achievement of the objectives of the business... HRM means employing people, developing their capacities, utilizing, maintaining and compensating their services in tune with the job and organizational requirement. (Vang S 2012)” This is about attracting the right people with the right skill sets for the job; being able to train them up; monitor their performance and reward them for their performances. HRM is about creating positions required to take an organisation in a particular direction or to for fill business objectives. These positions can be filled through internal training, or if it the organisation has constructed new objectives
Introduction
“Corporations began viewing employees as assets rather than as cogs in machine. ‘Human resources management’, consequently, became the dominant term for the function—the ASPA even changing its name to SHRM in 1998. (SHRM)” The realisation from organisations that their most prised and valuable asset is their employees. This lead to development and integration of HRM and has become crucial to plan an organisation’s strategic approach “to generate a competitive advantage, the resources must be valuable, rare, imperfectly mobile inimitable. (Taylor, Beechler & Napier 1996)” To understand why HRM is essential to strategic thinking first we must understand what is HRM? why it essential to strategic thinking? What are the key points required for HRM strategy? How can Hambrick and Fredickson are the five major elements provide a framework for a good HRM strategy? These questions must be understood to be able to fully understand why HRM is essential to strategic thinking.
What is HRM “Human resource management (HRM) is a strategic and coherent approach to the management of an organisation most valued assets – the people working there who individually and collectively contribute to the achievement of the objectives of the business... HRM means employing people, developing their capacities, utilizing, maintaining and compensating their services in tune with the job and organizational requirement. (Vang S 2012)” This is about attracting the right people with the right skill sets for the job; being able to train them up; monitor their performance and reward them for their performances. HRM is about creating positions required to take an organisation in a particular direction or to for fill business objectives. These positions can be filled through internal training, or if it the organisation has constructed new objectives
Bibliography: Atheism Forum, <http://www.topix.com/forum/religion/atheism/TV0C9D18P659TA0LO>. Facts and Figures, <http://www.ikea.com/ms/en_US/about_ikea/facts_and_figures/facts_figures.html>. Hambrick, D & Fewseixkaon, J 2001, ‘Are you sure you have a strategy?’ The Academy of Management Executive. 15(4):51-62. SHRM society for human resources management, <http://www.shrm.org/about/pages/default.aspx>. Robert, L & Heneman, L 2003, ‘Human resource management in virtual organizations’ Information Age Publishing, USA 2002. Taylor, S. Beechler, S. & Napier, N 1996, ‘Towards an integrative model of strategic international human resource management.’ Academy of Management Review, 21(4). Vang, S 2012, ‘Human Resource Management (Role & Importance)’ Orange Apple, Deli.