Strategic Resource Management
Activity 1: Human Resource Management (HRM)
------------ the role of HRM in supporting business strategy and shows how to develop human resources in organisations.( PepsiCo Inc. ) ∆ The role of HRM in supporting business strategy :
Human resource management practices and functions have gained more strategic role in today’s competitive organizations. Traditional personnel management and human resources management activities are not enough to compete in the challenging environments. Human resources includes a myriad of functional areas, encompassing responsibilities from recruitment and staffing to compensation and benefits or training and development . All HRM functions should be designed consistent with the strategies and goals of organizations. There should be vertical and horizontal consistency among all HR functions and firm’s strategies. In order to develop the skills of employees and support their innovativeness, HRM functions and practices should be implemented according to the needs of employees. Organizations can gain competitive advantage by designing their HRM functions systematically and support their employees for being innovative. In this paper, firstly the evolution and importance of strategic HRM are investigated. HRM can contribute to the strategies and strategic planning process of the organization in different ways. HRM functions like performance evaluation, human resource planning, employee selection, training and wage management should be designed according to the strategic plans of the organization. Most of the organizations prefer to integrate their HRM systems with their strategy implementation process. Nowadays, it is a common belief in both the business and the academic world that the human resources of an organization can be a source of competitive advantage, provided that the policies for managing people are integrated with strategic business planning HRM is concerned with both the structure of work in...
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