Strategic Human Resource Management and Shrm Model

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Executive Summary
This report focuses on the primary issues and secondary issues of Banksia Health Service (BHS). BHS consist of about 500 employees and operates without a human resource department. This led to many issues that surfaced and causing BHS to be deemed as a poor performer by the state health department.
Firstly, the report looks into what is strategic human resource management and uses the Harvard Analytical Framework for HRM to analyze the various issues in BHS. Primary issues such as the CEO management styles, a lack of human resource department, and mandatory compliance to the government policies were present within BHS. There were also secondary issues such as communication problems, lack of trust in the HR policies, sense of unfairness among employees. This report also explains the impact caused by the issues which are low employee morale, poor organization effectiveness.
The report moves on to provide alternatives for solving the issues revolving BHS by establishing a HR department and implementing effective communication system. Benefits of such alternatives are further explained in the report and a conclusion for the report makes it stand on the importance of SHRM within an organization and emphasize on the advantages of SHRM.
1 Introduction
1.1 Strategic Human Resource Management and SHRM Model
Strategic Human Resource Management (SHRM) is one of the most impactful and convincing idea that have erupted in the contemporary context of organizations (Salaman, Storey and Billsberry 2005). It had become an important part of many organizations today as SHRM strives to increase organization performance through human capital and to satisfy the needs of the organization’s workers. SHRM is the process of developing and implementing Human Resource (HR) strategies that are integrated with the organization strategies, allowing the organization to meet its goals (Armstrong 2008). HR strategies include various functions such as HR planning, Recruitment and



Bibliography: Armstrong, Michael. Strategic Human Resource Management: A Guide To Action. 4th. London: Kogan Page Limited, 2008. Griffin, Ricky W. Fundamentals of Management. 6th. Canada: South-Western Cengage Learning, 2012. Heathfield, Susan M. Please Don 't Let HR Be Misunderstood. October 18, 2011. http://humanresources.about.com/od/hrbasicsfaq/a/hr_horror_stories.htm (accessed February 2, 2012). Kramar, Robin, et al. Human Resource Management in Australia: Strategy, People, Performance. 4th. Australia: McGraw-Hill Australia Pty Limited, 2011. Lee, David. 8 Ways Managers Can Improve Morale - Part One. April 19, 2004. http://www.humannatureatwork.com/employee-morale-article-3-partI.htm (accessed February 2, 2012). Masaoka, Jan. The Nonprofit 's Guide to Human Resources: Managing Your Employees & Volunteers. 1st. USA: NOLO, 2011. Pattanayak, Biswajeet. Human Resource Management. 3rd. New Delhi: Prentice Hall of India Private Limited, 2005. Rothwell, William J., Robert K. Prescott, and Maria W. Taylor. Human Resource Transformation. USA: Davies-Black Publishing, 2008. Salaman, Graeme, John Storey, and Jon Billsberry. Strategic Human Resource Management Theory and Practice. 2nd. London: SAGE Publications Ltd, 2005. Stahl, Gunter K., and Ingmar Bjorkman. Hnadbook of Research in International Human Resource Management. Cheltenham: Edward Elgar Publishing Limited, 2006. Stone, Kevin. Anonymous Feedback – A Good or Bad Thing? January 12, 2009. http://www.executivepastoronline.com/anonymous-feedback-a-good-or-bad-thing/ (accessed February 2, 2012).

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