HUMAN RESOURCE MANAGEMENT

Human Resource Management is the art of procuring, developing and maintaining competent workforce to achieve

organizational goals efficiently.

Product Subsystem

Finance Subsystem

HR Subsystem Procurement Training Compensation Appraisal Rewards

Marketing Subsystem

Technical Subsystem

STRATEGIC HUMAN RESOURCE MANAGEMENT

STRATEGY Strategy is the determination of the basic long term purpose and objectives of an enterprise and the adoption of courses of action and allocation of resources' necessary for carrying out these goals. LEVELS OF STRATEGYCORPORATE LEVEL STRATEGY

SBU 1

SBU 2

SBU 3

FINANCE

MARKETING

OPERATION

PERSONNEL

INFORMATION

STRATEGIC MANAGEMENT
Strategic management is the formulation and implementation of plans and carrying out of activities relating to the matters which are of vital , pervasive or continuing importance to the total organization.

NEED FOR STRATEGIC MANAGEMENT

Provides guidelines for organizational functioning. Probability for better performance. It helps to keep pace with the changing environment as by exploring opportunities and minimizing threats . It helps the business to achieve the optimum level of efficiency. Strategic management focuses on the determination of the major organizational objectives by identifying the things to be achieved. Improves communication, coordination, allocation or resources.

STRATEGIC HUMAN RESOURCE MANAGEMENT

Strategic
Human Resource Management

Strategic Human Resource Manageme nt

STRATEGIC means devising a comprehensive decision

plans that sets critical direction for an organization and guides the allocation of resources.

HUMAN RESOURCE MANAGEMENT "means an

integrated strategy and planned development process for effective utilization of human resources for the achievement of organizational mission and objectives.

STRATEGIC HUMAN RESOURCE MANAGEMENT

is the linking of human resource management with strategic goals and objectives in order to improve business performance and develop organizational cultures that foster innovation and flexibility.

OBJECTIVES OF STRATEGIC HUMAN RESOURCE MANAGEMENT

1. Identifying and analyzing external opportunities and threats that may be crucial to the company's success. 2. Provides a clear business strategy and vision for the future. 3. To supply competitive intelligence that may be useful in the strategic planning process. 4. To recruit, retain and motivate people. 5. To develop and retain of highly competent people. 6. To ensure that people development issues are addressed systematically. 7. To supply information regarding the company's internal strengths and weaknesses. 8. To meet the expectations of the customers effectively. 9. To ensure high productivity. 10. To ensure business surplus thorough competency

STRATEGIC MANAGEMENT PROCESS

ENVIRONMENTAL SCANNING
INTERNAL SCANNING EXTERNAL SCANNING

STRATEGY FORMULATION
CORPORATE STRATEGY FORMULATION BUSINESS UNITS STRATEGY FORMULATION FUNCTIONAL STRATEGY FORMULATION

STRATEGY IMPLEMENTATION
PROGRAMME BUDGETS PROCEDURES

STRATEGY EVALUATION
STRATEGIC CONTROL PROCESS & PERFORMANCE

PERSONNEL MANAGEMENT

HUMAN RESOURCE DEVELOPMENT

Maintenance oriented. An independent function with independent sub-functions. Reactive function, responding to events as and when they take place.

Development oriented. Consists of inter-dependent parts.

Proactive function, trying to anticipate and get ready with appropriate responses.
Responsibility of all managers in the organization. Emphasis is put on higher order needs such as how to improve creativity and problem solving skills. It tries to develop the organization as a whole and its culture.

Exclusive responsibility of personnel department. Emphasis is put on monetaryrewards. Tries to improve the efficiency of people and administration.