Presentation by Piyush Anand

Goal of strategic management is to deploy and allocate resources in a way that gives an organization competitive advantage.
HRM function must be integrally involved in the companys strategic management process.

Strategic human resource management is the pattern of planned HR activities and deployments intended to enable an organization to achieve its goals.
Strategic management is a process to address the organizations competitive challenges.

Strategy Formulationprocess of deciding companys strategic direction by defining its mission and goals, external opportunities and threats, and internal strengths and weaknesses.

Strategy Implementationprocess of devising structures and allocating resources to enact a companys chosen strategy.

Concentration Internal Growth External Growth Downsizings

Mergers & Acquisitions

2-5

Mission Goals External Analysis Internal Analysis

Strategic Choice
2-6

 Job Analysis - the process of getting detailed information about jobs. Recruitment - the process through which the organization seeks applicants. Training - a planned effort to facilitate learning of jobrelated knowledge, skills, and behavior.

Job design - making decisions about what tasks should be grouped into a particular job. Selection - identifying the applicants with the appropriate knowledge, skills, and ability. Development - the acquisition of knowledge, skills, and behavior that improves employees' ability to meet the challenges of future jobs.

Performance management - helps ensure that employees activities and outcomes are congruent with the organizations objectives. Pay structure, incentives, and benefits. Labor and employee relations.

Where- in what markets? How what criteria?

cost? quality? reliability? delivery?

Where, how and with what will we compete?

With what resources?

- How will we acquire, develop and deploy resources?

Administrative

One-way

Two-way

External Analysis
Opportunities Threats

Mission

Goals

Strategic Choice

Internal Analysis
Strengths Weaknesses

2-10

Mission is a statement of the organization's reasons for being. Goals are what the organization hopes to achieve in the medium-to long-term future. External analysis examines the organization's operating environment to identify strategic opportunities and threats.

Internal analysis identifies the organization's strengths and weaknesses.

Strategic choice is the organization's strategy, which describes the ways the organization will attempt to fulfill its mission and achieve its long term goals.

HR Practices

Strategic Choice

Human Resource Needs

Skills Behavior Culture

Recruiting Training Performance management Labor relations Employee relations Job analysis Job design Selection Development Pay structure Incentives Benefits

Firm Performance Productivity Quality Profitability

Human Resource Capability

Skills, Abilities Knowledge

Human Resource Actions

Behaviors Results -productivity -absenteeism - turnover

competitive advantage stems from a companys ability to create value in two ways
Cost leadership Differentiation

Different strategies require different types of employees.

Role Behaviors:
Cost strategy firms seek efficiency, carefully define needed employee skills and use worker participation to seek cost-saving ideas. Differentiation firms need creative risk takers.

1. Emergent

Strategies- strategies that evolve from the grass organization.

roots of the

2.

Enhancing Competivenessdeveloping human capital in a learning organization