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    Chapter 3 HRM

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    Tayyab Zahir Sheikh
    This chapter discusses the manager's role in strategic human resource management. It outlines the strategic management process and explains how to develop a strategy-oriented HR system aligned with organizational goals. The chapter also details the eight steps in the HR Scorecard approach, which links HR policies and activities to business strategy through quantitative metrics and measurement of employee behaviors and business outcomes.

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    Chapter 3 HRM

    Uploaded by

    Tayyab Zahir Sheikh
    423 views8 pages
    This chapter discusses the manager's role in strategic human resource management. It outlines the strategic management process and explains how to develop a strategy-oriented HR system aligned with organizational goals. The chapter also details the eight steps in the HR Scorecard approach, which links HR policies and activities to business strategy through quantitative metrics and measurement of employee behaviors and business outcomes.

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    This chapter discusses the manager's role in strategic human resource management. It outlines the strategic management process and explains how to develop a strategy-oriented HR system aligned with organizational goals. The chapter also details the eight steps in the HR Scorecard approach, which links HR policies and activities to business strategy through quantitative metrics and measurement of employee behaviors and business outcomes.

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    © All Rights Reserved
    Download as DOC, PDF, TXT or read online from Scribd
    Download as doc, pdf, or txt
    423 views8 pages

    Chapter 3 HRM

    Uploaded by

    Tayyab Zahir Sheikh
    This chapter discusses the manager's role in strategic human resource management. It outlines the strategic management process and explains how to develop a strategy-oriented HR system aligned with organizational goals. The chapter also details the eight steps in the HR Scorecard approach, which links HR policies and activities to business strategy through quantitative metrics and measurement of employee behaviors and business outcomes.

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    © All Rights Reserved
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    of 8

    The Managers Role in Strategic Human Resource Management

    Chapter 3

    After reading this chapter, you should be able to:


    Outline the steps in the strategic management process !"plain and gi#e e"amples of each type of company$ide and competiti#e strategy !"plain $hat a strategy%oriented human resource management system is and $hy it is important &llustrate and e"plain each of the eight steps in the HR Scorecard approach to creating human resource management systems

    The Strategic Management 'rocess

    Strategic Management

    The process of identifying and

    Strategy

    e"ecuting the organi(ations mission by matching its capabilities $ith the demands of its en#ironment

    Strategic 'lan

    A chosen course of action Ho$ an organi(ation intends to

    *usiness +ision and Mission +ision


    A general statement of an

    balance its internal strengths and $ea)nesses $ith its e"ternal opportunities and threats to maintain a competiti#e ad#antage o#er the long% term

    Mission

    organi(ations intended direction that e#o)es emotional feelings in organi(ation members

    Spells out $ho the company is, $hat it

    does, and $here its headed


    FIGURE 35 The Strategic Management Process

    FIGURE 35 The Strategic Management Process

    ,opyright - ./00 1orling 2indersley 3&ndia4 '#t 5td Authori(ed adaptation from the 6nited States edition of Human Resource Management, 0.7e

    35


    FIGURE 38 Relationships mong Strategies in M!ltiple"#!siness Firms

    ,opyright - ./00 1orling 2indersley 3&ndia4 '#t 5td Authori(ed adaptation from the 6nited States edition of Human Resource Management, 0.7e

    37

    Types of Strategies Types of Strategies 3continued4 Achie#ing Strategic 8it The 98it: 'oint of +ie$ 3'orter4 consists of the idea that each departments strategy needs to fit the parent businesss competiti#e aims

    Strategic Human Resource Management Strategic Human Resource Management

    The lin)ing of HRM $ith strategic

    goals and ob;ecti#es in order to impro#e business performance and de#elop organi(ational cultures that foster inno#ation and fle"ibility
    &n#ol#es

    formulating and e"ecuting HR systems<HR policies and acti#ities<that produce the employee competencies and beha#iors that the company needs to achie#e its strategic aims
    FIGURE 3$ %in&ing Compan'"(i)e an) *R Strategies

    FIGURE 3+, Strateg' Map -or So!th.est irlines

    ,reating the Strategic Human Resource Management System

    FIGURE 3+, Strateg' Map -or So!th.est irlines

    ,opyright - ./00 1orling 2indersley 3&ndia4 '#t 5td Authori(ed adaptation from the 6nited States edition of Human Resource Management, 0.7e

    Source: Adapted from 9,reating a Strategy Map,: Ra#i Tangri, Team=Team,HR>SA5&S com 3+/

    FIGURE 3+0 Three Important Strategic *R Tools


    FIGURE 3+0 Three Important Strategic *R Tools

    ,opyright - ./00 1orling 2indersley 3&ndia4 '#t 5td Authori(ed adaptation from the 6nited States edition of Human Resource Management, 0.7e

    Source: Adapted from *rian *ec)er et al , The HR Scorecard: Linking People, Strategy, and Performance 3*oston: Har#ard *usiness School 'ress, .//04, p 0. 3+5

    Measuring HRs ,ontribution

    The HR Scorecard

    Sho$s the ?uantitati#e standards, or

    ,reating an HR Scorecard

    9metrics: the firm uses to measure HR acti#ities Measures the employee beha#iors resulting from these acti#ities Measures the strategically rele#ant organi(ational outcomes of those employee beha#iors

    FIGURE 3+/ Simple 1al!e Chain -or 2The *otel Paris3 Fi4e Sample *R Metrics
    Simple 1al!e Chain -or 2The *otel Paris3

    FIGURE 3+/

    ,opyright - ./00 1orling 2indersley 3&ndia4 '#t 5td Authori(ed adaptation from the 6nited States edition of Human Resource Management, 0.7e

    3+8

    2!> T!RMS

    strategic plan strategic management #ision mission S@OT analysis strategy strategic control competiti#e ad#antage strategic human resource management HR Scorecard metrics #alue chain analysis

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