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    Aligning HR Practices

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    Revathy Krishnamurthy
    The document discusses the concepts of vertical alignment, which refers to aligning an organization's human resource strategy with its competitive strategy, and horizontal alignment, which concerns coordinating HR practices within an organization. It provides examples of how different HR strategies like core practices, global expansion, growth, and turnaround strategies can align with competitive strategies. The document also predicts future challenges for HR like addressing worker shortages and demonstrating quantifiable value through HR practices.

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    Aligning HR Practices

    Uploaded by

    Revathy Krishnamurthy
    18 views17 pages
    The document discusses the concepts of vertical alignment, which refers to aligning an organization's human resource strategy with its competitive strategy, and horizontal alignment, which concerns coordinating HR practices within an organization. It provides examples of how different HR strategies like core practices, global expansion, growth, and turnaround strategies can align with competitive strategies. The document also predicts future challenges for HR like addressing worker shortages and demonstrating quantifiable value through HR practices.

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    The document discusses the concepts of vertical alignment, which refers to aligning an organization's human resource strategy with its competitive strategy, and horizontal alignment, which concerns coordinating HR practices within an organization. It provides examples of how different HR strategies like core practices, global expansion, growth, and turnaround strategies can align with competitive strategies. The document also predicts future challenges for HR like addressing worker shortages and demonstrating quantifiable value through HR practices.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    18 views17 pages

    Aligning HR Practices

    Uploaded by

    Revathy Krishnamurthy
    The document discusses the concepts of vertical alignment, which refers to aligning an organization's human resource strategy with its competitive strategy, and horizontal alignment, which concerns coordinating HR practices within an organization. It provides examples of how different HR strategies like core practices, global expansion, growth, and turnaround strategies can align with competitive strategies. The document also predicts future challenges for HR like addressing worker shortages and demonstrating quantifiable value through HR practices.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    of 17

    Aligning Strategy with Practice

    -Nawas-
    Learning Objectives
     After reading this chapter you should be able
    to:
    – Explain the concepts of vertical and horizontal
    alignment.
    – Identify the specific human resource practices that
    fit within each of the basic HR strategies.
    – Understand how basic competitive and HR
    strategies can vary, what role human resources can
    play in strategy formulation, and why human
    resource management is important for small
    organizations.
    – Describe how the field of human resource
    management is likely to change in upcoming years.
    How Can Alignment of HR Practices
    Make an Organization Effective?
     Each human resource practice is in
    alignment when it is in its proper place
    relative to other practices and strategic
    objectives.
     Two Types of Alignment
    – Vertical
    – Horizontal
    WHAT ARE TWO BASIC FORMS
    OF STRATEGIC ALIGNMENT?
    Figure 14.1 Vertical and Horizontal Alignment
    (LO1)
    Vertical Alignment
     Refers to the positioning of an organization’s
    human resource management strategy in relation
    to other organizational strategies.
     The need is to fit the organization’s human
    resource strategy with its competitive strategy.
    – For example the organization might be out of vertical
    alignment if it seeks to differentiate its products through
    innovation but adopts a Bargain Laborer HR strategy
    Horizontal Alignment
     This alignment is concerned with the coordination
    of parts within the organization.
     In human resource management, horizontal
    alignment refers to the fit of specific practices with
    other practices.
    – The selection practice of hiring team players aligns with
    the performance appraisal practice of reducing
    competition among employees,
    HOW DO HR PRACTICES ALIGN
    WITH ONE ANOTHER? (LO2)
    Core Human Resource Practices
    Core Human Resource Practices
    HR Practices
    WHAT ARE SOME OTHER HR
    ISSUES? (LO3)
    Turnaround Strategy
     Companies using this strategy employees lay
    off employees and look for new approaches to
    production are implemented.
    – This strategy is compatible with an external labor
    orientation.
    – Low performers are dismissed, and new employees
    are hired for their ability to change the way work is
    accomplished.
    – A Free Agent HR strategy adopted with the
    emphasizes the need to turn around low
    organizational performance quickly.
    Other HR Issues
    Global Expansion Strategy
     Focuses specifically on growing an
    organization’s presence in foreign
    countries.
    – This strategy requires organizations to attract
    and select workers who are quite different
    from those already employed.
    – The human resource approach most closely
    aligned with the global expansion competitive
    strategy is the Free Agent HR strategy.
    Other HR Issues
    Growth Strategy
     Is adopted by companies seeks to expand
    into new markets.
     Growth may occur through acquisitions and
    mergers.
    – human resource management focus will be on
    reducing barriers to effective integration of
    organizational cultures.
    HR in Small Business
     In small firms the emphasis on recruiting,
    selection, performance appraisals,
    training, and compensation grow at a
    faster rate than other firms.

     Effective human resource management


    helps small organizations innovate.
    WHAT MIGHT THE FUTURE OF
    HR LOOK LIKE? (LO4)
     It is estimated that organizations will soon face a
    shortage of workers.
    – It will become increasingly difficult to find people to fill
    jobs, specifically jobs requiring special sills.
    – The need for good human resource management and
    practice will continue to grow to meet this challenge.
    – There will be a greater emphasis on identifying
    quantifiable measures to show the value of good human
    resource management practices.
    Challenges for HR Professionals
    Challenges facing HR Professionals
     Lack of power
     Walking the tightrope between management
    and employees
     Dealing with skeptical people
     Vulnerability to downsizing,
     Overwhelming by work demands.

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