Introduction
The role of HRM has evolved over the past decade from a bureaucratic enforcer of policies to that of a strategic business partner with the organization’s senior management. Strategic HRM in an integral part of an organization’s competitiveness, profitability, and relevance. Organizational performance is gained through HRM’s effective management of employees that is in harmony with the organization’s strategy.
Tasks
Discussion Question 1:
Consider the corporate strategy for a current or previous employer and relate why HR professionals need to be fully aware of your organization’s strategy.
Discussion Question 2:
Consider a current or previous employer and analyze how your HR department or HR professional’s participation in corporate strategy developed over time.
Start reviewing and responding to at least two of your classmates’ postings as early in the Week as possible. Participate in the discussion by asking a question, providing a statement of clarification, providing a point of view with a rationale, challenging an aspect of the discussion, or indicating a relationship between one or more lines of reasoning in the discussion.
To support your work, use your course and textbook readings and also use the
South University Online Library
. As in all assignments, cite your sources in your work and provide references for the citations in APA format.
Your initial posting should be addressed at 500–1000.
Human Resources
HRM Planning
HRM is the ongoing management of human resources in support of an organization’s strategies and goals. It continues to evolve and executives are now beginning to realize the impact it can have on the bottom line. Therefore, executives are including a place for HRM in their strategy.
Strategic HRM, then, increasingly provides direction at all levels within an organization and all departments or divisions. Again, the benefits and goals for this are that organizations become better suited to meet their strategic goals. The nuts and bolts of how this is accomplished is that HRM doesn’t only include the management of people but also provides insight and control over structure and design, communication, culture, ethics, and organizational change. At many levels today, HRM is involved with recruiting, restructuring and downsizing, mergers and acquisitions, Corporate Social Responsibility (CSR), etc.
Strategic HRM is the management of HR philosophies, policies, and practices to enable the achievement of the organizational strategy. Ideally, these philosophies, policies, and practices form a system that attracts, develops, motivates, and trains employees who ensure the survival and effective functioning of the organization and its members.
As demonstrated, strategic HRM is strongly linked to the profitability of an organization. It is obvious that an organization achieves success through people. Therefore, the management of people is considered a strategic resource that requires planning. Successful organizations place a high value on employees throughout their strategic planning. In this light, strategic HRM planning would consider recruiting people with skills required by the organization today and also recruiting people for tomorrow‘s needs. This requires forward thinking HRM.
Strategic HRM is at the heart of an organization’s competitiveness, profitability, and relevancy. Organizational performance is gained through HRM’s effective management of employees that is in harmony with the organization’s strategy.
Additional Materials
From your course textbook, Managing Employee Performance and Reward (2nd ed.), read the following chapters:
- Performance and reward basics
- Managing for engagement
- Strategic alignment
-
Managing for results
From the South University Online Library, read the following article:
- Understanding Human Resource Management in the Context of Organizations and their Environments
From the Internet, read the following articles:
Hrcouncil.ca (n.d.). HR Planning. Retrieved from http://hrcouncil.ca/hr-toolkit/planning-strategic.cfm
Cooke, R., & Armstrong M. (1990, December). The Search for Strategic HR. Personnel Management, 30–33.
South University
file:///C|/Users/CWATKIM/Desktop/Strategic%20Planning%20Process.html[2/20/2020 10:38:26 PM]
Strategic Planning Process
When thinking of the best analogy for strategic planning that organizations use to compete, we may use
chess to illustrate the methods used by executives to move their organizations forward. Like chess,
strategies can be reactive or proactive. Strategies may be reactive, such as when there are changes in
various environments: legal, economics, political, sociocultural, competitive, etc. Strategies may be
proactive, such as when an organization enters new markets, introduces new products/services, or
withdraws from competing within a specific industry. Just like in chess, organizations make strategic moves
through a well-created and executed plan, the competition contemplates how to react with their strategy,
and there is back and forth movement for advantage.
The strategic planning process requires thinking and planning ahead. Good chess players do this—they
calculate their strategy depending upon how a game unfolds. If the game is moving slowly, chess masters
focus on conceptual plans. When the game is more defensive, a chess master will think ahead by several
moves.
You have to make strategic moves to win the game. There are rules in the game and you can change the
rules, but that is not recommended. You start any game at the beginning and follow a series of steps to
achieve a singular or set of results. You miss some steps and you might lose some grounds that you did
not wish or plan to lose. The same idea applies to the strategic planning process.
The basic rules for the strategic planning process includes the following rules:
1. Understand your current environment (Assess)
2. Identify your resources—what is available to you to work with? (Tools)
3. Recognize where you want or need to go (Goals)
4. Determine how you will get there (Path)
Additional Materials
From your course textbook, Managing Employee Performance and Reward (2nd ed.), read the following
chapters:
Performance and reward basics
Managing for engagement
Strategic alignment
South University
file:///C|/Users/CWATKIM/Desktop/Strategic%20Planning%20Process.html[2/20/2020 10:38:26 PM]
Managing for results
From the Internet, read the following articles:
Forbes. (n.d). Five steps to a strategic plan. Retrieved from
http://www.forbes.com/sites/aileron/2011/10/25/five-steps-to-a-strategic-plan/#4023692361af
Hitt, M.A., Ireland R.D., Hoskisson R.E. (2007). Strategic management, competitiveness and globalization
concepts. Mason, OH: Thompson Higher Education. Retrieved from
https://kafebisnis2010.files.wordpress.com/2011/11/strategic-manag-concept-n-case-hitt-et-al
On Strategy. (n.d.). Essentials guide to strategic planning. Retrieved from
http://onstrategyhq.com/resources/strategic-planning-process-basics/
- Local Disk
South University
Outsourcing and Strategic Planning
Outsourcing is the strategy used when organizations contract other organizations to provide a service. So, yes, outsourcing can result in people losing their jobs. However, the reasons for outsourcing varies, including lowering costs, improving quality, gaining access to advanced technology or gaining access to specialized expertise. And, outsourcing HR activities and functions can be a part of an outsourcing strategy.
For an international organization, it may make perfect sense to outsource HR activities. This allows an organization to rely on specific expertise in locations where it conducts business. Think about the variety of legal, regulatory, and compliance environments that a global organization must abide by. It makes sense to rely on local experts rather than manage these disparate environments in-house.
One of the HR functions that might be outsourced includes the financial, which would involves benefits, payroll, retirement and pensions, etc. Additional functions include training, and recruitment, onboarding, health and wellness programs, and safety management and training. The myriad of activities and know-how for managing these functions are reasons why outsourcing HR is an attractive strategy—not just for an international organization, but a domestic organization can also benefit from an outsourcing strategy.
In spite of the sought-after benefits from outsourcing, the strategy is not without its risks and limitations. Putting your hands in another organization can be risky. What if they go under? There is a risk that the expected gains in service may result in poor service and customer complaints. Then, there are security risks in outsourcing. These are just a few of the risks inherent with the outsourcing strategy. Proper planning and execution in the deployment of outsourcing can help avoid the associated risks as an organization moves forward to the next level of excellence.
Additional Materials
From your course textbook, Managing Employee Performance and Reward (2nd ed.), read the following chapters:
- Performance and reward basics
- Managing for engagement
- Strategic alignment
-
Managing for results
From the South University Online Library, read the following articles:
- Are You Ready to Outsource HR?
- Are You Ready to Outsource Staffing?
- The Fine Art of Outsourcing