វិទ្យាស្ថានខ្មែរជំនាន់ថ្ែី
INSTITUTE OF NEW KHMER
មហាវិទ្យាល័យគ្រប់គ្រងពាណិជចកមែ និងទទ្យស្ចរណ៍
ការគ្រប់គ្រងធនធានមនុស្ស
Human Resources Managements
Lectured by: NOUV Brosh
Mobile Phone: 093640486 & E-mail: broshnouv@gmail.com
HRM By: NOUV Brosh
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Chapter 2:
Strategic Management Approach
to Human Resource
Management
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WHAT IS STRATEGIC HRM?
 Strategic HRM emphasized the need for HR plans &
strategies to be formulated within the context of
overall organizational strategies & objectives, & to
be responsive to the changing nature of the
organization’s external environment (i.e. its
competitors, the national & global arenas).
 HR plans and strategies should be developed on a
long-term basis, taking into account likely changes in
the society, industrial relations system, economic
conditions, legislation, global, & technological issues,
as well as new directions in business operations.
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Characteristics of SHRM:
•
A longer-term focus – an inclusion of
multiple- year strategic plans for HR use is
often considered the first step in the
evolution of a strategically oriented HRM
function.
•
New linkages between HRM & strategic
planning – one way linkages focus on the role
of HRM activities in assisting strategy
implementation, while a two-way linkage
describes a more proactive approach where
RM exerts influence on strategy
HRM By: NOUV Brosh
formulation as well.
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Characteristics of SHRM (con’t)
•
Linkages between HRM & organizational
performance – SHRM plays a key role in the
achievement of strategic goals. Since the expected
outcome of company strategies is an improvement in
the firm’s economic value, HRM must therefore
directly contribute to the firm’s ‘bottom line’ in
order to be effective.
•
Inclusion of line managers in the HRM policymaking progress – the recognition of HRM’s
strategic importance makes it more of a line
management responsibility, particularly in areas
involving the selection
& compensation of managers.
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What Is Strategic Management?
• Strategic Management-Process for analyzing a company’s
competitive situation, developing the company’s strategic goals,
and devising a plan of action and allocating resources that will
increase the likelihood of achieving these goals.
• Strategic HRM- is the pattern of planned human
resource deployments and activities in order to enable
an organization to achieve its goals.
• Goals – deploy and allocate resources (human
organizational, physical) in ways that provide a competitive
advantage
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A Model to organize HRM
ARDM Model for HRM
A: acquiring
R:rewarding
D: developing
M: maintaining and protecting
ALL ARE CONCERNED ABOUT PEOPLE AND
RESULTS.
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How to take a Diagnosis Approach to HRM
• External Environmental Influences
 government law and regulations
the union
economic conditions
competitiveness
composition and diversity of the labor force
Geographic location of the organization
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How to take a Diagnosis Approach to HRM
(con’t)
• Internal Environmental Influences
 Strategy
 Goal
 Organization culture
 Nature of task
 Work group
 Leader’s style and experiences
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Strategy Formulation
External
Analysis
- opportunities
- threats
Mission
- reason for
being
Goals
Strategic
Choice
- what it
hopes to
achieve
- ways to
fulfill goals
and mission
Internal
Analysis
- strengths
- weaknesses
HR Input
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Brosh
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Strategy Implementation (con’t)
HR Practices
Strategic
Choice
HR Needs
- skills
- behaviors
- culture
- recruitment
- training
- performance
management
- labor relations
- HR planning
- job analysis
- job design
- selection
- development
- pay structure
- incentives
- benefits
HR
Capability
HR Actions
- skills
- abilities
- knowledge
- behaviors
- results
Emergent
Strategies
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Brosh
Firm
Performance
- productivity
- quality
- profitability
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Levels of Strategic Planning
• Strategic planning – development and implementation of company’s
strategy (long-term plan to balance strengths, weaknesses,
opportunities, threats)
• Levels
– Corporate – identify portfolio of businesses comprising
organization and relationships among them
– Business – identify how managers will build and
strengthen business’s long-term competitive position in
market
– Functional – identify basic courses of action that each
department will pursue during goal attainment
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Strategic HRM: An Important Key to
Success
Level
Employee
Rewards
selection/placem (pay/benefits)
ent
Appraisal
Development
Strategic
(long term)
-Specify the
characteristic of
people needed to
run business over
long term
-Examine labor
force trends
-Analyze
immigration flows
into the country
-Determine the
level and type of
performance that
are crucial to the
grow of the
company
- Develop
equitable criteria
-Link appraisal to
long term obj.
-Plan
development
experiences for
staff
- Plan
development
program with
flexibility
necessary to
adjust to change
-Establish reward
program that is
competitive
- Establish reward
system that is
linked to strategic
goals
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Strategic HRM: An Important Key to
Success (con’t)
Level
Employee
Rewards
selection/placem (pay/benefits)
ent
Appraisal
Development
Managerial
Medium
term)
-Make longitudinal
validation of
selection criteria
-Develop
recruitment
marketing plan
- Develop approach
to build labor
resource pool
-Validate systems
that relate
current
conditions and
future needs
-Establish
assessment
centers for
development
-Use annual or
more frequent
appraisal systems
-Establish general
management
development
program
-Provide for
organizational
development
- Encourage selfdevelopment
-Set up 5 years
compensation
progression plans
for individuals
-Set up cafeteriatype benefits menu
- Set up retirement
packages
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Strategic HRM: An Important Key to
Success (con’t)
Level
Employee
Rewards
selection/placem (pay/benefits)
ent
Appraisal
Development
Operational
(short term)
-Prepare staffing
plans
-Prepare
recruitment plans
-Review
performance of
workers daily
-Use annual or
more frequent
appraisal system
- Use day-to-day
performance
review systems
-Use specific jobskill training
-Use specific jobskill training
-Use on the job
training
- Use web-based
training on a
24/7 basis
-Administer wage
and salary program
-Administer wage
and salary program
-Administer
benefits packages
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Strategic Challenges Facing HRM
• Technology
growth in knowledge needs
shift in human competencies
global market connection
business mainstreaming
rapid response
quick innovation
quality improvement
industrial revolution
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Strategic Challenges Facing HRM (con’t)
•
•
•
•
Diversity: Building a Competitive Workforce
Caliber of the workforce
Organizational restructuring and downsizing
Contingent worker
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People and the HRM Diagnostic
Framework
•
•
•
•
Abilities of employees
Employees’ attitude and preferences
Motivation of employees
Personality of employees
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Desired End Results
• Socially responsible and ethical practices
• Competitive, high quality product/s
• Competitive, high quality service/s
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Group work
• Read Application Case 2-1: (page 63-64)
“Best Buy’s Approach to Outsourcing”
and then answer the following questions:
1.
2.
3.
What does the case write about or tell you about?
How does this case contribute to your career development?
What is your concluding remark from this case?
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