View
2.022
Download
7
Category
Tags:
Preview:
DESCRIPTION
fgchghujibjrf
Citation preview
By
Prof Amaresh C Nayak
• “strategy is the pattern of objectives, purposes or
goals and major policies and plans for achieving these
goals, stated in such a way as to define what business
the company is in or is to be in and the kind of
company it is or is to be”
• “strategy is the determination of basic long – term
Asst. Prof. Amaresh C Nayak
• “strategy is the determination of basic long – term
goals and objectives of an enterprise, and the
adoption of courses of action and the allocation of
resources necessary for carrying out these goals”.
• “strategy is the determination of organizational
objectives in the light of environmental variables and
determination of course of action and commitment of
organizational resources to achieve these objectives.”
• This definition of strategy provides its following
features :
– strategy relates the firm to its environment
– strategy is the right combination of factors both
external and internal
Asst. Prof. Amaresh C Nayak
external and internal
– strategy is a relative combination of actions
– strategy may even involve contradictory action
– strategy is forward looking
• Strategy
– is the direction and scope of an organization over
the long term,
– which achieves advantage in a changing
environment
Asst. Prof. Amaresh C Nayak
environment
– through its configuration of resources and
competences
– with the aim of fulfilling stakeholder expectations.
• Strategic management is the process of:
– specifying an organization's objectives,
– developing policies and plans to achieve these
objectives, and
– allocating resources so as to implement the plans.
Asst. Prof. Amaresh C Nayak
– allocating resources so as to implement the plans.
• Philosophy
– Integrating human resource management
strategies and systems to achieve overall mission,
strategies, and success of the firm while meeting
needs of employees and other stakeholders.
Asst. Prof. Amaresh C Nayak
needs of employees and other stakeholders.
• Concepts
– linked to the strategic needs of an organization
– to provide it with an effective workforce while
meeting the needs of its members and other
constituents
Asst. Prof. Amaresh C Nayak
constituents
– human resource department’s methods,
procedures, systems to achieve specific strategies.
• Concept –
– involves all management decisions and practices
that directly affect or influence the people, or
human resources, who work for the organization
– a concern with the ways in which HRM is crucial to
Asst. Prof. Amaresh C Nayak
– a concern with the ways in which HRM is crucial to
organizational effectiveness.
– the management of employees at all levels in the
business, directed towards sustaining competitive
advantage.
• Concept –
– Increasing awareness of the importance of linking
the organization’s human resource practices to
strategy that leads to greater performance
• Definition -
Asst. Prof. Amaresh C Nayak
• Definition -
– “SHRM centers on how organizations can improve
their competitive performance by considering and
utilizing their human resource more effectively.”
• Definition –
– “The pattern of planned human resource
deployments and activities intended to enable the
firm to achieve its goals.”
• focus on a firm’s human resources
Asst. Prof. Amaresh C Nayak
• focus on a firm’s human resources
• the concept of activities highlights HR programs, policies and practices
• the “pattern” and” plan” describe the goal and process of strategy
• Definition –
– SHRM is generally perceived as a distinctive
approach to managing people which seeks to
achieve competitive advantage through the
strategic development of a highly committed and
Asst. Prof. Amaresh C Nayak
strategic development of a highly committed and
capable workforce (s555).
• Definition –
– Strategic Human Resource Management claimed
that
• human resource problems are problems solved by linking HRM and strategy formulation at an early stage
Asst. Prof. Amaresh C Nayak
HRM and strategy formulation at an early stage
• problems with strategy implementation are solved by early adjustment of the HRM to these strategies (299).
• Definition –
– strategic utilization of human resources means
• Management is active, not reactive
• There is high integration between policies
• An orchestration role is played by senior management
Asst. Prof. Amaresh C Nayak
• An orchestration role is played by senior management
• and there is articulation of policies by senior management
• Essential elements of SHRM:
– Internally transforming HR staff and structure:
• Transforming HR staff
• Transforming the organizational structure
– Enhancing administrative efficiency:
Asst. Prof. Amaresh C Nayak
– Enhancing administrative efficiency:
• HR staff is to be “administrative experts”
• Improving administrative efficiency
• Enhancing Administrative efficiency
• Creation of Value
• Essential elements of SHRM:
– Integrating HR into the strategic planning process
– Linking HR practices to business strategy and to
one another
• Vertical fit
Asst. Prof. Amaresh C Nayak
• Vertical fit
• Horizontal fit
• External fit
• Resource Flexibility
• Coordination flexibility
•
• Essential elements of SHRM:
• Developing a partnership with line
management:
– Step 1. Provide the business with good human
Asst. Prof. Amaresh C Nayak
– Step 1. Provide the business with good human
resource databases
– Step 2. Alter the senior management role when it
comes to human resource management
– Step 3. The line organization must alter its incentive
and control
• Essential elements of SHRM:
– Focusing on the bottom-line impact of HR and
measurement of that impact:
• Customer/stake holder
• HR impact
Asst. Prof. Amaresh C Nayak
• HR impact
• Money value of HR programs
• Benchmarking HR practices
• SHRM focuses to gain competitive advantage
• SHRM practice is coupled with business
strategy
• SHRM elevates micro level (individual
Asst. Prof. Amaresh C Nayak
• SHRM elevates micro level (individual
personal level) to the macro level (business
strategy level)
• SHRM takes global business and social trends
• SHRM analyzes human resources against
current and future business strategies
• SHRM is intended to assist management in
the best use of internal labor market
Asst. Prof. Amaresh C Nayak
the best use of internal labor market
• SHRM includes organizational analysis and
design
• Benchmarking against successful internal and
external organizations
• SHRM is part of the business plan.
• The strategic HR considerations are
– Is the organizational culture supporting the long-
term business strategy?
Asst. Prof. Amaresh C Nayak
– Is the organization’s structure consistent with the
business strategy?
– Is management’s executive staffing adequate? Are
skills adequate?
– Are the management-performance systems
properly focused?
• Human Resource Strategy plays a vital role in
the achievement of an organisation's overall
strategic objectives
• Human resources strategy fully understands
Asst. Prof. Amaresh C Nayak
• Human resources strategy fully understands
and supports the direction in which the
organisation is moving
• HR Strategy also supports other strategic
objectives of marketing, financial, operational
and technology departments.
• An HR strategy should aim to capture "the
people element" of an organisation
– it has the right people in place
– it has the right mix of skills
Asst. Prof. Amaresh C Nayak
– employees display the right attitudes and
behaviours, and
– employees are developed in the right way.
• HR strategy may be more about teasing
"people" content and adds value to
organisation
– articulates more clearly some of the common
themes which lie behind the achievement of other
Asst. Prof. Amaresh C Nayak
themes which lie behind the achievement of other
plans and strategies
– identifies fundamental underlying issues which
must be addressed by business if its people are to
be motivated, committed and operate effectively.
• The areas will entail
– a careful consideration of existing or developing
plans and strategies
– identifying which of these plans and strategies are
so fundamental
Asst. Prof. Amaresh C Nayak
so fundamental
• The areas will include
– workforce planning issues
– succession planning
– workforce skills plans
Asst. Prof. Amaresh C Nayak
– employment equity plans
– black economic empowerment initiatives
– motivation and fair treatment issues
– pay levels designed to recruit, retain and motivate
people
• The areas will include
– the co-ordination of approaches to pay and grading
across the organisation to create alignment and
potential unequal pay claims
– a grading and remuneration system which is seen
Asst. Prof. Amaresh C Nayak
– a grading and remuneration system which is seen
as fair and giving proper reward for contributions
made
– wider employment issues which impact on staff
recruitment, retention, motivation etc.
• The areas will include
– a consistent performance management framework
which is designed to meet the needs of the
organisation
– career development frameworks which look at
Asst. Prof. Amaresh C Nayak
– career development frameworks which look at
development within the organisation at equipping
employees with "employability“
– policies and frameworks to ensure that people
development issues are addressed systematically
• The HR strategy will need careful planning of
the people issues
• HR strategy can add Value
– changes in the overall employment market
Asst. Prof. Amaresh C Nayak
– changes in the overall employment market
– cultural changes which will impact on future
employment patterns
– changes in the employee relations climate
– changes in the legal framework
– HR and employment practice being developed in
other organisations
• Opportunities for development of HR Strategy
– a major new internal initiative could present the
right opportunity to push for an accompanying HR
strategy
• restructuring exercise, a corporate acquisition, joint
Asst. Prof. Amaresh C Nayak
• restructuring exercise, a corporate acquisition, joint venture or merger exercise.
– a new externally generated initiative for HR strategy
– "Right moment“
Asst. Prof. Amaresh C Nayak
Recommended