Lecture-2 SHRM -New Approach to HRM1[1]

8/8/2019 Lecture-2 SHRM -New Approach to HRM1[1]

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1.1. THE CONCEPT OF SHRMTHE CONCEPT OF SHRM

2.2. HENDRY AND PETTIGRE`S TYPOLOGYHENDRY AND PETTIGRE`S TYPOLOGY

3.3. SHRMSHRM--A NEW APPROACHA NEW APPROACH

4.4. STRATEGIC FITSTRATEGIC FIT

5.5. STRATEGIC INTEGRATIONSTRATEGIC INTEGRATION

6.6. THE REQUIREMENTS OF SHRMTHE REQUIREMENTS OF SHRM

MBAMBA--SHRMSHRM

SHRM: NEW APPROACH TO HRMSHRM: NEW APPROACH TO HRM

LECTURELECTURE--22


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THE CONCEPT OF SHRMTHE CONCEPT OF SHRM

SHRM is an approach to making decisions on the

intentions of the organisation concerning people

essential components of the organisation`s business

strategy.

It is about the relationship between HRM and strategic

management in the organisation.

SHRM deals with `those HR activities used to support

the firms competitive strategy (Wright & Snell, 1989).

The Means of aligning the management of Human

Resources with the strategic content of the business

(Walker, 1992)


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HENDRY & PETTIGRE`S TYPOLOGYHENDRY & PETTIGRE`S TYPOLOGY

According to Hendry and Pettigrew (1986), SHRM has

four meanings:

1. The use of planning

2. A coherent approach to the designed management ofpersonnel systems based on an employment policy

and manpower strategy and often underpinned by a

philosophy.

3. Matching HRM activities and policies

4. Seeing the people of the organisation as a strategic

resource for the achievement of competitive

advantage.


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THE MAIN FEATURES OF SHMTHE MAIN FEATURES OF SHM

According to Dyer and Holder (1988):

Organisational level

Focus-strategies are business driven and focus on

organisational effectiveness, thus in this perspectivepeople are viewed as resources.

Framework: incorporate a full complement of HR goals

and activities.

Roles: strategy-making generally is the responsibilityof line managers, with personnel playing a suppotive

role.


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SHRMSHRM--NEW APPROACHNEW APPROACH

SHRM means Strategic Fit

SHRM means Strategic integration

SHRM means competitive advantage

SHRM means long term consequences

SHRM means deployment of committed,

dedicated and retainable workforce.

SHRM means distinctive capabilities


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STRATEGIC INTEGRATIONSTRATEGIC INTEGRATION

HR strategies should be integrated with

corporate or business strategies.

Strategic integration is necessary to provide

congruence between business and humanresource strategy so that the latter supports

the accomplishment of the former and indeed

helps to define it.

The aim is to provide strategic fit and

consistency between the policy goals of HRM

and the business.


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MODELS FOR SHRMMODELS FOR SHRM

THE HIGH COMMITMENT MANAGEMENT MODEL

THE HIGH PERFORMANCE MANAGEMENT MODEL

THE HIGH INVOLVEMENT MODEL


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THE HIGH COMMITMENT MANAGEMENT MODELTHE HIGH COMMITMENT MANAGEMENT MODEL

The approaches to achieving high commitment as

described by Beer et al (1984) and Walton (1985) are:

The development of career ladders and emphasis on

trainability and commitment as highly valued

characteristics of employees at all levels in the org.

High level of functional flexibility

The reduction of hierarchies

Mutual interest


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THE HIGH PERFORMANCE MANAGEMENT MODELTHE HIGH PERFORMANCE MANAGEMENT MODEL

HPMM aims to make an impact on the performance through itspeople in such areas as productivity, quality levels of customer

service, growth profits.

Careful and extensive systems for recruitment, selection and

training Clear job design

High-level participation processes

Monitoring attitudes

Performance appraisal

Promotion and compensation schemes


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THE HIGH INVOLVEMENT MODELTHE HIGH INVOLVEMENT MODEL

Treating employees as partners in the

enterprise.

Dialogue

Mutual understanding

Framework for managing and developing

people

Shared vision and corporate culture

Unified voice In matters


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THE REQUIREMENTS OF SHRMTHE REQUIREMENTS OF SHRM

Strong visionary, and often charismatic leadership

from the top.

Well articulated missions and values

Aclear expressed business strategy, which had been

implemented successfully.

A positive focus on well understood critical success

factors.

The organisation offers a closely related range of

products or services to customers.

Documents

Lecture-2 SHRM -New Approach to HRM1[1]