Evolution of Strategic Human Resource Management

 Evolution of Strategic Human Resource Management

Introduction

Highly competitive global business market challenge stability and survival of organisation. to find a stable footing in this competitive market organisation must possess best material, best process and most of all distinguished work force. Recruiting best people to complete task is not enough, organisation must have proficient and driven work force to achieve corporate objectives. Human resource management is the driving force of an organisation.

Human resource management focus on two main components.

• Recruitment

• Performance

Other features fall in to above two categories. Human resource management can even describe as set o interrelated procedures use to manage people, which emphasis the employee relations and basically handle personal, welfare and industrial relations in an organisation.

Modern management practices always try to incorporate standards and strategies to all business functions to achieve high production rate (Zehir, C., Karaboga, T. and Kole, M 2016).

Volatile nature of present market makes organisations to implement reactive strategies which waste both resources and time due to its short-term nature. Strategic Human resource management aid organisation to be prepared to face many business challenges proactively, which helps the organisation to be influential in the industry rather than responding to the situation. Business strategies helps to achieve long term effects on success of an organisation (Chow, I.H, Teo, S.T, and Chew, I 2013).

Strategic HRM try to provide competitive advantage to the organisation by using its human resource force. Instead of coming up with different new set of procedures Strategic human Resource management mainly focus on managing people most effectively to achieve corporate goals (Bal, Y., Bozkurt, S., and Ertemsir, E. 2013).

Bellow table emphasis the difference between Human resource management and Strategic Human resource management.

Feature	Human resource management	Strategic Human resource management
Job Role	Managing work force	Incorporating organisation strategy with Human resource policies and achieve corporate goals
Responsible party	Staff Specialists	Direct supervisor and Human resource manager
Emphasis	Work force relations	Relations with both internal work force and external customer base.
Human Resource responsibility	Transactional change follower and beneficiary.	Transformational change leader and change initiator.
Initiatives	Slow, reactive, fragmented	Fast, Proactive, Integrated
Timeline	Short term	Short term, Medium, and Long term
Control	Bureaucratic Roles, policies, and procedures.	Organic and flexible
Job Division	Strong division of labor and independence specialization	Broad, Flexible, cross-training teams
Investments	Capital, Products	People, Knowledge
Accountability	Cost Center	Investment Center

To understand the strategic value of the Human resource management, Human resource management should incorporate strategic orientation to administrative or operational policies and procedures (Ulrich, 1997).

According to several studies and research conduct on Strategic Human resource management to understand the Strategic Human resource management influence on employee performance and enhance competitive advantage and highlighted bellow facts:

• Strategic Human resource management process can enhance employee skills and can develop competencies according to their job description, Which can create efficient and motivated work force (Patterson, M.G, West, M.A, Lawthorm, R and Nickell, S 1997)

• Work force performance can be evaluated both quantitively and qualitatively with measurable goals. Incentives also encourage work force to enhance their performance (Verbeeten,2008).Furthermore when employee understand organisation goal , and how their own performance contribute to achieving corporate goals, they exhibit their dedication and motivated to performance better(Harvard Business School, 2006).

References

1. Bal, Y., Bozkurt, S and Ertemsir, E (2013) ‘A study on determining the relationship between strategic human resources practices and innovation in organizations’, International conference, Croatia

2. Barney, J (1991) ‘Firm resources and sustained competitive advantage’, Journal of management, Vol. 17(1), pg 99 – 120

3. Biswas, S.K and Gautam, A (2017) ‘Strategic human resources management and employee performance: 

4. a study of selected Indian power sector PSUS’ KAAV International Journal of economics, Commerce and Business management, Vol. 4 pg 21 -29, ISSN:2348-4969

5. Chow, I.H, Teo, S.T and Chew, I.K (2013) ‘HRM Systems and firm performance: the mediation role of strategic orientation’, Asia pacific Journal of management, Vol. 30 pg 53 – 72

6. Patterson, M.G, West, M.A, Lawthorm, R and Nickell, S (1997) ‘Impact of people management practices on performance’, London Institute of personnel and development

7. Richard, O.C and Johnson, N.B (2001) ‘Strategic HRM effectiveness and firm performance’, International Journal of Human Resources Management, Vol. 12(2) PG 299-310

8. Zehir, C., Gurol, Y., Karaboga, T. and Kole, M (2016) ‘Strategic human resource management and firm performance: The mediation role of entrepreneurial orientation’, International strategic management