Human Resource Strategies for Competitive Advantage in Knowledge-Based Organizations

Strategic Analysis 1
STRATEGIC ANALYSIS
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Strategic Analysis 2
Introduction
The local and global world today is a fast-paced economy. Competition is a matter of not only
products and services, but also directing attention to the best product and better services by
utilizing human resources. Organizations are viewed as a cohesive entity that finds better
directions to embrace ways of essentially carrying out their activities in response to its business
environment. According to Kumar and Pansari (2016), a resource must add value to the
organization, be non-substitutable and exceptional to be the basis for sustained competitive
advantage. This paper identifies the varied ways human resource strategies can give a
competitive advantage to the knowledge-based organization.
Rewards
Rewards send a powerful message to employees to the kind or organization management pursue
to create and the attitudes and behavior it seeks from them. Reward regarding financial and
otherwise can’t be wished away because it creates a condition where expectation or behaviors of
employee(s) are averted or about to be averted (Acquaah 2011). Rewards are intended to
motivate performance. Moreover, they must be well-timed and bound to effective performance to
be useful. Through rewards then there is a value creating strategy which results in a competitive
advantage.
Short-term training
Employee training should be a necessary cost in running of active businesses for competitive
advantage. Short-term training cost shouldn’t be withdrawn on top priority cost. Investing in
employee short-term training as denoted by Acquaah (2011) benefits companies, aid in rising

Strategic Analysis 3
return on investment, which in turn gives a competitive advantage to knowledge-based
companies. Short-term training provides a competitive edge in various ways. It aids in keeping
abreast of technology changes, leadership trends, customer service skills, marketing strategies
and globalization. To be competitive, businesses should have employees who can multitask in a
line that is multi-dimensional.
Workforce development
Currently, knowledge-based companies are competing in the global market. Additionally,
carrying out business in enormous business fields means gaining competitive advantage through
employee training as pointed out by Gerow, JE, Grover, Thatcher, and Roth (2014). Workforce
development comes out majorly through effective corporate training. It is carried out through a
structured approach by maintaining a training calendar for both existing and new personnel.
Workforce development is also attained through team contributions. Softwares are also
incorporated to address workforce challenges, e.g., managing workforce and time management.
Varied organizations have enabled workforce development through flexible work arrangements
whereby employees have options concerning when and where they carry out their tasks.
Leadership management
Success comes from good management which requires capable leaders. Managing leadership
entails strategic leadership capabilities which are some traits required in the 21st century for
organizations to accomplish competitive advantage. Iyer and Israel (2012) denote that, a
workforce in the knowledge-based organizations are cradles of organizations competitive
advantage hence should be nurtured and developed carefully. Leadership management should be
capable of quantifying and understanding pressures from the organization’s customers,