Benefits of Gender Balance in the Workplace

Human Resources
management (online
exam)

Question 1
Resource-based HRM – This is known as a paradigm shift that focuses upon the internal
organization. This does not includes only managing the internal resources of the organization but
also evaluating performance in external context. The resource based view is defined as model in
which resources are known as the key concept for business performance. When resources are
exhibiting VRIO attributes, resources enable that firm are gaining and sustaining competitive
advantage. This approach is helpful in achieving competitive advantage. This approach was
initiated in the year 1980. The resource based view relied on tangible and intangible resources.
There are several RBV proponents and these are feasible for exploiting external opportunities by
using present resources. RBV human resource management is associated with sustained
competitive advantage which can be achieved in easier way. It enhances the human resource
mobility for greater opportunities. There are various challenges faced by HRM and they have to
be tackled effectively. The competitiveness of firm depends upon HR manager intervention for
retaining talent and attracting new employees.
Behavioral HRM - The behavioral perspective of HRM is defined as a theory that helps in
differentiating various strategies to maintain effective HRM. The behavioral HRM helps an
organization to manage employees. There is a broad ray of consequences which are followed
from approaches of handling staff. Behaviors are defined as recurring action of staff as they are
interacting with role partners for attaining outcomes. According to the behavioral perspective of
HRM, it can be concluded that different strategies need various roles from employees that have
to be implemented properly. As per the behavioral perspective of HRM, employee’s behavior is
the major determinant of organizational effectiveness. Stakeholders are defined as the most
essential role partners of organization. The different type of behaviors of people recognized
within an organization are economic conditions, competitors, industry dynamics, etc. there is
desirability of some particular behaviors which are influenced by different contextual factors.
Internal contextual factors are life cycle stage, size, competitive strategy, history and structure.
External contextual factors are influence of desirability of some particular behaviors.
Political-influence perspectives of human resource management - The political environment
is any organization is having direct impact on the political context or climate in which the human

resource functions get affected. Some of the key drivers which enhances the political climate are
external and internal regulations, labor and case laws, nature of work contracts, etc. There are
several changes which are brought by shift in political climate and these are mentioned below –
 It increases human resource mobility among companies and renders commitment and
loyalty.
 It initiates shift from performance management to talent management for helping staff
core skills for betterment of the company.
 It increases the importance of individualism over collectivism by resulting in negotiations
and contracts opposed to trade unions and collective bargaining.
Question 2
Using relevant theory such as the external market oriented approach to strategic HRM (including
vertical and horizontal fit), explain how organisations can use HR strategy to manage the impacts
of business directional strategies (such as concentration, internal growth and decline) relating to
the management of their people.
Strategic human resource management refers to the process of identifying and executing
the company mission and vision by matching appropriately with the capabilities and demand of
its environment. Market orientation approach is the approach in which organisation looks at the
market and its target market first. It is done before any sale and production activity takes place. It
is done with the approach that what potential customers want from business organisation.
Marketing orientation usually focus on the values, beliefs and internal behaviours of the
satisfaction of customer needs. External marketing oriented approach was found to influence
market as well as financial performance. Dyer and Shafer has adopted a perspective of the
concept of alignment of Human resources strategies. These fit are vertical and horizontal fit.
These are discussed below:
Vertical fit: Vertical fit defines the functional and Hr strategies in terms of capability of
functional strategy to contribute to strategic advantage of the business. Strategic human
resources management focuses on the alignment of marketing management with alongside its
corporate and business strategies. Strategic financial management focus on financial
management of the company to gain strategic advantage. Vertical fit is the degree of alignment
between components of firms HR strategy and core features of business strategy. It is based on
the alignment of human resource management ad their strategies at the top level process of