Strategic Human Resource Practices and Organizational Performance

Research Methods for Strategic
Managers
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Contents
CHAPTER-1 INTRODUCTION.....................................................................................................3
CHAPTER-2 REVIEW OF LITERATURE...................................................................................5
CHAPTER-3 RESEARCH METHODOLOGY............................................................................11
CHAPTER-4 DATA ANALYSIS, FINDING AND DISCUSSION............................................15
CHAPTER-5 CONCLUSION AND RECOMMENDATION......................................................33
REFERENCES..............................................................................................................................35
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Title- To investigate the strategic Human resource practices and its impact on the performance
towards organizational goals and achievement. A case study on M&S
CHAPTER-1 INTRODUCTION
Strategic human resource management is based on the practices of developing, retaining and
awarding the employee for advantage, benefits of both individual and organizational (Sadq and
et.al., 2020). It is one of the best practice that can support for identifying the result or outcome.
Human resource department is performed the strategic operation in which interact with staff
members in the workplace. In order to understand their specific goals and then create an effective
strategic plan which are completely aligned with different objectives. As a result, it will be
clearly represents the positive change that can be visible while complying with enterprise goals
as strategic human resource management practices.
Nowadays, Human resource management play an important role within organization by
setting the different policies or practices for business improvement. A Massive change on the
business trends of globalization which come as biggest challenges in context of human resource
management. That’s why, it is required to control or handle diversified an effective workforce. It
is consider as one of the important aspect of HRM in workplace, which provide better facilities
in the implementation to increase overall business profitability as well as profitability in global
marketplace (Al-Qudah, Obeidat and Shrouf, 2020). Over the past decades, different kind of
researcher have been conducted so as identified the effectiveness of strategic HRM practices that
can help to improve overall business of enterprise. Sometimes, it also relates with the effective
use of HR practice in the improvement for organizational performance while increasing
awareness among staff members. Afterwards, it turn into increase sales, profit of organization.
In this report, it will describe about the concept of strategic HRM practices that can provide
the advantage, benefits for organization. researcher will analysis to gather or collect information
regarding HRM practices, identifying its significant relationship with organizational
performance.
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1.1 Aim - To investigate the strategic Human resource practices and its impact on the
performance towards organizational goals and achievement.
1.2 Objective
 To evaluate the concept of Strategic human resource practices and its benefits, advantage
for organization.
 To determine the importance of Strategic Human resource practices within organizational
performance.
 To examine the different way to implement HRM practices in which lead to enhance
overall business performance.
 To identify the relationship between HRM practices and business performance.
1.3 Research questions
 What are meaning of Strategic human resource practices concept and identifying its
benefits, advantage for organization?
 What are the importance of Strategic Human resource practices within organizational
performance?
 What are different way to implement HRM practices in which lead to enhance overall
business performance?
 How can identify the relationship between HRM practices and business performance?
1.4 Rationale
The rationale of study is to examine the complexity and dynamism of today’s business world,
which has made the development of human resource practices by identifying its common
element. This study will provide the brief idea about strategic HRM practices and importance so
that investigator can acquire or gain insight view. Further analysis, investigator has been
established a coordination and interaction with different respondent to improve their
understanding towards organization. Research study have been carried out by investigator in
which represent that there is effective positive relationship with organizational performance as
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well as human resource management. Traditionally, researcher will spend a time on the
development of HR strategies that was regarded as an operating expenses.
1.5 Significance
As per conducting the research, investigator is basically identified the importance of strategic
HRM practices in context of entire organizational performance. It depend upon the current
situation of enterprise where HR manager can focus on change the business policies and
practices. That’s why, it can support for organization performance in term of growth and
development. The significance of this study is to identify the enhancement of employee’s skills,
commitment and efforts (Lockhart, Shahani and Bhanugopan, 2020). This can possible when
HRM change the current practices by using HR strategies. In turn influence employee
satisfaction and positive impact on the overall performance or organization. By using research
study, it become easier for investigator to gain more idea about strategic HRM practices and
implement, identifying accurate result or outcome.
CHAPTER-2 REVIEW OF LITERATURE
Theme: 1 Strategic HRM concept
According to Muafi (2019) Strategic HRM is based on the process or method that include
the significant use of overarching approaches for developing the HR strategies. These are
basically integrated with overall business activities in which define the plans relate to its overall
business performance. Sometimes, it is to be consider as organizational effectiveness and more
aspect in term of management such as learning, development, and reward and staff member
relationship. Strategic HRM practices are consider important aspects and applicable as action
and differentiate enterprises.
Uysal (2019) said that HRM practices have been justified their overall functions of
organization. in order to find itself in the current position of enterprise. Afterwards, it can
support for justifying the expenditure done on the staff members training programs or event. A
good compensation package will attract more employee to increase their performance within
organizational operations. But at certain level, companies are faced the financial difficulties in
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which cut down HR expenses. Afterwards, it can be implemented new concept as Strategic HRM
practices as innovation. It helps for identifying the role of human resource manager in the
business perspectives. Through this way, it gain more opportunity to exhibits its value of
enterprise. By using Strategic HRM practices, retailers are identified their potential employee
management while changing their perception towards HRM practise. It has been completed done
transformation which made to recognise their staff members. In order to gain greatest assets,
hence they should be controlled or managed in properly. Strategic HRM practices are completely
based on the assumption that if staff members are managed effectively in which define as
accurate HR policies or practices. Therefore, company would have hired the talented, skilled
person so that they can handle the organizational activities in proper manner. In another words,
Strategic HRM indicates that there must be created a link between business objective goals and
application of HR strategies in order to improve overall business performance. In reality basis,
companies have been adopted the HR practices and practices in which operates to achieve
organizational goal and objective. Moreover, it would be created as integration to manage
different HR functions such as training, selection, recruitment and reward packaging.
Strategic HRM practices are influenced the enterprise to change the current business
policies while increasing overall business production and sales in global marketplace. in most of
cases, it depend upon HRM practices that can provide better direction and achieve desirable
targets.
Theme: 2 organizational performance concept and benefits of Strategic HRM in business
performance
According to Al-Qudah, Obeidat and Shrouf (2020) it can define the performance as
behaviour, attitude and action which are relevant to the attainment of organization’s goals. It can
be scaled that will be measure. Moreover, the overall job performance is also define as what one
needs to do thing, what one should be paid to do. In this way, it become easier to define the
overall measurement option as giving the supervisor, peer and stimulated work as sample.
Organizational performance is consider one of the important aspect which extensively used as
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dependent variables in term of organizational studies. At that time, it has remained consider as
one of most imprecise and loosely-defined constructs. In some strategy literature, it is mainly
focused on the attention to handle or manage the entire financial performance of organization.
Conceptually, enterprise performance can be differentiated as value produced by enterprise with
manage or control value owner, expected to receive from organization.
Aklilu (2020) Author reveals that studies into strategic HRM performance within
organization to define the specific and precise meaning for performance construct. Some studies
have been used to measure or evaluate the overall firm’s performance such as customer or
employee satisfaction, executive’s perception about the entire organization’s performance.
Sometimes, different studies reference as various objective to measure for evaluating firm’s
performance. As a result, there is no common theory concerning the enterprise’s organizational
performance. For this reason, it has been indicated to utilise variables to measure the overall
performance for organization. Another way, it has been improved understanding towards the
concept of enterprise performance in which follows both behaviours and results. Afterwards, it
deals with the conclusion that can support for managing and controlling the performance both
input as well as output need to be considered.
The greatest benefit or advantage of strategic HRM is to improve the overall business
performance by integrating, aligning within overall business strategy. SHRM is consider as
competitive advantage gained by organization. in various enterprise field or area, it should
consider quality of processes which depend upon the stable HR system. Strategic HRM provide
the better training, reward performance and employee selection that can support for business to
improve the performance with effectively. Sometimes, it enabled to business server as potential
consumer best. Through this way, it become easier to utilise quality process which depend on the
employee satisfaction. Therefore, it directly affecting on the organization in term of performance
improvement.
Furthermore, strategic vision of HR in organization that can influence or inspire the
creation or evaluation for multiple policies. Moreover, reverse can also be true aspect, Strategic
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HRM can help to the enterprise while monitoring its current progress towards achieving its goal
and objective. A strategic plan has made by HRM to rely on the cooperation and also support of
staff members, individual department function within enterprise.
Theme: 3 Impact of Strategic HRM practices on the organizational performance
As per Al-Qudah, Obeidat and Shrouf (2020) recently, market situation or condition are
becoming volatile and posing continual competitive challenges, threats. In such environment,
companies are avail the opportunities by creating or sustaining its competitive advantage. In this
way, it can easily improve their business performance. Different organizations are increasingly
acknowledging their potential human resources, which are more capable to get sources to fulfil
all essential need or requirement. The primary impact of HRM practice in organization to
develop a trust on measuring different approaches. Author has been conducted the different
studies to show as positive and powerful impact of strategic HRM practices within
organizational performance. It is not only help for increasing the interest of enterprise in term of
performance but also recognise current situation or condition. HRM practices have a positive
impact on the overall productivity in the competitive market. Therefore, it emphasizes to
consider some assumption on the basis of fact. Staff members are consider as important assets of
enterprise in term performance. It is totally depending on the current speed, efficiency of
employee in organization.
Hamadamin and Atan (2019) Said that it is not completely sufficient to validate HRM by
proving its advantage, benefits to the enterprise. in fact, there are different stakeholder in
enterprise which has made an effective plan to target the economic performance and increasing
overall business performance. Financial performance of enterprise depends on the working
ability human resources. On the other hand, operational performance is consider as important
function of technology, people and process. It make as optimum use of process and modern
technology that are currently available. In fact, HRM can use modern technique to handle or
control complex business processes. These are directly contributed to the productivity as well as
profitability of enterprises. HRM practices have quality and positive influencer for staff members
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