Strategic Human Resource Management

This report discusses the importance of strategic human resource management in achieving organizational goals. It covers the impact of organizational structure, culture, government legislation, and models of strategic HRM on HRM strategies. It also explains the key elements and factors to consider when preparing HRM strategies. The chosen organization is EasiClean plc, a multinational manufacturing organization that deals in soaps and detergents.

Strategic human
resource management

Table of Contents
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
Effect of the organisational structure and culture on human resource management strategies4
Importance of financial resources to develop human resource management strategy...........5
Factors that affect human resource management ..................................................................6
TASK 2............................................................................................................................................6
Impact of government legislation on HRM strategies............................................................6
TASK 3............................................................................................................................................7
Models of strategic HRM.......................................................................................................7
Explain how HRM contributes in attaining organisation’s strategic plans............................8
M1 Models of preparing strategic HRM plans.......................................................................9
TASK4 ..........................................................................................................................................10
Factors to be considered when preparing HRM strategies...................................................10
Key elements of a human resource management strategy....................................................11
M1 Internal and external factors impact HRM strategies....................................................12
D1 Model used by an organisation in the development of its HR strategy..........................12
TASK5 ..........................................................................................................................................12
Develop a strategic human resource management strategy..................................................12
Proposed HRM strategy will support achievement of the business objectives ...................13
D1 Potential barriers to the implementation of a human resource management strategy....14
CONCLUSION .............................................................................................................................14
REFERENCE.................................................................................................................................15

INTRODUCTION
Strategic human resource management is defined a framework which is linked with
people management as well as development practices for the purpose of attaining long-term
goals and objectives of an organisation. It is the process of proactive process of managing
employees of organisation and includes various activities such as attracting, developing,
rewarding as well as retaining skilled and potential employees with organisation. In this report
chosen organisation is EasiClean plc which is multinational manufacturing organisation deals in
soaps and detergent. Respective organisation has been in existence for almost 100 years.
EasiClean plc diversify its product range through provide paper based products like tissues and
baby wipes and organisation operates in 15 countries. This report covers affect of organisational
structure and culture on HRM strategies and importance of financial resources in development of
HRM strategy. Impacts of government legislations on HRM strategies, different models of
strategic HRM and how HRM contributes in achievement of business strategic plan are
mentioned. Along with that internal and external factors that impacts on HRM strategies and
development of HRM strategy are explained in this project report.
TASK 1
Effect of the organisational structure and culture on human resource management strategies
Organisational structure: Organisational structure is defined as the framework of an
organisation that that outlines certain activities which directed business to attain determined
goals and objectives in efficient manner. These activities are related to roles and responsibilities.
Organisation structure is related to how information slows among various department of
organisation. Business uses structure according to activities and size of organisation (Stokes and
et. al., 2019). EasiClean plc implements decentralised business structure in which decision-
making power is distributed among various level of organisation. Impacts of organisational
structure on HRM strategies are mentioned below:
 EasiClean plc adopts decentralised business structure through which organisation provide
right to all department to take decisions according to requirement that enhance employees
engagement, their performance, productivity as well as helps to make quick decisions. It
helps HR manager to manage employees in efficient manner and develop effective HRM
strategies that enable business to employees in right direction.

 In decentralised business structure, each and every department take their decisions that
create conflicts among organisation and impacts overall performance and productivity in
negative manner.
Organisational culture: Organisational culture is defined as the collection of various
values, expectations as well as practices which guide as well as inform action of all team
members. Business culture is defined a proper way to behave within organisation. It is related to
shared beliefs and values that are developed by the leaders. EasiClean plc maintain strong,
supportive and hierarchical culture in organisation and promotes team spirit, effective working
conditions and clear communication that retain employees within organisation (Haque, 2020)
(Boxall, 2018). Affects of organisational culture are mentioned below:
 Organisational culture plays important role in developing HRM strategy because it
provides effective working environment to employees that improves their working
performance. Clear communication facilitates organisation to influence employees and
enhance their contribution towards attaining defined goals and objectives.
 If organisation culture is not supportive than it affect HRM strategies as well as
performance of employees.
Importance of financial resources to develop human resource management strategy
Financial resources play important role in developing human resource management
strategies because at every stage manager requires finance to create planning and manage all
activities in efficient manner. Importance of financial resources in HRM strategy are mentioned
below:
Get better access to finance: Financial resources are important for developing HRM
strategies and allocate requires finance in all activities that helps business to manage employees
and lead them in right direction for attaining determined goals and objectives in efficient manner
(Colakoglu and et. al., 2019). EasiClean plc ensure that all financial resources are allocated to all
department and activities that enable to perform in efficient manner.
Improve weak areas and manage risks: EasiClean plc HR managers analyse weak areas
of department before developing strategy. Sufficient financial resources facilitates business to
improve weak areas through investing them and manage risk factors that enhances performance
of organisation.

Recruitment and selection planning: Financial resources plays important role in
providing budget for HR functions such as recruitment and selection, providing rewards and
other facilitates that helps business to find suitable employees and retain them with organisation
for longer period of time.
Factors that affect human resource management
There are various factors that impacts performance and functionality of human resource
management. These factors are related to internal and external environment that impacts business
HRM practices and strategies in positive as well as negative manner. EasiClean plc organisation
analyse these factors and develop effective strategies that help business to run business
operations in right direction. In external factors government regulations, economic conditions,
technological advancements and workforce demographics are included that impacts decision-
making and planning of HRM department (Kaufman and et. al., 2021). Apart from that
availability of good talent, working environment, training and development, organisational
policies and structure are the factors that affect organisation HRM policies. Respective
organisation consider all these factors in the process of creating human resource management
plan.
TASK 2
Impact of government legislation on HRM strategies
It is important for EasiClean plc maintain and follow certain laws and regulatory
framework that help business to attain determined goals and objectives in efficient manner. Some
government legislations and their impacts on business HRM strategy are mentioned below:
Equality Act 2010: EasiClean plc is the multinational organisation that adopts anti-
discrimination laws and practices in organisation that ensures fair treatment as well as equality of
work among all irrespective employees without discriminating them on the bases of their race,
gender, disability, age and nationality. It affect HRM strategy because respective organisation
must develop policies which provides equal rights to its employees.
Employment Act 2008: Employment law is related to provide structured payment,
policies as well as entitled benefits to employees who working in an organisation. EasiClean plc
organisation provides standardised pay, child care leaves, insurance, working time flexibility as
well as ensures employees safety and security at workplace. It impacts organisational HRM

strategy in because all these aspects are included by HR managers in policies and strategies that
maintains strong relation with employees and improve their working performance.
Data protection Act 1998: Data Protection act is related to maintaining privacy of
employees trade and personal information. EasiClean plc ensure that confidentiality of
employees personal information is maintained that helps business to create trust of employees.
Organisation do not disclosed any employee information that protect them from any misconduct
which is treated as offence with consent or authoritative rights (Boon and et. al., 2018).
EasiClean plc analyse these legislation that are introduced by the government properly
and consider than in the process of develop strategies related to human resource management. It
helps business to run organisational operations in right direction and attain determined goals and
objectives in efficient manner.
TASK 3
Models of strategic HRM
There are various models of strategic human resource management are used by the
organisation that help business to perform HR operations in efficient manner. EasiClean plc
implements these models to maintain develop effective strategies related to HRM and maintain
efficient relationship with employees. Some of strategic HRM model are mentioned below:
The Fombrun Model: This model of strategic HRM is adopted by organisation which is
related to manage organisational HR system as well as organisational structure in a way that is
congruent with defined business strategy. Main concentration of this model is on four functions
of HRM such as selection, appraisal, rewards and development of inter relatedness (Sokolov and
Zavyalova, 2018). This model serves as a heuristic framework for the purpose of explaining
nature and importance of key HR activities (Models of strategic HRM, 2021).
The Harvard Model: This model is a comprehensive model that comprises six critical
components of HRM such as stakeholders, situational factors, interest, HR outcomes, HRM
policy choices, feedback loop through and long-term consequences. EasiClean plc adopt this
model that helps business to understand these factors and develop HR policies accordingly.
Situations factors influence HR strategy choice of management and HRM policy choice
emphasize on management's decisions and actions that are related to human resource
management.

The Guest Model: This model states that human resource manager of organisation has
some specific strategies regarding how to begin with, which demand certain practices, when they
executed as well as results are gained. These outcomes are related to their behaviour,
performance and financials. Guest model is concentrates on six logical components such as HR
strategy, HR outcomes, HR practices, performance outcomes, behaviour outcomes and financial
outcomes (Lopez-Cabrales and Valle-Cabrera, 2020). EasiClean plc use this model in
organisation because financial results are depends on employee performance and behaviour
outcome are the results of employee commitment, quality as well as flexibility that impacts
business HR practices.
Explain how HRM contributes in attaining organisation’s strategic plans
Human resource professional perform various roles and responsibilities in organisation
that helps business to attain determined goals and objectives in efficient manner. HRM
department is liable for creating strategies that are concentrates on recruiting as well as retaining
skilled and experiences employees in organisation that improve organisational performance and
productivity (Njoku and et. al., 2019). Some roles of HRM department that helps business to
attain goals are mentioned below:
Training and development: HRM department develop training and development
programmes that strengthen quality of work with organisation. EasiClean plc HR managers
provides training to employees that improve their skills that improve their performance and
enable to achieve defined business results (Role of HR in Achieving Business Goals, 2021).
Project management: Project management is defined as the critical tool for organisation
to achieve determined strategic goals and plans. EasiClean plc organisation's HR department
involved in managing projects that are conducting in organisation helps business to remain
organised through outlining project goals, accessing cost and risk that are associated with
project.
Compliance management: HRM department of organisation manage labour relation and
resolve dispute of employees that maintains strong relationship with than and improve their
working performance (Hauff, 2021). EasiClean plc organisation compiled all government
regulations related to wages, equal opportunities requirements and labour that helps business to
avoid lawsuits and liabilities. It ensures that respected organisation accomplish all determined
goals and objectives in efficient manner.

Cost and quality control: HRM department facilitates business to conserve costs in the
process of developing compensation packages, employee assistance programs and benefits.
EasiClean plc organisation's HR department are responsible for controlling quality and cost of
products that directly contributes in successfully attainment business goals and objectives.
M1 Models of preparing strategic HRM plans
There are various models are used by the EasiClean plc to prepare its strategic human
resource plans. Respective organisation uses organisational strategic content models, functional
strategic HRM content model, functional SHRM process as well as organisational strategic HRM
model that facilitates business to develop planning for its functional area, operational area and
other that enable business to attain determined goals and objectives in efficient manner (Analoui,
2017). It helps business to manage employees efforts and lead them in right direction so they can
contribute in business success.
TASK4
Factors to be considered when preparing HRM strategies
There are various factors that are considered by the organisation in the process of
developing human resource management strategies. These factors strengthen planning and lead
business helps department to handle employees in efficient manner. Some factors are mentioned
below:
Employment: HRM strategies are getting affected by the employment situations in
specific location. EasiClean plc organisation consider employment conditions in HRM strategy
and take decisions accordingly that help business appoint skilled and capable employees.
Organisation decides skills, capabilities and competencies of employee that helps business to
attain determined goals and objectives in efficient manner.
Economic factors: It is the most important factor which must be considered by the HR
manager in the process of creating HRM strategy. It is relates to accessing the available money
for providing salary to employees, training and other facilities. It helps business to prepare HRM
strategies in efficient manner and retain skilled employees with organisation for longer period of
time.
Technological and legal factors: There are regular changes are happened in technologies
and organisation requires new skills requirements so, organisation need to become aware

regarding proficiency and training needs in the process of planning HRM strategy (Sareen, 2018)
. EasiClean plc going to extant its product line than it is essential for organisation to recruit
highly skilled employees and provide training to existing employees to meet the requirement.
Key elements of a human resource management strategy
Key elements of EasiClean plc organisation's HRM strategy are mentioned below:
HR framework: The main objective of HRM is integrating all HR related programs and
policies through which business manage employees with defined framework of organisational
strategy. EasiClean plc develop set of practices, policies as well as code of conducts that help
business to converting business targets into people management goals. HR department of
respective organisation focuses on entry and exit procedure of employees, rewards and
disciplinary practices, legal compliance, growth and development management and strategic
initiatives (Core elements of human resource management system, 2021).
HR communication: Employee communication is the most important element of HRM
strategy that ensures smooth functioning of organisation's operations, improve organisational
productivity and maintains organisational culture. Open and free communication helps
EasiClean plc organisation's HR strategy to enhance well-functioning of HR team. Internal
communication helps business to maintain positive environment and improve morale of
employees.
Recruitment and selection: Recruitment and selection is the defined as the HR efforts to
find appropriate candidate who fulfill all requirements of job description as well as whose skills
and vision matches matches with the position for the organisation has advertised
(Bandyopadhyay and Srivastava, 2020). It is the most important element of HR strategy of
EasiClean plc organisation that help business appoint suitable employees who contribute in
attaining organisational determined goals and objectives in efficient manner.
Motivation and rewards: Motivation and rewards programs are the important part of
HRM strategy that help business to engage employees and improve their morale. Motivated
workforce is the strongest assets of organisation that enable it to attain success and revenue.
Motivation and rewards both are positive reinforcement tools that impacts on employees
behaviour and performance. EasiClean plc motivates employees through provide rewards,
incentives, benefits and other facilities that are included in organisation HRM strategy.

Leadership strategy and style: Leadership strategy as well as style are the important part
of HR strategy. It is important that employee see their managers and supervisor as a leader who
guide them to perform in right direction to attain determined goals and objectives in efficient
manner. EasiClean plc organisation ensures cultural sensitivity, flexibility in tactics, ability to
manage change, innovation, effective communication in organisation (VARDARLIER, 2020).
M1 Internal and external factors impact HRM strategies
There are various internal and external factors that affect HRM strategies of an
organisation in direct as well as indirect manner. EasiClean plc analyse these factors and develop
suitable strategy that enable business to gain competitive advantages. Internal factors are related
to corporate objectives, operations strategies, financial strategies and marketing strategies that
impacts organisational HRM strategies. Along with internal factors, there are some external
factors such as changes in market, technological changes, economic changes, political as well as
social changes that impacts business on human resource management strategies in positive and
negative manner. Organisation consider these factors and reduce their impacts on business
performance.
D1 Model used by an organisation in the development of its HR strategy
The Harward model is used by the organisation to develop HR strategies. Through this
model EasiClean plc concentrates on six factors such as situational factors, HRM policy choice,
stakeholders, HR outcomes, long-term consequences and feedback loop through. Respective
organisation adopts this model that helps business to understand these factors and develop HR
policies accordingly (Channa, Shah and Ghumro, 2019). Situations factors influence HR strategy
choice of management and HRM policy choice emphasize on management's decisions and
actions that are related to human resource management.
TASK5
Develop a strategic human resource management strategy
Human resource management strategy is defined as the organisational overall plan related
to human resources to mange them and enhance their contribution towards attaining business
goals and objectives in efficient manner. HRM strategies are the plans that guide employees to
perform in efficient manner. EasiClean plc organisation analyse organisational structure and
employees before developing HRM strategy. Respective organisation dealing in soaps and

detergent then it invest in technology to diversify its product range such as paper based products
like tissues and baby wipes. The strategic human resource management strategy which is adopted
by the organisation is mentioned below:
Training and development: Training and development is defined as the educational
activities within organisation which is uses by EasiClean plc to improve skills, capabilities and
competencies of employees through provide them clear instructions and information regarding to
how to perform specific task in better way. Training is the short-term reactive process for
operatives whereas development is the pro-active process that motivates employees and improve
their engagement as well as working performance (Sharma and Gursoy, 2018). Training and
development are the formal and ongoing efforts that are make by organisation to improve
performance and self-fulfilment of their employees through provide variety of educational and
practical programmes. Respective organisation provides official training to its employees
regarding latest technologies that are used in producing their tissues and baby wipes that
improves their efficiency and effectiveness. EasiClean plc also provides various development
opportunities to employees that enable them to attain career objectives and motivates them to
perform in more efficient manner.
Proposed HRM strategy will support achievement of the business objectives
EasiClean plc organisation adopts training and development human resource strategy
that helps business to achieve determined goals and objectives. Some benefits of respective
HRM strategy that help to accomplish business goals are mentioned below:
Tackle shortcomings: Training and development helps business to handle shortcomings
through provide related training that enable employee to improve their skills and capabilities that
enable them to perform defined task on time with great efficiency and effectiveness. EasiClean
plc conducts training and development programme that enable business to attain determined
goals and objectives in best possible manner.
Improve employee performance and productivity: Organisation reduce all shortcomings
and weaknesses through provide training to employees that directly improves their working
performance as well as productivity. Training improves new set of skills regarding usage of
technology that improves their productivity of new products and support business to attain
determined goals in efficient manner.

Enhance employee satisfaction: EasiClean plc provides training and development
opportunities to employees that enhances their satisfaction and engagement with business
operation and retain with organisation for longer period of time. It reduces the requirement of
hiring new employees that reduces organisational cost and help to accomplish determined goals
and objectives.
Self-driven: Employees are trained through provide appropriate training requires less
supervision as well as guidance. Training develops necessary skills and capabilities in employees
that enable them to address task independently that provide time to management to focus on
other important issues and it reduces the cost of supervision as well.
D1 Potential barriers to the implementation of a human resource management strategy
There are various barriers or challenges are faced by the organisation in the process of
executing HRM strategies such as managing changing business requirements related to talent and
skills to attain business goals and objectives in efficient manner. Along with that, increasing
quality of leadership and management, defining forward-looking workforce strategy, use of data
analytics in order to improve HR-related decisions as well as adopting foster innovation through
out the process. These are the issues that are faced by EasiClean plc in the process of
implementing strategy in organisation.
CONCLUSION
As per above report it can be concluded that strategic HRM is the connection between
organisational human resource and business strategies, goals and objectives. It facilitates
organisation to bring flexibility, innovation, develop appropriate organisational structure and
improve business performance that provides competitive advantages to organisation. Before
developing HRM strategies various factors are considered by the organisation that enable them
to develop efficient policies that lead business towards growth and success. It is essential for
organisation to follow all regulations that are development by the government to ensure smooth
functioning of business operations.

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ONLINE:
Models of strategic HRM. 2021 [Online] available
through :<https://theintactone.com/2020/01/19/models-of-strategic-hrm/>
Role of HR in Achieving Business Goals.2021 [Online] available
through :<https://smallbusiness.chron.com/role-hr-achieving-business-goals-1767.html>
Core elements of human resource management system.2021 [Online] available
through :<https://www.kpi.com/blog/2019/07/17/core-elements-of-human-resource-
management-system/>