Strategic Human Resource Management

This document discusses the importance of strategic human resource management (HRM) in the context of Tesla. It explores the rationale for embedding HR strategies into broader corporate strategies, the methods through which HR strategies are embedded, and the HR challenges faced by Tesla. It also provides insights into how Tesla can implement its HR strategy at the departmental level.

STRATEGIC HUMAN RESOURCE MANAGEMENT

Table of Contents
Table of Contents..........................................................................................................................2
1.0 Introduction..............................................................................................................................3
2.0 Rationale of embedding HR strategies into broader corporate strategies....................4
3.0 Methods through which the HR strategy is embedded in the broader corporate
strategy...........................................................................................................................................5
4.0 Ways through which Tesla might implement their HR strategy at the departmental
level.................................................................................................................................................6
5.0 HR challenges faced by Tesla..............................................................................................7
6.0 Conclusion...............................................................................................................................8
References:....................................................................................................................................9
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1.0 Introduction
Human resource management (HRM) may be considered to be one of the most
successful critical aspects of business studies. Effective and efficient implementation of
human resource Management in an organisational context requires consideration of lots
of factors that are not only internal but also external to the business. The management
of every business, therefore, we need to keep in mind these points while implementing
strategies for the organisation (Saridakis, Lai & Cooper, 2017). The incident report deals
with a discussion of the implementation of search engine strategy in the context of
Tesla.
At the very outset of the study, the researcher provides a brief introduction to the topic
followed by the discussion on the theme of the research. In the main parts of the paper,
the researcher aims to answer four questions related to the strategy of HRM practices.
Firstly, the researcher provides a rationale for embedding HR strategies into broader
corporate strategies. Secondly, the research is aimed at evaluating the methods
through which the HR strategy is embedded in the broader corporate strategy. In
addition, the researcher analyses the ways through which Tesla might implement its HR
strategy at the departmental level. Finally, the HR challenges faced by Tesla have also
been concisely evaluated. In the last, the researcher wraps up the discussion by way of
concluding note.
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2.0 Rationale of embedding HR strategies into broader corporate strategies
It has been observed that contemporary HR strategies have become more focused in
terms of offering strategic value to drive the final outcomes. In the consideration of Park,
Jung & Lee (2019), the focus is quite less on ownership and control and more towards
comprehending and aligning people policies to its business objectives, empowering and
supporting employees to perform their best to get the desired outcomes. The present
HR strategies are designed to maintain a positive relationship with the employees,
which are the most important aspect to retain sustainability (L'Écuyer, Raymond, Fabi &
Uwizeyemungu, 2019, January).
This positive relationship also facilitates HR executives to have many clear perspectives
of organizational health, cultural shifts, turnover risks, etc. Based on which, they can
effective strategies can be framed aligning with the companies’ mission and goals to
address the identified risks. Moreover, Noe, Hollenbeck, Gerhart & Wright (2017)
mentioned that the HR strategies of the present time are designed effectively to
experience the benefits of cultural diversity. It has been identified that the majority of
organizations are adopting cultural diversity to expand their business operations into
other regions (L'Écuyer, Raymond, Fabi & Uwizeyemungu, 2019, January). Therefore,
the embedded HR strategies are designed efficiently to address employees’ cultural
gaps, understanding issues, negativities, etc. The employees are rather trained
persistently to accept the essence and spirits of other cultures and maintain a positive
environment by helping other employees in getting their job done (Jamali, El Dirani &
Harwood, 2015).
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3.0 Methods through which the HR strategy is embedded in the broader corporate
strategy
Information gathered from the relevant source reflects that both the corporate and HR
strategies of Tesla represent its values and customs that specifically defines its
employees’ decisions and behaviours (Marler & Parry, 2016). It has been recognized
that Tesla’s HR strategies tend to create opportunities for innovation that retains the
competitiveness of its electric car. The characteristics of Tesla’s HR methods and
organizational culture encourage its resources to form creative and new ideas with
supporting solutions. Hence, it can be stated that Tesla usually follows a participative
HR culture in which every employee is asked or allowed to participate in the decision-
making the process and provide the management with their creative inputs to maintain
the current competitive positioning in the global automobile chain (Noe, Hollenbeck,
Gerhart & Wright, 2017).
Additionally, L'Écuyer, Raymond, Fabi & Uwizeyemungu (2019, January) determined
that Tesla also has an efficient problem-solving culture that relatively motivates its
employees in developing profitable solutions in regards to the recent and emerging
issues in the target market. The HR team employs its organizational culture to develop
advanced electrical vehicles as a solution to the emerging environmental issues. For
example, Tesla’s 360 HR strategies contain 18 questions, which hardly take even three
minutes to complete the process (Lin, Sanders, Sun, Shipton & Mooi, 2016). This
process is also mobile-enabled that allows its employees to conduct survey anywhere.
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Hence, it can be stated that Tesla’s 360 strategies are effective and well designed to
match the brand’s aesthetic (Noe, Hollenbeck, Gerhart & Wright, 2017).
4.0 Ways through which Tesla might implement their HR strategy at the
departmental level
Tesla’s HR strategies are competent enough to meet its product developmental
requirements. This HR policy highlights the significance of workforce ability to quickly
respond to the existing trends and transformation in the global market. For example, the
brand’s human resources offer its employees with the ability to build up cutting-edge
product lines that enable to match or surpass those from contending automotive
companies ("About Tesla | Tesla", 2019).
Furthermore, Jamali, El Dirani & Harwood (2015) claimed that in the method of forming
cutting-edge products, Tesla needs to make sure that its HR policies encourage staff to
think out of the box. This HR characteristic identifies the significance of developing fresh
solutions and ideas, yet it also focuses on the advantages of considering
unconventional methods. This specifically helps both the marketing and the operation
unit. For instance, the human resource managers of Tesla train the employees move
beyond their predictable limits of creativity and productivity in automobile design,
leading to the formation of fresh solutions to transportation and energy requirements
(Lin, Sanders, Sun, Shipton & Mooi, 2016).
Simultaneously, the marketing team is helped to change their pattern of thinking in
terms of endorsements. The HR unit ensures that every marketing or endorsement
activity justify all the innovative and unique lines of its new products. This not only helps
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Tesla to retain its competitive positioning in the automotive market but also encourages
all departments to maintain alignment and steady engagements with each other.
5.0 HR challenges faced by Tesla
Tesla’s commitment towards disruption of carbon reliant automotive sector and Musk
electric cars has helped the company to exceed the market share of both General
Motors and Ford. However, the workers that share the manufacturing unit with their
robotic counterparts raised complaints regarding the excessive pressure that
characterized Tesla’s aggressive production goals (Wong, 2017). Further information
gathered from the similar source reflects that since 2014, ambulances at Tesla had
been called more than 100 times, as the workers continuously experienced dizziness,
fainting spells, abnormal breathing, chest pain, etc (Marler & Fisher, 2013).
The management of the brand also agreed to the fact that Tesla’s workers had faced a
tough time, excessive pressure and fatigue due to long working hours. To mitigate the
issue, the management has raised medical clinics on its every factory, however, the
reports have been published that these medical units withheld its medical care and
asked the management to reduce the work pressure to ensure minimum injury records
(Locklear, 2018). In addition, it may also be observed that the medical representatives
claimed of being incompetent in injury reduction rate unless the management reduced
the work overloads (Jamali, El Dirani & Harwood, 2015).
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6.0 Conclusion
On the basis of the analysis and evaluation as undertaken in the earlier segments of the
given paper, the researcher has arrived at a concluding statement that puts emphasis
on the fact that the strategic HRM is critical for the success for the business of Tesla.
There has been a number of instances that establish the fact the management of Tesla
has been able to implement the employee-friendly policies that may enhance their
productivity and thereby operational excellence (Malik, 2019). However, the
management has been facing certain challenges as well in the form of staff grievance
regarding workplace safety and injury rate. The management may need to consider the
same while controlling the operations and monitoring of the HR manual (L'Écuyer,
Raymond, Fabi & Uwizeyemungu, 2019, January). Finally, therefore, the researcher
may conclude that a well-developed strategic HRM policy sets efficiently supported by
effective leadership and management framework will considerably contribute towards
the achievement of organisational aims and objectives of sustainability in the long run in
most cost and time efficient manner (Bogićević-Milikić, 2019).
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References:
About Tesla | Tesla. (2019). Retrieved from https://www.tesla.com/about?redirect=no
Bogićević-Milikić, B. (2019). Promoting gender-responsive talent management in police
organizations through strategic HRM measuring. Strategic Management, 24(1),
19-29.
Jamali, D. R., El Dirani, A. M., & Harwood, I. A. (2015). Exploring human resource
management roles in corporate social responsibility: the CSR‐HRM co‐creation
model. Business Ethics: A European Review, 24(2), 125-143.
L'Écuyer, F., Raymond, L., Fabi, B., & Uwizeyemungu, S. (2019, January). Strategic
alignment of IT and human resources: Testing a mediation model of e-HRM in
manufacturing SMEs. In Proceedings of the 52nd Hawaii International
Conference on System Sciences.
Lin, C. H., Sanders, K., Sun, J. M., Shipton, H., & Mooi, E. A. (2016). From customer‐
oriented strategy to organizational financial performance: The role of human
resource management and customer‐linking capability. British Journal of
Management, 27(1), 21-37.
Locklear, M. (2018). Report claims Tesla's medical clinic denied factory workers care.
Retrieved from https://www.engadget.com/2018/11/05/tesla-medical-clinic-
denied-workers-care/
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Malik, A. (2019). Creating Competitive Advantage through Source Basic Capital
Strategic Humanity in the Industrial Age 4.0. Research Journal of Advanced
Engineering and Science, 4(1), 209-215.
Marler, J. H., & Fisher, S. L. (2013). An evidence-based review of e-HRM and strategic
human resource management. Human Resource Management Review, 23(1),
18-36.
Marler, J. H., & Parry, E. (2016). Human resource management, strategic involvement
and e-HRM technology. The International Journal of Human Resource
Management, 27(19), 2233-2253.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill
Education.
Park, J., Jung, D., & Lee, P. (2019). How to Make a Sustainable Manufacturing
Process: A High-Commitment HRM System. Sustainability, 11(8), 2309.
Saridakis, G., Lai, Y., & Cooper, C. L. (2017). Exploring the relationship between HRM
and firm performance: A meta-analysis of longitudinal studies. Human Resource
Management Review, 27(1), 87-96.
Wong, J. (2017). Tesla factory workers reveal pain, injury and stress: 'Everything feels
like the future but us'. Retrieved from
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