Strategic Human Resource Management

This assignment delves into the crucial field of Strategic Human Resource Management (SHRM). It requires students to understand the core concepts of SHRM, encompassing its formulation, implementation strategies, and ultimate impact on organizational performance. The analysis draws upon various scholarly resources, including research articles and books, to provide a comprehensive understanding of SHRM's complexities and significance in today's business environment.

HUMAN RESOURCE
MANAGEMENT
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TABLE OF CONTENTS
INTRODUCTION......................................................................................................................3
LO1 ROLE AND IMPORTANCE OF HRM............................................................................3
1.1 Define strategic human resource management................................................................3
1.2 Importance of HRM in the organization..........................................................................3
1.3 Analyze the framework of strategic human resource management.................................4
LO2 FORMULATION AND IMPLEMENTATION OF HR STRATEGIES..........................4
2.1 Analyze strategic human resource process......................................................................4
2.2 Assess the role in strategic human resource management...............................................5
2.3 Analyze the development and implementation of human resource strategies.................5
LO3 HR STRATEGY THAT CAN BE IMPLEMENTED IN A ORGANIZATION...............6
3.1 Range of HR strategy for an organization........................................................................6
3.2 Assess the HR strategies and their application in the organization.................................6
CONCLUSION..........................................................................................................................7
REFERENCES...........................................................................................................................8
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INTRODUCTION
Human resource management is an important part of the organization as it helps in
achieving organizational goal and objectives. HRM department is the most significant aspect
which is required in the organization to manage different types of functions. The roles and
responsibility regarding HRM is changing now they are also responsible for making
strategies. Cambridge satchel a very renowned leather company has been taken to answer
different questions regarding strategic human resource management. The report focuses on
the roles and responsibility of the strategic human resource management. Further, it
emphasizes on the importance of HRM in the organization. Lastly a presentation has been
made which will stresses on the contemporary issues affecting HRM.
LO1 ROLE AND IMPORTANCE OF HRM
1.1 Define strategic human resource management
Strategic human resource management is a broad concept which involves planning
and making strategies for meeting organizational goal and objectives. Strategic HRM can be
defined as accomplishing mission and vision of the company with the help of human resource
(Hendry, 2012). For making strategies, strategic HRM first analyzes the resources required
for making plan then it further evaluates the human resource need to implement the
strategies. The main goal of the strategic human resource is to achieve the competitive
advantage in this competitive world. Hence, for the organization to be successful it has to
have a competent strategic HRM which can guide them and help them to compete with its
competitors (Armstrong and Taylor, 2014).
1.2 Importance of HRM in the organization
For every company which is functioning to earn profit requires human resource
management. As without them organization cannot attain success effectively. Further, it is
very crucial for the company who is a small in size. As small sized organization like
Cambridge satchel can be managed more effectively than a big sized corporate. Importance
of HRM is a follows:
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 Designs recruitment and training- It selects the employees through a proper
recruitment which helps the company to get competent human resource. Further, it
also develops training programs to enhance the capability of the employees to achieve
the goals effectively (Dessler, 2016).
 Builds team work- HRM assist in building teamwork in the organization. It enables
the human resource to achieve goals with the help of team. Team work help in
maintain coordinal relationship with the colleagues this helps in improving employees
performance.
 Allocate the resource effectively- They are the one who know each and every thing
about the company. HRM effectively allocates the resources which further minimize
the cost and the goals are achieved in predetermined time period. this assists in
managing the capital effectively (Guest, 2011).
1.3 Analyze the framework of strategic human resource management
The framework of strategic HRM includes planned workforce. In this, the human
resource which is working in the organization knows their duties as well as responsibility. In
case of Cambridge satchel all the workers know how to perform their jobs. They are also
responsible for meeting the interest of the stakeholders. Another is quality staffing; in this the
employees are hired for checking the quality of the products which are produced by the
company. The conditions in which the employees are working in the company are according
to the standards made by the government. SHRM ensures that no problem arise due to
working condition (Jiang, Lepak, Hu and Baer, 2012). Further, the main focus on of SHRM is
on continuous improvement. The reason why Cambridge satchel is successful is because of
the improvement in the working as well as in the products which they are rendering to their
customers. This helps the company to attract more clients and retain them for longer time.
Continuous improvement has also minimized the cost of manufacturing the product which
has directly affected the profits of the corporate. The most important part of the framework is
the reward system which is designed for the employees. Last but not the least the framework
includes monitoring and reporting to the head in charge of the operations. All the functions
and the step are monitored so that any flaws in the step can be identified and rectified as soon
as possible. This helps in making the organization function effective (Harzing and
Pinnington, 2010).
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LO2 FORMULATION AND IMPLEMENTATION OF HR STRATEGIES
2.1 Analyze strategic human resource process
It is important for the SHRM to develop a process, as proper steps can help in
effective functioning of the corporate. The first step in the SHRM process is to scan the
environment; the SHRM has to analyze the environment in which the company is operating
its business. The company comes to knows about its competitors and the target audiences
which they are planning to aim in the future (Wright and McMahan, 2011). It is essential
because the major factor which affects the functioning of the business is the environment
forces. Then it is required to make long and short objectives. Then it needs to identify the
source of competitive advantage. In case of Cambridge satchel which is a renowned leather
bag company, it has various competitors. The firm has to identify the source through which it
can create competitive advantage. Another step is to recognize the strategy which can be used
by the firm achieve the objective (Purce, 2014). There are several strategies but the most
difficult task for the organization is to analyze the most suitable tactic which can be adopted
by them. After choosing the strategy then next step is to implement the tactics. In this,
various resources while be required by the company to implement in the business. After
implementation, the firm is required to monitor and evaluate the strategy which has been
adopted by the company.
2.2 Assess the role in strategic human resource management
There are various roles which are to be fulfilled by the SHRM. The main role of the
strategic HRM is to develop strategies according to the goal and objective of the company.
Making strategy is a very difficult task, for this, SHRM has to analyze the resources and
position of the company and according to that only it has to make the tactics. Another role of
strategic human resource management is to ensure that there is proper communication
between the employees who are working in the organization (CHUAN and Liao, 2010).
Further, its responsibility is to maintain the quality of the work life of the employees. Further,
its responsibility is to make the employees participate in the training and developing program
for enhancing the performance. In case of Cambridge satchel, strategic HRM will be helpful
in shaping the structure of the company and will help in achieving the objectives determined
by company (The Changing Role of Strategic Human Resource Management in Principles of
Management, 2016).
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2.3 Analyze the development and implementation of human resource strategies
There are many HR strategies which are developed by the strategies as these tactics
helps in fulfilling the functions of HR. It is not easy to develop strategy as, many things has
to be kept in mind while developing strategy for the company. In the initial stage the leader
sets the goal for the every HR member. The goals are made according to the vision and
mission of the company which the firm wants to achieve. The most important part of the
strategy is that it should be in real (Scullion and Collings, 2010). Various strategies are made
by they are not implemented because of the changing scenarios and different types of hurdles.
In this case, the HR is required to make the strategies flexible so that it can be changed with
the change in time. Further, many approaches are adopted by the human resource of the
company to develop strategy. Once the strategy has been made according to the vision and
goal of the company then the HR of the company is required to implement. First the HR
department has to make the budget the plan for implementing the strategy and it should be
approved by the top management. After the approval then the HR can implement the strategy
to attain the competitive advantage. Cambridge satchel has implemented strategy that it will
not expand its target market and will sell the same products to its customers. This tactics was
developed by HR by adopting this procedure (Vörösmarty and et,al., 2010).
LO3 HR STRATEGY THAT CAN BE IMPLEMENTED IN A
ORGANIZATION
3.1 Range of HR strategy for an organization
There are many HR strategies which can be adopted by the company to become
successful. Corporate culture is the strategy which is one of the successful strategies. In this,
the company develops its culture in the organization and the employees are forced to work
according to their culture. HR helps to develop this culture in the company (What is
HR Strategy?, 2016). The corporate culture enhances the productivity and the performance of
the employees. It is beneficial for the company as well as the employees to work according to
the culture (Ployhart, and Moliterno, 2011.). Another HR strategy is competitive advantage.
Mostly the small sized organization works on the competitive advantage. In case of
Cambridge satchel, it has created its own core competency that it manufactures only leather
products with one particular design and for the nice market people. This has benefited the
company extensively it has earned a good and positive name among its competitors.
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Another HR strategy which has now come into existence is the employees. The
recruitment and selecting process is in the hands of the HR. So they are playing on the
competitiveness of the employees. They are focusing on talents so that they are not required
to provide training to make competent. These are the HR strategies which are adopted by the
HR in the company (McShane and Von Glinow, 2012).
3.2 Assess the HR strategies and their application in the organization
There are many bag companies who are competing in different areas. But Cambridge
satchel has created competitive advantage by focusing only on the leather product and one
single design. To apply this strategy in the organization first the firm has identified its
resources and the target customers. It is a small organization so to achieve the objectives
using this strategy is very fruitful (Bamberger, Biron and Meshoulam, 2014). But with the
changing scenario, the firm is planning to adopt employees and they are focusing more on
recruiting the competent so that training expense can be overcome. But in real, these things
are not executed as planned because in implementing strategy there are various factors which
affect the process. For applying the employee’s strategy the firm would require more money
as the competent employees will charge more. Further, it will be equivalent to the same
expense which occurs at the time of providing training to employees. So it is important for
the organization to study the scenario effectively before applying any strategy in the company
(Seibert, Wang and Courtright, 2011).
CONCLUSION
From the report it can be concluded that strategic human resource has became an
important part of the organization. The major role which HRM has to fulfil in the company is
to manage the employees and day to day activities of the company. It can also be witnessed
that there are lot of efforts required by the HR to develop and implement the strategy in the
organization. After the studying the strategy adopted by Cambridge satchel it can be said that
company’s success majorly depends upon the strategy which it has formulated in the
organization.
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REFERENCES
Books and journal
Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Bamberger, P.A., Biron, M. and Meshoulam, I., 2014. Human resource strategy:
Formulation, implementation, and impact. Routledge.
CHUANG, C.H. and Liao, H.U.I., 2010. Strategic human resource management in service
context: Taking care of business by taking care of employees and customers. Personnel
Psychology, 63(1), pp.153-196.
Dessler, G., 2016. Human resource management. Prentice Hall.
Guest, D.E., 2011. Human resource management and performance: still searching for some
answers. Human Resource Management Journal, 21(1), pp.3-13.
Harzing, A.W. and Pinnington, A. eds., 2010. International human resource management.
Sage.
Hendry, C., 2012. Human resource management. Routledge.
Jiang, K., Lepak, D.P., Hu, J. and Baer, J.C., 2012. How does human resource management
influence organizational outcomes? A meta-analytic investigation of mediating mechanisms.
Academy of management Journal, 55(6), pp.1264-1294.
McShane, S. and Von Glinow, M., 2012. Organizational behavior. McGraw-Hill Higher
Education.
Ployhart, R.E. and Moliterno, T.P., 2011. Emergence of the human capital resource: A
multilevel model. Academy of Management Review, 36(1), pp.127-150.
Purce, J., 2014. The impact of corporate strategy on human resource management. New
Perspectives on Human Resource Management (Routledge Revivals), 67.
Scullion, H. and Collings, D., 2010. Global talent management. Routledge.
Seibert, S.E., Wang, G. and Courtright, S.H., 2011. Antecedents and consequences of
psychological and team empowerment in organizations: a meta-analytic review. Journal of
Applied Psychology, 96(5), p.981.
Vörösmarty, C.J., McIntyre, P.B., Gessner, M.O., Dudgeon, D., Prusevich, A., Green, P.,
Glidden, S., Bunn, S.E., Sullivan, C.A., Liermann, C.R. and Davies, P.M., 2010. Global
threats to human water security and river biodiversity. Nature, 467(7315), pp.555-561.
Wright, P.M. and McMahan, G.C., 2011. Exploring human capital: putting ‘human’back into
strategic human resource management. Human Resource Management Journal, 21(2), pp.93-
104.
Online
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What is HR Strategy?. 2016. [Online]. Available through.< http://borjaburguillos.com/what-
is-hr-strategy/>[ accessed on 12th march, 2016]
The Changing Role of Strategic Human Resource Management in Principles of Management.
2016. [Online]. Available through.< http://catalog.flatworldknowledge.com/bookhub/5?
e=carpenter-ch16_s01>[Accessed on 12th March, 2016
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