WSU HR & IR Strategy Essay: HR Architecture and Strategy

This essay delves into the intricate relationship between HR architecture and HR strategy within dynamic organizational settings. It begins by introducing HR architecture as a crucial platform for managing human resources, encompassing systems, competencies, and processes. The essay explores how HR architecture shapes HRM strategy, examining both knowledge-based and resource-based views to emphasize the importance of human capital. It evaluates the role of HR architecture in implementing HR strategy and assesses potential drawbacks in a constantly evolving organizational landscape. The discussion covers key concepts like strategic HRM, benchmarking, and the significance of aligning resources to enhance organizational productivity. The essay also addresses the impact of internalizing and outsourcing employment through HR architecture frameworks, as well as challenges posed by HR dynamics and cultural issues in large multinational organizations. Furthermore, the essay explores the knowledge-based view, emphasizing the importance of staying updated with market trends. Ultimately, the essay concludes that HR architecture is essential for implementing effective HR strategies, maximizing human capital, and achieving long-term business success.

Running head: HR & IR STRATEGY
HR & IR strategy
Name of the student
Name of the university
Author note

2
HR & IR STRATEGY
Introduction:
In the highly volatile business environment, managing the human resources in a proper
manner is a complicated job for the human resource department as it requires a comprehensive
platform. HR architecture serves as this platform. It comprises of all the systems, competencies,
processes and the behavior of the human resources which reflect the development and
management of the strategic human capitals of a firm. Present essay would put forth the
discussion regarding the role played by HR architecture in order to shape HRM strategy. Both
knowledge based and resource based view will be discussed as these focus on improving the
human capital. The role played by the HR architecture in implementing HR strategy will be
evaluated in the paper. The essay will also assess how HR architecture can hamper the HR
strategy in the dynamic organizational context.
Discussion:
Appropriate human resource practice is the key factor in accelerating organizational
effectiveness (Hansen et al. (2019). However, the HR department of an organization needs to
implement effective strategy and framework in order to manage the human resources in an
effective manner. There lies the significance of HR architecture which is the key of leading the
staffs to satisfy the organizational goals and objectives by generating positive behavior among
them. HR Architecture basically comprises of effective foundation based on which different sets
of human behavior for different departments are framed (Marescaux et al. 2013). These
different sets of behavior allow them to be connected with each other in order to make a
compact organization. Human Resource Architecture is basically concerned with taking relevant
people-related decisions as the staffs are the key asset in an organization. These policies or
procedures along with the practices are the critical factor in influencing the organizational
performance and serve as the basis of framing HR architecture (Schmidt et al. 2018). In the
next paragraph, resource based view will be discussed which is the key of strengthening the
human capital in the internal context.
According to the Resource Based View (RBV), it is imperative for the higher authority
of the firms to maintain effective administrative structure by aligning all the productive resources
(Noe et al. 2017). HR architecture serves as the basis for which the human resource
department of an organization can to shift their SHRM (Strategic Human resource management)
thinking from analyzing the performance of the employees in the external context to improve
their performance at the internal level. The Resource Based View (RBV) considers the firm as

3
HR & IR STRATEGY
the heterogeneous entity in which the experience of the top management plays a major role in
making healthy environment in the firm which is the key factors in keeping the staffs. Thus, it is
important to maintain healthy environment in the organization in terms of keeping the staffs
motivated. Brewster (2017) commented that the strategic assets must be considered in order to
strengthen the inner value of the organization. Different elements of SHRM which are significant
for framing the HR strategy will be discussed in the next paragraph.
HR architecture is the major ways of taking necessary action that can match the
demands of employees as they are the fundamental asset in an organization. Based on the
Resource Based View (RBV), it can be said that it is imperative to align the resources in order to
improve organizational productivity. Berman et al. (2019) shaded light on the fact that strategic
HRM comprises of several elements such as Benchmarking, evidence based decision-making
and executing effective policies and procedures. It is imperative to note here that HR metrics is
an imperative factor in benchmarking as it can help in creating unique image of an organization.
However, chances of HR issues in the larger organizations are comparatively high (Krausert
2017). In the context of larger organizations, sometimes the managers face issues in the way of
managing wide ranges of employees coming from different background. There lies the
significance of HR architecture which is the key of taking necessary people related decision.
This is the way of managing the human resources in an appropriate manner. HR architecture
serves the human resource department of an organization to priorities the requirements and
expectations of human resources. HR architecture is one of the major ways, through which the
workers can manage the staffs properly. Value and uniqueness are two of the important factors,
which need to be considered by the organizations in the way of managing the staff’s
appropriately (Cascio 2015). HR architecture plays a critical role in implementing the Resource
Based View which is the important factor of enabling the human resources to be organization-
specific, valuable and difficult-to-imitate resource which is the key of improving the
organizational productivity. The way of internalizing and outsourcing employment through
effective HR architecture framework will be discussed in the following section.
In the era of globalization, internalizing and outsourcing employment are the matter
of utmost important as it supports in strengthening the position of a company in the global
business environment. Stewart and Brown (2019) shaded light on the fact that in the intense
competition, the organizations can also boost their in-house production with the assistance of
HR architecture framework by organizing the productive employees within a comprehensive
framework. Being one of the most effective frameworks, HR architecture shows employment

4
HR & IR STRATEGY
relationship as the psychological contract of the belief and perception of individual people. As
per the framework it can be said that the belief and perception of individual people is shaped by
the organization (Morgeson et al. 2019). The way, through which HR architecture hampers the
HR strategy will be evaluated in the next section.
According to this framework, the employment relationship within an organization is
nothing but the shared agreement in between the employees and the organization (Albrecht et
al. 2015). The inclusion of dynamism in the HR strategy acts as a greatest threat towards
ensuring organizational flexibility. Loss of subjectivity is the biggest treat of dynamics which
fails to acknowledge the accomplishment of the staffs which affects the motivation among the
staffs and prevents them to complete their tasks with utmost efficiency. In addition to that,
HR dynamics is one of the most significant aspects of strategic human resource planning which
is the key of managing the staffs properly. However, in the context of large multinational
organizations, the HR department can face significant cultural issues from the employees
coming from different background. This can make it difficult for the HR department to practice
talent management in a comprehensive manner. At the same time, the technique of
forecasting the demand and supply of the labor is also a bigger issue of strategic human
resource planning which can also hamper organizational flexibility.
Acknowledging the needs and requirements of the staffs is the key of keeping them
motivated. Thus, it is the prime responsibilities of the management of corporate entities to
understand and satisfy the requirements of the employees. Banfield et al. (2018) highlighted by
saying that the management must maintain a cordial relationship with that of the employees in
order to get idea about their basic needs. As per RBV-thinking, there are certain core
competencies which play a critical role in improving the organizational productivity. Krausert
(2017) commented that HR architecture puts stress on both human and social capitals are the
essential factors in terms of building the core competency of an organization. The knowledge
based view will be discussed in the next section of the essay.
Knowledge-based view (KBV) is also a significant matter of considered in this context
which shows that the intensity of knowledge is an imperative factor in order to attain long term
success from business. As the business environment is changing rapidly, the organizations
should be concerned with getting effective knowledge regarding the latest trend in the market.
From the perception of Brewster (2017) it is evident that this can help in framing the business
plan accordingly in order to cope up the current market trend. The dynamic capability of a firm is

5
HR & IR STRATEGY
also a critical issue as it supports in ensuring the fact that the organization has ample
knowledge regarding the market. In order to respond towards the latest changes in the market,
the human resource strategy needs to be changed. As the requirements of the customers is
changing in a rapid manner, the recruitment and selection strategy needs to be changed for the
sake of hiring extremely skilled staffs and thus meet diverse demand of the customers. With the
assistance of HR architecture, the firms can access competitive parity and sustained advantage
by implanting proactive HR strategy (Stewart and Brown 2019). HR architecture states the fact
that it is imperative to maintain flexibility in the organization which is the key of improving the
relationship in between the employees.
Conclusion:
Based on the discussion, it can be concluded by saying that HR architecture is an
imperative factor in terms of implementing proactive HR strategy in terms of managing the
human resources in an effective manner. HRM incorporates both individual and collective
dimensions of the internal functionality and the staffs in an organization which is very much
needed in order to attain long term success from business by ensuring stability in the business
process. It is true that HR architecture hampers the HR activities in a dynamic organizational
context. Still, in the highly competitive business environment HR architecture is the best way of
maximizing the human capital by alleging them in a comprehensive platform.

6
HR & IR STRATEGY
References:
Albrecht, S.L., Bakker, A.B., Gruman, J.A., Macey, W.H. and Saks, A.M., 2015. Employee
engagement, human resource management practices and competitive advantage: An integrated
approach. Journal of Organizational Effectiveness: People and Performance, 2(1), pp.7-35.
Banfield, P., Kay, R. and Royles, D., 2018. Introduction to human resource management.Oxford
University Press.
Berman, E.M., Bowman, J.S., West, J.P. and Van Wart, M.R., 2019. Human resource
management in public service: Paradoxes, processes, and problems. CQ Press.
Brewster, C., 2017. Policy and practice in european human resource management: The Price
Waterhouse Cranfield survey. Taylor & Francis.
Cascio, W.F., 2015. Managing human resources.McGraw-Hill.
Hansen, N., Güttel, W. and Swart, J. 2019, ’HRM in dynamic environments: Exploitative,
exploratory, and ambidextrous HR architectures’, The International Journal of Human Resource
Management, 30(4), pp. 648-679.
Krausert, A. 2017, ’HR differentiation between professional and managerial employees:
Broadening an integrating theoretical perspectives’, Human Resource Management Review,
27(3), pp. 442-457.
Marescaux, E., De Winne, S. and Sels, L. 2013,’HR practices and affective organisational
commitment: (when) does HR differentiation pay off?’,Human Resource Management Journal,
23(4), pp. 329-345.
Morgeson, F.P., Brannick, M.T. and Levine, E.L., 2019. Job and work analysis: Methods,
research, and applications for human resource management. Sage Publications.
Noe, R.A., Hollenbeck, J.R., Gerhart, B. and Wright, P.M., 2017. Human resource management:
Gaining a competitive advantage. New York, NY: McGraw-Hill Education.
Schmidt J., Pohler D. and Willness, C. 2018, ’Strategic HR system differentiation between jobs:
The effects on firm performance and employee outcomes’, Human Resource Management; 57,
pp. 65-81.
Stewart, G.L. and Brown, K.G., 2019. Human resource management.Wiley.