Strategic HRM: Analysis of Theoretical Perspectives at Dyson

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This report provides an analysis of the major theoretical perspectives of Human Resource Management (HRM) and their practical application within the context of Dyson, a UK-based technology firm. It examines the impact of various internal and external contextual factors, such as technological advancements and changing market dynamics, on the role, strategies, and practices of HR. The report evaluates the evolution of HR, its contribution to business success, and its role in change management. Furthermore, it assesses the vertical and horizontal strategic alignment of HR strategies and their influence on firm performance. The report concludes by emphasizing the importance of adapting HR practices to ensure organizational success and facilitate smooth implementation of change, particularly through effective alignment of HR strategies.
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Analyse major
theoretical
perspectives of
HRM
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Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY .................................................................................................................................3
Impact of various internal and external contextual factors on role of HR, HR strategies and
practices .....................................................................................................................................3
Evaluation of HR function in different organisational situations contribution of HR function
in change management and organizational success....................................................................5
Impact of vertical and horizontal strategical alignment of HR strategy on performance of firm
....................................................................................................................................................6
CONCLUSION ..............................................................................................................................9
REFRENCES ................................................................................................................................10
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INTRODUCTION
Human resource management is an indefensible part of an organisation as it assists the
company develop skilled and talented workforce which conducts various organisational
operations effectively. This helps the company secure advantageous position in their industry by
producing high quality goods and services for their consumer base which enhances sales,
profitability and reputation of the corporation. The business entity selected for this report is
British technology firm Dyson which operates in 65 international markets and offers a diverse
range of electrical products which include blade-less fans, lighting, hair products and many
others. This report includes analysis of various internal and external contextual factors which
impact role of HR, HR strategies and practices. Evolution of HR is provided in this report with
it's contribution in business success and change management. Vertical and horizontal alignment
of HR strategy is assessed in this report.
MAIN BODY
Impact of various internal and external contextual factors on role of HR, HR strategies and
practices
Background of the company: Dyson is UK based technological firm which operates in
the industry of Household appliances. The firm was founded in the year 1991 and has currently
employed more than 12000 workers to conduct various business activities. The revenue of the
firm increased by 23% in the year 2020 to 5.4 billion pounds . Currently the organisation is
moving their international headquarters to Singapore and is focusing on entering developing
economies in Asia because of the EU/UK restrictions caused by rising political tension between
EU and UK.
Role of HR
HR conducts various roles in order to develop and retain a talented workforce for the
company. The main role of HR is to develop and retain talented workforce, supervise effective
management of employees and ensure maximum employee satisfaction to enhance productivity
and profitability of the company (Anisimov and et. al., 2017). HR division at Dyson utilises
various HR practices and implements requirement of employee legislation to create highly
productive workforce for completion of various business objectives of the company.
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Impact of contextual factors: Changing technology in HR such as machine learning ha
huge impact on role of HR. Several contextual tools such as technology help HR in completing
tasks in an effective manner. The firm is able to make data informed decisions by utilisation this
technology. Apart from this, technological advancements in the field of HR such saves time in
completing various HR roles deciphering huge amount of information quickly, Dyson utilises
such contextual tools to complete various HR roles swiftly and effectively.
HR practices
HR practices include strategic operations which are conducted by HR division to ensure
optimal utilisation of workforce for success and progress of the company. HR practices include
recruitment and selection, compensation and benefits, employee retention, training and
development of workers, transparency, worker evaluation, compliance and termination. Usage of
effective HR practices has helped Dyson build skilled workforce and gain competitive advantage
by producing innovative products fro their consumers (Budhwar, 2016).
Impact of contextual factors: Introduction of performance appraisal technology has
helped HR complete HR practice related to performance management of their employees swiftly
and effectively. Dyson utilises technology which helps the company keep tack of employee
progress and find ways to improve the performance of each employee. In addition to this such
technology also helps the company identify skill required fro conducting tasks essential for long
term survival of the company.
HR strategies
HR strategy of the company consists of an overall plan which aligns human resources of
the company with business objectives of the company. This strategy provides directions related
to primary HR functions such as hiring, employee development, performance appraisal and
compensation. Dyson has constructed an effective HR strategy which helps the company utilise
their vast workforce for the benefit of the company.
Impact of contextual factors: The process of recruitment and selection is completely
changes with the help of new recruitment and selection techniques. Digital interviews and usage
of AI to shorten applicants and recruit the most talented employees helps the company achieve
various HR objectives easily (Cantoni, and Mangia, 2018). Dyson utilised technology to attract
employees and promote their staffing needs so that the firm constructs highly talented employees
which provide innovative solutions for growth barriers faced by the company.
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Evaluation of HR function in different organisational situations contribution of HR function in
change management and organizational success
Various HR process and practices are continuously modified and go through an evolution
in order to suit the current requirements of the company, adapt with technological gradation and
to adapt with changing labour market trends. Utilisation of AI to keep track of employee
progress and monitor their daily activities is evaluation of performance management (Chapman
and et. al., 2018). Apart from this digital interviews and social media promotion of vacancy need
is a current change in recruitment and selection process which helps the firm complete their
business objectives.
Recruitment and selection: This HR function revolves around filling every
organisational vacancy with talented and skilled employees. Dyson has implemented
effective selection and recruitment process which has helped the firm develop talented
and innovative workforce. This workforce helps the company produce innovative
products which provides the company competitive advantage as their products are
unique and solve the problems of consumer base through creative techniques. This HR
function helps the company in effective implementation of change by hiring skilled
employees at positions which are developed due to changes in the company. This HR
function will help Dyson effectively implement change of moving headquarter to
Singapore by hiring right individuals. Employee reward: Appreciating diligent employees with rewards is another function of
HR . This HR function motivates employees to increase their productivity and plays an
important role in increasing profitability of the company which contributes to the
growth of the firm. Dyson has utilised effective reward structures to enhance their
productivity but to encourage employees to become more innovative. This contributes
to overall organisational success of the company. The role of employee reward in
change management is that it reduces resistance from employees and facilitates smooth
organizational change (Daft, 2021). Dyson has utilised this HR function to enhance
employee satisfaction and ensure low resistance during implementation of change.
Employee engagement and communication: Regularly informing employees about
relevant topics and ensuring high employee engagement is the main focus of this
function. The main contribution of this function is organizational success of Dyson is
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that the firm is able to maintain harmonious working environment and each employee
has clear understanding of their responsibilities which helps the company achieve their
business objectives in a timely manner. The HR division at Dyson keeps the employees
informed about change implementation through this function which reduces
miscommunication and ensures smooth implementation of change (Delery, and Gupta,
2016).
Impact of vertical and horizontal strategical alignment of HR strategy on performance of firm
Vertical alignment of HR strategy
This strategic alignment of HR focuses on optimal utilisation of human capital to ensure
that every business objective of the firm is accomplished. Vertical alignment of HR strategy
requires informing every employee larger goals of the company and understand their
contribution ion achieving such goals. Dyson utilises this strategic alignment by ensuring that
each employee in the firm understands overall goals of the company and conducts their daily
operations for the completion of such objectives. The main impact of vertical alignment on
performance of the firm is that it increases organisational efficiency. This is because every
employee understand their contribution to organizational success and conducts business
activities which maximise their contribution and help the company attain objectives of their
business strategy effectively. In addition to this business objective of the firm are completed
swiftly as the company each business operation is conducted with the aim of accomplishing such
strategies.
Horizontal alignment of HR strategy
Ensuring that each strategy of the company works in ordination and any strategy does not
hinder success of other business objectives is the main focus of horizon strategic alignment of
HR. This involves integration of business units with the company to ensure coordination
between strategic objectives of these units in a way which supports completion of business
strategy. The utilisation of this strategy helps the company collaborate strategies to help the
business goals of the company and ensure that any strategy is not negatively affected by due to
other strategy (Dickmann, Brewster and Sparrow 2016). Dyson has utilised this strategy to
ensure that strategy of each functional area is achieved and helps the company gain their overall
business objectives without any delay.
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Dyson needs to utilise both horizontal and vertical strategic alignment to ensure that
every member of their workforce is contributing towards completion of their business goals. The
organisation will be able to maximise the contribution of their human resources by using both
vertical and horizontal alignment.
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CONCLUSION
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From the above report it is concluded that the primary role of HR department is related to
development of workforce with focus on retention of skilled employees. Several HR practices
and strategies are affected by various internal and external factors which need to be addressed in
order to construct and implement an effective HR strategy. HR function is continuously evolving
with emphasis on modification of HR practices to ensure organisational success and smooth
implementation of change. This helps the company enforce change in their company without
delay and helps the company make changes essential for long term survival. Vertical and
horizontal alignment of HR strategies is important for success of business objectives and assists
the company in attaining success in each of their business endeavour.
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REFRENCES
Books and Journals
Anisimov and et. al., 2017. Strategic Approach to Forming a Human Resource Management
System in the Organization. International Journal of Economic Perspectives. 11(2).
Budhwar, P.S., 2016. International human resource management. Edward Elgar Publishing
Limited.
Cantoni, F. and Mangia, G. eds., 2018. Human resource management and digitalization.
Routledge.
Chapman and et. al., 2018. Human resource development and human resource management
levers for sustained competitive advantage: Combining isomorphism and
differentiation. Journal of Management and Organization, 24(4). pp.533-550.
Daft, R.L., 2021. Management. Cengage Learning.
Delery, J. and Gupta, N., 2016. Human resource management practices and organizational
effectiveness: internal fit matters. Journal of Organizational Effectiveness: People and
Performance.
Dickmann, M., Brewster, C. and Sparrow, P. eds., 2016. International human resource
management: Contemporary HR issues in Europe. Routledge.
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