Strategic HRM and Analytics Report: BHP Billiton Case Study

This report examines the strategic human resource management (SHRM) practices of BHP Billiton. It begins by outlining the company's mission and vision, emphasizing its focus on value creation, sustainable practices, and employee development. The report then delves into how BHP Billiton links its mission and vision to HR analytics, highlighting the importance of data-driven decision-making in areas such as recruitment, training, and performance management. A significant portion of the report analyzes the external pressures affecting BHP Billiton, using the PESTEL framework to assess political, social, and demographic factors. The analysis includes the impact of government regulations, skill development initiatives, and demographic shifts on the company's HR strategies. The report concludes with a SWOT analysis, identifying BHP Billiton's strengths, weaknesses, opportunities, and threats, particularly in relation to its human resource management. The strengths include the company's diverse asset portfolio and financial performance; weaknesses include challenges in corporate communications and a lack of qualified staff. Opportunities include project pipelines and sustainability initiatives, while threats include rising supplier costs, political risks, and competition. The report provides a comprehensive overview of the company's SHRM approach, external factors, and strategic positioning.

Introduction
Strategic human resource management is defined as linking the human resources with the strategic
goals so that it can improve organisational performances and develop organisational culture, which
foster innovation, competitive advantage, and flexibility. HR functions as a strategic partner that
helps in the formation and implementation of organisations strategies with the help of recruiting,
training, rewarding and selecting. This report brings out a discussion on how vision and mission of
BHP Billiton are linked to the strategic human resource management. Apart from this, organisation
faces external pressures from many factors that affect the human resources. Political and social
factors affect the HR analytics, which is elaborated below. At last, this discussion has been summed
up with the elaboration on strengths, threats, weaknesses and opportunities.
The mission of BHP Billiton is to generate long-term value with the help of development, discovery,
in addition, transformation of natural resources. The main objective of the company is to create
sustainable value for the contractors, suppliers, business partners, host communities, and
employees. Further, the strategy is to operate at large level, low-cost, upstream assets that has been
diversified by geography, market, and commodity. The company aspire Zero harm to the
environment in order to achieve the leading practises in industry.
The vision of the company is to focus on entrepreneurial business in order to develop multi-
disciplinary approach. While relating to the human analytics, BHP Billiton needs the people to grow,
develop, and learn the skills in order to reach their potential. As the company offers a huge range of
products in the inclusive environment with more career opportunities. The main strategy is to focus
on producing a safe work environment where the employees feel strongly connected to their values
and achieve the objectives. In order to achieve the suitable objectives in future, the functioning of
human resources are related to extraction, processing, presenting, and analysing the HR data so that
it will enable to make proper decisions on the basis of analytics and data. Executing HR regulatory
analytics and reporting in the BHP Billiton is not limited to internal global HR analytics, external
regulatory, and analytics. Moreover, it analyse the HR performance reporting for GAS HR operations,
finds the pattern, trends and correlation in complex data that can be sourced from different sources.
Political factors- In regards to political factors, which affect the human analytics of BHP Billiton, are
that Australia holds a relative advantage that are related to export of mining services and other
skilled labour force. In order to assist the skill development, it ensures that appropriate and
sustainable training programs that are kept in place in order to provide the sector with high skilled
workforce. Australia`s capital that are related to skilled labour in mining related platforms where
Australia continues to grow its advantage in niche market and increasing the visibility in the global
mining market. Although every factor of pestle framework affect the human resources and analytics.
The government has to necessitate certain laws in regards to protect the employees from being
exploited and concern for their health safety.
One of the major challenge faced by the global society is to help the world to meet energy needs
and working on the same way to mitigate the potential risks that is related to greenhouse gas
emissions. As the company is bound to commit with the BHP charter and the code of conduct that
includes overriding assurance to health, environmental, sustaining and safety development. BHP
Billiton is both producer and user of fossil fuel energy that lead to greenhouse emissions. It ensures
alignment and compliance to the relevant requirement of legislations, standards and agreements.
These emissions are related to consumption of fossil fuel and other human activity contributes to
global warming that directly affect the quality of human life. In order to comply with the country`s
political factors, BHP Billiton has been addressing several challenges in relation to human analytics.

For example- creating value by continuously exploring few ways so that they can reduce the
emissions footprint.
Social factors- several most important key areas includes HR analytics, which can improve the
performance of the company, as human capital is the key to maintain competitive advantage. Social
and demographic factors affect the identification of right personnel for an appropriate vacancy. For
example- determined successful employees who are under youth categories demands status
satisfying jobs. Youth promotes training and incentive programs and engage in improvement in the
performances. An organisation always work to treat the public consent so that it can satisfy the
customer needs. HR managers have to undertake the relevance in order to conduct the business.
According to treasury government reports over more than 40 years where the population over 65
years will increase in next 40 years. For now, growth in population aging between 15-64 years is
expected to go down almost equal to zero. Apart from this, this is quite practical that ageing
population will lead to raise the demand for pension and health care services. There is a need to
adapt with the changing technology and expectations in relating to access most advanced tests. The
most appropriate way to achieve the economic pace through increasing labour force productivity
and participation. Australia has been enjoying strong productivity growth. In order to maintain
performance in future, the company has to comply with the reforms, which free-up the economic
activities, improve the flexibility of labour markets, and also it continues to develop more innovative
and dynamic environment. Further, the company will also need to be accomplished by maintaining a
low inflation economy and continuing sound fiscal policy. The country has more potential to increase
labour force participation as individuals are affected by higher income.
Strengths
BHP Billiton is a renowned company that offers a huge variety of assets. The company is largest
suppliers of copper, lead, aluminium, and uranium.
The company is the major producer of manganese with operations and metallurgical coal in
Australia, South America, US, and Brazil. With eight operations in South America, US, Australia, and
South Africa, BHP Billiton provides thermal coal for electric generation of power.
The company delivered superior financial profits over the last years by returning their capital with
the help of their investors by aggressive share buyback program.
Weaknesses
BHP Billiton is facing human resources issues affecting the business operations. This indicates that
the company do not have enough qualified staff who are trained in the mining sector.
BHP Billiton is weak in regards to corporate communications as staff is not at all proactive while
responding to the company`s enquiries when using new media and making effective communication
groups with stakeholders and investors.
Opportunities
The company has various projects in regards to pipelines to execute. The feasibility phase of 29
projects that are likely to develop important source of revenue. Projection of revenues can be
executed in most cost effective manner.
After abiding with the Kyoto Protocol, BHP Billiton has committed to the reduction of 5% in
greenhouse gas emissions. This protocol has accomplished to manage it by responding to
sustainable development.

The organisation can further work to strengthen the brand position by persuading the innovative
marketing solutions and using media tools in order to reach the customers by marketing natural
resources with extensive organisation`s assets. The company can strengthen by promoting brand
awareness among the customers.
Threats
The company is facing high threat the rising cost of suppliers by including shipping, energy and
contract cost of labour, inflation and other labour staffing issues that restrict organisation`s
development and growth.
The company is facing high political threats in its home country, Australia as the company faces
unfavourable ruling conditions from the government in regards access to infrastructural and other
political dynamics. Even if the company earns huge profits then also the issues cannot be
undermined.
The company faces intense competition from few competitors such as Anglo American, Exxon Mobil,
BP, Nippon steel, and Chevron Corporation.
Conclusion
From, the above discussion on strategic HR and its literature on BHP Billiton, it can be seen that
report has identified few threats and weaknesses that organisation suffers in term s of human
resources. Apart from this, social and political factors shapes the workforce of the organisation. As
social gives a review, which profile job has to be offered to whom and which political factor affect
the rules and regulations of the organisation while managing.

References
BHP Billiton ltd., (2019). About us. Retrieved from: https://www.bhp.com/our-approach/our-
company/about-us
BHP law, (2019). Values & Vision. Retrieved from: https://bhplaw.co.uk/company/values-and-vision#