Session-3---HRM-&-Strategic-Management

HRM&StrategicManagementHUMANRESOURCEMANAGEMENTAfterstudyingthischapter,youshouldbeableto:2LearningObjectives:eachstudentwillbeableto:AnalyzeandstudytheroleofworkinoursocietyanditseffectonorganizationsDescribehowanARDMmodelcanbeusedtoorganize,examine,andsolve‘peoplechallenges’ExplainthedifferencebetweenexternalandinternalenvironmentalforcethataffectHRMchallengesDiscusstheroleofHRMplaysinthecreationofanorganization’sstrategicplanIdentifyhowHRMactivitiescontributetoorganizationalproductivityBloom’slevelsoflearning:Knowledge,ComprehensionandAnalysis3HowadiagnosticHRMframeworkcanbeusedtoexamineandsolvepeopleproblems.ExplainthedifferencebetweenexternalandinternalenvironmentalforcesthataffectHRMchallengesDiscusstherolethatHRMcanplayinaccomplishingtheorganization'sstrategicplanIdentifyhowHRMactivitiescontributetoanorganization’sproductivity.Source:Strategicmanagement-whatleadersandmanagersdotodeveloptheorganization’sstrategies.Strategies-theplansforhowtheorganizationwilldowhatit’sinbusinesstodo,howitwillcompetesuccessfully,andhowitwillattractandsatisfyitscustomersinordertoachieveitsgoals.Businessmodel-howanorganizationwillsustainthroughincomegenerationandprofits.WhatIsStrategicManagementWhyIsStrategicManagementImportant?1.Itresultsinhigherorganizationalperformance.2.Itrequiresthatmanagersexamineandadapttobusinessenvironmentchanges.3.Itcoordinatesdiverseorganizationalunits,helpingthemfocusonorganizationalgoals.6WhatistheStrategicManagementProcess?Strategicmanagementprocess-asix-stepprocessthatencompassesstrategicplanning,implementation,andevaluation.7TheStrategicManagementProcess8AModeltoOrganizeHRM9ADiagnosticHRMFrameworkCanhelpoperatingleaders,managersandsupervisorsfocusonasetofrelevantfactorsOffersamapthataidsapersoninseeingthewholepictureorpartsofthepicture–andhowtheycontributetothewhole10Source:dl.wecouncil.com/Serf/SerfWeb/User157/.../HRM%20strategy.pptSoAModeltoOrganizeHRM-ADRMAcquiringRewardingDevelopingMaintainingandprotectingTheARDMmodelThegoalsoftheARDMmodel:SociallyresponsibleandethicalpracticesCompetitive,highqualityproductsCompetitive,highqualityservicesTheARDMmodelhasfourspecificsteps:DiagnosisPrescriptionImplementationEvaluation131.Diagnose-currentconditions2.Prescribe-setobjectivesbasedonthediagnosis3.Implement-choseacourseofactionsfromalternativegeneratedtoachievetheobjectives4.Evaluatetheresults-Thisevaluationleadstolearningwhatworkedandwhatcouldhaveworkedbetter.ThislearningthenleadsbacktoaccessingthecurrentHRconditions,applyingwhatyouhavelearned,settingnewobjectivesbasedonthecurrentassessmentandchoosinganewcourseofactiontobeevaluatedandlearnedfrom.Thisisanorganic,ever-evolvingprocess.ARDM-ThespiralandevolvingdiagnosticapproachtoHRMDiagnosticModelforHRMDiagnosePrescribeImplementEvaluateDiagnosePrescribeImplementEvaluateHumanResourceProcessesFocusofeachprocessisonpeopleandresultsAcquiringHumanResourcesRewardingHumanResourcesDevelopingHumanResourcesMaintainingandProtectingHumanResourcesExternalEnvironmentalInfluencesInternalEnvironmentalInfluencesSociallyresponsibleandethicalpracticesCompetitive,highqualityproductsCompetitive,highqualityservicesDesirableEndResultsSource:dl.wecouncil.com/Serf/SerfWeb/User157/.../HRM%20strategy.pptSo14ScanningExternalEnvironmentalInfluences15ScanningExternalEnvironmentalInfluencesGovernmentrequirementsregulationslawsTheUnionEconomicConditionsdomesticInternationalCompetitivenessWorkSectoroftheOrganizationprivatesectorpublicsectorthirdsectorDiversityandcompositionoflabourforceGeographicLocationoftheOrganization16Externalanalysisshowsanorganizationwhat’soutsidetheorganization—ithelpsanswerthequestion,“whatopportunitiescanweexploit?”MethodsforscanningExternalInfluencesPEST(LE)SWOT17HRMActivitiesThatCanEnhanceandSustainCompetitiveAdvantage(1)1.Employmentsecurity2.Selectivityinrecruiting3.Highwages4.Incentivepay5.Employeeownership6.Informationsharing7.Participationandempowerment8.Teamsandjobredesign9.Trainingasskilldevelopment10.Cross-utilizationandcrosstraining11.SymbolicegalitarianismSource:dl.wecouncil.com/Serf/SerfWeb/User157/.../HRM%20strategy.pptSo18HRMActivitiesThatCanEnhanceandSustainCompetitiveAdvantage(2)12.Wagecompression13.Promotionfromwithin14.Long-termperspective15.Measurementofpractices16.OverarchingphilosophySource:dl.wecouncil.com/Serf/SerfWeb/User157/.../HRM%20strategy.pptSo19ScanningInternalEnvironmentalInfluencesStrategyGoalsOrganizationalcultureNatureofthetask(job)WorkgroupLeader’sstyleandexperience20Source:dl.wecouncil.com/Serf/SerfWeb/User157/.../HRM%20strategy.pptSoLevelsofInternalStrategicFocus21ThreeLevelsofStrategyStrategic(longterm)Managerial(mediumterm)Operational(shortterm)22HumanResourceActivitiesbyLevelofStrategyLEVELEmployeeSelectionandPlacementRewards(PayandBenefits)AppraisalDevelopmentStrategic(longterm)SpecifythecharacteristicsofpeopleneededtorunbusinessoverlongtermEstablishrewardprogra