Meeting Present and Emerging Strategic HR Challanges
Meeting Present and Emerging Strategic HR Challanges
Meeting Present and Emerging Strategic HR Challanges
Challenges
Explain how a firms human resources influence its performance.
Describe how firms can use HR initiatives to cope with workplace
changes and trends such as a more diverse work force, the global
economy, downsizing, and new legislation.
Distinguish between the role of the HR department and the role of
the firms managers in utilizing human resources effectively.
Indicate how members of the HR department and managers within a
company can establish a strong partnership.
Formulate and implement HR strategies that can help the firm
achieve a sustained competitive advantage.
Identify HR strategies that fit corporate and business unit strategies.
Rapid Change
Workforce Diversity
Globalization
Rise of Internet
Legislation
Evolving Work and Family Roles
Skill Shortages and the Rise
of the Service Sector
Organization
Competitive Position: Cost,
Quality, Distinctive Capabilities
Decentralization
Downsizing
Organizational Restructuring
Individual
Hewlett-Packard
Apollo
Dominant
values
Quality/reputation
Components company
Time-to-market
Systems integrator
Philosophy
Flexible bureaucracy
Functional/matrix
structure
Ad-hoc-racy
Functional/integrated
structure
Rules of the
game
Problem solving
Specialize
Long tenure
Winning is everything
Be a generalist
Job hoppers
Feeling or
climate
Behavioral
regularities
Norms
Crisis management
Entrepreneurial orientation
Rough-and-tumble style
Pushing your own agenda
1.
1.By
Byacknowledging
acknowledgingmy
myaccountability
accountabilityto
tosociety
societyas
asaawhole
wholeas
as
well
wellas
asto
tothe
theorganization
organizationfor
forwhich
whichIIwork.
work.
2.
2.By
Bypledging
pledgingmy
myefforts
effortsto
toassure
assurethat
thatall
allpresentations
presentationsof
of
goods,
goods,services,
services,and
andconcepts
conceptsbe
bemade
madehonestly
honestlyand
andclearly.
clearly.
3.
3.By
Bystriving
strivingto
toimprove
improvemarketing
marketingknowledge
knowledgeand
andpractice
practicein
in
order
orderto
tobetter
betterserve
servesociety.
society.
4.
4.By
Bysupporting
supportingfree
freeconsumer
consumerchoice
choicein
incircumstances
circumstancesthat
that
are
arelegal
legaland
andare
areconsistent
consistentwith
withgenerally
generallyaccepted
accepted
community
communitystandards.
standards.
Effective HR Strategy
Formulation and
Implementation
Organizational
Organizational
Strategies
Strategies
Fit
Consistency
Consistency
Fit
Organizational
Organizational
Characteristics
Characteristics
Environment
Environment
Consistency
HR Strategies
Fit
Improved
Improved
Firm
Firm
Performance
Performance
Fit
Consistency
Organizational
Organizational
Capabilities
Capabilities
Characteristics
HR Strategies
Overall
cost
leadership
Sustained capital
investment and access
to capital
Intense supervision of
labor
Tight cost control
requiring frequent,
detailed control reports
Low-cost distribution
system
Structured organization
and responsibilities
Products designed for
ease in manufacture
Efficient production
Explicit job descriptions
Detailed work planning
Emphasis on technical
qualifications and skills
Emphasis on job-specific
training
Emphasis on job-based
pay
Use of performance
appraisal as a control
device
Characteristics
HR Strategies
Differentiation
Strong marketing
abilities
Product engineering
Strong capability in
basic research
Corporate reputation for
quality or technological
leadership
Amenities to attract
highly skilled labor,
scientists, or creative
people.
Emphasis on innovation
and flexibility
Broad job classes
Loose work planning
External recruitment
Team-based training
Emphasis on individualbased pay
Use of performance
appraisal as
development tool
Common Organizational
Characteristics
Focus
HR Strategies
Combination of HR
strategies above.
Defender Strategy
Prospector Strategy
Work flows
Efficient production
Control emphasis
Explicit job descriptions
Detailed work planning
Innovation
Flexibility
Broad job classes
Loose work planning
Staffing
Internal recruitment
HR department makes
selection decision
Emphasis on technical
qualifications and skills
Formal hiring and
socialization process
External recruitment
Supervisor makes
selection decision
Emphasis on fit of
applicant with culture
Informal hiring and
socialization process of
new employees
Defender Strategy
Prospector Strategy
Employee
separations
Voluntary inducements
to leave
Hiring freeze
Continuing concern for
terminated employee
Preferential rehiring
policy
Layoffs
Recruit as needed
Individual on his/her own
No preferential treatment
for laid-off workers
Performance
appraisal
Uniform appraisal
procedures
Used as control device
Narrow focus
High dependence on
superior
Customized appraisals
Used as developmental
tool
Multipurpose appraisals
Multiple inputs for
appraisals
Defender Strategy
Prospector Strategy
Individual training
On-the-job training
Job-specific training
Make skills
Variable pay
Individual-based pay
Performance-based pay
Decentralized pay
decisions
Low
High
Degree of
Uncertainty
Volatility
Control emphasis
Efficient production
Job-specific training
Fixed pay
Flexibility
Innovation
Generic training
Variable pay
Complexity
High
Broad job classes
Informal hiring and
socialization of new
employees
buy skills
Customized appraisals
Flexibility
External recruitment
Decentralized pay
decisions
Multiple inputs for
appraisals
Competencies Required of HR
Department to Become a Full
Strategic Partner
Leadership
Understand the nature and styles of leadership, and
display appropriate leadership characteristics in
performance of professional responsibilities.
Demonstrate leadership at multiple performance levels:
Individual
Team
Unit or Organization
Competencies Required of HR
Department to Become a Full
Strategic
Partner (cont.)
Knowledge of the Business
Understand corporate business (structure, vision and
values, goals, strategies, financial, and performance
characteristics).
Understand the units business, including special
knowledge of competitors, products, technology, and
sources of competitive advantage.
Understand internal and external customers.
Understand the environment (external and internal) of
corporation and individual businesses.
Understand key business disciplines
Nature, scope, and HR implications of business
globalization
Information technology as it affects
competitiveness and business processes
Competencies Required of HR
Department to Become a Full
Strategic Partner (cont.)
HR Strategic Thinking
Understand the strategic business planning process.
Understand and be able to apply a systematic HR
planning process.
Be able to select, design, and integrate HR systems or
practices to build organizational mindset, capability,
and competitive advantage for the business.
Be able to develop and integrate business unit HR
strategies within framework of corporate HR strategies.
Competencies Required of HR
Department to Become a Full
Strategic Partner (cont.)
Process Skills
Competencies Required of HR
Department to Become a Full
Strategic Partner (cont.)
HR Technologies
All
All HR
HR professionals
professionals should
should have
have aa generalist
generalist
perspective
perspective on
on HR
HR systems
systems and
and practices
practices as
as they
they relate
relate
to
to achievement
achievement of
of business
business competitive
competitive advantage.
advantage.
Generalists
Generalists are
are capable
capable of
of designing,
designing, integrating,
integrating, and
and
implementing
implementing HR
HR systems
systems to
to build
build organizational
organizational
capability
capability and
and create
create business
business competitive
competitive advantage.
advantage.
Specialists
Specialists are
are capable
capable of
of designing/delivering
designing/delivering leadingleadingedge
edge practices
practices to
to meet
meet competitive
competitive business
business needs.
needs.
All
All HR
HR professionals
professionals are
are capable
capable of
of measuring
measuring
effectiveness
effectiveness of
of HR
HR systems
systems and
and practices.
practices.