Human Resource Management Strategy and Analysis: DR - Arunabala

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HUMAN RESOURCE

MANAGEMENT STRATEGY
AND ANALYSIS
Dr.Arunabala
Strategy
A course of action the company can pursue to achieve its strategic aims

A course of action chosen to deal with the problems

• PepsiCo and Coco-Cola

• Indigo and Vistara


• Strategic plan is the company’s plan for how it will match its internal strengths
and weakness with external opportunities and threats in order to maintain a co
mpetitive advantage.

•Strategic management is the process of identifying the strategic plan and exec
uting it.
How it is connected to planning?
•Planning is always goal-directed.

•From where you are to where you want to go.

•Strategy decides the goal

•Planning decides policies and procedures:

•Policies: day to day guidance employees need, to do their jobs in manner that is
consistent with company’s plans and goals.

•Procedures : Spell out what to do if a specific situation arises


How do we identify strategic plan
for a company?

Products/ Environmental Vision Strategic Choice of Strategy


services scanning statement goals strategies execution
&mission

Translate Formulate
Perform
Define the Formulate a the mission strategies to Implement
external and Evaluate the
current new into achieve the the
internal performance
business direction strategic strategic strategies
audits
goals goals
How does external and internal audit works
?
PESTEL and SWOT analysis

Top trends Industry implications Potential company


strategies

Political
Economic
Social
Technological
Environmental
Legal
SWOT analysis
Key terms
• Vision statement: A general statement of the firm’s in-
tended direction, it shows, in broad terms, “what we
want to become”

•Mission statement: Summarizes the answer to the


question “ what business are we in?”
Types of strategies
Levels of strategies:3

•Corporate level
•Business Unit/competitive strategy
•Functional
CORPORATE STRATEGY
COMPETITIVE STRATEGY
COMPANY WIDE STRATEGIC PLANNING

Corporate Level Business unit Functional

Setting How do we How do we


What do we Defining the Designing
company compete? support?
want to do? company the business
objectives
mission portfolio
and goals
FUNCTIONAL STRATEGY
QUICK CHECK

Dell Acquires Intel


BACKWARD

United airlines acquires American HORIZONTAL


airlines
UNRELATED
Microsoft acquires Prentice-Hall

Breezes Resorts-caters to couples FOCUS


without children
COST-DIFFERENTIATION
Martuti Suzuki vs BMW

Café Coffee Day acquired SICAL BACKWARD

COST-DIFFERENTIATION
Air Deccan
Today‘s class activity
Developing an HR strategy for CCD

Cafe´ Coffee Day (CCD) was an early entrant into the coffee chain business in India and played a crit
ical role in establishing coffee culture in the country. The company aspires to become the best Cafe´ c
hain that offers great experience at affordable prices. However, with the entry of global competitors li
ke star bucks and Cost Coffee, and evolution of a new tea culture, CCD is facing challenge. If appropr
iate strategies are not developed, sales per store can decline which would affect its growth and profit
ability. Overall business of CCD took a hit after the death of its founder V.G.Siddhartha. In addition,
Covid-19 and the lockdown hurt business. Company officials said a major chunk of profits comes fro
m over 59,000 CCD vending machines installed in offices — something hit hard by the lockdown. Yo
u need to help the top team to formulate a new direction.
Now how do you see this for CCD?

If you were the HR head at CCD, what


would be your course of action?

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