Human Resource Management

Human Resource
Management
Topics
Session 1 Session 2
March 18, 2023
March 11, 2023
• Human Resource Planning • Job Analysis
• Course Orientation • Recruitment of Employees
• • Career management and
Concept of Strategic Human • Selection of Employees
Resource Management devlopment
Session 3 Session 4
April 1, 2023
March 25, 2023
• Training and Development of • Employee benefits and Services
employees • Basic labor law, employee
• Performance review and relations and discipline
appraisal • Employee morale and motivation
• Changes in Personnel Status
General Objectives
This course provides a comprehensive and up-to-date study in strategic human

resource management (SHRM). It aims to provide students and practicing
managers with an in-depth view of essential concepts and techniques and focuses
particularly on practical applications, examples and cases that students and HR
managers can utilize in gaining insights into the subject.
Strategic Human Resource
Management
Learning objectives
● Conceptual Background
● Models of SHRM
● Characteristics of SHRM
● SHRM Framework
● Emerging HR Scenario
Conceptual Background
SHRM is a pattern of planned HR deployments and activities intended to enable a firm to achieve its goals.
SHRM can be seen as an organizational system designed to achieve sustainable competitive advantages through people. As
a process, SHRM can be seen as a mechanism of linking HR practices to business strategies.
SHRM is a process that involves the development of HR Strategies that are integrated vertically with the business strategy
and horizontally with one another. It deals with people issues that affect or are affected by the strategic plans of the
organization.
Model of Strategic Human Resource Management
The matching model It is described as the hard approach to HRM as it holds a less humanistic view.
The model is used to facilitate the

achievement of the objectives of the
organization in terms of efficiency in
productivity and profits. However, the model
has less focus on the employees’ welfare,
training and development. Employees are
perceived as a resource that enables the
business to meet its commercial targets and
business strategy.
Model of Strategic Human Resource Management
The Harvard model is an HR model that takes a more holistic approach to HR, including different levels of outcome.
• The model starts, on the left, with stakeholder interest.

These stakeholders include shareholders, management,
employee groups, government, and more. These interests
define the HRM policies.
• At the same time, situational factors influence these

interests. Situational factors include workforce
characteristics, unions, and all the other factors that were
also listed in the 8-box model.
• Situational factors and stakeholder interest influence HRM

policies. These include the core HR activities, like
recruitment, training, and reward systems.
• When done well, HRM policies lead to positive HRM

outcomes. These include the previously mentioned
retention, cost-effectiveness, commitment, and competence.
• These positive HRM outcomes lead to long-term

consequences. These can be individual, organizational, and
societal.
Characteristics of
SHRM
Characteristics of SHRM
Vertical Fit
It is concerned with ensuring integration of HRM with strategic management process. The key aspects of a
vertical fit are:
• The organizational vision is used to provide a primary frame of reference for laying down the HR vision and
plan.
• HRM activities are designed keeping the organization’s strategy in mind.
• Organizational strategy is also designed keeping in mind HR issues.
• Top-level strategic teams include HR head or executives.
• Inputs about HR are considered an integral part of the organizational strategy.
• There is existence of a comprehensive exchange and feedback mechanism between senior managerial team
and the HR department.
• Senior HR executives are provided training in general managerial skills.
Horizontal Fit
It is concerned with ensuring integration at the same level. This involves two types of fit- internal and
external fit.
Internal Fit
It involves integration between the various HRM sub functions or sub systems, such as staffing,
compensation and training.
• The HR vision helps integrate all the HRM activities.
• HR policies, such as recruitment, training, and reward, are consistent with each other. There is a common
vision that runs across these sub-functions. All HRM activities are, thus, integrated and coherent with each
other.
• An information sharing mechanism between HR sub-areas exists.
• A coordinating mechanism between HR sub-functions is established.
Horizontal Fit
External Fit
This is concerned with the integration between HRM and other functional areas, for example, marketing,
finance and operations. The key aspects are:
• Consistency of HR activities with other functional activities is established by aligning all functional areas with the
organizational vision and strategy.
• All managers are in some way HR managers, as they all deal with people issues.
• HR decisions are taken jointly with managers of other areas.
• Managers of other areas are actively involved in HR activities, such as recruitment, selection, training, appraisal,
and compensation.
SHRM Framework
The model shows HR strategies being
integrated with corporate strategies. Both
corporate and HR strategy influence each
other.
HRM is viewed in the larger

organizational context. HR department
has a vision, envisioned in line with
organizational vision. HR activities are
aligned with this HR vision. This in turn
generates specific HR strategies in key
areas.
Changing HR Roles
Traditionally, HR professionals have been seen as “ company
morale officers or discipline officers who do not understand the
business realities of the organizations and do not contribute
measurably to the strategic success of the business.
It is interesting to note that the HR department now considered

to be a potent powerhouse for strategic management. The tales
of HR executives' graduating from mere organizers of company
picnics to strategic decision makers.
Role of Functional Managers
Decentralization of responsibilities to functional managers has been viewed as a key

characterisctic of SHRM. The idea is to integrate HR with other functions such
maerketing, finance, and operations.
The line managers or functional area managers are spending more of their time on HR
activities, such as selection, training, appraisal and employee relations. Functional
managers are aligning with HR managers to carry out HR tasks and acitivities.
Role of Top Managers in HR
Top-level managers provide visionary leadership, define purposes and values, and set
the organization’s direction. They develop the overall business strategies and ensure that
functional strategies for marketing, product development, operations, IT, and HR are
designed and implemented in ways that provide sustained support to the achievement of
business goals.
Thank you!

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Human Resource

This course provides a comprehensive and up-to-date study in strategic human

The model is used to facilitate the

• The model starts, on the left, with stakeholder interest.

• At the same time, situational factors influence these

• Situational factors and stakeholder interest influence HRM

• When done well, HRM policies lead to positive HRM

• These positive HRM outcomes lead to long-term

HRM is viewed in the larger

It is interesting to note that the HR department now considered

Decentralization of responsibilities to functional managers has been viewed as a key

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