Strategic Human Resources Management

1. Strategic Human Resources Management Kong Haiyan

2. Class Activities • Introduction • Group discussion (Role play) • Evaluation (Brainstorming)

3. Instructional Objectives By the end of class today, you willbe able to: • Grasp the concepts of strategy, strategic plan • Understand the strategic HR management • Explain the HRM’s strategic roles • Illustrate and explain the basic model of aligning HR strategy with business strategy

4. Introduction Outline • Key terms • The strategic management • Strategic HR management • HRM’s strategic role • The 10-step HR scorecard process

5. Key Terms • Strategic plan • strategy • Strategic management • Vision • Mission • SWOT analysis • Strategic control

6. Key Terms • Competitive advantage • Leveraging • Strategic human resource management • Metrics • Value chain analysis • Value chain • Strategy map

7. 1.Strategic Management • Strategic plan: A company’s plan for how it will match its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage.

8. 1.Strategic Management • Strategy: A company’s long-term plan for how it will balance its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage.

9. 1.Strategic Management • Strategic management: The process of identifying and executing the organization’s mission by matching its capabilities with the demands of its environment.

10. 2.Strategic HR Management • Strategic HR management: formulating and executing HR systems-HR policies and activities-that produce the employee competencies and behaviors the company needs to achieve its strategic aims.

11. 3.HR Management’s Strategic Roles • The strategy execution role 战略执行角色 • The strategy formulation role 战略规划角色

12. 3.HR Management’s Strategic Roles 1)The strategy execution role • Strategy execution is traditionally the heart of the HRM’s strategic job. • Top management formulates the company’s corporate and competitive strategies • Then, the HR manager designs strategies, policies, and practices that make sense in terms of the company’s cooperate and competitive strategies.

13. 3.HR Management’s Strategic Roles 1)The strategy execution role • The essence of Dell’s competitive strategy has always been to be a low-cost leader • HRM use various HR strategies to support the company’s low-cost aims

14. 3.HR Management’s Strategic Roles 1)The strategy execution role • Dell delivers most of its human resources services, not through a conventional HR department, but via the Web. • A Manager Tools section on Dell’s intranet contains about 30 automatedWeb applications (including executive search report, hiring tools, and automated employee referrals)

15. 3.HR Management’s Strategic Roles 1)The strategy execution role • The intranet also lets Dell employees administer their own 401 plans, check job postings, and monitor their total compensation statements.

16. 3.HR Management’s strategic roles 1)The strategy formulation role • Recently, HRM’s role in executing strategy has expanded to include working with top management to formulate the company’s strategic plan • From execution role– formulation role

17. 3.HR Management’s Strategic Roles 1)The strategy formulation role • Opportunities and threats The HR manager is in a unique position to supply competitive intelligence that may be useful in the strategic planning process • Details regarding competitor’s incentive plans, survey data from employees that elicit information about customer complaints, etc.

18. 3.HR Management’s Strategic Roles 1)The strategy formulation role • Strengths and weaknesses HR management also supports strategy formulation by providing internal human strengths and weakness.

19. 3.HR Management’s Strategic Roles 1)The strategy formulation role Before the new strategic planning, HR should input the data, such as • Are the workforces suitable for the new technology • How many were computer literate • How long it will take to train the employees

20. 3.HR Management’s Strategic Roles 1)The strategy formulation role Before the new strategic planning, HR should input the data, such as • It should be nice to train the current workers or recruit new staff outside • All this provide necessary data for strategic planning • Some firms, even build new strategies around HR strengths.

21. 4.Creating the Strategic HRM System It’s useful to focus on 3 main components: • HR professionals • HR policies and practices • Employees behaviors and competencies

22. 4.Creating the Strategic HRM System • HR professionals The person who hopefully have the strategic and other skills required to build the strategy-oriented HR system

23. 4.Creating the Strategic HRM System • HR policies and practices How the company recruits, selects, trains and rewards employees

24. 4.Creating the Strategic HRM System • Employees behaviors and competencies These are required for the company’s strategy requires, and that hopefully emerge from the HR system’s policies and practices

25. 5. The Basic Model of Aligning HR Strategy with Business Strategy Step 1: Formulate business strategy Step 2: Identify workforce requirement Step 3: Formulate HR strategic policies and activities Step 4: Develop detailed HR scorecard measures

26. Class Work.Developing A HR Strategy for Starbucks The outline should include 4 basic elements: 1.A basic business/competitive strategy 2. Identifying workforce requirement 3. Specific HR policies and the activities necessary to produce fees workforce requirements 4. Suggestions for metrics they could use to measure the success of the HR strategy

27. Thank YouQ & A