Strategic Human Resource Management

1. Strategic Human Resource Management A Definition: The productive utilisation of people to achieve the organisation’s objectives and the satisfaction of individual employee needs

2. The Technician: • Concentrates on personnel administration. Sees contribution as a ‘money saver’ by sticking strictly to the rules and policies. • Seen as faithful hack with limited potential • HR is seen as a necessary administrative expense • HR performance is measured in terms of activities for example, number of people interviewed, number of training programs held etc.

3. The Parasite: • Concentrates on clerical, social and welfare activities. • Little or no acceptance by Management. • Management sees HR as an overhead and is uncertain as to what its real roles is. • Manages performance in terms of maintaining good relationships (especially with supervisors).

4. The Theoretician: • Concentrates on ‘State of the Art’ professionally interesting activities. • Concerned with accreditation and ‘professional’ status. • Low acceptance by Management. • Management sees HR as disposable in hard times. • HR specialists seen as ‘theoretical’ purveyors of fads who do not understand the business. • Sees emphasis on ‘bottom line’ results as demeaning.

5. The Professional: Concentrates on HR activities which add value to the bottom line and help achieve the organisation's objectives. Low concern with job security as HR personnel are seen as high potential managers. Seen as an integral part of the management team with an intimate knowledge of the business. Believes HR must be subject to audit.

6. GOLDEN RULES FOR HRM The HRM ‘service’ function should always be carried out as close as possible to the operational coal-face. The HRM strategic function should always be carried out as close to the strategy and policy-decision maker as possible. The HR Manager should never have ‘line’ authority – its only power should be through influence via its know-how, skills and expertise. The best manager of human resources is not the HR Manager, it is the Line Manager who is well trained and who gets good advice!

7. Workforce Planning:Succession Planning:Job Analysis:Recruitment and Selection:Induction:

8. Training and Development:Performance Appraisal:Industrial Relations:

9. There should be a visible and natural flow from the Corporate Strategic Plan, to the Business Unit Plan, to Manager’s Achievement Plan and the Performance Review process of all employees.