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HR PRACTICES THAT YIELD THE BEST PERFORMANCE

Session 2: The Strategic Orientation in Human Resources Management

Respicius Shumbusho Damian, BA, MA (Public Administration) Director, Senior Consultant, Researcher, and Trainer Shumbusho and Associates Consulting (T) Limited P.O. Box 4859, Dar es salaam Phone: Phone: +255736403442 Cell: +255 772 228 318 Mob: +255 786 428 318 E-mail: saconsultingtz@gmail.com

Session 2: Learning Objectives


At the end of this session, the participants should be able To understand and explain HRM from a strategic perspective To distinguish horizontal strategic alignment from vertical strategic alignment To identify the core strategies of their organizations at different levels To develop well aligned HR (and other Management) strategies for their organization (s)
9/7/2013 The Strategic Orientation in HRM 2

What is not strategic today?


Think of: Strategic Strategic Strategic Strategic Strategic Strategic Strategic Planning planning Implementation Training decision making management HRM Business Almost each and everything on earth is becoming strategic (in theory). What is not strategic? Yes, but in most cases (in practice) very few things are done strategically..Strategic is just a well sounding premodifier for the management pundits
Tom Peters and Bob Waterman (1999), In Search of Excellence, pp. 9

What is strategic in HRM


The best thing to note is that; HRM is itself strategic even without premodifiers It replaced the old employees management methods, which were not strategic. Such models treated Employees Management as a remote organizational function in the backyard offices full of dusty files of employees records. HR personnel were not taken as thinkers, but just as mouthpieces of the top management In the simplest term, being virtually strategic means doing everything we do strategically. So, if planning is strategic, implementation has to be strategic. If we have a business strategy, we must also have a HR strategy, Operations strategy, marketing strategy, retention strategy, etc. SO; WHAT IS SHRM?

Strategic Human Resources Management is a new model of managing organizational workforce that emphasizes on strategic alignment between organizational goals and the goals of individuals who work in organizations. SHRM takes an employee as an important factor in organizations success. It assumes that the organization can succeed only if the employees want it to succeed (which is possible if they are assured of their own success). Batch (2005) writes

SO; WHAT IS SHRM?..................


HRM as a new model of
managing workforce, which assumes that the interests of employees and employers will coincide and is preoccupied with the shared goal of organizational effectiveness that marginalizes the interests of other stakeholders such as employees. HRM is also predominantly focused on the individual and seeks solutions to HR problems within the firm, with an analytical focus on the motivations and aspirations of individual employees. Bach (2005) P. 4

The other important thing is; Human Resources Management in its strategic orientation assumes that for the organizations human resources management to be effective there should be strategic alignment between organizations HR processes and strategies on one hand, and the organizations strategic goal (core objective, vision, mission, and values and the general operation plans and strategies).

Types of Strategic Alignment


There are two types of strategic alignment. These are: Vertical Alignment: The extent to which organizational functions, processes, plans, units, and decisions are well shaped to achieve organizations core strategic goal and objectives. Horizontal Alignment: Organizational functions, units, plans, and decisions must strategically support each other. For example, if the advocacy unity is planning to reach and help more people in 2014, the HR training plan must also give priority to training programs in advocacy skills and recruiting more people in that function.
Fund Raising Strategy

Organizational Strategy

HR Strategy

Advocacy Strategy

Motivation & Rewarding

HRM Strategy

Training& Development

Recruitment & Selection

SO; WHAT IS SHRM?


There are two types of strategic alignment. These are: Vertical Alignment: The extent to which organizational functions, processes, plans, units, and decisions are well shaped to achieve organizations core strategic goal and objectives. Horizontal Alignment: Organizational functions, units, plans, and decisions must strategically support each other. For example, if the advocacy unity is planning to reach and help more people in 2014, the HR training plan must also give priority to training programs in advocacy skills and recruiting more people in that function. Pair Exercise: Think of these scenarios and find out about the level of alignment. Identify the fallacy in each of the scenarios
1. We need to be food self sufficient, we cultivate more coffee 2. We want to fight poverty, we call for more investors 3. We need to harness technology, send people to study it 4. We need to increase voter turnout, provide civic education 5. We want to control population growth, improve health facilities

Group Exercise: Go back to your own organization. In groups of three or four, study the flowchart in the next slide and discuss how to establish strategic alignment vertically and horizontally. Use 5 minutes to explain to the participants.

Horizontal and Vertical Strategic Alignment Flowchart


Organizations Core Goals: .

. Vision and Mission 1. Core HR Strategies .. 2. Core .. Strategies 3. Core Strategies Training Strategy:
Motivation Strategy: