PERENCANAAN & PENGEMBANGAN SDM

PERTEMUAN KE-2 OVERVIEW STRATEGIC HRM THEORETICAL PERSPECTIVES

1 Maret 2011

Universitas Andalas Padang Fakultas Kedokteran Program Study Psikologi

The Activities of Human Resource Management

Why do employees play important role?

People drive the organizational system. People are essential in realising high performance aspirations. Organizations that manage people well also succeed economically. People are key to organizational success or failure. Investing in people produces future returns.

Hiring and retaining talented people are essential for competitiveness in the 21st century.

What is Strategic Human Resource Management?

Human resource management

Involves attracting, developing and maintaining a talented and energetic workforce to support the organizations mission, objectives and strategies. Is a strategic process.

What is Strategic Human Resource Management?

Strategic human resource management Applies the HRM process to ensure the effective accomplishment of organizational mission and strategies.

What is Strategic Human Resource Management?

Human Resource Planning The process of analyzing staffing needs and planning how to satisfy these needs in a way that best serves organizational mission, objectives and strategies.

What is Strategic Human Resource Management?

Steps in the HR planning process 1. Review organizational mission, objectives & strategies. 2. Review HR objectives and strategies.

3. Assess current human resources.

4. Forecast HR needs.

5. Develop and implement HR plans.

What is Strategic Human Resource Management?

Human resource management process 1. How do organizations attract a quality workforce? Human resource planning, recruitment and selection 2. How do organizations develop a quality workforce? Employee orientation, training and development, and career planning and development 3. How do organizations maintain a quality workforce? Management of employee retention and turnover, performance appraisal, and compensation and benefits.

Organizational Strategy & Human Resource

Sustainable Competitive Advantage An asset is anything the firm owns or controls. Loosely, Asset is to Accounting as Resource is to Management. Types of assets: Physical: plant equipment, location, access to raw materials Human: training, experience, judgment, decision-making skills, intelligence, relationships, knowledge Organizational: Culture, formal reporting structures, control systems, coordinating systems, informal relationships

Organizational Strategy & Human Resource

Sustainable Competitive Advantage

A capability is usually considered a bundle of assets or resources to perform a business process (which is composed of individual activities) E.g. The product development process involves conceptualization, product design, pilot testing, new product launch in production, process debugging, etc. All firms have capabilities. However, a firm will usually focus on certain capabilities consistent with its strategy. For example, a firm pursuing a differentiation strategy would focus on new product development. A firm focusing on a low cost strategy would focus on improving manufacturing process efficiency. The firms most important capabilities are called competencies.

Organizational Strategy & Human Resource

Sustainable Competitive Advantage

A competency is an internal capability that a company performs better than other internal capabilities. A core competency is a well-performed internal capability that is central, not peripheral, to a companys strategy, competitiveness, and profitability. A distinctive competence is a competitively valuable capability that a company performs better than its rivals.

Organizational Strategy & Human Resource

HR as a Core & Distinctive Competency a unique capability in the organization that creates high value and that differentiates the organization from its competitors. There has been growing recognition that human resources contribute to sustaining a competitive advantage for organizations.

Resource-Based Organizational Strategies

The Resource-Based View (RBV) is a strategic management tool used to determine the strategic resources available to an organization. The fundamental principle of the RBV is that the basis for a competitive advantage of an organization lies primarily in the application of the bundle of valuable resources at the organization's disposal.

Resource-Based Organizational Strategies

There are four factors that are important to organizational strategic accomplishments.

Valuable A resource must enable an organization to employ

a value-creating strategy, by either outperforming its competitors or reduce its own weaknesses.

Rare To be of value, a resource must be rare by definition. In-imitable If a valuable resource is controlled by only one Non-substitutable Even if a resource is rare, potentially
organization it could be a source of a competitive advantage.
value-creating and imperfectly imitable, an equally important aspect is lack of substitutability.