SHRM

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THE CONCEPT OF SHRM HENDRY AND PETTIGRE`S TYPOLOGY SHRM-A NEW APPROACH STRATEGIC FIT STRATEGIC INTEGRATION THE REQUIREMENTS OF SHRM

THE CONCEPT OF SHRM

SHRM is an approach to making decisions on the intentions of the organisation concerning people essential components of the organisation`s business strategy. It is about the relationship between HRM and strategic management in the organisation. SHRM deals with `those HR activities used to support the firms competitive strategy (Wright & Snell, 1989). The Means of aligning the management of Human Resources with the strategic content of the business (Walker, 1992)

HENDRY & PETTIGRE`S TYPOLOGY

According to Hendry and Pettigrew (1986), SHRM has four meanings: 1. The use of planning 2. A coherent approach to the designed management of personnel systems based on an employment policy and manpower strategy and often underpinned by a philosophy. 3. Matching HRM activities and policies 4. Seeing the people of the organisation as a strategic resource for the achievement of competitive advantage.

THE MAIN FEATURES OF SHM

According to Dyer and Holder (1988): Organisational level Focus-strategies are business driven and focus on organisational effectiveness, thus in this perspective people are viewed as resources. Framework: incorporate a full complement of HR goals and activities. Roles: strategy-making generally is the responsibility of line managers, with personnel playing a suppotive role.

SHRM-NEW APPROACH
SHRM means Strategic Fit SHRM means Strategic integration SHRM means competitive advantage SHRM means long term consequences SHRM means deployment of committed, dedicated and retainable workforce. SHRM means distinctive capabilities

STRAEGIC FIT
A `fir` organisation possesses the capabilities to successfully implement its strategy. These capabilities include: Coordination Commitment Competence (technical, management & leadership) Communication Creativity Capacity management-allocating resources to fit the strategy.

STRATEGIC INTEGRATION
HR strategies should be integrated with corporate or business strategies. Strategic integration is necessary to provide congruence between business and human resource strategy so that the latter supports the accomplishment of the former and indeed helps to define it. The aim is to provide strategic fit and consistency between the policy goals of HRM and the business.
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MODELS FOR SHRM

THE HIGH COMMITMENT MANAGEMENT MODEL THE HIGH PERFORMANCE MANAGEMENT MODEL THE HIGH INVOLVEMENT MODEL

THE HIGH COMMITMENT MANAGEMENT MODEL The approaches to achieving high commitment as described by Beer et al (1984) and Walton (1985) are: The development of career ladders and emphasis on trainability and commitment as highly valued characteristics of employees at all levels in the org. High level of functional flexibility The reduction of hierarchies Mutual interest

THE HIGH PERFORMANCE MANAGEMENT MODEL

HPMM aims to make an impact on the performance through its

people in such areas as productivity, quality levels of customer service, growth profits. Careful and extensive systems for recruitment, selection and training Clear job design High-level participation processes Monitoring attitudes Performance appraisal Promotion and compensation schemes

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THE HIGH INVOLVEMENT MODEL Treating employees as partners in the enterprise. Dialogue Mutual understanding Framework for managing and developing people Shared vision and corporate culture Unified voice In matters

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THE REQUIREMENTS OF SHRM

Strong visionary, and often charismatic leadership from the top. Well articulated missions and values A clear expressed business strategy, which had been implemented successfully. A positive focus on well understood critical success factors. The organisation offers a closely related range of products or services to customers.

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