HR STRATEGIES

Concept of strategy
The direction and scope of an organization
over the long term.
It should match the resources of the
organization to its changing environment
(markets, customers and other stakeholders).
Strategy determines the direction where the
organization is going

Concept of strategy
It is a long term plan
It is the pattern of the organizationss behavior
over time (descriptive meaning of strategy)
It is a perspective : a fundamental way of
doing things (mission)
A ploy: a specific manoeuvre to outwit a
competitor
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What gives the firm competitive
advantage?
Unique
(differentiation, focus)
Hard to copy
Sustainable
The concept of strategic management
Vision and mission
Strategic goals
Strategic plans
Implementing the strategy
(business strategy via functional strategies)
Managing strategy itself (goals, plans,
implementation)

Strategic fit
Capabilities and resources to the environment
(opportunities and threats)
The business (or corporate) strategy to
functional strategies and strategies of business
units
Every part of the strategy area should be
mutually supportive

HR strategies (as a part of HRM)
What are HR strategies?
HR strategies set out what the organization
intends to do about its human resource
management policies and practices and how
they should be integrated with the business
strategy and with each other. Key elements:
Strategic objectives
Plan of action
There is no great strategy only great
execution (Gratton 2000)
A good HR strategy:
satisfy business needs
is founded on detailed analysis
can be turned into actionable programmes
is coherent and integrated
takes account of the needs of line managers,
employees and other stakeholders
An HR strategy can be
Overarching / overall / general
Specific: focuses on specific areas
Talent management
Development
Reward management

Overall HR strategies
describe the general intentions of the
organization about how people should be
managed and developed and what steps
should be taken to ensure that the
organization can attract and retain the people
it needs; and ensure that employees are
committed, motivated, engaged.

Categories of overall strategies
Evolutionary approach to HRM.
Broad-bush statements of aims and purpose that
set the scene for more specific strategies.
Specific and articulated plans to create sets of HR
practices and develop a coherent HR system.
Conscious introduction of overall approaches to
HRM such as:
High-performance management
High-involvement management
High-commitment management
High-performance management
Aims to effect organizational performance
through people.
HRM areas involved
(HPWS high performance work systems):
Recruitment & selection
Training and development
Reward management
Performance management
High-involvement management
Commitment ad involvement opposed to
bureaucratic control.
Treating employees as partners. Providing
opportunity for the employee to control and
understand their work.
Communication for mutual understanding.

High-commitment management
A form of management aimed at eliciting a commitment so
that behavior is primarily self-regulated rather than
controlled. Organizational relations based on trust.
Approaches to achieve commitment:
Career ladders and emphasis on trainability
Functional flexibility
Reduction of hierarchy, ending of status differentails
Reliance on teams: dissemination, structuring work, problem
solving
Intrinsic satisfaction via job design
Permanent employment with temporary workers
Merit pay and profit sharing
Involvement in quality management
Specific HR strategies
HC management
High-performance management
Corporate social responsibility
Organization development
Engagement
Knowledge management
Resourcing
Talent management
Learning and development
Rewarding
Employee relations