Reading Journal for Week 2: Exploring Strategic Fit

Read the reading for this week (Wei, L. (2006). Strategic Human Resource Management:
Determinants of Fit, Research and Practice in Human Resource Management, 14(2), 49-60.and
answer the three questions about the reading.
a. Why is Horizontal and Vertical Fit considered important for building strategic
competitive advantage?
A competitive advantage for a company is the most important thing over its competitors. The human
resource of a company is the key to achieve that competitive advantage and sustain it. Therefore the
HR of a company should be inimitable and capable enough to align the employees satisfaction in the
attainment of the companys goal.
The horizontal fit allows the company to hire and retain competent employees while the vertical fit
help the HR manager to strategically align the competencies of those employees is such a way that
the companys objective is achieved. For example; a companys competitive advantage relies on the
innovation and differentiation in its products, therefore, the company need to employ people who are
creative (to bring new and innovative ideas) as well as helps in maintain the competitive advantage.
b. How does the author suggest that an HR Manager can contribute towards strategic
competitive advantage?
The HR department can be considered as the backbone of the company because of the fact that its
policies and procedures, as well as decisions can uplift the company or run the company into crises.
The selection and retaining criteria of the HR manager can contribute towards the strategic
competitive advantage. The contribution is in such a way that the manager can hire competent and
inventive thinkers who are the most appropriate for the job or position they hold (i.e. person to job fit
is good) and he can layoff those employees who are the creating hurdles to maintain the competitive
advantage because they may not be ready to get out of their comfort zones.
Therefore, in my point of view, HR manager holds the key to success of the company through his/her
policies and practices with in the company.