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Submitted by oppapers on November 14, 2001
Category: Business
Words: 5299 | Pages: 22
Views: 3199
Popularity Rank: 362
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Q. Critically analyse the article for the meaning of strategic human resource management and identify the factors impacting on strategic human resource management in contemporary organisations.
Before an argument can be put in place about whether human resource management (HRM) can be strategic, we need to be aware that human resources (HR) is more then maintaining personal functions. Corporate and economic developments since the 1950¡¦s have dictated that businesses, to remain competitive, need to view HRM as an evolutionary process which combines the HR functions with the HR policies and strategies, with the business strategies and management teams, with all stakeholders (Unions and Governments) and with the organisation and understanding of the actual employees themselves. Strategic HRM is about aligning the abilities and desires of the employee with the needs of the business so that the corporate objectives can be met. HRM can no longer afford to be viewed as simply an administrative task. Corporations need to have ¡¥proactive¡¦ policies to attract and retain the right type of people to their business and in this ever changing and uncertain economic climate the management of employees takes on an even greater role.
Using the VIRO (value, rareness, imitability, and organisation) human resources can be proven to be strategic and therefore, provide firms with a competitive advantage through its people. The article by Barney and Wright (On becoming a strategic partner: The role of human resource management in gaining competitive advantage ¡V page 32) states that companies can achieve this competitive advantage on three levels, those being through the use of physical capital resources, the organisational structure and the human capital resources. The article by Schuler and Jackson titled ¡¥Linking Competitive Strategies with Human Resource Management Practices¡¦ states on page 208 that competitive advantage can be achieved through...
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