Strategic human resource management

Strategic Human Resource Management: An Historical Perspective

One of the principles of modern organizations is that Human Resource Management (HRM) needs to have a strategic role in business management. Mary Lippitt (2007), points out the failure to execute is a major concern of executives because it limits organizational growth, adaptability, and competitiveness. Executives are not judged by the brilliance of their strategy, but by their ability to implement it. The problem is how to close the gap between strategy and actual results. This paper looks at three articles written over the past 30 years that examine the role of human resources within an organization.

In 1984 Lloyd Baird and Ilan Meshoulam wrote of the changing role of the Human Resource (HR) specialist. They listed five sets of skills needed to be an effective Human Resource Manager; managing information, managing planning, managing strategy, integration and managing change and development. The authors note that if the Human Resource manager is to become a contributing member of top management they must fully integrate human resource into strategic business planning. They define this as identifying the strategic goals of the organization and using them as a basis for HR program practices and procedures such as adopting a strategic orientation and accurately assessing the needs of the corporation and the nature of the constraints programs and opportunities it faces and develop and implement human resource programs and policies that meet the needs of the organization.

In 1999 Senga Briggs and William Keogh wrote that developing a human resource strategy to support the business plan requires human resource management planning to be recognized as a fundamental par t of the business planning process. Integrating human resource strategy and strategic planning is fundamental to achieving business excellence. The authors argue that organizations must recognize the importance of investment in employee development as the means of retention and reward, rather than crude pay. Furthermore, Human Resource Management must develop a mind-set that focuses on motivation, reward, and development strategies. The authors contend that successful strategic planning seeks input from all stakeholders, including the shareholders, customers, suppliers and others. The capacity of the organization to learn is fundamental to improvement. The learning component of human resource strategy becomes the business's own learning strategy. The function of HR management is the development f a learning organization.

In 2009 Becton and Schraeder assert that an integral component of organizing and staffing is Strategic Human Resources (SHR), which is critical to developing and implementing considered responses to profit pressures. SHR is transformational, consultatively oriented, and views the organization in terms of the big picture. SHR is concerned with the contributions HR strategies make to organizational effectiveness, and how these contributions are accomplished. SHR involves designing and implementing a set of internally consistent policies and practices to ensure that an organization's human capital, that is their employees' collective knowledge, skills, and abilities, contributes to overall business objectives.