Strategic Hrm Essay

Words: 2443
Pages: 10

Why is strategic HRM so important for organisations? Explain how strategic HRM can be facilitated and how it can contribute to an organisation.

Strategic HRM: can be defined as the linking of human resources with strategic goals and objectives in order to improve business performance and develop organizational culture that brings up innovation, flexibility and competitive advantage. Strategic HRM involves setting employment standards and policies. Moreover it is not any particular human resource strategy but it is a framework for shaping and developing many people management strategy. (Sarah Glimore and Steve Williams, 2009) It is the pattern of planned HR operations and activities intended to help an organisation to achieve its
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Job description means clearly defined task so that employees know what is expected of them. It is recognised in the study that these strategic HRM practices are empirically related to the overall product/service performance and financial performance of the organisation (SYED AKHTAR , DANIEL Z . DING AND GLORIAL.GE, 2008)

Globalization is a core reality and need in today’s business world to succeed; therefore many organisations are now operating globally. For organisations operating globally HRM is an important issue and can be critical factor for their success and failure. It is widely believed that strategic HRM can be used as a means of achieving a sustainable advantage when the organisations are functioning on a global scale. Strategic HRM can be very helpful to manage with the dynamic and volatile global business environment. It includes functions of domestic HRM as well as responsibilities and issues of global operations such as managing employee performance in a multicultural environment, training and development, sourcing employees, managing employee relationships, and compensation practices. Moreover managing different groups of people is a very complex, as the multinational context consists of variety of organizational designs and cultural variables, along with distinct strategic intentions. (Korte, Russell., 2007)
A study was conducted to examine the importance and impact of strategic HRM capabilities on the firm’s