Strategic Human Resource

Management (SHRM)
SHRM Definition
Link all HR Activities to the Organisations
Strategic Objectives

Strategic HRM is an approach that defines

how the organizations goals will be achieved
through people by means of HR strategies
and integrated HR policies and practices.
Strategic human resource management : a guide to action, Michael Armstrong, 4th ed.
Functions Of S.HRM
Adopting HR Programs to
enhance overall organizational
performance .
Pro-actively participate in big
picture decision making
Redesign organizations and
the work processes
Measure financial results of all
HR activities
 2
1
3

4
5
 1.Scanning the
Environment
The process begins with the scanning of the
environment, i.e. both the external and internal factors
of the organization, For the purpose of data collection.

External environment :political, legal, technological,

economic, social and cultural forces
Internal Environment :organizational culture,
hierarchy, business processes,, industrial relations,
etc.
2. Identify Sources of
Competitive Advantage
Major Sources are ,
product quality
price
customer service
brand positioning
delivery, etc.
3.Identify HRM
Strategies
HRM strategies are intended to develop &
enrich employee skills.

Major Strategies (3)

a)Learning as Socialization
b)Devolved Informal Learning
c) Empowered Informal Learning
a. Learning as
Socialization
This strategy includes the techniques like,
training courses,
coaching sessions,
education programmes
to ensure that the employees abide
by the rules, value and beliefs of an
organization and are able to meet the
performance targets.
b. Devolved Informal
Learning
making the employees aware of the learning
opportunities and the career development.
There by enriching the skills of employee
C. Empowered Informal
Learning
The HR department focuses on developing the
learning environment such as
knowledge about the new processes
designing of new work areas
About provisions of shared spaces
4. Implementing HR
Strategies
Once the strategy has been decided the next
step is to put it into the action.
The HR strategy can be implemented by
considering the
HR policies
plans
and practices, of the organization.
 5. Monitor and
Evaluation
The final step in the strategic human resource
management process is to compare the performance of
the HR strategy against the pre-established standards.
Includes
establishing the performance targets and tolerance
levels
analyzing the deviations
executing the modifications
Roles of the HR
Manager IN
Strategic HRM
The Multiple Roles
4 key roles for HR
managers
Strategic Partner
Administrative
Expert
Employee Advocate

Change Agent
 Limitation Of SHRM
Time-Consuming
Challenging Process
Absence of Short-Term Benefits
Unexpected Outcomes
Poor Adaptability