The aim of strategic human resource management is to aid the companies in meeting employee needs and at the same time promoting the goals of the company as well. Human resource management or HRM is concerned with business aspects that deal with employees. These aspects include training, benefits, hiring and firing, pay and administration issues. The HR department also offers vacations and sick days, safety procedure information and work incentives.

What Is the Role of Strategic Human Resource Management?

Strategic HRM is concerned as a primary part along with the human resource capital of a company. It focuses on the long-term people issues of an organization and helps in the creation of an organizational structure that is prepared to adapt to changes like mergers, downturns and acquisitions. The strategic HRM emphasize on the betterment of the code ethics of the organization, as well as on managing the impacts that the business decisions of a company are going to have on the society at large.

What Does Strategic Human Resource Management Include?

Strategies for Organizational Leadership

Leaders and corporate executives of any organization are pivotal for achieving the goals of that company. The recruitment and selection of these company heads and executives is done by the HR department, as it has earned the respect of the decision makers for their excellent staffing decisions made in the past. The HR professionals who are business partners as well have to take leadership seriously especially when making decision and offering ideas to the leaders of the organization.

Strategies for Talent Growth

Among the assets of the company, human capital talent is by far the most important. It is the job of the human resource management for evaluating the human resource needs of the company in the future and making plans for retaining and recruiting the best talent. Another element of strategic human resource management is continuous development and training of the employees. HRM also shoulder to identify the competencies that are required for a job including skills, knowledge and abilities, as well as develop job descriptions that explain the responsibilities of each job.

Strategies for the Promotion of High Performance

Defining the performance measures is considered an important measuring scale for an organization, according to the American Management Association. The workplace behaviors have a major impact on the failure or success of a company and the top leaders play a role in getting the employees to realize this. HRM strategies are meant to give the leaders a chance to come up with an organizational culture that it inductive to working for employees. Employees in a high-potential organization are known for their creativity and high performance levels.

Planning Strategies

Strategic planning is considered as the prime success reason by successful companies for what they have gained with their employees and customers. Strategic human resource management is extremely necessary for laying the foundations of strategic planning. HRM performs an important role in retaining top talent and determining the satisfaction of customers through employee satisfaction surveys and customer interviews respectively.

Here a video explaining specifically what HRM is doing:

How to Develop Strategic Human Resource Management


Human Resource Planning

Small companies who do not have the resources available to them as larger companies do should create the human resource plans according to their limitations. Instead of the benefit and training programs, the small companies should offer an on-site training program for the employees offered by the senior members and coaching sessions that can improve and enhance the performance levels of the employees.


Employee Development

Employee development is a key factor in strategic human resource management. The initiation of this process starts when new employees are being recruited, and interviews are being held for prospective employees. Improving the interviewing techniques can go a long way in eliminating the applicants that are not suitable for the company.


Employee Training

A newly inducted member of a company can learn a great deal about the projects of the company and its policies if an effective mentoring and training program is provided to him during his initial days. Companies must make use of coaching, regular assessment and continual training programs to get the employees performing to the best of their ability. Developing the employees by offering them adequate training can prove to be very valuable for a company.


Improving Employee Performance

Both small and large companies have to implement strategic human resource management. For the large companies, it involves the creation of a whole HR department that focuses on the development of the human capital of the company. For small companies, it involves the owner offering assistance and assessment to his employees. The quality of the employees can be significantly improved by offering them support or tools they need to succeed.


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