H&M Hr Strategy

4101 WordsApr 5, 201117 Pages
HUMAN RESOURCE MANAGEMENT Human resource management is the process of acquiring, training, appraising, and compensating employees, and of attending to their labor relations, health and safety, and fairness concerns. HRM includes five major functions: * Planning: establishing goals and standards * Organizing: giving each subordinate a specific task * Staffing: determining what type of people should be hire * Leading: getting others to get the job done * Controlling: setting standards and comparing the actual performance with actual standards. ‘Human resource management is a strategic and coherent approach to management of an organization’s most valuable assets. The people contribute individually and collectively to the…show more content…
The annual report of the company for the year 2008 mainly emphasize that ‘quality’ relates to two things; products of the company exceeding expectation of the company and the second is that the customers are being satisfied with the company. Commercial mindset, simplicity, constant improvement, cost consciousness and entrepreneurship are the main strong values of the company. (AR1 2008) Long term strategic goals of H&M In the annual report for the year 2008, the CEO of H&M Rolf Ericsson said that the long term goals of the company is to “Make fashion available to everyone, give the customer a fashion experience that strengthens H&M brand”. They also state that the goal of the company is also to increase the number of stores to 10 to 15% every year while focusing on continued profits and quality of the products. In 2010 the company plan to add around 240 more new stores. Execution of the strategy To achieve the targets H&M has to focus on the following main aspects of its business concept: * Price: the price can be controlled by limiting the middlemen, buying the right product from right production markets, effective distribution procedures, reducing economies of scale by buying in large volume. * Design: in-house designing of the products and then completely outsourcing it. * Quality: quality conscious with extensive testing with least damage to environment. * Merger and acquisitions: continue acquisitions and mergers will be
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