Strategic Human Resource Management ( Shrm )

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INTRODUCTION Strategic management is the set of actions and managerial decisions which influence the performance of the organization. It is the action taken by company for superior performance. Adding strategic to HRM increases its importance within organization. There are many HR academicians and HR practitioners who view if HR policies are strategically designed and integrated with business strategy it will contribute to organization’s effectiveness. Strategic Human Resource Management (SHRM) is the planned activities of HR in order to achieve organizational goal. A pre-defined HR strategy would bring new capabilities in SHRM.SHRM is based on 2 principles – strategic importance of HR in organization and the HR practices which bring…show more content…
This involves identifying relationship between employees, HR strategy and organizational efficiency (Boxall and Purcell, 2011). Thus, SHRM leverage the potential of HR which help in achieving organization’s goal. Employees should believe that if they become ineffective, the organization will become unprofitable and it is not in the best interest of employees. Thus, SHRM believes in motivating, supporting and developing employees to achieve organizational goal. This perspective or viewpoint has given rise to SHRM. SHRM is scientifically connecting HR with the organization; more specifically; it refers to integration of HR strategies with business strategies. HR strategies are the plans that solve and address issues related to HR within organization (Bratton and Gold, 2012). It is believed that integration of HR strategies with business strategies bring organizational efficiency. HR strategies should function constantly as a fundamental part of overall business strategy. SHRM can function as fundamental part of business strategy as HR function as an administrator to business, it implements all the strategies developed by top management, it also contributes in formulation of those strategies and it contributes equally to business development as any other department. SHRM can be integrated with business strategy in two manners- first order decision (address issues related to mission and vision) and second order decision (address issues related to HR
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