Why The Human Resource Function Should Be Aligned With An Organization 's Strategic Plan

Human resource departments today have a more distinct, calculated position within organizations, and human resource strategy influences the bottom line. “One of the challenges for HR leaders is convincing executive leadership teams that human capital is one of the most important resources in which the company can invest” (Mayhew, 2014, p.). Subsequently, “this return on investment is an essential part of the argument for including HR as part of an overall business strategy” (Mayhew, 2014, p.). Human resource departments utilize the information given to them from company executives and leaders, coupled with their respective expertise on all things personnel, and they plan and implement staffing concerns for the betterment of the organization. From preparing job analysis, to comparing inventory and forecasting, it is the responsibility of human resources to consider the objectives of an organization and fulfill those goals while operating the specific planning relative to HR.

The Human Resource Function should be aligned with an organizations strategic plan because an organization has a vision of what they want their company to be and in what time frame they would like to achieve it in. By aligning the human resources with the plan they (Human Resources) can make sure that the organization has the right people with the right skills in the right place at the right time. (Snell, 2015) For example Harvey Building Products recruits in their slow season (winter) to have the candidate trained in all aspects of the position before their peak season. An example would be a warehouse person would need to be certified in driving a forklift, learning the scanning system and knowing about as much of the product as they can. For someone being hired in the inside sales office they would need to be fluent in SAP by the peak season, get to know the customers and how they prefer things, as well as know as much about the products as they can. Another example would be that existing employees go to sessions to be updated on new product, colors and software.

‘HR strategy, a ‘people plan’, that will help you ensure you have the right people in your business, at the right time with the right skills to ensure you achieve your business goals’.

1a. Rio Tinto is a business that operates in many countries. When there was a global recession, Rio Tinto had to fire some of its employees so they could stay in business. Rio Tinto’s HR used their strategic role to revamp their HR, the HR addressed the needs of the company, and how human capital fits into these needs of the company (Mathis, Jackson, & Valentine, 2014, p. 16). Rio Tinto’s HR used a different approach then they would have used previously. Previously, the company used an approach that would analyze every business unit, then managers and HR directors would approach the reduction in force differently. The company adopted a coordinated approach to lay off its employees globally. This approach was an efficient and ethical way to downsize their workforce. The HR department recognized key leaders and managers in the organization and moved them internally, so they would be able to retain them. These leaders

9. What challenges face HR managers with regard to workforce availability and quality? What are potential

It is important for HR Management to transform from being primarily administrative and operational to becoming more strategic contributor because of the involvement of competitive advantages through a company s’ employees. Strategic HR managers need proceed with the professional growth by hiring employees with high potential and giving them opportunity to learn and make lot of experience from their job roles where can access to brightest future in the industry. Secondly, the executive succession where the strategic HR managers will hiring the potential successors and grooming them with experience and advancement to be ready for replacement of the owner of company. A company can be in right direction if proceed with the strategic succession planning. Third is the labor cost efficiency. Strategic HR department mainly focus on their top performers who effort the most to organizational goals and long-term company success. A strategic HR philosophy ensures the employees satisfied perfect where by paid to

Strategic HR responsibilities surpass transactional duties. These responsibilities have to do with an ongoing support of the organizational long-term goals. This is where “strategy meets the market place” so that when “the economy moves from recession to recovery” the company is prepared to move with it (Cascio, 2005). The Strategic HR process looks ahead using organizational strategy as the guideline to building organizational readiness.

Years ago, workers were treated as slaves and considered as commodities coupled with extremely bad and unhygienic working conditions, negligible or extremely poor wages, long hours of work- from dawn to dusk and so on. Today, people are considered to be an invaluable asset for any organization. Several factors joined hands to change this environment. Years ago, Human Resources (HR) was may be all about ‘production and getting the work done’, but now it is a major management function that explores several activities that are vital to effectively manage employees. Years ago, during the Factory Era or the Industrial Revolution period, the focus was on mass production and specialization. The Production Era then focused on the Scientific Management Movement that meant exclusively improving productivity and manufacturing methods. This was when the concept of

The strategic human resources management of the means every person from within organization from the top of management level to the bottom of ground staffs are doing things that make the organization successful. According to Schuler, R. S. (1992) strategic human resources management is defined about integration and adaption within organization .Its concern to ensure HR management is fully integrated with the strategy and these HR policies are adjusted and used by the employees and their line managers as part of their everyday work.

HR’s strategic management responsibilities include collaborating with other departments and leadership to plan, incorporate change initiatives, and provide tools which measure the effectiveness of HR in reaching organizational goals (Reed & Bogardus, 2012). As Anca-Ioana (2013) pointed out, it is crucial that HR participate in strategic planning and management processes in order to develop a workforce of employees who possess the competencies needed to achieve organizational objectives.

Strategic planning helps a company to predict and manage their future needs based on their trends in business while human resource planning helps a business implement their recruiting methods based on the needs of a department in the business and the needs of the consumers. Each of these things go hand in hand with one another and they help make the overall company more successful and reliable in the eye of not only its employees but the people who choose to buy or use them in any way. This paper is going to further examine the different roles of the human resource development as well as the strategic growth of the overall company based on its staffing process and all other activities associated within the business.

HR managers and HR professionals are taking much more of a proactive approach on the management team than ever before. The strategic HR approach is involved in variety of tasks ranging from strategic planning to decision making and coordinating all Human Resources functions for all employees (Schlesinger, Leonard A 1983).

Q4. Why should organizations engage in HR Planning? Why do some organizations require relatively complex and comprehensive HR planning systems than do others? Discuss.

The relationship between the strategic planning of an organization’s people and the overall strategy is being increasingly recognized as one of immense importance. A growing recognition of human resources as being a company’s most important asset has, and will continue to, change the focus of strategic planning. It is no longer acceptable to exclusively plan for those assets that will appear on the balance sheet. A cohesive plan integrating human resource management and the overall strategic plan is necessary; such that

Human resource planning links people management to the organization, mission, vision, goals, and objectives as well as its strategies plan and budgetary resources. A key goals of HRP is to get the right number of people with the right skills, experiences and competencies in the right jobs at the right time at the right cost.