Human Resource Strategy : Human Resource Strategy HR strategy is designed to develop skills, attitudes & behaviors among staff

that will help the organization meet its goals HR strategy consists of principles for managing the workforce through HR policies and practices It covers various areas of human resources functions: recruitment, compensation, performance management, reward, recognition, employee relations and training In such workplaces, managers must rely on employees to cope with the uncertainties inherent in the labour process and monitor and evaluate the outcomes of work. HR strategy aims at developing highly committed and e ible people, internal markets that reward commitment with promotion and a degree of !ob security, and a participative leadership style that forges a commonality of interest and mobili"es consent to the organi"ation s goals. : In such workplaces, managers must rely on employees to cope with the uncertainties inherent in the labour process and monitor and evaluate the outcomes of work HR strategy aims at developing highly committed and !e"ible people, internal markets that reward commitment with promotion and a degree of #ob security, and a $participative% leadership style that forges a commonality of interest and mobilizes consent to the organization%s goals HR strategy must be aligned with the organization&s vision, mission and goals In developing an HR strategy, the company must analyze the characteristics of its industry, determine its competitive advantage, identify key processes & key people 'reating different strategies for all groups of people in the organization may be necessary, depending on their skills, knowledge and responsibilities (he strategy must look at the organization&s culture, structure, people and systems Human Resource Strategy )'ontd * Human Resource System : Human Resource System Human resource management operates through human resource systems that bring together in a coherent way: HR philosophies describing the overarching values and guiding principles adopted in managing people HR strategies defining the direction in which HR+ intends to go HR policies , which are the guidelines defining how these values, principles and the strategies should be applied and implemented in specific areas of HR+ HR processes consisting of the formal procedures and methods used to put HR strategic plans and policies into effect Human Resource Strategy #$ontd.% : Human Resource Strategy )'ontd * HR practices comprising the informal approaches used in managing people HR programmes , which enable HR strategies, policies & practices to be implemented according to plan ,ecker and -erhart have classified these

components into three levels: the system architecture )guiding principles* policy alternatives and processes & practices &odels of HR& : +odels of HR+ (he following are the three models of HR+: +atching +odel of HR+ -uest +odel of HR+ Harvard +odel of HR+ &atching &odel of HR&: +atching +odel of HR+ .s per matching model of HR+: HR systems & organization structure should be managed in a way that is congruent with organizational strategy (here is a HR cycle, which consists of / generic processes or functions that are performed in all organizations &atching &odel of HR& #$ontd.%: +atching +odel of HR+ )'ontd * (hese are: S election 0 matching available human resources to #obs . ppraisal 0 performance management R ewards 0 $the reward system must be short & long1term, bearing in mind that $business must perform in the present to succeed in the future% 2 evelopment 0 developing high 3uality employees 'uest &odel of HR& : -uest +odel of HR+ .s per -uest +odel, individuals can be motivated for helping the organization to achieve e"cellence by concentrating on si" core values (he superior organizational e"cellence will only be achieved if these si" core values are integrated with organization%s strategic ob#ective & are implemented coherently 'uest &odel of HR& #$ontd.%: -uest +odel of HR+ )'ontd * (he si" core values are: .tegy : (his will set the long term goals of where the company is viewed, e"amples of this could be a $to make " amount of profit over the ne"t 4 years% or $to gain worldwide customer base within 5 years% HR+ policies need to be set and e"amples of these are $.ttendance policies%, $6eave policies% or $2ress code policies% . set of outcomes, an e"ample of this could be $a reduction in the headcount which meet the ob#ectives of 7898% or $e"pansion into the :ar ;ast has been achieved% 'uest &odel of HR& #$ontd.%: -uest +odel of HR+ )'ontd * (he behavioral outcomes are e"amples of the way employees react & resolve certain issues and these can include analytical, communication or decision making behaviors <erformance outcomes are ob#ectives which will monitor an employee%s performance over the year and will feed into his=her yearly appraisal

:inancial outcomes are the result of HR strategy and determine the financial performance of the organization Harvard &odel of HR& : Harvard +odel of HR+ Harvard model is based upon situational factors and stakeholder interests Situational factors are not within the organization%s control, such as, legal, environmental and trade unions Stakeholder interests are factors which are influenced by any person or body with a vested interest in the organization (he managers can affect a number of factors by means of the policy choices they make Harvard &odel of HR& #$ontd.% : Harvard +odel of HR+ )'ontd * (he / '%s of this model are listed below: 'ommitment 'ompetence 'osts effectiveness 'ongruence Harvard &odel of HR& #$ontd.% : Harvard +odel of HR+ )'ontd * 'ommitment of employees to an organization will lead to better loyalty and improved performance 'ompetence is the skill and knowledge of the employee, highly skilled & knowledgeable employee should be retained & developed 'ost effectiveness has impact on salaries, benefits, and the reward system 'ongruence is the 3uality of agreement between the employees and the organization%s goals Human Resource (ypologies : Human Resource (ypologies HR typologies are abstractions that may not be e"isting in workplace, but they help in understanding nature of HR strategies .cademics have proposed three models to differentiate between $ideal types% of HR strategies :irst model is control1based model & is grounded in the way in which management attempts to monitor and control employee role performance Human Resource (ypologies #$ontd.%: Human Resource (ypologies )'ontd * Second model, the resource based model, is grounded: in the nature of the employer0employee e"change in the set of employee attitudes in behaviours and in the 3uality of the manager0subordinate relationship (hird approach creates an integrative model that combines resource1based and control1based typologies $ontrol )ased &odel : 'ontrol ,ased +odel :irst approach to modeling different types of HR strategy is based on: >orkplace control and +anagerial behaviour to direct & monitor employee role performance .ccording to this perspective, management structures and HR strategy are

instruments & techni3ues: to control all aspects of work to secure a high level of labour productivity and a corresponding level of profitability $ontrol )ased &odel #$ontd.% : 'ontrol ,ased +odel )'ontd * >hen organizations hire people, they have only a potential or capacity to work (o ensure that each worker e"ercises his or her full capacity, managers must organize the tasks, space, movement and time within which workers operate Sometimes workers% own counter management behaviour causes managers to control & discipline the interior of the organization $ontrol )ased &odel #$ontd.% : 'ontrol ,ased +odel )'ontd * (here are two types of control: bureaucratic control and technical control ,ureaucratic control includes written rules and procedures covering work (echnical control includes machinery or systems 0 assembly line, surveillance cameras that set the pace of work or monitor employees% behaviour in the workplace +anagers can also use a $divide and rule% strategy, using gender and race, to foster managerial control $ontrol )ased &odel #$ontd.% : 'ontrol ,ased +odel )'ontd * :rst is the logic of direct, process1based control, in which the focus is on efficiency & cost containment >hereas the second is the logic of indirect outcomes1based control, in which the focus is on actual results Resource )ased &odel : Resource ,ased +odel Second approach to developing typologies of HR strategy is grounded in: the nature of the reward0effort e"change and the degree to which managers view their human resources as an asset as opposed to a variable cost (he sum of people%s knowledge & e"pertise and social relationships, has the potential to provide non1 substitutable capabilities that serve as a source of competitive advantage Resource )ased &odel #$ontd.% : Resource ,ased +odel )'ontd * Sustained competitive advantage is achieved not through an analysis of a ?rm%s e"ternal market position but through a careful analysis of its skills and capabilities, characteristics that competitors ?nd themselves unable to imitate (he resource1based perspective emphasizes the strategic importance of e"ploiting internal $strengths% and neutralizing internal $weaknesses% Resource )ased &odel #$ontd.% : Resource ,ased +odel )'ontd * (he resource1based approach e"ploits the distinctive competencies of a work organization: its resources and capabilities .n organization%s

resources can be divided into tangible and intangible resources (he capabilities are the collective skills possessed by the organization to coordinate effectively the resources Resource )ased &odel #$ontd.% : Resource ,ased +odel )'ontd * :our characteristics of resources and capabilities: value, rarity, inimitability and non1substitutability 0 are important in sustaining competitive advantage :rom this perspective, collective learning in the workplace on the part of managers & non1managers on: how to coordinate workers% diverse knowledge & skills and integrate diverse information technology, is a strategic asset that rivals ?nd difficult to replicate In other words, leadership capabilities are critical to harnessing the ?rm%s human assets Integrative &odel : Integrative +odel ,amberger and +eshoulam integrate the two main models of HR strategy: one focusing on the strategy%s underlying logic of managerial control the other focusing on the reward0effort e"change (hey build a model that characterizes the two main dimensions of HR strategy involving ac3uisition & development and locus of control Integrative &odel #$ontd.% : Integrative +odel )'ontd * .c3uisition and development are concerned with developing internal human capital 6ocus of control is concerned with the degree to which HR strategy focuses on monitoring employees% compliance with process1based standards Integrative &odel #$ontd.% : Integrative +odel )'ontd * (hese two main dimensions of HR strategy yield four different $ideal types% of dominant HR strategy: 'ommitment, 'ollaborative, <aternalistic and (raditional Integrative &odel #$ontd.% : Integrative +odel )'ontd * (he commitment HR strategy is characterized as focusing on the internal development of employees% competencies and outcome control (he traditional HR strategy is viewed as focusing on the e"ternal recruitment of competencies and behavioural or process1based controls (he collaborative HR strategy involves the organization subcontracting work to e"ternal independent e"perts, giving e"tensive autonomy and evaluating their performance primarily in terms of the end results (he paternalistic HR strategy offers learning opportunities and internal promotion to employees for their compliance with process1based control mechanisms Integrative &odel #$ontd.% :

Integrative +odel )'ontd * @rganization%s HR strategy is strongly related to its competitive strategy (he traditional HR strategy is most likely to be adopted by management: >hen there is certainty over how inputs are transformed into outcomes and=or >hen employee performance can be closely monitored or appraised Integrative &odel #$ontd.% : Integrative +odel )'ontd * (he other dominant HR strategy, the commitment HR strategy, is most likely to be found in workplaces in which management lacks a full knowledge of all aspects of the labour process and=or the ability to monitor closely or evaluate the efficacy of the worker behaviours re3uired for e"ecuting the work (his typically refers to $knowledge work% Integrative &odel #$ontd.% : Integrative +odel )'ontd * In such workplaces, managers must rely on employees to cope with the uncertainties inherent in the labour process and monitor and evaluate the outcomes of work HR strategy aims at developing highly committed & !e"ible people, internal markets that reward commitment with promotion and a degree of #ob security, a $participative% leadership style that forges a commonality of interest and mobilizes consent to the organization%s goals

Unit I:

Meaning and importance of talent management. Designing and building a talent reservoir Segmenting the Talent Reservoir. Talent Management Grid. Creating a talent management system. Institutional strategies for dealing ith talent management. Unit II: Competencymeaning! characteristics! typesSteps in developing a valid competency model. Talent management information systems. Developing a talent management information strategy. Role of leaders in talent management.