MODEL OF STRATEGIC HRM

EXTERNAL ENVIRONMENT

•Competition
•Government regulation
•Technology Employee Law
•Market Trends Separation Regulating
•Economy Employee
Staffing

HR STRATEGY Training

CORPORATE BUSINESS HR Planning

Performance
STRATEGY STRATEGY Job Design
Management
Work Systems
Workers Need
Job Interface
INTERNAL ENVIRONMENT
HRIS Compensation

•Culture
•Structure Labour
•Politics
•Employment skills
Relations
•Past strategy
Linking Organisational Goals with Individual Goals
Organization Vision and Mission

Business Strategy

Unit Strategy

Departmental / Functional KPA

Team KPA

Individual KPA

Objectives / Goals Performance

Measures

Action Plans
 Devanna’s SHRM ‘Matching’ Model
Political
Forces

Mission
Economic Cultural
&
forces Strategy forces

FIRM
Org.
HRM
Structure
Challenges in Human Resource
Management
1. Vision Penetration
2. Change in Internal Enviornment
3. Change in Industrial Relations
4. Building Organisational Capability
5. Increasing Size of work force
6. Technological Advances
7. Changes in the Legal Environment
8. Satisfying higher level needs
9. HR as a profit Center