Shyamal Verma SHRM PC20200364

Section B

This session's focus was on the importance of SHRM in the organization, the methodology of
implementation, and the issues faced in implementing an SHRM strategy. In a rapidly
increasing global competition, technological advancements, and uncertainty caused by
changes in regulatory authorities, organizations need to align their organizations with their
goals continuously. This is where strategic management comes into play. However, for a
transnational organization, implementing these strategies requires changes at a global level,
which requires the involvement of Organization Development and Human Resource.
American Medical Technologies is a global pharmaceutical company with relatively
autonomous divisions. The company has been a leader in strategic planning for years;
however, the company's concerns lie in implementing these strategies. This has led to the
development of the SHRM process in the company.
The main objective of the firms implementing a SHRM process in to become a vital
organization. Vital organizations are flexible and responsive to organizational needs, capable
of implementing strategies and align the organization to achieve those goals effectively.
In AMT, the process starts with Day 0: where the consultants present the idea of SHRM to
the top management. The consultants and top teams restate their strategy and task to be
performed and the level of coordination, commitment, and competence required.
Employee Task Force are usually trained by the profilers and employed to conduct
interviews at all parts were business unit si interdependent, while profilers themselves
conduct the Top Team interviews. The ETF is used because the goal here is to understand the
importance of the process, and since ETF usually consists of top employees, others listen to
and understand them. The type of data collected is generally qualitative, and ETF tries to
obtain information on areas that might be hidden. And although interviews are time-
consuming, they are essential. The focus is on questions like: Are you giving your best? Are
you getting the best? To understand the position of employees and organization.
Day 1: The aim of day 1 is to provide data feedback and bring everyone on the same page so
that everyone knows the problem. The ETF sits in the middle, and the management listens in
"fishbowl" discussions. The discussion usually provides a rich and multifaceted picture of the
organization. Another critical thing discussed on day 1 is the barriers to strategy
implementation. The ETF grouped the responses to open-ended questions to identify 6
barriers with the frequency of the reactions.
1) Difficulty In how top team works together – 100%
2) Poor vertical Communication – 80%
3) Unclear and conflicting strategic priorities – 70%
4) Management style – 70%
5) Poor interfunctional/divisional coordication – 70%
6) Deficiencies in career development and management competence – 70%
Day 2 The focus of day 2 is on the diagnosis of the problems. The team follows a five-box
model to identify the patterns of behaviors classified as barriers(Box 1). Second, it focuses on
how these behaviors have affected the stakeholders involved, employees, shareholders, and
customers, including financial performance(Box2). It then focuses on how these behaviors
affect the capacity to implement the strategy(Box 3). Finally, the diagnosis involves
identifying key design levers and human resource policies within the organizational unit,
Shyamal Verma SHRM PC20200364
Section B

which are at the root of the problems identified(Boc5). Box 4 discusses the conext i.e.
business environment, practices, culture, and overall competitive environment.
Day 3: Box 5, as discussed above, in the framework, helps the top team identify the root
cause. Hence the third day focuses on the development of a vision of how the organization
might be redesigned to implement strategy effectively
All general managers saw SHRM as defining a personal and organizational development
agenda and accepted that the data was valid, although the data pointed at their
ineffectiveness.
Results:
The interviews conducted and observations of internal and external profilers indicated that
some change initiatives can be attributed to SHRM. There were still issues that didn't result in
AMT realizing its potential as a Vital Organisation. Some of these were:
1) There was no change in the perception that people are promoted based on skills in
managing others.
2) No change in perception that employees can raise complex issues with higher
management
3) No change in perception that the company has an interest in the welfare and
satisfaction of employees. This is an important issue as it shows that the company's
attention towards strategy meant that the employment relationship didn't get the
attention it deserved
4) Issues related to career development were not addressed
Reasons:
1) ETF members were not involved in the subsequent stages of the whole process
2) The process should have been repeated again, but it wasn't
3) The top management didn't continue the exercise because the whole process incurred
substantial immediate costs, and even then, the outcome was uncertain. Hence they
decided to postpone it.
The most important conclusion drawn was that the manager in a company must engage in
an open, fact-based conversation. This involves learning how to receive feedback,
collaboration, and the ability to own up to weakness without feeling incompetent. The
above point together is called "Psychological Fitness." Without this fit, it is difficult for
an organization to become a vital organization, and hence company's full potential may
remain unrealized.