MEETING PRESENT

AND EMERGING
STRATEGIC HUMAN
RESOURCE
CHALLENGES
GROUP 1
OBJECTIVES:
1. Identify how firms gain sustainable competitive advantage through
people.
2. Explain how globalization is influencing human resources
management.
3. Describe the impact of information technology on managing
people.
4. Identify the importance of change management.

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Human Resource
Management:
The Challenges
PRESENTED BY: ROSE ANN MALAY PARAO
/BSBA 3A
 HRM: CHALLENGES
 ENVIRONMENTAL CHALLENGES
 ORGANIZATIONAL CHALLENGES
 COMPETETIVE POSITION: COST, QUALITY, OR
DISTINCTIVE CAPABILITIES
 INDIVIDUAL CHALLENGES

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HUMAN RESOURCE
MANAGEMENT

A set of inter-related policies,

practices, and programs whose
goal is to attract, socialize,
motivate, maintain, and retain
an organization’s employees.

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 ENVIRONMENTAL
CHALLENGES
 Environmental challenges are related to external

forces that exist in an organization's outside

environment and can influence the performance of

the organization's management. These external forces

are almost completely beyond the control of the

organization's management.

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 EXAMPLE OF
ENVIRONMENTAL
CHALLENGES:
 Rapid change  Technology

 Workforce diversity  Job and family roles

 Globalization  Lack of skills

 Legislation

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ENVIRONMENTAL CHALLENGES

RAPID CHANGE
 The changing environment presents
both opportunities and threats to the
 The world is changing faster
organization's human resource
because change has been constant management.

for centuries.

WORKFORCE
DIVERSITY

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ENVIRONMENTAL CHALLENGES

GLOBALIZATION  It is the old environmental challenge

that is faced by the organization for

 Globalization is one of the most
serious issues confronting today's many decades.

organizations.

LEGISLATION

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ENVIRONMENTAL CHALLENGES

TECHNOLOGY  This creates a serious burden on the

women that they have to give time to

 Technology is also growing at great
their families also.
speed especially in the field of

computer and telecommunication.

JOB AND FAMILY
ROLES

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ENVIRONMENTAL CHALLENGES

LACK OF SKILLS

 The service sector development is

expanding due to many reasons like
change in the tastes and preferences
of customers, technological change,
legal change, etc. NEXT: ORGANIZATIONAL
CHALLENGES…

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ORGANIZATIONAL
CHALLENGES

 The organizational challenges

for HRM are related to the

factors that are located inside the

organization.
EXAMPLES OF
ORGANIZATIONAL
CHALLENGES:
Controlling Costs

Improving Quality

Developing Distinctive Capabilities

Restructuring

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ORGANIZATIONAL CHALLENGES

CONTROLLING COSTS
 Quality improvement can lead an

organization towards a competitive

 An organization can avail of the
advantage. 
competitive position by lowering its

cost and strengthening its cash

flows. IMPROVING QUALITY

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ORGANIZATIONAL CHALLENGES (CONTINUATION)
DEVELOPING
DISTINCTIVE icon

CAPABILITIES  Another technique is the

restructuring of the organization in
 Another method of gaining a
which the methods of performing
competitive advantage is to employ
different functions are altered
the people that have distinct
positively. 
capabilities to develop extraordinary
competence in specific areas. RESTRUCTURING
icon

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INDIVIDUAL
CHALLENGES
 The decisions related to the specific individual

employees are included in the

 individual challenges for the HRM

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EXAMPLES OF
INDIVIDUAL
CHALLENGES:
 Productivity

 Empowerment

 Brain drain

 Ethics and social responsibility

 Job insecurity

 Matching people and organization

INDIVIDUAL CHALLENGES

 In modern days, many organizations

PRODUCTIVITY
make changes in such a way that

their individual employees exert

 Productivity is defined as the
more control over their work as
measure of the value that an
compared to their superiors.
employee can add to the final

product or service of the EMPOWERMENT

organization. 

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INDIVIDUAL CHALLENGES

BRAIN DRAIN

 Under this challenge, the

 One of the challenges for HRM is
organizations make an effort to
the detachment of the key potential
benefit some portion of society. 
employees from the organization
ETHICS AND
which links with the competitors for SOCIAL
higher remunerations etc.  RESPONSIBILITY

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INDIVIDUAL CHALLENGES
 According to the research, the HR
JOB INSECURITY department contributes to the
profitability of the organization when it
implements employee selection policies
 In recent years, restructuring and that select and retain employees who

downsizing have created a sense of best fit the culture of the organization
and its objectives.
job insecurity among organizational
MATCHING
employees. PEOPLE AND
ORGANIZATIONS

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COMPETITIVE
POSITION: COST,
QUALITY, OR
DISTINCTIVE
CAPABILITIES

2
1
 COMPETITIVE POSITION: COST, QUALITY, OR
DISTINCTIVE CAPABILITIES

WHAT IS THE GOAL OF

WHAT IS COMPETITIVE COMPETITIVE POSITIONING?
POSITIONING?
 According to the research, the HR  The goal of competitive
department contributes to the positioning is to increase sales by
profitability of the organization when
improving the value of your
it implements employee selection
company for customers.
policies that select and retain
employees who best fit the culture of
the organization and its objectives.
TIPS FOR DEVELOPING A COMPETITIVE
POSITIONING STRATEGY

1. Create a list of goals benefit

2. Be an expert in your market 5. Make a timeline

3. Analyze your competitors 6. Find your niche in the market

4. Understand your price versus

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