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HRM10eCH03
Strategic Human ResourceManagement and the HR Scorecard After studying this chapter, you should be able to: Outline the steps in the strategic management process. Explain and give examples of each type of companywide and competitive strategy. Explain what a high performance work system is and why it is important. Illustrate and explain each of the seven steps in the HR Scorecard approach to creating HR systems. HR’s Strategic Challenges Strategic plan A company’s plan for how it will match its internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage. Three basic challenges The need to support corporate productivity and performance improvement efforts. That employees play an expanded role in employers’ performance improvement efforts. HR must be more involved in designing—not just executing—the company’s strategic plan. The Strategic Management Process Strategic management The process of identifying and executing the organization’s mission by matching its capabilities with the demands of its environment. Strategy A strategy is a course of action. The company’s long-tem plan for how it will balance its internal strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage. Business Mission and Its Vision Vision A general statement of its intended direction that evokes emotional feelings in organization members. Mission Spells out who the company is, what it does, and where it’s headed. Strategic Management Process (cont’d) Strategic management tasks Step 1: Define the Business and Its Mission Step 2: Perform External and Internal Audits Step 3: Translate the Mission into Strategic Goals Step 4: Formulate a Strategy to Achieve the Strategic Goals Step 5: Implement the Strategy Step 6: Evaluate Performance Overview of Strategic Management A SWOT Chart Strategies in Brief Types of Strategic Planning Corporate-level strategy Identifies the portfolio of businesses th
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