13.1 HRM Strategy
In a world unpredictability and rapid change, what makes one organization a winner, yet another fails to adjust to the same opportunities? How do some companies move forward and seize new product and market opportunities, yet other larger companies fail to take advantage of their size and situation? A strategy is way of getting things done. It provides a game plan for action. Strategy includes the formulation of goals and action plans for their accomplishment. Strategy considers the competitive forces at work in managing an organization and the impact of outside environment on organization action. Good management does not mean trying harder by using old, out of date methods. It involves developing strategies for coming up with new product, making sure they are
what the customer wants, and recruiting skilled employees to provide a competitive advantage.
Acceleration change in technology, shorter product life cycle, and new unexpected competition contribution to make succeeding in business harder than even. The evidence indicates that people play a major role in whether or not an organization performs. Managers make strategy determine business success or failure. The excellent companies must be able to transform the way they operate and recognize the importance of corporate culture in devising and executive new strategies. In fact, we suggest the biggest stumbling block in the path of strategic changes is usually an old and inflexible corporate culture.
A culture that prevent a company form meeting competitive threats or from adapting to changing economic or social environments can lead to the company’s stagnation and ultimate failure unless it make a conscious effort to change. This HRM culture change effort include activities, which are design to improve the skill, abilities, structure, and motivation levels of organization members . The goals are improved technical skills and improved interpersonal competence and communication. Such HRM effort may also be directed towards improved leadership, decision making and problem solving among organization member. The assumption underlying such
effort is that by developing an improved culture, a more effective organization will result.
The need for strategy management has increasing become a fact of organization life. The strategy plan is often the starting point for the evaluation of the actions of management personnel and their organizations. Strategy management provides the basic direction and framework within which all organization activities take place. An understanding of strategic management, potentially the most advanced and sophisticated type, makes it easier for managers to develop a vision of the future for their organization. In this lesson we examine stage six of Success System
Model: changing for success. An overview of the strategy HR management is, how it is used an dhow it fits into the strategy management process. If you gain a thorough understanding of this process, you are more likely to become an effective HR manager.
13.2 Organizational Strategy
Acceleration changes in technology, shorter product life cycles, and unexpected indicates that managers play a major role in determining how well an organization perform. There are four core characteristics that are exhibited in all best run organization.
1. Managing into the future. The first characteristic is the necessity to think constantly about new product and then to allocate resources and get them to the market place fast. Well-managed companies provide a clear sense of direction and strategic vision of the future. There is a basic toward action, rapid problem solving and innovation.
2. A strategy action plan. The managers of best-run companies tend to develop a strategy game plan for achieving advantage. Successful companies do their marketing homework. Staying close to the customer is a characteristic of successful: they seek what the customer wants. A related factor is staying close to what the competition is doing.
3. The corporate culture. In well – organized associations, people make things happen. There is a commitment to cooperate values and objectives and a willingness to take risks. There is a sense of autonomy in entrepreneurship and a belief in the importance of HR values and services.
4. Strategic flexibility. The companies that cope best with the rapidly changing environment try to anticipate changes even if this means reformulating strategy or altering the corporate culture. These companies are result-oriented and market driven. There is a belief in productivity through people that encourage change and supports risk taking in order to gain succession of both current and new product markets.