Hrm-Chapter 2

Strategic Planning – set of procedures for making decisions about the organization’s long term goals and strategies.

Human Resource Planning – the process of anticipating and providing for the movement of people into, within, and out of an organization. Its purpose is to help managers deploy their human resources as effectively as possible, where and when they needed, in order to accomplish the organization’s goals.

Strategic Human Resources Management (SHRM) – combines strategic planning and HR planning. It can be thought of as the pattern of human resources deployments and activities that enable an organization to achieve its strategic goals.

Human Resource Planning – an essential activity of organization

HR Practices

* Recruitment

* Selection

* Training

* Compensation

* Motivation

Two issues of Strategic Planning

1. Strategy Formulation – process in terms of what is possible, that is whether a firm has the types and numbers of people available to pursue a given strategy.

2. Strategy Implementation – it’s important to HRP (Human Resource Planning). In other words, once the firm has devised its strategy, the company’s executives must make resources allocation decisions to implement that strategy, including decisions related to the firm’s structure, process, and human capital.

“Today, virtually all business issues have people implications; all human resource issues have business implication.” – James Walker, HRP Expert

Step-by-step Process to show how a firm’s HR Planning & Strategy efforts can be integrated

1. Mission, Vision & Value

Mission – basic purpose of the organization, as well as its scope of operations. It’s a statement of the organization’s reason for existing.

Vision – moves beyond the mission statement provide a perspective on where the company is headed and what the organization can become in the future. Vision statement ideally clarifies the long-term direction of the company and...