Explain the Problems of Integrating Hr Strategy with Corporate Strategy. How Can These Problems Be Addressed in the Modern Organization?

2783 Words Nov 10th, 2010 12 Pages
Introduction
Schuler and walker define Human Resource Strategy as “a set of processes and activities jointly shared by human resources and line managers to solve business-related problems.” To extend our understanding of the term we may also look at the definition given by Wheelen and Hunger, “that set of managerial decisions and actions that determines the long-run performance of a corporation.” It is clear from these two definitions that Human resource Strategy is mainly about managers and their workforce aiming to maximise company performance.
Corporate Strategy involves the direction an organization takes with the objective of achieving business success in the long term. Corporate Strategy is often implemented by using Corporate
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There is no specific strategy that a firm can apply in order to succeed. All organizations will differ even those within the same industry competing for the same customers will need to adopt different strategies to be successful. There are a vast number of elements which will affect the type of corporate strategy an organization should take up, for example – the market segment, geographical coverage of the organization, use of technology, pricing policies, competitors and shareholders. The above is just a few of the many factors which a firm must rate in importance when deciding upon their corporate strategy.
The market segment- It is vital for an organization to know what segment of the market they are aiming their product at. Once they know their target market they can create a campaign to meet the needs of their chosen group. Geographical coverage of the organization – A company’s corporate strategy will depend on the size of their operations. A multinational company like ‘Nike’ would have to take into account different cultural backgrounds as they operate across the globe and the same strategy for each country would not work efficiently. Other external factors such as interest rates can affect the strategy of a multinational company as they need to be aware of changing rates in different countries. For example high rates of interest in a country could mean a company changing their marketing campaign for that particular area as they try to keep

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