Strategic Human Resource Management Strategy For Organizational Performance

841 Words 4 Pages
Human resource management is being developed continuously on how it can act as tool for achieving organisational performance. Strategic HRM came up in supporting HRM to link strategically to the greater organisational outcomes rather than just contributing on employees (K.Darwish, 2013). To be on a broader sketch about SHRM, a considerable tool used by the HR department to achieve organisational outcomes. The idea about strategic HRM has been evolved on how the employees are managed efficiently for attaining organisational performance.
“Its essential core idea is to link and integrate the HR function with the overall strategic direction of the organisation to improve organisational performance and thus gain a sustainable competitive advantage“(K.Darwish,
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The performance of any organisation can be achieved in many ways and in this part of the essay we are trying to focus human resource management strategy critical for the organisation performance.
The organisational outcomes in terms of HRM perspective has been stated by Dyer and Reevs as cited in (K Jiang, 2012) are HR outcome, operational outcome, financial outcome and market value outcome. The strategic practices used by HR professionals to produce the HR outcome provides a direct implications to achieve the organisational, financial and the capital outcome of an organisation. (K.Darwish, 2013)
The HR outcomes considers the outcomes which are directly lying on the HRM field of an organisation. Some of them are employee turnover, job satisfaction and commitment towards organisation. Operational outcomes related to the mission of the organisation includes quality, high productivity, and etc. The HR outcome enables to achieve financial outcomes of an organisation. (K Jiang,
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The second one is the motivation which sketches to motivate employees to perform with ability and the third one defines the opportunity to be provided to the employees to perform and attain organisational performance (K Jiang, 2012) (Stankeviciute, 2012).
The three dimensions of HR practices suggested by Leepak and friends as cited in (K Jiang, 2012) based on AMO framework are Skill enhancing practice, motivation enhancing practice and opportunity enhancing practice. The three dimensions of HR practices which are startegic importance which directly link with the organisational success. Skill enhancing HR practice focuses on improving skilled employees, the components include attracting, reataining and training. Motivation enhancing HR practices focusses on emplyee motivation and satisfaction on job, the components includes appraisal, benefits, development and security. Opportnity enhancing HR practice focusses on the power of employees to attain organisation mission, the components include involvement, team works, job description flexiblity. (K Jiang,

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