HRM Strategy Approach is the Right Step Towards High-Performance Workforce

HRM Strategy Approach is the first step towards achieving business targets. More and more organizations are starting to use strategies to bring about a high-performance workforce. The strategic importance of human resource underscores this. People need to perform up to their optimum each working day.

This is a priority that is becoming more urgent with globalization and a business environment that is ever-changing and becoming more complex by the day.

It means therefore that organizations cannot afford to overlook the implementation of strategies in managing people.

Review of Approach to HR

You want your employees to be more than productive? Review your people management approach.

Check out what Dr. John Sullivan has to say about this in his book “Rethinking Strategic HR”.

During an interview, he mentioned the following.

  • We have to look at the big picture and ask how HR can impact on it
  • Being metric/data driven “is a key strategic element”, and together with “technology, to move HR to the forefront”
  • “Being strategic is having a large impact”, translating into high output per employee (that is, Revenue per Employee). Strategy includes moving out unproductive people and giving non-monetary incentives as motivation
  • Hiring great workers has the largest impact on productivity
  • Become an employer of choice which is “employment branding”
  • There are five levels of HR contribution including, in ascending order, information management, functional services, tools and metrics for coordination and specific focus on HR issues, providing a competitive advantage, and thinking like a business unit
  • Measure HR performance, translating them into dollars. The top 10 areas to measure include productivity, employees’ engagement in their jobs, recruiting, retention, compensation, employee relations, training and development, diversity, HR goals, and HR rewards
  • The biggest obstacles to being strategic include HR people mentality, rewarding the wrong things in HR, not tying the budget and time allocations to HR goals, and the ‘I can’t do’ or ‘I’ve tried that’ attitude
  • Doing the easy things, not the hard ones, which is not being strategic

These will help us when implementing the strategy approach of managing our human resources.

Role of HR Planning

The HRM strategy approach is propounded by many management "gurus" who strongly believe in the important role of employees in helping organizations to succeed.

But some attitudes have to change. And HR people must do likewise.

It has been said that "HR people do not truly know that what they are trying to measure is strategic or not".

Sometimes, we need to accept criticisms for the sake of the organization or the HR department continued existence.

With this in mind, we will understand that the changing role of human resources is a direct result of the need to plan in response to changing situations.

Your organization can take advantage of the strategic influence of HR in improving performance and, thus, improve productivity.

Planning forms an important part. But we must not rush things but think it out at length.

Follow the HRM strategy approach that is necessary in order to succeed. We may have to go back many times to the drawing board.

Innovations and Diversity

Planning must also take into consideration the need for innovations, organizational structure, performance metrics, and your workforce diversity, among many others.

Diversified workforce and the presence of expatriates are other considerations.

Managing Change in Strategy, Structure and Culture

Organizations do not suddenly decide to adopt a new way of managing their people.

It involves a deliberate decision at the highest level. All decisions are taken for the good of the organization. An HRM strategy approach is the new direction to follow.

Change is inevitable. But we must manage change well. Using human resource management strategy approach helps in channeling time and efforts in the right direction.

HR executives must contribute towards this decision and the planning that follows.

In doing this, HR professionals are tasked in ensuring the optimum use of employees’ talents and competencies towards making a success of the organization's strategic plans in accordance with management expectation.

Ask the question whether your present strategy, structure and work culture provide support in making the HR function a strategic business partner.

The HRM strategy approach is very important since this can have profound impact on the outcome of other HR and organizational activities if it is carried out properly and systematically.

Communication and Understanding

Clearly communicate the new HR policy to your employees. Give them all necessary information and make them understand the implications of the changes.

Conduct as many consultations and briefings as necessary until everyone understands and buys into the new idea. Agree on a time frame.

Reach the Next Level Through HRM strategy approach

Whether your organization is a business entity, a government agency or a non-profit organization, it must decide, sooner or later, to adopt HR strategy approach such as the one mentioned.

The place where your organization’s carries its activities does not matter. But when your organization is carrying out global business activities or endeavoring to improve the bottom line with the help of your people, a strategic planning approach becomes all the more important.

Dr. John Sullivan speaks of “moving beyond the business partner level to become ‘business leaders’” as being required of HR professionals and executives.

By deciding to implement the necessary HRM strategy approach where people are made the performance drivers, your organization is in a better position to attain its business targets in a world that is becoming more competitive.

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