The proposition an organization follows for how to compete successfully and thereby survive and grow
Strategy
The process of defining organization strategy and allocating resources toward its achievement
Strategic Planning
What are the steps in the strategic planning process?
- Organizational Mission
- SWOT Analysis
- Establish Goals and Objectives
- Formulate Organizational Strategy
- Formulate Supporting Functional Strategies
- Implement
- Evaluate and Reassess
Definition: The guiding force and core reason for existence of the organization and what makes it unique
Organizational Mission
Definition: The design of formal systems in an organization to manage human talent for accomplishing organizational goals.
Human Resource Management
Organizations must manage four types of assets to be successful:
- Physical Assets
- Financial Assets
- Intellectual Property Assets
- Human Assets
Definition: The collective value of the capabilities, knowledge, skills, life experiences, and motivation of an organizational workforce.
Human Capital aka Intellectual Capital
To contribute in the strategic planning process, HR professionals provide their perspective and expertise to operating managers by doing the following:
- Understanding the business: Knowing the financials and key drivers of business success is important to understanding the need for certain strategies.
- Focusing on the key business goals: Programs that have the greatest relevance to business objectives should get priority.
- Knowing what to measure: Metrics are a vital part of assessing success, which means picking those measures that directly relate to the business goals.
- Preparing for the future: Strategic thinking requires preparing for the future, not focusing on the past—except as a predictor of the future.
Definition: A corporation that has facilities and other assets in at least one country other than its home country.
Multinational Corporation
Relocation of a business process or operation by a company from one country or another
Offshoring
Definition: Entails providing input into organizational strategic planning and appropriate use of HR management practices to gain competitive advantage.
Strategic HR Management
Definition: The process of analyzing and identifying the need for and availability of people so that the organization can meet its strategic objectives.
Human Resource Planning
Definition: The assessment of external and internal environmental conditions that affect the organization.
Environmental Scanning
Definition: The process of identifying a plan for the orderly replacement of key employees.
Succession Planning
When scanning the potential and future workforce, it is important to consider a number of variables, including:
- Aging of the workforce
- Growing diversity of workers
- Female workers and work–life balancing concerns
- Availability of contingent workers
- Outsourcing possibilities
Definition: Using information from the past and the present to identify expected future conditions.
Forecasting
HR forecasting should be done over three planning periods:
short range, intermediate range, and long range.
What are the steps in the HR Planning Process?
- Review Organizations Environmental Analysis/Strategic Plans
- Assess External & Internal Workforce
- Compile HR Planning Forecasts
- Develop HR Staffing Plan and Actions
Definition: Temporary payments made to laid-off employees to ease the financial burden of unemployment.
Severance Benefits
Definition: Transferring the management and performance of a business function to an external service provider.
Outsourcing
Definition: Nontraditional schedules that provide flexibility to employees.
Alternate Work Arrangements
Definition: A comprehensive assessment of all aspects of the business being acquired.
Due Diligence
Four Important Factors In Changing Culture:
- Define the Desired Behaviors
- Deploy Role Models
- Provide Meaningful Incentives
- Provide Clear and Consistent Messages
Factors Affecting External Pool of Employees
- Economic and Governmental Factors
- Geographic/Competitive Evaluations
- Changing Workforce Considerations
