HR Planning & Organizational Effectiveness Flashcards
The formulation of organizational missions, goals, objectives and action plans for achievement that explicitly recognize the competition and the impact of outside environmental forces
Strategy
The collective sum of employees attributes, experience, knowledge, and commitment invested in the organization
Human capital theory
ROI can be calculated as
Total revenue -(operating expenses- total compensation costs) / total compensation cost
Behavioural Theory suggests
Different HR strategies are required to influence the diverse behaviours of employees
Eg. via recruitment, selection, training, compensation and performance
Resource based view theory suggests
That the management of resources and capabilities will lead to competitive advantage resulting in superior performance and value creation
Resource based view resources and capabilities include
Resources :
1) Human Resources
2) Proprietary Knowledge
3) Reputation
Capabilities:
1) Adaptability
2) Flexibility
3) Speed if bringing new products to market
Human capital theory economists view the organization as having control over 3 types of resources in the production of goods and services including:
Land
Labour
Capital
Characteristics of an effective Hr strategy include:
External fit & Internal fit
HR programs must Align with or fit the overall strategy of the organization
External fit
HR must fit with other functional areas such as marketing and among HR programs
Internal Fit
Aligning HR strategy with business strategy can be done in one of 3 ways:
1) start with organizational strategy then create HR strategy
2) start with HR competencies the craft corporate strategies
3) combination of both in a form of reciprocal relationship **best method
Strategy formulation
The entire process of conceptualizing the mission of an organization, identifying the strategy and developing long range performance goals
Strategy Implementation
Those activities that employees and managers of an organization undertake to enact the strategic plan, to achieve the performance goals
Pepsi co Canada has expanded to 7 countries in South America. All managers are Canadian citizens. The company relies on ?
Home country national
Jim upon of Korea has been sent by Hyundai to the USA to head their finance department. He is considered?
Expatriate or home country national
Richard johnson, an American citizen, is a senior manager in a telecom company based in Texas. He is currently posted in and works from the company’s subsidiary in Uganda, Africa. Richard is a _____?
Parent Country National
When an American company employs a Mexican citizen for its subsidiary in Mexico this is an example of ?
Host country national
A cluster of competencies related to using the levers available to HR professionals to maximize the performance of organizations, teams, and individuals within the context of executing the organizations strategy
Organizational Effectiveness
Environmental Factors
Economic change Globalization Political and legislative factors Technological factors Demographic factors Social/cultural factors
Corporate strategy
Organizational level decisions that focus on long term survival
3 corporate strategies
Restructuring
Growth
Stability
Restructuring strategies include (4)
Turnaround strategy
Divestiture
Liquidation
Bankruptcy
An attempt to increase the viability of an organization
Turnaround strategy
The sale of a division or part of an organization
Divestiture
