L02 C&B and Strategic HR Management Flashcards
What are the strategic choices of HR and C&B in context of a firm’s strategy?
What is the HR(1) and C&B(4) response to innovation strategy?
What is the HR(2) and C&B(2) response to a customer-focused strategy?
What is the HR(1) and C&B(4) response to a cost-cutting strategy?
What is the AMO theory?
HR creates value by motivating people to work harder towards the strategic goals of the organization if 3 conditions hold:
1) People have the ability,
2) the motivation and
3) the opportunity
to influence organizational performance.
How can C&B create value to the organization according to AMO theory?
A (Ability): Attracting people with the required skills and capabilities
M (Motivation): Motivate people to work towards the organization’s strategic goals
When does C&B strategy add to competitive advantage? (3 criteria)
The C&B strategy …
1) is aligned with HR and overall business strategy and external environment,
2) is different from competitors’ and difficult to imitate and
3) adds value to the firm (ROI).
What is the perspective of strategic fit (assumption and implication)?
- *Assumption**: Unique combination (fit) of business, HR, and C&B strategy that delivers the best performance given the external environment
- *Implication**: C&B comparisons with other firms are not useful
What is the perspective of best practices (assumption and implication)?
- *Assumption**: Set of best practices that deliver superior performance independent of the environment
- *Implication**: Find best practices and simply adopt them as they can be applied universally with success.
What are 4 best practices that improve performance universally?
1) Performance pay (but individual performance pay is less effective where teamwork is important)
2) Tough selection
3) Employee retention (but more important for higher-skill positions; some turnover may be even good
4) Training
