Hrm Strategy

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 Decline in traditional industries with high

demands for manual labour, while service

and information processing industries

grow.

Emerging ‘knowledge' workers likely to

have confidence, knowledge and labour

market power to pursue their interests

individually.

Companies tailor individual incentives to

respond to this trend.

 Associated with W. Edwards Demming.

 Employee involvement in all quality

processes rather than quality inspection.

 Requires a radically different approach to

employee management.

 Personnel specialists had suffered from a low

status relative to accountants and marketers,

because of its historic welfare and

operational origins.

 Promoting the strategic significance of HRM

has given HR Managers the opportunity to

raise their status through developing HR

strategies which link with corporate

strategies.

12/08/2011

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 There are two broad approaches to linking HRM

to strategy

 One approach advocates ‘best practice' or

‘universalism' and argues that firms will be

better off if they adopt best practices in the way

they y organise work and manage people,

irrespective of the specific business