3 Copyright © 2015 Pearson Education, Ltd Human Resource Management Strategy and Analysis

3 Copyright © 2015 Pearson Education, Ltd. 3-2 The Strategic Management Process The Strategic Management Process

3 Copyright © 2015 Pearson Education, Ltd. 3-3 The Management Planning Process The Hierarchy of Goals Policies and Procedures What is planning

3 Copyright © 2015 Pearson Education, Ltd. 3-4 Strategic Planning Step 1. Ask, Where Are We Now Step 2. Size Up The Situation: Perform External and Internal Audits Step 3. Create Strategic Options Step 4. Review Strategic Options

3 Copyright © 2015 Pearson Education, Ltd. 3-5 Step 5. Make a Strategic Choice Step 6. Translate into Goals Step 7. Implement the Strategies Step 8. Evaluate Performance Strategic Planning

3 Copyright © 2015 Pearson Education, Ltd. 3-6 Review

3 Copyright © 2015 Pearson Education, Ltd. 3-7 Explain with examples each of the eight steps in the strategic management process.

3 Copyright © 2015 Pearson Education, Ltd. 3-8 Types of Strategies

3 Copyright © 2015 Pearson Education, Ltd. 3-9 Corporate Strategy Competitive Strategy Functional Strategy Managers’ Roles in Strategic Planning Types of Strategies

3 Copyright © 2015 Pearson Education, Ltd Improving Mergers and Acquisitions Critical human resource M&A tasks include: o Choosing top management o Communicating changes to employees o Merging the firms’ cultures o Retaining key talent

3 Copyright © 2015 Pearson Education, Ltd Types of strategies o Corporate o Competitive o Functional o Strategic fit Managerial roles in strategic planning Review

3 Copyright © 2015 Pearson Education, Ltd List with examples the main types of strategies.

3 Copyright © 2015 Pearson Education, Ltd Strategic Human Resource Management

3 Copyright © 2015 Pearson Education, Ltd What Is Strategic Human Resource Management? Human Resource Strategies in Action Translating Strategy into Human Resource Policies and Practices Strategic Human Resource Management Tools Strategic Human Resource Management

3 Copyright © 2015 Pearson Education, Ltd IMPROVING PERFORMANCE: HR Practices Around the Globe Ritz-Carlton Company had to improve level of service o This meant new HR plans for: o Hiring o Training o Rewarding hotel employees Profits soared

3 Copyright © 2015 Pearson Education, Ltd Strategy map The HR scorecard Digital dashboards Strategic Human Resource Management Tools

3 Copyright © 2015 Pearson Education, Ltd Define strategic human resource management and give an example of strategic human resource management in practice.

3 Copyright © 2015 Pearson Education, Ltd HR Metrics and Benchmarking

3 Copyright © 2015 Pearson Education, Ltd HR metrics o Which hiring source proive best candidates o How to measure the quality of employees 1.Benchmarking 2.Strategy based Metrics 3.Evidence-Based HR (The scientific method) HR Metrics and Benchmarking

3 Copyright © 2015 Pearson Education, Ltd Strategy and Strategy-Based Metrics Workforce/Talent Analytics Analytics improves performance Analytics answers six types of talent management questions 1.Human capital facts. 2.Analytical HR. 3.Human capital investment analysis. 4.Workforce forecasts. 5.Talent value model. 6.Talent supply chain.

3 Copyright © 2015 Pearson Education, Ltd IMPROVING PERFORMANCE: HR Tools for Line Managers and Entrepreneurs Scientific evidence-based approach o Employee analysis shows productivity o Company instituted health programs linked to increased productivity

3 Copyright © 2015 Pearson Education, Ltd Give at least five examples of HR metrics. 1.How much is the company spending on HR? Example: HR cost per employee was $ Hours of training per employee 3.Productivity per employee 4.Customer Satisfaction 5.Annual Turnover rate 6.HR expenses

3 Copyright © 2015 Pearson Education, Ltd High-Performance Work Systems

3 Copyright © 2015 Pearson Education, Ltd High-Performance Human Resource Policies and Practices that together produce superior employee performance High-Performance Work Systems

3 Copyright © 2015 Pearson Education, Ltd Give five examples of what employers can do to have high-performance systems. 1.They paid more 2.Trained more 3.Sophisticated recruitment and hiring practices 4.Self managing work teams

3 Copyright © 2015 Pearson Education, Ltd Review What exactly are these high-performance work practices? For example, in terms of HR practices, high- performing companies recruit more job candidates, use more selection tests, and spend many more hours training employees.

3 Copyright © 2015 Pearson Education, Ltd Improving Performance at the Hotel Paris Hotel Paris International As a corporate strategy, the Hotel Paris’s management and owners want to continue to expand geographically. They believe doing so will let them capitalize on their reputation for good service, by providing multicity alternatives for their satisfied guests. The problem is, their reputation for good service has been deteriorating. If they cannot improve service, it would be unwise for them to expand, since their guests might prefer other hotels after trying the Hotel Paris. 1.What are the strategically required organizational outcomes? 2.What are the strategically relevant workforce competencies and behaviors? 3.What can be some strategically relevant HR policies and activities?