What is Strategic Human Resource Management?

Difference between HRM & Strategic HRM 

HRM is a reactive process of recruiting, training, developing and compensating when the need arises and SHRM is a proactive strategy to plan and carry out the HRM function aligned with the organization’s goals and vision, HRM is mainly focussed on how to manage the employees of an organization while implementing the management principles (Surbhi, 2016) and the strategic HRM intends to improve and utilize the human resource for the benefit of each other and the HR department closely acts with all the other departments to ensure that the organization’s goals and objectives are clearly understood and their strategies are made based on that (Stewart, n.d.).

Importance of SHRM

By looking at the difference between HRM & SHRM we can clearly see that SHRM is one step ahead of HRM to make the HRM function more meaningful and important to any organization by considering that the vision of the organization is achieved by managing the human resource as effectively as possible through successful strategic planning.

“The success or failure of strategic planning is determined by a number of components which include the environment, organization structure and strategic decision making. When these three components are properly matched, the performance of any organization is optimized” (Ansoff, 1979)

If you look at the organization as a team and the each department therein as a team member then it is essential to make sure that each member’s goal and motive is same to win the game, similarly it is essential to make sure each department contributes towards organization’s vision. (Stewart, n.d.)

What is important while implementing SHRM?

It is important to consider the selection method, if it is merely an interview then it will be hard to assess the suitability of the recruit to comply with the organizational goals. So this process should include additional steps of assessing the personality, aptitude and behaviour (Way & Thacker, 2001).

Performance Appraisal is important (Way & Thacker, 2001), to monitor whether the organization’s objectives have been met by the employees.

And it is important to have appropriate training for the staff to meet organization’s goals. (Way & Thacker, 2001).

References

Ansoff, I., 1979. Strategic Management. New York: John Wiley & Sons, Ltd..

Stewart, K., n.d. Strategic Human Resource Management: Definition & Importance. [Online]
Available at: https://study.com/academy/lesson/strategic-human-resource-management-definition-importance.html
[Accessed 30 May 2019].

Surbhi, 2016. Difference Between HRM and SHRM. [Online]
Available at: https://keydifferences.com/difference-between-hrm-and-shrm.html#comments
[Accessed 30 May 2019].

Way, S. & Thacker, J., 2001. THE SUCCESSFUL IMPLEMENTATION OF STRATEGIC HUMAN RESOURCE MANAGEMENT PRACTICES: A CANADIAN SURVEY. International Journal of Management, Volume 18, pp. 25-32.