STRATEGIC HR
Module 1: Definition and evolution
1. Evolution: HR in history
4 industrial revolutions:
- Water and steel were power sources
- 1800: mass production: first use electronic power
people wanted to be paid
salaries = basic of HR
- 1960: electronics & IT
- 2000: global scale & everything is going faster
1980-2000 HR at the table= decision power of HR grows
2000-2010 Outsourcing and downsizing
Outsourcing = using help, outside the organization, for some situations
Why would you do this?
if that person is good in that part that needs to be done for the
organization
VB: outside supplier who does the payroll of an organization
Downsizing= Lowering the number of employees
WHY?
to save moneys
automation makes everything easier (employees aren’t needed
anymore)
2010-2015 Strategic leader
“Working more strategically”
= working more efficiently and increasing results
Strategic goal= strategy of an organization will have impact on strategic HR
Linked to strategy of organization
2. Definition of HR
HR= the attainment of organizational goals in an effective and efficient manner
through planning, organizing, leading and controlling HR, while respecting the
reciprocal relationship between individual and organization
3. Definition of strategic HR
Each of the definitions in the ppt are showing an element of strategic HR
Important elements HR:
Partner in organizational success If HR is strategic, they have to think with
the business of the organization as a partner
Interacting with other departments necessary to know how the
departments are linked to each other and also to the strategy
Pagina 1 van 21
, By utilizing the talent and opportunity within HR to make other departments
stronger and more effective
Strategic HRM= an approach that defines how the organization’s goals will be
achieved in the context, through people, by means of integrated HR strategies,
policies and practices
Practice how to behave people
Policy rules written down (FORMAL)
A) Partner in organizational success
Strategic fit: HR practices and policies are linked to organizational strategy
Strategic flexibility: other dimension, the ability of the firm to respond and
adapt to changes in its competitive environment
VUCA: to describe the context of an organization, we need to be
flexible to adapt the changes in our environment as an organization
Volatility – Uncertainty – Complexity – Ambiguity
B) Outside-in perspective: we are aware as HR people what is going on
outside the organization
C) Connected mindset “who are important stakeholders”
4. Connecting with stakeholders
Internal VS External stakeholders
Module 2: How can HR add
value
1. Building a future strategic HR
Evolutions in HR = waves to go outside- in HR
Pagina 2 van 21
, Wave 1: managing processes, terms and conditions (list of rules, anything to do
with your labour contract) , labour contracts
5 elements needed in labour contract:
Salary
Type of contract
Period of working
List of tasks or title job
Location
Wave 2: shift to a set of HR practices focus on staffing, training,
compensation & how to do it in an effective way
HR practice VS HR policy:
HR practice = how people behave
HR policy = Written down
Wave 3: connection of these practices to business success through HR strategy
Wave 4: next step use the HR practice to respond to external business
conditions
“Outside perspective”
Players outside field of an organisation:
Customers
Investors
Communities
Government agencies
HR must understand:
How administration works
How the practices work
How it is linked to the strategy
Connect it all to the outside world
2. How can HR add value?
HR should add value: connected to business and business context
Value is defined by the receiver more than by the giver
Questions about strategy and business for the board
Questions about basics for the HR person
As HR you add value to the employee
by responding on his answer
Looking at HR from outside-in = looking at
HR not from the perspective of what we do
BUT what we create for other people
HR so that …
Focus on the outcome of the work
Pagina 3 van 21
Module 1: Definition and evolution
1. Evolution: HR in history
4 industrial revolutions:
- Water and steel were power sources
- 1800: mass production: first use electronic power
people wanted to be paid
salaries = basic of HR
- 1960: electronics & IT
- 2000: global scale & everything is going faster
1980-2000 HR at the table= decision power of HR grows
2000-2010 Outsourcing and downsizing
Outsourcing = using help, outside the organization, for some situations
Why would you do this?
if that person is good in that part that needs to be done for the
organization
VB: outside supplier who does the payroll of an organization
Downsizing= Lowering the number of employees
WHY?
to save moneys
automation makes everything easier (employees aren’t needed
anymore)
2010-2015 Strategic leader
“Working more strategically”
= working more efficiently and increasing results
Strategic goal= strategy of an organization will have impact on strategic HR
Linked to strategy of organization
2. Definition of HR
HR= the attainment of organizational goals in an effective and efficient manner
through planning, organizing, leading and controlling HR, while respecting the
reciprocal relationship between individual and organization
3. Definition of strategic HR
Each of the definitions in the ppt are showing an element of strategic HR
Important elements HR:
Partner in organizational success If HR is strategic, they have to think with
the business of the organization as a partner
Interacting with other departments necessary to know how the
departments are linked to each other and also to the strategy
Pagina 1 van 21
, By utilizing the talent and opportunity within HR to make other departments
stronger and more effective
Strategic HRM= an approach that defines how the organization’s goals will be
achieved in the context, through people, by means of integrated HR strategies,
policies and practices
Practice how to behave people
Policy rules written down (FORMAL)
A) Partner in organizational success
Strategic fit: HR practices and policies are linked to organizational strategy
Strategic flexibility: other dimension, the ability of the firm to respond and
adapt to changes in its competitive environment
VUCA: to describe the context of an organization, we need to be
flexible to adapt the changes in our environment as an organization
Volatility – Uncertainty – Complexity – Ambiguity
B) Outside-in perspective: we are aware as HR people what is going on
outside the organization
C) Connected mindset “who are important stakeholders”
4. Connecting with stakeholders
Internal VS External stakeholders
Module 2: How can HR add
value
1. Building a future strategic HR
Evolutions in HR = waves to go outside- in HR
Pagina 2 van 21
, Wave 1: managing processes, terms and conditions (list of rules, anything to do
with your labour contract) , labour contracts
5 elements needed in labour contract:
Salary
Type of contract
Period of working
List of tasks or title job
Location
Wave 2: shift to a set of HR practices focus on staffing, training,
compensation & how to do it in an effective way
HR practice VS HR policy:
HR practice = how people behave
HR policy = Written down
Wave 3: connection of these practices to business success through HR strategy
Wave 4: next step use the HR practice to respond to external business
conditions
“Outside perspective”
Players outside field of an organisation:
Customers
Investors
Communities
Government agencies
HR must understand:
How administration works
How the practices work
How it is linked to the strategy
Connect it all to the outside world
2. How can HR add value?
HR should add value: connected to business and business context
Value is defined by the receiver more than by the giver
Questions about strategy and business for the board
Questions about basics for the HR person
As HR you add value to the employee
by responding on his answer
Looking at HR from outside-in = looking at
HR not from the perspective of what we do
BUT what we create for other people
HR so that …
Focus on the outcome of the work
Pagina 3 van 21