Seminar Human Resource Management
- book (chapter 2-7)
, SHRM - summary Emma Hamm, 2078889
TABLE OF CONTENT
Chapter 2: HRM and strategy 2
2.2. What is strategy?
2.3. Implications for HRM/performance 2
2.4. In search of synthesis 3
2.5. Classical strategic approaches in HRM 4
2.6. Practical strategic HRM tools
2.7 Appendix 6
Chapter 3: The more fits the better 10
3.2. Traditional forms of fit 10
3.3 Strategic fit 10
3.4. Internal fit: the strength of interaction among HRM practices 13
3.5. Organisational fit: alignment with organizational systems and work systems 13
3.6. Environmental fit: applying an institutional perspective 14
3.7. Macro-micro fit: aligning the organisational and individual level 14
3.8. Is ‘fit’ enough? 16
Chapter 4: HRM in context - an institutional perspective 17
4.2. HRM modelling: Why does context matter? 17
4.3. The interaction between HRM and IR 18
4.4. Institutionalism and HRM 19
4.5. institutional theory and change 21
Chapter 5: HRM and performance - achievements and challenges 24
5.1. Introduction 24
5.2. Achievements to data 24
5.3. Challenges in HRM and performance research 26
5.4. Unravelling the mysteries of the ‘black box’ 27
5.5. HPWSs: Balancing performance and well-being?! 29
5.6. Conclusion: Towards a multidimensional perspective on performance 31
Chapter 6: The contextual SHRM framework 32
6.1. Introduction 32
6.2. Background to the CBHRT 32
6.3. An eclectic approach to building the CBHRT 33
6.4. The CBHRT 34
6.5. The Contextual SHRM Framework 36
6.6. Applying the Contextual SHRM Framework 37
Chapter 7: Contextual SHRM framework: Organisational level 39
7.1. Introduction 39
7.2. Randstad (case study 1): A responsible employer providing economic employment
flexibility 39
7.3. Efteling theme park (case study 2): Heritage mechanisms win prizes 39
7.4. P&G (case study 3): Influential decision-makers impacting HRM systems 40
7.5. Scania (case study 4) 40
7.6. PostNL (case study 5) 41
7.7. SupplierStore (case study 6): Operating in challenging markets 42
1
, SHRM - summary Emma Hamm, 2078889
Chapter 2: HRM and strategy
⇒ balance in connecting strategy to HRM in order to achieve high firm performance
2.2. What is strategy?
2.3. Implications for HRM/performance
STRATEGY:
- outlines organisational goals including different performance indicators (e.g. sales,
market share, ROI, growth) and the means to achieve those goals (e.g. finance,
technology, HR)
- ‘strategos’ - ‘army’ / ‘lead’ = military. achieving/developing a course of action to
achieve a fit between an organisation and its environment
- CORPORATE STRATEGY: deals with the overarching strategy, mission for the entire
organisation. In large organizations with different markets in it (with each their own
business strategy)
- BUSINESS STRATEGY: achieving a CA, mission statement in a specific market,
business unit
HRM STRATEGY:
- the processes, decisions and choices the organisation makes regarding its human
resources and how it’s organized
→ ‘CLASSIC APPROACH’: relies on readiness/capacity of managers to adopt
profit-maximizing strategies through national long-term planning
Mintzberg - strategy as:
a plan (intended), a pattern (realized), a ploy, a position, a perspective
SCHOOLS OF STRATEGY
1. Design school Formal. deliberate process of conscious thought (swot)
2. Planning school Stepwise approach to an encompassing strategy, more
formalized/detailed than the design school
3. Positioning school Industrial economic perspective / models / techniques.
competitive analysis, value chain, generic strategies
(e.g. cost leadership,...) growth share matrix, experience curve
2
, SHRM - summary Emma Hamm, 2078889
in these 3 schools: environment = stable, can be studied objectively
⇒ OUTSIDE-IN APPROACH: environment (marketplace) is the starting point for analysis
and subsequent development of strategic responses to achieve desired strategic position
SCHOOLS OF STRATEGY, PT. 2
4. Entrepreneurial school Visionary leader = !, search new opportunities
5. Cognitive school Mental process, in the mind. bounded rationality →
differences in mental maps → diff opinions
6. Learning school ‘Muddling through’. Strategy = stepwise incremental
process. Mutual adjustments & feedback loops
7. Power (or political) school Strategy = bargaining process between
powerblocks inside/between organizations
power position of parties is often neglected =bad!
8. Cultural school Strategy = a process of social interaction, based on
beliefs/understandings
9. Environmental school Organizations must respond to forces of environment
to achieve legitimacy + ‘not be selected out’
(roots in contingency theory - no best way to organise)
10.Configurational school No best way of organization / strategy formulation
Specific circumstances make it effective
→ periods of stability, than transformation process, than new configuratioon
2.4. In search of synthesis
4 STRATEGY OPTIONS
(based on matrix with present/future orientation and few/many involved balanced):
1. POSITION-BASED STRATEGY
- future-oriented, top-down formulation (few involved)
- create + hold a distinctive position (market-back strategy)
- comprehensive analysis, detailed data collection, formal strategic planning
2. ADAPTATION-BASED STRATEGY
- future-oriented, collective decision making (many involved)
- act quick + creative in response to events (organizational learning)
3
- book (chapter 2-7)
, SHRM - summary Emma Hamm, 2078889
TABLE OF CONTENT
Chapter 2: HRM and strategy 2
2.2. What is strategy?
2.3. Implications for HRM/performance 2
2.4. In search of synthesis 3
2.5. Classical strategic approaches in HRM 4
2.6. Practical strategic HRM tools
2.7 Appendix 6
Chapter 3: The more fits the better 10
3.2. Traditional forms of fit 10
3.3 Strategic fit 10
3.4. Internal fit: the strength of interaction among HRM practices 13
3.5. Organisational fit: alignment with organizational systems and work systems 13
3.6. Environmental fit: applying an institutional perspective 14
3.7. Macro-micro fit: aligning the organisational and individual level 14
3.8. Is ‘fit’ enough? 16
Chapter 4: HRM in context - an institutional perspective 17
4.2. HRM modelling: Why does context matter? 17
4.3. The interaction between HRM and IR 18
4.4. Institutionalism and HRM 19
4.5. institutional theory and change 21
Chapter 5: HRM and performance - achievements and challenges 24
5.1. Introduction 24
5.2. Achievements to data 24
5.3. Challenges in HRM and performance research 26
5.4. Unravelling the mysteries of the ‘black box’ 27
5.5. HPWSs: Balancing performance and well-being?! 29
5.6. Conclusion: Towards a multidimensional perspective on performance 31
Chapter 6: The contextual SHRM framework 32
6.1. Introduction 32
6.2. Background to the CBHRT 32
6.3. An eclectic approach to building the CBHRT 33
6.4. The CBHRT 34
6.5. The Contextual SHRM Framework 36
6.6. Applying the Contextual SHRM Framework 37
Chapter 7: Contextual SHRM framework: Organisational level 39
7.1. Introduction 39
7.2. Randstad (case study 1): A responsible employer providing economic employment
flexibility 39
7.3. Efteling theme park (case study 2): Heritage mechanisms win prizes 39
7.4. P&G (case study 3): Influential decision-makers impacting HRM systems 40
7.5. Scania (case study 4) 40
7.6. PostNL (case study 5) 41
7.7. SupplierStore (case study 6): Operating in challenging markets 42
1
, SHRM - summary Emma Hamm, 2078889
Chapter 2: HRM and strategy
⇒ balance in connecting strategy to HRM in order to achieve high firm performance
2.2. What is strategy?
2.3. Implications for HRM/performance
STRATEGY:
- outlines organisational goals including different performance indicators (e.g. sales,
market share, ROI, growth) and the means to achieve those goals (e.g. finance,
technology, HR)
- ‘strategos’ - ‘army’ / ‘lead’ = military. achieving/developing a course of action to
achieve a fit between an organisation and its environment
- CORPORATE STRATEGY: deals with the overarching strategy, mission for the entire
organisation. In large organizations with different markets in it (with each their own
business strategy)
- BUSINESS STRATEGY: achieving a CA, mission statement in a specific market,
business unit
HRM STRATEGY:
- the processes, decisions and choices the organisation makes regarding its human
resources and how it’s organized
→ ‘CLASSIC APPROACH’: relies on readiness/capacity of managers to adopt
profit-maximizing strategies through national long-term planning
Mintzberg - strategy as:
a plan (intended), a pattern (realized), a ploy, a position, a perspective
SCHOOLS OF STRATEGY
1. Design school Formal. deliberate process of conscious thought (swot)
2. Planning school Stepwise approach to an encompassing strategy, more
formalized/detailed than the design school
3. Positioning school Industrial economic perspective / models / techniques.
competitive analysis, value chain, generic strategies
(e.g. cost leadership,...) growth share matrix, experience curve
2
, SHRM - summary Emma Hamm, 2078889
in these 3 schools: environment = stable, can be studied objectively
⇒ OUTSIDE-IN APPROACH: environment (marketplace) is the starting point for analysis
and subsequent development of strategic responses to achieve desired strategic position
SCHOOLS OF STRATEGY, PT. 2
4. Entrepreneurial school Visionary leader = !, search new opportunities
5. Cognitive school Mental process, in the mind. bounded rationality →
differences in mental maps → diff opinions
6. Learning school ‘Muddling through’. Strategy = stepwise incremental
process. Mutual adjustments & feedback loops
7. Power (or political) school Strategy = bargaining process between
powerblocks inside/between organizations
power position of parties is often neglected =bad!
8. Cultural school Strategy = a process of social interaction, based on
beliefs/understandings
9. Environmental school Organizations must respond to forces of environment
to achieve legitimacy + ‘not be selected out’
(roots in contingency theory - no best way to organise)
10.Configurational school No best way of organization / strategy formulation
Specific circumstances make it effective
→ periods of stability, than transformation process, than new configuratioon
2.4. In search of synthesis
4 STRATEGY OPTIONS
(based on matrix with present/future orientation and few/many involved balanced):
1. POSITION-BASED STRATEGY
- future-oriented, top-down formulation (few involved)
- create + hold a distinctive position (market-back strategy)
- comprehensive analysis, detailed data collection, formal strategic planning
2. ADAPTATION-BASED STRATEGY
- future-oriented, collective decision making (many involved)
- act quick + creative in response to events (organizational learning)
3
