22 Apr 2022

82

Aligning HR Strategy with Business Strategy

Format: APA

Academic level: Master’s

Paper type: Term Paper

Words: 1745

Pages: 6

Downloads: 0

The need to effectively manage human resources in any organization has been an important topic in the last and current decade. On the same note, organizations have also realized the importance of effective human resource management in their environment. The current generational leaders and managers in different firms use strategic human resource management in their organization to achieve different goals and objectives of the firms. However, some firms have not given the critical importance required for effective human resource management. Such organizational leaders have failed to integrate strategic human resource management as a part of their business strategy. Therefore, this paper is an analysis of the importance of incorporating strategic human resource management s a business strategic in the Macro Enterprise firm.

A research study by Legge (1995) defines human resource management as the formal organizational systems and approaches used for managing employees within the firm. The author states that the functions of HR include designing, defining and delegating work, selection, hiring, and recruitment. Similarly, HR is important in overseeing employee compensation, benefits and aids other factors such as training of employees in the firm. Legge (1995) also defines strategic human resource management as an organizational strategy that deals with important human resource components such as discipline, training, hiring and payroll activities for the firm. On the same note, the author states that strategic human resource management involves working with employees in a collaborative manner with the aim of boosting retention, improving the quality of work experience, and maximizing mutual benefits of employment for both the employer and the employees. Thus strategic human resource management enables the organizations to form effective organizational cultures that benefit both the employees and the employees. It is therefore, important for leaders in any organization to involve human resource management in their companies to accrue these benefits.

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Going by the above definitions of HR and strategic human resource management, it is important for the leaders at Marco Enterprise Company to make HR management a strategic partner in the organization. The firm’s cases study had revealed several challenges that the leaders in the organization face due to lack of effective HR strategies and methods on the firm. Therefore, by involving HR management as a strategic partner in decision-making activities, the leaders will be able to solve the challenges that they face currently. For example, the leaders will be able to improve performances, which is a major issue in the firm currently. 

A research study states that one of the duties of human resource management is to hire, select, and recruit human resources for the organization (Legge, 1995). Similarly, when conducting the selection procedure, the leaders will ensure that they hire employees with the right knowledge and skills required for each ob in different departments such s productions in the company (Becker & Huselid, 2006). On the same note, HR management takes part in employees training to equip them with effective knowledge and skills they need to perform their duties. Therefore, manager at Macro Enterprise should ensure that HR becomes a strategic partner in decision making to help them hire the right employees. Once the hiring process id done, the HR managers will conduct training for the new employees to ensure that they understand the procedures in the firm. This will help them iron out the issue that involve performance in the company. The leaders will be able to use HRE in solving performance related issues such as the ability of employees to follow the standard operating procedures (SOPs) in their daily activities. Similarly, HR will ensure that employees are trained on how to calibrate bolt drivers so that they can produce effective carburetors for their clients. The HR managers will en sure that the employees achieve these standards through effective training in calibration and other organizational procedures.

The case study of Macro Enterprise also reports that the culture and work environment in the organization are not suitable for the employees. For example, the case study reveals that the firms lacks effective communication between shifts and function, there were notable inconsistent application of SOPs due to different interpretations of the SOPs, challenges arising from continuous integration of ne w employees and that the firm needed to be a learning organization. All these issue stemmed from the fact that the movement of the firm from Florid to the Rockford area plant occurred without involving human resource management. Therefore, the leaders sho.uld make HRE a strategic partner in all their activities in the firm to help them with activities such as employ training and organizational learning to create a culture that not only lead to high performance but also productivity and ability to use current specifications in the sector (Becker & Gerhart, 1996). 

Similarly, the management should ensure that HR becomes an important part of strategic business because it will help the leaders to deal with issue of communication. With HR strategies, the leaders will be able to create effective methods, and channels of communication that can be applied between shifts and functions. Similarly, communication is an important factor that should thrive easily between employees, managers, and stakeholders. Therefore, HR strategies will enable them to create effective means and tools of communications that the people in the company can use. Communication is an important tool that enables organization to not only pass and receive information from one person to the next, but also allows firms to create effective methods of obtaining information that help improve organizational operations. On the other hand, HR strategies and their leadership will enable the firm to practice employee retention activities to deal with the problem of constantly hiring new employees. The HR strategies will also e quip the leaders at Macro Enterprise with best practice skills that will enable them to improve performance in the firm. Best practice techniques will also allow them to come up with employ retention methods and strategies that will allow them to ensure that they do not hire new employees constantly.

Similarly, effective HR management strategies will also help the leaders and managers in the firm to ensure organizational effectiveness. The ability to involve HR in strategic management in the firm will ensure that the leaders create effective communication skills, use up to date technology in communication and for sourcing for information (Wright, McMahan, McCormic, & Sherman, 1998). The leaders and managers will also ensure employee retention and the ability of employees to adhere to modern and prescribed standards of operations in the firm hence leading to organizational effectiveness. Similarly, organizational culture also depends on employees behaviours in the firm. The culture of a firm is broad and considers factors such s the relationship between managers and employees and vices versa. The factor also relies on how employees react to changes that takes place within the firm. For Macro Enterprise Company to achieve effective organizational culture, they need to involve HR management strategies to achieve these aspects of a successful firm.

Studies have also revealed that human resource management is important in enabling leaders in an organization to create an effective work environment for their employees. An effective work environment should be one that is quite and does not interfere with the daily routines of the organization. On the same note, an effective work environment should make it possible for the employees to meet the set standards rules and regulation. On the other hand, the ability of Macro Enterprise to use human resource management in their business strategies will enable them to create an environment that allows their employees to achieve peak performances. For example, the study reveals that the working conditions in different stations are noisy (Wright, McMahan, McCormic, & Sherman, 1998). Therefore, HR strategies will ensure that the leaders are able to come up with methods of ironing out environmental problems that their employees face. Similarly, the case study has revealed that the furniture in the organization is old and might not be comfortable for their employees. The ability to use human resource strategies will enable the managers and leaders to design a working condition that provides comfort ability for the employees. On the same note, an effective working environment should provide all the resources and materials required by the employees and the managers to conduct their work effectively. The ability to achieve all these requirements relies on the firm’s ability to employ effective HR management strategies. 

The case study of Macro Enterprise also reported that the firm lacks proper technology to use in their daily activities. For example, the case study revealed that the firm uses old computers and machines in their operations. On the same note, the firms still rely on their employees to calibrate their machines. Therefore, using HR management practices will enable them to adopt new technological methods in accomplishing their daily activities. For example, they can rely on using automated machines to calibrate their machines and tools to ensure the ability to produce effective carburettors (Lai, Saridakis, & Johnstone, 2016). On the other hand, the firm needs to come up with effective activities that reports high performance. It is important for the leaders to engage human resource managers in their decision-making activities to help them adopt effective methods for achieving high performance and growth in the firm. Similarly, the case study also reported that the leaders have note included human resource management strategies in higher levels such as chief executive officers and other higher-level programs. This has caused the firm dearly especially in the production procedures. Therefore, the leaders will benefit in including Hr in strategic decision-making. Similarly, RH activities will ensure that the firm to come up with methods of ensuring effectiveness in their personnel. For example, effective personnel help in conducting all the organizational procedures. Therefore, the firm should involve human resource management in their firms to achieve all these need that will lead to performances in the firm.

The need to manage human resources in any company effectively has been a topic of discussion over the years. Business organizations have also adopted the use of HR and strategic human resource management in areas such as selection, recruitment and hiring procedures. It is important for any firm to make HR management a part of business strategy to help in the recruitment and selection of new employees. Om the other hand, a company such as Macro Enterprise should involve HR in their strategic decision making to help them come up with employ retention procedures. On the same note, HR will enable the firm to create an effective communication methods and tools that will allow them to pass and obtain information in the firm. Similarly, HR strategies will also help the leaders in the firm to create an effective organizational culture and a working environment that enable their employees to work effectively. Similarly, the standards of operations in any sector are constantly changing; therefore, the leaders will be able to use HR management methods to identify any changes in SOPs so that they can meet the required standards in the firm. Another important aspect of HR in any organization is that makes it possible for the leaders in the company to i prove employee performers and hence making the organization profitable.

References 

Becker, B., & Gerhart, B. (1996). The Impact of Human Resource Management on Organizational Performance: Progress and Prospects. Academy of Management Journal. Vol. 39 Issue No.4 , 779-801.

Becker, B., & Huselid, M. (2006). Strategic Human Resources Management: Where Do We Go From Here? Journal of Management Vol. 32 Issue No. 6 , 898-925.

Lai, Y., Saridakis, G., & Johnstone, S. (2016). Human resource practices, employee attitudes and small firm performance. International Small Business Journal. , 14-28.

Legge, K. (1995). Human resource management . UK: Macmillan Education.

Wright, P., McMahan, G., McCormic, B., & Sherman, W. (1998). STRATEGY, CORE COMPETENCE, AND HR INVOLVEMENT AS DETERMINANTS OF HR EFFECTIVENESS AND REFINERY PERFORMANCE. Journal of Human Resource Management. Vol 37 Issue No 1 , 17-29.

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