Unit 3 - Strategy Formulation and Planning

Unit 3 - Strategy Formulation and Planning

Human Resource Management

Based on the descriptions of experiences of People's Bank, Ingersoll-Rand and Maid Bess, the unifying theme of human resource management is assumed to be the effective and efficient management of people or the workforce. Human resources management (HRM) is a term that encapsulates the approach and process of managing people who work for an organization. This work can be either paid or undertaken in a voluntary capacity. HRM frames all people-related matters within an organization, including planning for new appointments, recruitment and selection, induction, performance management, reward and incentive structures, training and development, and when and how to let people go (Denning, 2011).

HRM is a function that organizations perform in order to recruit and manage effectively along with providing directions to the people who work for the organization. Managing human resources typically includes planning and managing resources, providing strategic vision to the employees so as to align with organization's goals and objectives, creating such a working environment that every employee looks up-to. HRM is the basic function of organization that deals with the people related issues like employee motivation, compensation, communication, hiring, safety, performance management, administration, organization development, wellness, training and benefits.

Strategic Role of Human Resource Management

Strategic role of human resource management t is an on the outside focused viewpoint of handling a company and its employees that hyperlinks strategic thinking and research to business action. Ideal control provides a continuous viewpoint for creating and handling the expectations and activities of the company. It looks for to create a bridge between the corporation's exterior atmosphere (political, regulating, economic, technical, social, and aggressive forces) and its inner situation (culture, company framework, resources, goods and services, and so on).

In few situations developing the bridge may result ...