Unit 21 Strategic Human Resource Management Assignment Sample – BTEC-HND-LEVEL 4

The unit aims to explore how HR management contributes to the emergence and sustainability of business strategies. It allows the students to appreciate and assess the contemporary and seminal models, concepts, and principles that permit HR to contribute towards sustainable growth and organizational changes from the HR perspective.

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Management assignment requires students to analyze aspects of the HRM model proposed by David Guest.

The Management unit describes adaptability at the workplace and the best practices of flexibility that allow employees to maintain a balance between work and personal lives. This unit focuses on the role of the Human Resource Manager in managing diversity and complying with laws of equal rights.

The unit covers the principles and practices of HRM in the context of business strategy and sustainable growth. The students will have an opportunity to understand how human resource policies, practices, and processes can be aligned with strategic objectives to achieve sustainable competitive advantage.

At the end of the assignment, students should understand how human resource functions can be integrated with business strategy.

Assignment solutions of Unit 21 Strategic Human Resource Management

In the modern era, strategic HR management is the most crucial task in any company. With time, competition between institutions became so intensified that it’s no longer easy to gain a competitive advantage in the market.

Moreover, challenges like employee dissatisfaction, and high turnover rates create hindrances to the long-term success and growth of a business.

To stay in the competition, companies need to focus on areas like training and development of staff members. Companies started implementing strategic HR management, as it allows them to make the most of employees working in a company.

This study analyses the Guest HRM model that was proposed by David Guest in 1987. It emphasizes the integration of soft and hard approaches of HRM.

This section includes the current trends and developments that impact HR strategy.

It focuses on tasks that lack adequate employees and eliminates individuals that do not fit into your organization chart. Once management figures out the redundancies and bottleneck issues, it can take proper measures to resolve them.

  • Budget

Budget is a crucial factor to consider when assessing the staffing requirements of an organization. Departments like customer service, production, and warehousing require skilled, proficient employees. Management obtains the essential resources to employ people from increased revenues. Positions that add value to the company require managers to acquire resources for recruiting employees.

Management can lower the base pay to extend the staffing budget. Voluntary benefits wouldn’t cost much but can reduce payroll expenses, and offer low-key benefits to the employees to pay for their health insurance or funds.

  • Workplace productivity Trends

Workplace productivity forms a trend, and management figures out whether the productivity is rising or falling in the company. It is essential to create an optimal, positive work environment to get the most out of the existing employees. A position workplace includes a training, and wellness program, job descriptions and annual audits, employee newsletters.

  • Globalization

Organizations aren’t limited to operating in the homeland. They are going global and expanding their business across the borders. The rise of expansion in the multinational territory requires effective HR management.

Globalization removes barriers to trade beyond the national boundaries. It fosters interdependence, integrity, and interconnectivity of capital assets and the manufacturing process. It eases resource, cash flow, import and export of goods across multiple countries, expanding economic growth and multinational trade in a complex manner.

  • Comply with regulations and legislations

Business proprietors consult security and employment experts, insurance companies, and fire departments, ensuring that they cover all the legal prerequisites that apply to the employees. It requires management to follow the federal and state law laws, create a safe workplace, enforce company policies, and tax payments.

  • Honing Employee Skill Sets

As the company grows, proprietors discover operational and administrative needs that won’t be fulfilled by existing employees. They can include training and employee education programs, send employees to seminars and conferences instead of hiring new staff.

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P2: Explain how internal and external factors influence HRM principles and strategies

There are a variety of internal and external factors that can influence HRM principles and strategies. Internal factors may include the company’s overall business strategy, its culture and values, and the preferences of top management. External factors could include changes in the labor market, government regulations, or economic conditions.

It is important for HR professionals to be aware of both internal and external influences when developing HR policies and practices. By taking into account all relevant factors, they can create programs and initiatives that are more likely to be successful.

Internal factors:

The company’s overall business strategy: The company’s business strategy will have a major impact on its HRM practices. If the company is focused on growth, for example, it may place a greater emphasis on attracting and retaining top talent. If cost reduction is the primary goal, then employee training and development programs may be cut back.

The culture and values of the company: The culture and values of a company can influence the way it treats its employees. A company that values employee input and feedback, for example, is likely to have different HR policies than one that does not.

The preferences of top management: Top management will typically have strong opinions on how the HR function should be run. Their preferences should be taken into account when developing HR strategies.

External factors:

Changes in the labor market: The labor market is constantly changing, and HR policies and practices must adapt accordingly. For example, if there is a shortage of qualified workers in a particular field, the company may need to revise its recruiting and hiring practices.

Government regulations: Government regulations can have a significant impact on HRM. For example, the Equal Employment Opportunity Commission (EEOC) enforces laws that prohibit discrimination in the workplace. Employers must be aware of these regulations and ensure that their HR policies are in compliance.

Economic conditions: Economic conditions can also affect HRM. For example, during a recession, companies may be more likely to downsize or freeze hiring. HR professionals must be prepared to respond to these changes.

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M2: How theories relate to HR practice in an organizational context

HRM plays an important role in managing and training the workforce. Manpower planning is one of the important responsibilities of the HR department within an organization. HR Managers follow several strategies for training and selecting the right people in the company.

HR design job descriptions suited for the job roles in the company. After hiring the employees, management plans for orientation of the employees with training and development for them.

HRM keeps people motivated for their work. It starts with defining the job role of employees. An effective Feedback system helps the employees to improve their skills. It helps to align the organizational goals with personal goals.

Researchers attempted to design names for HRM theories that support policies and HR practices in an organization.

  • Organizational Behavior Theory
  • Motivation Theory
  • AMO Theory
  • Contingency Theory
  • Transactional Theory

HRM theories help HRs and managers to increase the productivity and commitment of the task force by motivating them, rewarding them for performing well. Organizational theory helps the managers to understand the behavior of employees, and explain how employee perspective impacts performance. Motivation Theory helps to create commitment and dedication to addressing the company’s requirements.

AMO Theory helps the managers to implement approaches that lead to increased employee motivation through HR strategies and policies. Human Capital Theory states that employee training and education help to foster productivity. Agency Theory finds its application mitigating conflicts between agents and principal.

Contingency theory states that HRM functions should match the financial and environmental aspects to accomplish the institution’s goals.

P3: Apply theories and concepts about the growth of strategic HR Management in an organizational context

When task forces work towards similar objectives, odds of achieving business goals get increased. Strategic HR management plays an important role in evaluating employee achievements and determining measures needed to improve employee’s productivity.

With HRM models, it becomes easy to explain the role of the HR manager in a company. This section explores the 5 most popular HR models that explain the role of a human resource manager. Values added by HR and how he influences people working for the organization.

  • Casual HRM Model

The casual HRM model is one of the most popular HR principles, and it depicts a chain that originates with business strategies and ends through HR processes with increased financial performance.

This model states that HR activities should align with the business strategy to improve the productivity of the organization.

As per the Casual HRM model, HR strategy becomes effective when it aligns with business processes. Thus, the Casual HR model is derived from the best-fit HRM strategy. HR strategy complies with HRM practices, and HR practices like training, performance appraisal, and compensation associate with quality production and employee retention.

  • The 8-box model

Paul Boselie proposed an 8-box model that explains the external and internal factors that affect HR effectiveness.

Apart from the HRM models and principles, some theories support HR strategies in an association. Theories of Motivation and Organizational Behavior revolve around management strategies that include structure, and guidelines applied to modern organization’s contexts.

Motivation theory assesses the conduct of an individual concerning the association.

The study of organizational behavior applies to HRM and related topics help one to understand how the workforce behaves, responds, does, and feels. If the worker’s conduct or performance is appreciable, he could maintain good relations with the colleagues. This behavioral theory judges individual behavior and discriminates between negative or positive behavior.

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P4: Explain how the change in management models support HR strategy in an organizational context

The McKinsey 7S Management model is one of the change management models and consists of seven strategies that businesses should consider when executing structural changes.

  • Strategy: It is one of the change management plans that incorporate a stepwise procedure for implementing changes.
  • Structure: This factor relies on the framework in which the organization gets segmented or the strategy that it follows.
  • Shared Values: It refers to the main values based on which an enterprise operates or runs.
  • Staff: It pertains to the employees working in an industry, and their capacities.
  • Skills: It implies the expertise, capacities, or abilities possessed by an enterprise’s workforce.
  • Systems: It pertains to the infrastructure or mechanisms used by employers, and employees to accomplish day-to-day tasks.
  • Style: Style refers to how management adapts to the change in structure or culture of an institution.

In this section, we explained the individual components of the McKinsey 7S model; let’s apply them to the practical Covid-19 pandemic scenario.

  • Taskforce management strategy that coordinates with your company’s vision

Change management and communication strategy ought to reflect the actual vision of the organizational changes. Moreover, it should have a clear vision that makes it easy for the employees to work considering the impact of changes. Establishing a clear vision is the best way to align employee performance with business goals.

For instance, your change management policy might focus on ensuring how employees return to work safely.

  • Keep things in a constant flow

When implementing business changes, you should support your workers to resolve workplace conflicts and overcome the bottlenecks.

Perhaps there is no better way to support the task force than allowing them to share feedback using a two-way communication channel.

Encourage workers to participate in group discussions, raise concerns, or make questions. Rather than forwarding mass emails, you should communicate with them in person.

  • Add short-term goals to your change management strategy

You shouldn’t set a final goal for the management plan, instead set small, measurable goals that will keep your task force motivated throughout the process. For instance, if you’re planning to continue with the remote work settings, you can transmit the objectives of the work-from-home plan in chunks. Provide them with an easy way to meet goals and celebrate successes.

Use an inter-office communication channel to share news of successful journeys to motivate the rest of the team members.

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