This essay presents a critical evaluation of the concept of Strategic Human Resource Management (SHRM) with an explanation of whether SHRM contributes to organizational success. An introduction is presented and is followed by a background of HRM and SHRM. Next, models and theories of HRM are presented with an evaluation of impacts of HRM and SHRM in practice. This is followed by conclusions.
HRM is defined as a model of personnel management that is focused on the individuals that are part of an organization. HRM typically takes charge of aligning management with employees and the building of employee commitment while ensuring the quality of the goods and services produced by the organization. Strategic integration is used to reach these and other goals related to employees and the company goals. Within HRM there is a focus on cost reduction and containment with the use of strategies to further the competitive advantage of the business. There is also a focus on human relations and employee satisfaction with related objectives. These two focuses are linked (Worland and Manning 6).
Strategic management refers to use of strategy for long term planning and SHRM refers to the strategic management of the HR functions. More specifically strategic HRM focuses on the need for HRM plans and strategies to be developed that fit the organizational strategies and objectives. SHRM must ensure that there is s good fit between HR and business plans and strategies. SHRM integrates HRM functions while adhering to organizational goals and responding to the environment and HR has a role in driving these HRM and SHRM functions (Wei 49).
The use of the term strategy includes a focus on processes and outcomes in the organization. Thus, organizational restructuring and market positioning are part of the long-term directions to be planned. SHRM must make sure that the business and HRM strategies are in alignm...