Strategic Human Resource Management – Benefits and Barriers

Strategy is a multidimensional concept and is usually a broad statement that sets a direction. Strategies are essentially a specific, measurable, obtainable set of plans that are carefully developed to achieve certain specific goals. They are action statements that are linked to an individual or individuals who are accountable as well as empowered to achieve the stated goals.
Strategic human resource management is designed to help organizations best meet their needs that focus on employees as well as to promote organizational goals. It deals with any aspect of a business that affects employees, such as hiring, firing, payrolls, benefits, training and general administration. Strategic human resource management is the proactive management of people. It requires a lot of thinking ahead and planning ways for an organization to better meet the needs of their employees as well as the business itself. It reflects on the way businesses traditionally work and improves everything from traditional hiring practices to employee training programs to employee evaluation techniques.
Strategic human resource management is the process of linking human resources with the strategic goals of the organization thereby improving the performance and fostering innovation, flexibility and gaining a competitive advantage.

Benefits of SHRM

  • It provides a clear business strategy and a vision for the future.
  • It helps the human resources department supply competitive intelligence that may be useful in the strategic planning process.
  • It impacts the entire process of recruiting, retaining and motivating employees.
  • It helps identify the external opportunities and threats that may be critical to the company’s success.
  • Helps develop and retain highly competitive people.
  • Helps address people development issues systematically.
  • It helps supply information regarding the company’s internal strengths and weaknesses.
  • It also helps meet the customer’s expectations effectively.
  • Ensures efficiency and greater productivity.

Barriers to SHRM

  • The main barriers to SHRM are the lack of growth strategy and the failure to implement it.
  • Sometimes there is high resistance to changes and lack of cooperation too from existing people and processes.
  • A commitment of the management team is essential.
  • Status quo approach is the greatest hindrance. People who love status quo would not be best suited for such a change or transformation to take place.
  • Many times diverse workforce is considered as a barrier – which is not actually the case – regardless of the workforce SHRM can be implemented.
  • The leaders should have the vision for the future and include strategic human resource management into the core of the organization.

Well, there are a number of ways to implement such a system. In the simplest terms, it is necessary to include automated software for human resource management. Strategic planning and plotting of accurate data can ensure that you have enough information at hand before you make any strategic decisions for your organization.

If you are looking for automated HRMS software for your organization contact us today and we can discuss your requirements in detail.