Strategic Role of Human Resources
- Human Resources:
- the management of the total relationship between an employer and employee. It links people-related activities to the strategy of a business.
- It deals with many aspects of a business that affect its relationship with employees, including recruitment, training and development, work incentives, retention and firing.
- The strategic role of human resource management is:
- to assist businesses to better meet the needs of their employees, while at the same time promoting company goals.
- to ensure it adds value by developing and maintaining a workforce that is efficient, productive, loyal, flexible and adaptive to change.
- the ability of senior managers to develop proactive strategies in the management of its people. It requires managers to think ahead and develop methods for the business to better meet the needs of the business.
- derived from the organisation’s strategic plans and objectives, providing managers to determine the long-term employment needs of the business.
- The business must then determine whether their employees have the skills to achieve its long-term goals.
- They must then establish a plan/guideline for the company to determine training and qualification needs, and skills base of external individuals who may be recruited by the business.
- Benefits of a strategic role of Human Resources:
- Development of a highly qualified workforce that fosters skill development and employee recognition
- Introduction of systems and procedures that deal effectively with workplace conflict and grievances
- Employment of a workforce relevant to the organisational needs of the business from a long-term perspective
- The workforce itself being the competitive advantage that the business has over its competitors
Extract from Business Studies Stage 6 Syllabus. © 2010 Board of Studies NSW.