Chapter 1 Strategic Human Resource ManagementOrganizational Goals can be categorized into economic, social, and environment goals. Short and long term goals that human resource management aims to support and enable. HRM is the leadership and management of people within and organization using systems, methods, processes, and procedures that recruit, select, motivate, and enable employees to achieve outcomes that enhance contribution to the organizations goals. Human resource management VS Human Resource Department:The field of HRM focuses on what leaders and managers should do as it related to organizing resource systems, policies and procedures. A HRD is a specialized group with the primary focus of ensuring the most effective use of the human resource system across and organization to enhance employee performance and accomplish organization goal.Strategic Human Resource Management:Integrating the strategic needs of an organization into our choice of human resource management systems and practices to support the organizations overall missions, strategies, and performance. These strategies are often formulated at three levels: Corporatewhich includes the entire organization, businessinvolves a major activity or division in a large multi business organization,and functional involving mangers of different activities, services (Finance, Marketing) or geographical areas.Proactive = they anticipate challenges or problems and make adjustments before they impact the organization or its people. Reactive is when decision makers respond to a problem or challenge when it arises. Understanding the Strategic HRM processMission Statement: Outlines the purpose, long term objectives, and activities the organization will pursue and the course for the future. “who we are, what we do, where we are headed”Cost Leadership Strategy: To gain competitive advantage through lower costs of operations and lower prices for products.Differentiation Strategy: focus on creating a distinctive or unique product that is unsurpassed inquality, innovative design, and other features. Focus Strategy: Strategy to gain competitive advantage by focusing on the needs of a specific segment of the total market. Environmental forcesfacing Canadian organizations are: Economic (Recession), Technological (Automation), Demographic (Workforce Composition), Cultural (Ethnic Diversity), Legal
(Changing Laws). Economic forces are factors facing Canadian business today, including global trade forces and the force to increase ones own competitiveness and productivity level.Economies go through Boom and Bustbusiness cycles, it may not take one organizations misfortune long before it is passed on to others. In these times HR Managers have to face challenges such as planning, communicating, and implementing employee layoffs. Often wage concessions have to be done to keep the firm surviving.