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What's Employment cycle?

Discuss and covered some of the individual components of the employment cycle but your answer would be further enhanced by providing some discussion of ensuring integration of the different elements of the cycle to ensure a strategic and effective approach to the management of people. In addition your discussion of employment legislation could be more precise by focusing briefly on the impact of employment legislation on people management. Finally a conclusion stressing the overall importance of an integrated approach to the management of people would be beneficial.?


Nowadays, as people may understand, Human sources management is an essential detail within the commercial enterprise environment and also getting complicated because the society has modified with the development of technology. Consequently, a bunch of companies can‘t ignore about their workforce because the view of human resources in an organisation contributes a massive part of the organization's value. To be specific, Since the Nineteen Eighties, HRM approach has become a gradually critical matters for studying (Lengnick-corridor and Lengnick-corridor,1988; Terpstra and Rozell, 1993; Wright et al., 1998).By handling their human resources, the organisation can foster the exceptional types of employees behaviour which is vital to achieving competitive approach (Dowling and Schuler, 1990; Grundy, 1998; Schuler, 1987; Schuler and Jackson, 1987a).

This report will discuss importance of effectively dealing with the employment cycle within an organisation additionally emphasize the position and significance of regulation for the entire of employment cycle.

What's Employment cycle?

Information from Willey, (2015), defined employment cycle includes businesses choice employment call for consistent with business approach. As soon as employment needs are determined, organizations begin to hire new workers.

Relationship among Employment Cycle and Human assets management

The vast majority of organisation has to make plans for the positions which unavoidably grow to be to alternative workers as employees retire, leave or get promoted. Moreover, new positions should be created because the company extends. Therefore, for most firms, deciding staffing wishes is a non-stop manner.

The importance and role of HRM in Employment cycle

According to report written by Fang Lee Cooke, (2000), and CIPD,(2007), explain In HRM, Recruitment, selection and motivation process is one of the maximum considerable factors that allows the growth and achievement of enterprise. Recruiting and choosing incorrect human beings for a company can lead to accelerated labour expenses, increased turnover, and moreover it could lower the morale of the existing employees of the firm. On the other hand, motivation can enhance the loyalty of workers to organisation and increase the productivity of the organisation. For that reason, HR needs to hire those individuals who are eager to work with their best and supply them education and motivation for fulfillment of enterprise. To try this corporation wants a successful HR function and method that they are able to offer good enough assistance, motivation and schooling to group of workers.

Relationship among Employment Cycle and Human assets management

Rothwell (2008, p.23) debates that it's far mandatory for manager in enterprise to be very good at people-competencies for it is the people working at the company which can be the most crucial people inside the enterprise. Without employees in the company, then the firms does not attain its desires. They are the individual that make things moving. There are consequently no escaping people-abilities if business venture is to exceptionally perform.

The stage of employment cycle


The planning in the status quo phase of the employment cycle engages in expecting employee’s range available and qualified worker’s number asked in the future. Making plans for HR must be related to business strategies due to the fact company has to consider a great deal of factors: cost and vacancy availability, current situation.

Recruitment and selection

This is the most essential parts of the HR department. It is the function guarantees the organisation's choose the most skillful and capable individual among a variety of candidate. According to, CIPD, (2015), recruitment is the process of getting the ideal person, in the right location, on the proper time. It's essential to organisational performance. Recruiting worker is enormously highly costly activity. Which meant it is significant part of any business. To increase safety levels of recruitment, regardless of the size or nature of the business, having a clear recruitment and selection process in place and is consistently carried out. Consequently, when organizations pick the right people for position, train them properly and deal with them accurately. Through those activitiy, it will result in not only make good outcomes such as effective and better motivated work but also have tendency to commit to the organization longer. There is example how important recruitment and selection is in organization. According to Business case studies, (2015), Cummins is well aware of getting it right. Negative choice at the recruitment stage can show high priced. Consequently, the company has to make sure of a candidate's technical competency. To be detail, while engineer designs certainly one of components that fail and need to be re engineered. In this situation, it is going to have an effect on losing money and time and might incur penalty fees about any delay for contracts. Money and time the organisation spent in recruiting that worker will have proved high-priced and wasteful whilst a better candidate won't have 'were given away' but also long gone to a competitor.

The importance and role of HRM in Employment cycle

Recruitment and selection procedure is involved with recognizing, attracting and selecting appropriate person to meet enterprises human resource prerequisites (Anderson, 2001). Moreover,  it can be clarified like Watson said: "Recruitment and choice are conceived as the procedure by which companies request, agreement and interest potential appointees, and then establish whether or not it might be fitting to designate any of them" (Watson, 1994)

Essentially, the recruitment way is consisted of internal and outside. The procedure might be classified as defining the role, attracting applications, coping with the application and selection process, making the appointment.

According to Wiley, (2015), employee selection can be demonstrated as a screening or filtering method. It consists of accumulating data of every candidate for a role, and afterward using that source to pick the satisfactory proper applicants. Interviews, checks, physical examinations and reference assessments are all piece of this process. In choosing employees, the concept is to pick the most ‘fitting’ man or woman with the talents that great fit the position, in preference to the applicant with the ‘most’ qualifications.

Choosing employee may be a highly-priced process — now not just as a long way as the time and effort placed into the screening method, additionally in terms of the costs about inappropriate choice. Therefore, it should be efficient, effective and fair.

The poor selection procedure can reason to increased rate and reduce productivity by increasing: training cost, process dissatisfaction and so on. So, it shows that managing HRM effectively in organisation is one of important elements.



ACEVEDO, J.M. And YANCEY, G.B. (2011) stated Induction may be defined as the procedure where employees adapt or get used to their employment and working context. As a element of this, ‘orientation’ may be utilised for especial direction or training event that new starters attend, and ‘socialisation’ can describe the method in which new personnel develop working relationships and find out roles for themselves in their new groups.

The reason for induction is to assure that representatives are incorporating great into or across the business for the benefit of both aspects. Research via TAYLOR, S. (2014), demonstrates that induction programmes advantages employers and employees. For employers these consist of improving the job fit, reducing turnover and absenteeism, and growing employee loyalty and job satisfaction. For representatives, beginning a brand new role in new company may be nervous time because they are not familiar with the new working environment and colleagues. By providing induction programme, it allows them to see more about the company, their position, skills of working and meeting colleagues. So this shows importance of managing Induction programmes in organistion to provide employees can get advantages both side and.

The stage of employment cycle

Training and development

Bramley's (2003), stated training consists of getting to know and educating workers to do something to result in matters being finished in a different way.

Armstrong (2008), defined development is procedure for preparing personnel for future job obligations consisting of formal and casual training, education, mentoring, coaching.

For the firms, it is one significant of planning for employees in the in which the organisation guarantee that each one of the representatives below its wing are simply efficient to add value to the company. The company responds to those types of issues by adding a formal structure and functional specialists, which include HRM managers (Buller et all, 2003, p. 324).

Benefits of Training and Development

According to The Economic Times,(2015), there are several reasons of importance for training and development. Wagner,(2000), said Companies that are offering the training and development programs for their workers are likely to achieve high level of employee satisfaction and low employee turnover. By providing training and development programmes, employee can improve their weakness. To be specific, every individual has weaknesses, so when it is addressed by offering those programmes then they could know their problem and get confidence in work they do now which meant they can improve job performance. In addition, it affects employee satisfaction and self-driven because they already have confidence of their working and know what to do. As a result, for employer and employees, they could increase productivity.

Recognition and reward

According to Workforce, (2013), In fact, a 2012 study by the practice Aon Hewitt examined the link between corporations’ monetary performance and worker engagement and located a one mathematical notation increase in workers World Health Organization became engaged resulted in an exceedingly 0.6% growth in sales. The “2013 Trends in world worker Engagement” report checked out knowledge from 2008 to 2012 from ninety four world firms with nearly nine million workers. This system can also enhance the way to facilitate change or help suited company values, along with a point on the purchaser. For instance, Information from Wiley, (2015), shows that BHP Billiton provide awards inclusive of health, protection, the surroundings and community to workers to realise individual who show company values and move beyond their every day process necessities to care for their fellow employees, the network and the surroundings. It shows importance for the company to make recognition and reward programmes to provide employees and increase the profit and productivity of employee by managing HRM effectively in organisation.


Performance management

A process which contributes to the powerful control of people and teams with view to achieving high levels of organisational performance (Armstrong and Baron, 2004).It has a considerable position to play in enhancing organisational success by way of making sure that all people apprehend their expected contribution to enterprise goals and are inspired and equipped with the abilties and assist to gain this (CIPD, 2015). So it should be strategic, intergrated.

HR role in performance management

However, there is issue about performance management. According to HR magazine, (2015), agencies require 20% development in performance from employees to guarantee that the company purpose is met, but the past 15 years have seen only approximately 10% development. Survey from CIPD about Employee Outlook Survey, (2014), discovered over 30% for employees in the United Kingdom believe the overall performance procedure in their organization is unfair. According to, Badendoch and Clark, (2012), supports this, showing that 37% about employees agree with appraisals are a waste of time and do now not help towards their profession development. HR has been aware of this now for decades, but has didn't fix what historically damaged framework is.


According to Wiley, (2015), termination can be defined as when employees leave a specific working environment, ending the relationship of employment. It is generally directed via the human resources supervisor, who has to guarantee that representatives are treated both fairly and in the law. There are numerous reasons why workers leave an organization which includes retirement, dismissal and redundancy. However, specifically, it is able to be classified because the different types of separation into two categories: voluntary and involuntary.

Retirement and dismissal, redundancy

According to Wiley, (2015), Retirement is whilst employees voluntarily leave the firm. Till the mid-Eighties, it became not unusual for guys to retire when they reached 65 years of age and women after they reached 60 years of age. As regulation modified in the 1990s, there has been no ‘official’ retirement age. Now they can pick out after they would really like to retire that's voluntary. However there is tragedy approximately voluntary retirement inevitably due to monetary recession. As an example, according to Korea herald, (2015), it says, with the global financial meltdown and other tragedy blocking business prospects, the company became the subject of market concerns from late 2012-2013, when the company’s core slipped into the red. Doosan Infracore which is a key Doosan affiliates, has asked all 3,000 staffs to use for voluntary retirement programmes that give 12-20 months of earnings.

Recruitment and selection

There will be situation when the employees make unacceptable behavior and it then will become necessary for an organisation to terminate the employment contract of that employee. Therefore, deciding on employees for dismissal is probably unstable and requires awareness of law and business agreements to avoid legal action. The organization must give employees reasonable notice and comply with procedures established in law involving the unfair dismissal. So, it's very vital for company to manage the company effectively. However, there is unfair dismissal instance. For instance, according to independent, (2016), A Tesco worker was dismissed for eating eggs, beans, toast and sausages and not immediately paying for them. The employee in canteen explained that staffs are not allowed to carry cash while working. In evidence, former employees explained there has been no strict policy about meals could be paid for by staff after consumption. Consequently, employee who was dismissed got reward from Tesco. This situation indicates that the significance of managing dismissal employees because failing to manage their employees, it cause losing money and reputation.

4.Regulation of Employment cycle

According to Department for Business & innovation Skills, (2013), legislation did affect practices to some extent, employers especially commenting on:

Employment legislation on people management is important to take care of organization and meeting the demand as per the creative management. The important continues to hold and work on behavioral dynamics for problem solving and prioritizing the maximized outputs. The situations need to work on issues and all improper conducts with the performance issues. The effective investigation is based on gathering and allowing to assess for reducing stress with changing the short time work processes (Boxall, 2013). The people management works on motivation and improvement of communication standards based on performance system. The skills are valued to take care of all the employee health which supports to conduct and handle the values with the maximized skills and reducing all the stress taking action.

Equality regulation, in that employer developed practices to demonstrate that their reason for selecting among applicants were no longer discriminatory;

Eligibility to work: employers that recruited migrant employees, as well as the ones in certain sectors, mainly finance and security, were required to perform specifically historical past assessments before taking over staff.

Agency workers Directive: the changes to company workers rights after 12 weeks discouraged employers from using organization employees for longer-term roles, deciding on as a substitute to use fixed-term contracts.


The importance of Fairness

According to Brighton& Hove city council, (2013), every employee has responsibility of legal to guarantee that no discrimination happen in the recruitment and selection process due to sex, race, disability, age, sexual orientation and faith. Equality of opportunity is an indispensable part of the recruitment and selecting system, and to this quit employers may also provide training and encouragement to any under-represented group.

Ensure a strategic and effective approach to the management of people of employment cycle

The HRM policies needs to work on the four Cs of commitment, competency and effectiveness of cost and congruence which will help in setting the work to enhance communication and commitment (Boxall, 2013). The mapping of all the skills try to work on handling the policies which evolve important cost effective terms based on technology and management. The communication skills need to be focused on for a better training and sales. The recruitment should focus on the knowledge of product and whether the employee has worked on all the market offerings and changing trends of the market. This will enhance a complete changing knowledge in the workplace. (Smith et al., 2015).

The retailing factor works on monetary benefits and different prospective of growth and enrichment of job factor. This will help in properly managing the employment cycle, with certain rewarding and recognition as per the behavioral impact (Mabey, 1998). The performance is based on growth and opportunity which directs to satisfying all the rewards of responsibility and recognition pattern.


There are effect functions where the HR conducts functions for the annual performance of all the goals and different programs of development. The approach to handle the HR and IT development programs work over handling all the incentives and processes which can change and create the gulf of organization strategy. The packages and the organization work on periodic meetings to handle all the relative aligned patterns of the corporative objectives. The design phase are based on maintaining the collection of data and process the scorecards to evaluate the performance of the people. (Smith et al., 2015). The communication process works on supporting all the responsibility plans to percolate up through the organization and handle the strategic execution for executing and creating a better HR training plan. The supervision of budgets are planned under the responsibility with the different functional units (Fombrun, 1984). The alignment process and handling the review strategy directs to setting the development and formulation of entire planning framework. This will set the conduction of all the plans and organize the strategic meetings as per the performance formulation system. The communication strategy is for understand all the support to democratize the existing responsibility (Mabey, 1998). The management of all the strategic initiatives screen, select and manage to drive the changes with better production of results.


You have covered some of the individual components of the employment cycle but your answer would be further enhanced by providing some discussion of ensuring integration of the different elements of the cycle to ensure a strategic and effective approach to the management of people. In addition your discussion of employment legislation could be more precise by focusing briefly on the impact of employment legislation on people management. Finally a conclusion stressing the overall importance of an integrated approach to the management of people would be beneficial.

Strategic and effective approach to the management of people.

Is hrm a strategic approach to managing people business essay

Human resource management concept has a claim that it is strategic in its approach while managing people at work place."The concept of HRM is often defined as a strategic approach to the management of an organisation's most valued assets- the people working there who individually and collectively contribute to the achievement of its objectives for sustainable competitive advantage". (Armstrong M, 1994).HRM emphasis on few aspects that are, interests of management, keeping strategic approach , achieving value addition for the organisation from people with the help of human resource development. Furthermore performance management, gaining commitment toward the aim and objective of the organisation, requirement of strong corporate culture as well as maintaining coherence in HR policies and practices. HRM is oriented to business, where the concern is for proper management of people in order to add value to achieve competitive advantage for the organisation. HRM is appealing to management because with the help of human as resources and technology it competes at the global level. HRM can be regarded as a "Set of interrelated policies with an ideological and philosophical underpinning" (Storey 1989). Human resource has been strategic in its approach while managing the crucial resource people which are important for any organisation. The essay discusses the approaches which are the evidence of HRM having strategic approach. The rationale behind having strategic approach in HRM is discussed. Models and theories are used to understand the strategic aspect of HRM. First the relevance of Harvard model is explained in relation to soft approach of HRM. Furthermore the literal meaning of strategy is explained and matching model is put forward in relation to hard approach of HRM. In addition to it classical and emergent strategy are explained and four fold model is understood with its help. Concurrently Porter's model is analysed with reference to HRM philosophy. While going through these theories their relevance in workplace is assessed in supporting the claim that HRM represents a strategic approach to managing people.


Human resource management has strategic approach it refers to the overall direction the organisation wishes to pursue in achieving its objectives through people. Human resource strategy deals with long term effects on employment and development of people. It also concern with relationship between management and staff. The strategies related to HRM focuses on people issues which affect the strategic plan of the organisation. Strategic HRM deals with structure, values, culture, quality, commitment, performance, competence and management development. It deals with specific issues of the organisation which needs to be altered or attended for organisations benefit. The issues should be related to people that is training motivation reward, flexibility team working and stable employee relations. The explanation about the HRM strategies clearly reflects that HRM adapts to strategic approach when it is managing people. Human resource is intangible in its character so to manage it, strategic approach is essential. In its origin HRM is considered to be proactive, and long term employee commitment is integral to it. Harvard framework consists of six components which treats HRM as an entire system. As said by (Beer M, 1985) components are situational factors-which shape the environment within which organisations operate. Stake holder interests-it's about trade off that occurs between employer and employee. HRM policies, HR outcomes, long term consequences and a feedback are the component. Policies are related to HR flows, reward system and work systems.HR outcomes are commitment, competence, cost effectiveness, congruence. Long term consequences are employment and growth. Feedback creates a loop which keeps the continuity Harvard frame work had horizontal alignment it acknowledge role for alternative stakeholder interests-including government and community. The approach has been very positive and had a broader perspective. . Thus it can be seen at very initial level HRM has a set pattern of dealing with human resources. This model of HRM is the 'soft' model because it focuses on management of 'resourceful humans' assuming that employees are valued assets and a source of competitive advantage through their skills and abilities. (Storey J. , 2007). In the soft model staff is managed where managers engender commitment and loyalty to achieve high level of performance. The soft model considers that the most important is to promote level of employee motivation, commitment and satisfaction which in turn provide excellent performance.

The rationale behind HRM being strategic is that it rests on the perceived advantage of managing people in organisation for long term gain, with the help of agreed and understood basis for developing the human resource. The logic of the strategies is that they integrate the need of both organisation and people when human resource is managed. Management of people is the key to achieve competitive edge in the competitive global market. When we talk about managing people in workplace strategy is bound to occur. "Strategy is derived from the word 'strategos' which mean, a general, who organises, leads and direct his forces to the most advantageous position" (Bracker, 1980). If we talk about strategy in business world the top management leads the organisation to get its goal achieved, its vision attained and its position in the society in a given environment. If we look at the universal model it stress the importance of top management commitment to key HR practices. This model assumes there are 'best HR practices' which ensures success of organisation irrespective of circumstances. The model explain the link between organisational strategy and HR strategy, it advocates that this involves top management giving 'HR practices the profile they deserve in the senior management process (Boxall, 2003). Other model is matching model which has different approach from universal model. Matching model (closed) approach specifies HR policies and practices which are relevant to specific organisational situations. In this model there is a clear and mutually supported relationship between organisational strategy and HR strategy, this relationship gives rise to the implementation of specific HR initiatives. "The match between the organisational strategy and HR strategy is closed and prescribed in the sense that a particular type of organisational strategy suggests the need for a specific HR strategy and set of practices" (Fombrun, 1984). Matching model (open) argues the existence of a clear and mutually supportive relationship between organisational strategy and HR strategy. This is different from the closed model because according to this model HR strategy initiatives should not be prescribed but should be left open. "In other words, the test of the degree to which the HR strategy is truly 'strategic' is a test of its appropriateness to the organisational strategy" (Mabey, 1998). These models explain that the nature of HRM is strategic in its approach while managing people in the work place. Matching model highlights the resource aspect of HRM where the optimum utilisation of human resource is done to achieve organisational objective. Hence is considered to be 'hard' model. "The 'hard' model stresses the links between business and HR strategies and the crucial importance of a tight fit between the two" (Fombrun, 1984). In other words organisations consider human resource like other resources and intend to obtain cheaply and exploit fully for its profit maximisation. Labour is co modified although it may be treated well when conditions are favourable and labour is short in supply to fulfil organisational goal. In contrast organisation will make them redundant when its value is less than the expectation. In spite of being hard in its approach this strategy gave initial framework to subsequent theories. In some cases the approach is top down whereas in other it is prescriptive in nature. The approach of HR is even open to the situation within the given conditions of the organisations but the common factor is that all the models had systematic approach in dealing with people in the work place.

Strategies are innate for HRM they can be deliberate or emergent. When HRM is managing people and has the corporate and business mission it can comprehend and deliberately make certain strategies .Where as in other situation they emerge with the progress in the organisation. The classical perspective of managing human resource has its strategies which are deliberate .According to (Chandler, 1962) "Structure of an organisation Flowed with its growth strategy" .'Classical' strategic management process has certain principal elements .The approach establishes the long term direction of the organisation, it assess the product market and geographical location within which business can prosper. Whereas analyse the external environment while identifying possible opportunities and threats. Approach is deliberate with the intent to elevate the organisation with the help of sustained competitive advantage. Moreover having a mission statement and objective for the organisation helps in creating competence. Determining the scope of organisation whether it will be in primary sector or expand itself is important aspect for strategising. It is important to set specific goals and examine alternative choices. Conducting an internal organisational analysis by doing SWOT can equip the organisation to understand the nature of existing management systems, competencies, and capabilities. (Grant, 2008) Argues that the "best -equipped strategists have a profound understanding of the competitive environment and are able concurrently to systematically appraise the resources available to them". Operational activities have effect of top management decisions. Expansion plan merger or takeover all such decisions play an important role in strategy making. Adoption / implementation of chosen choices are critical factor for strategy making. Entrepreneurs have certain image about the organisation and it is vital to be known at the time of developing and implementing strategy. "Appreciating that the values and expectations of senior decision-makers play a sizeable part in the development of strategy because it is how they choose to interpret advice about external and internal resources that ultimately shapes strategic decisions" (Lovas, 2000). Strategies operate at three levels corporate, business and operational level. Firstly it's about the scope of the organisation, structure, financing and distribution of resources. Next is how organisation compete in the given market conditions with the help of product development and customer satisfaction. Finally it's about how all the subunits -Marketing, finance, manufacturing are involved in forming strategies. If we summarise the classical approach of making strategy it rely on senior managers who determine the best plan and to be implemented for gaining competitive advantage in chosen market situation. Hence it proves that even in classical approach human as a resource is managed in strategic way when it strategise at corporate level. We have examined that the development of resources is done to gain competitive advantage and is strategised properly. When SWOT is done the human resource is evaluated in its strengths and weaknesses. This approach proves to be beneficial for the organisation but it has hard variant of HRM. Later in the essay when the four fold model is discussed we can appreciate even the 'Hard' variant when with appropriate mixture of 'Soft' variant

Alternative approach to classical is emergent in its nature. The strategy is analysed as emergent from the organisational progress. (Quinn, 1980).Regards the most effective strategies as those that tend to "emerge step by step from an iterative process in which the organisation probes the future, experiments, and learns from a series of partial (incremental) commitments rather than through a global formulation of total strategies". Decisions in the organisation are taken by the people and these people have their opinion which influences the strategy. Problems in organisation occur due to the changes in environment; there is a possibility that any specific strategy can prove best in a particular situation whereas it can be a failure in different situations. (Mintzberg, 1987) "Notion of strategy being crafted evokes ideas of skill and judgement, as well as people working together to make sense of confusing situations before reaching a conclusion that appears to offer a way forward". This clearly states that people are managed in a systematic way to deliver results in the workplace. People's skill and their actions in a particular situation help in forming strategy. Classical approach and emergent approach both are individually incomplete. Because one means no learning and other mean no control. Mix of both of these can be beneficial for organisation; to exercise some control while fostering learning. (Whittington, 1993) present four generic approaches to strategy formation. These approaches can be helpful in understanding the complexities and multidimensional features that any strategy has. The two outcomes are profit maximisation and pluralistic whereas strategy formulation is emergent or deliberate. Classical approach delivers profit maximisation due to the deliberate effort of senior manager here the analogy of general can be given. This approach reflects the literal meaning of strategy where top down approach is visible. Evolutionary approach is also having profit maximisation but is emergent in nature. This strategy is seen as a product of market forces in this only the competitive few exists. "Competitive advantage is the essence of competitive strategy. It encompasses those capabilities, resources, relationships and decisions which permit an organisation to capitalise on opportunities in the market place and to avoid threats to its desired position" (Lengnick-Hall, 1990).In Processual approach is pluralistic and emergent ,the manager is not clear about the profit maximisation what should be the optimum level of output targeted. There is lot of confusion within the organisation .Strategies appear in small steps at irregular intervals from the practical process of learning, negotiating and compromising instead of clear series of steps (Quinn, 1980). Processual view takes Micro political perspective considering that organisation has tensions and contradictions within it. There are rivalries and conflicting goals, and with behaviour that seek to achieve personal and departmental objectives (Pettigrew, 1973). Strategic plan are thus necessary and important for the organisation. Systemic approach is pluralistic and deliberate; the strategy shaped by social system in which it is embedded. Class, gender, legal regulation, and educational system have their effect on how employer and employee behave. (Granovetter, 1985).The organisation need to have its strategy made according to the people on whom the business is dependent. People with different culture react differently, while managing people in work place their environment needs to be studied. The implementation of any strategy can only be successful if external factors are managed properly.

Outcomes Profit maximisingWhittington's typology of strategy

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Processes Deliberate




These strategies and their links with HRM explains that in classical perspective it is unproblematic because making decisions and cascading this through the managerial hierarchy to shopfloor and implementing to achieve goal is a direct process. Whereas in evolutionary view primacy is upon market forces situation it becomes complicated to respond instantly where the promptness to satisfy customer is required. In processual perspective there is lack of communication, tension within management, or challenges which may be mounted by workers in such situations HRM styles also emerge in a fragmented manner. However in systematic approach HR cannot be very functional if the social norms and function are ignored. To implement HR practices globally it has to cater according to local need. Finally HRM has to be strategic in its approach while managing people in workplace. The strategy may vary but it is essential. "Strategic human resource management encompasses those decisions and actions which concern the management of employees at all levels in the business and which are directed towards creating and sustaining competitive advantage" (Miller, 1989). HRM strategies are useful even in turbulent environment it translate business need into policies. Looking at this model and discussing four folds we can observe that HRM plays a very crucial role in appropriately balancing these variants by managing people in workplace strategically. HRM moves on the double edged sword where it has to prove itself to be result oriented to organisation and has to be compassionate enough to employees to get the work done in the most efficient manner.

In an organisation the goals of the company tells where a business wants to go. Whereas strategy answers how it plans to get there. (Porter, 1985) Condensed three starting point for strategic thinking. Overall cost leadership-here the business works hard to achieve the lowest costs of production and distribution so that it can price lower than its competitors and win a large market share. Differentiation-here the business concentrates on achieving superior performance in some important customer benefit area valued by the market as a whole. Focus- here the business focuses on one or more narrow market segments rather than going after the whole market. Various HRM combinations can be adopted by organisations to support Porter's model. (Schuler, !989) has identified corresponding HRM policies to Porters model. They are 'accumulation'-selection of good candidates on the basis of personality instead of technical efficiency.' Utilisation'- selection of individual on the basis of technical fit. Facilitation- selection of employees on the ability to work together in collaborative situations. The emphasis on 'external fit' is important to implement these philosophies. External fit mean organisational strategy leading individual HR practices that interact with organisational strategy in order to improve Organisational performance. Quality strategy will require combination of accumulation and facilitation HRM policies to acquire, maintain, and retain core competencies. Cost reduction strategy will implement utilisation HRM philosophy have short term contracts and do external pay comparability. If organisation wants to adopt innovation strategy it will require facilitation HRM philosophy which needs to bring out the best of existing staff. According to external fit philosophy good HR practice is dependent on the organisation's strategy. With the analysis of this model it can be claimed that HRM represents a strategic approach to managing people in the work place.

In brief we can say that when HRM deals with people it is kept in mind that it needs to be strategic in approach. Human as resource is intangible in nature HRM use certain models and theories to get the appropriate strategy set up. As we have discussed several models HRM can use any of them to maintain its competitive image in the organisation. Most important is that HRM manage people at workplace where organisation's goal is vital, thus strategy is required.


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