Assignment on business and hrm strategis alignment

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In this alignment a strategic human resource management model is developed in order to achieve a maximization of the business and have a successful future. Furthermore it will be discussed how the human resource department can obtain the strategies dealing with the present economy that is under severe stress, the growing competition and the technological changes. This alignment highlights the importance of the key role of SHRM to the performance and the long run success of a business (1)


The strategic planning is analyzed in detail the past three decades.

As a result of the analysis is shown that the use of it is a crucial factor because it connects the HR management straight to the strategic plan of the business.

Strategic HR planning forecasts the future that the manager has in mind after examining how are the present human resources of the business, how is the external labor market and how it will be the situation in the future when our business has set the achievement of the goals. In addition we will focus according to Gary Dessler (2005) on personnel planning, recruitment, testing and selection, interviewing, training and development, appraisal, managing career, the ethics-justice of the company-organization, flexicurity and finally diversity management. The purpose is to generate some results on how these parts of HRM can help a business-organization achieve its goals.

Strategic Human Resource Management

Strategic management can be defined as "that set of managerial decisions and actions that determines the long-run performance of a corporation" by Wheelen and Hunger (1995, p. 3)

and by Hill and Jones (2001, p. 4) as "an action a company takes to attain superior performance".

By referring to organizational or business performance we mean by how in an effective way our products or services are given to the market. The job of HR is to take, produce, design and deliver to customers. So the HRM is responsible to obtain some activities that boost the performance (Jackson Lewis CCH Inc., 1997).


Personnel planning and Recruitment

Recession, market changes, technology improvements and other factors have impact to the personnel planning and more businesses turn out to reduce their numbers and start to face the market not in a

optimal way using their staff. The key to this problem is to create a team with skilled people ready to predict the impact of the environment to the business and take the appropriate measures.

Testing and Employee Assessments

Having the right employees at the right place and at the right time is very important for the business. The correct placement of the labor means profit. So in long term view is the achievement of our goals and the gain of better performance. For unskilled or semi-skilled workers, "Superior" producers generate 19% more output than "Average" producers and 38% more output than "Non-Producers". For skilled workers, "Superior" producers generate 32% more than "Average" producers and 64% more output than "Non-Producers". For management or professional workers, the "Superior" producers generate 48% more than "Average producers and 96% more than "Non-producers". ("The validity and utility of selection methods in personnel psychology: Practical and theoretical implications of 85 years of research findings" Psychological Bulletin, Sept 1998, Vol. 124, No. 2, pp 262-274.)


The part of interviewing can also be very crucial factor to the company. It's the first impression that you have with the employee. You can discuss about the future of the company and the goals that are set and if the employee can be part of it. Another good point of the interviewing is that we can see the willingness and passion that the interviewee has to deal with the job. (Jean M. Barclay, 1999)

Training and Development

A job is specified about what skills, abilities and knowledge is needed. Then lets the manager to set training and development objectives, formulate the training programs and decide if a current or a future employee needs to be trained and developed for a specific role in the business that helps the company attain its wished performance and goals. (Uluslararası Sosyal, 2009)

Performance Management and Appraisal

Performance management is a unified approach to make sure that an employee is efficient and helps the organization achieve its aims and in our case be successful in the long run and have maximization in performance. (Gary Dessler, 2008)

Appraisal is another path o HRM that sets some work standards, evaluating the performance and giving feedback to the employees to keep their work in a certain mode, motivate and correct them. (Gary Dessler, 2008)

So both these tools of HRM are used to "push" and "judge" the employees taking in account their former performance. The purpose is to motivate and evaluate them in way that the company benefits from this.

Managing Careers

A good career planning and development program increases the strength of a company to gather and keep talented employees. A well-structured career program evaluates the careers of the personnel and offer future opportunities. This is a way to attract and keep the talented ones offering career planning, safe future for those who deserve it and finally the fulfilling the Strategy of the company.

(Yehuda Baruch, 2004)

Ethics, Justice, and Fair Treatment

Boxall et al (2007) said that: 'While HRM does need to support commercial outcomes it also exists to serve organizational needs for social legitimacy.' The basic demands are to treat people equally in opportunities development and career aspects. Treat people following the principle of procedural justice (Adams, 1965 and Leventhal, 1980). Treat people following the principles of natural justice.

Give the employees security on work. Offer a work environment that protects health. Try to obtain that the employees have a balance between life and work. Protect them from discriminations, bullying, fighting and other actions that can harm them.

Having all this situations in control automatically we are sure that the company success will come through people, the organization will have positive results in the future keeping all these in balance and at last the performance will be upsized. (Armstrong, 2009)

Diversity management

There are differences among the employees and can be discriminated and correctly handled can help a business in an efficient way. As Kandola and Fullerton (1994) said that "is founded on the premise that harnessing these differences will create a productive environment in which everyone will feel valued, where their talents are fully utilized, and in which organizational goals are met".

(Maria Tereza Leme Fleury,1999)


We can c


Dan-Shang Wang and Chi-Lih Shyu. (2008).Will the strategic fit between business and HRM strategy influence HRM effectiveness and organizational performance? 29 (2), 92-110

The Use of Strategic Planning Tools and Techniques by Hotels in Jordan

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Uluslararası Sosyal Aratırmalar Dergisi (2009) The Journal of International Social Research. 2 (9)

Maria Tereza Leme Fleury (1999) The management of culture diversity: lessons from Brazilian companies 99 (3), 109-114