as a key driver of their financial performance, can be influential in realizing on that objective. SMART HR Manager By : Irene

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1 SMART HR Manager By : Irene Dhanavathi Abstract: Human resource management (HRM), the management of work and people towards desired ends, is a fundamental activity in any organization in which human beings are employed. It is not something whose existence needs to be elaborated: HRM is an inevitable consequence of starting and growing an organization. While there are a myriad of variations in the ideologies, styles, and managerial resources engaged, HRM happens in some form or other. It is one thing to question the relative performance of particular models of HRM in particular contexts or their contribution to enhanced organizational performance relative to other organizational investments, such as new production technologies, advertising campaigns, and property acquisitions. These are important lines of analysis. It is quite another thing, however, to question the necessity of the HRM process itself, as if organizations could somehow survive or grow without making a reasonable attempt at organizing work and managing people. To wish HRM away is to wish away all but the very smallest of firms. Introduction: Human resource managers are well positioned to play an instrumental role in helping their organization achieve its goals of becoming a socially and environmentally responsible firm one which reduces its negative and enhances its positive impacts on society and the environment. Further, human resource (HR) professionals in organizations that perceive successful corporate social responsibility (CSR) as a key driver of their financial performance, can be influential in realizing on that objective. While there is considerable guidance to firms who wish to be the best place to work and for firms who seek to manage their employee relationships in a socially responsible way, there is a dearth of information for the HR manager who sees the importance of embedding their firm s CSR values throughout the organization, who wish to assist the executive team in integrating CSR into the company s DNA. And as high profile corporate failures such as Enron make all too clear, organizations that pay lipservice to CSR while neglecting to foster a CSR culture run the risk of damaging their corporate reputation if not their demise. Indeed, HR s mandate to communicate and implement ideas, policies, and cultural and behavioral change in organizations makes it central to fulfilling an organization s objectives to integrate CSR in all that we do. That said, it is important to understand that employee engagement is not simply the mandate of HR. Indeed people leadership rests with all departmental managers. HR can facilitate the development of processes and systems; however, employee engagement is ultimately a shared responsibility. The more the HR practitioner can understand their leverage with respect to CSR, the greater their ability to pass these insights along to their business partners towards the organization s objectives in integrating CSR throughout their operations and business model. As human resources influences many of the key systems and business processes underpinning effective delivery, it is well positioned to foster a CSR ethic and achieve a high performance CSR culture. Human resource management can play a significant role so that CSR can become the way we do things around here. HR can be the

2 key organizational partner to ensure that what the organization is saying publicly aligns with how people are treated within the organization. HR is in the enviable position of being able to provide the tools and framework for the executive team and CEO to embed CSR ethic and culture into the brand and the strategic framework of the organization. It is the only function that influences across the entire enterprise for the entire lifecycle of the employees who work there thus it has considerable influence if handled correctly. HR is poised for this lead role as it is adept at working horizontally and vertically across and within the organization, so important for successful CSR delivery. Of course, for effective CSR deployment, it needs to become a Board and C-suite imperative first. Should such an organizational gap exist, the senior HR leader can champion, lead and help drive a CSR approach if necessary. In the coming years as CSR increasingly becomes part of the business agenda and the fabric of responsible corporations, it will become a natural agenda for the HR practitioner. The following is an overview of the key trends and business drivers for fostering the growth of a company and its employees. Chapter 1: It was noted that modern organizations operate in a very competitive environment. The organizations compete for the best human resources, capital, technology, market share etc. This competition is characterized by a continuous change in customer tastes, fashions and needs. In order to cope with such changes and with the struggle to win customers, managers need highly flexible but robust human resource management strategies so that they can pursue, gain and sustain the existing and emerging competitive advantage. Strategic Human Resource Management (SHRM) is necessary for all types of organizations, that is, public or private, local or foreign, small, medium or large. The only difference lies in the nature and scope of such strategies. In Tanzania for example, we have experienced the development of strategic plans as part of on-going public sector reforms. These plans take human resource management more seriously than has been the case in the past. Most recently, the government has developed potentials for using excellence models from businesses to guide public service delivery. Such models rely heavily on strategic plans. The idea is to inculcate and nurture a culture of excellence in public service delivery through better human resource management. This forms part of the drive to value citizens as customers who demand business like attitudes and services from civil servants. It departs from the tradition in which civil servants were seen as rulers and citizens as the ruled. This departure is explicitly required in human resource strategies in order to create an environment where employees can be fully committed. The private sector has an even greater need for human resource strategies because, as observed earlier, they make a difference in securing a competitive advantage. This chapter intends to highlight the key issues in strategic human resource management and the role of strategic human resource management in business and organizational strategies. Strategy and strategic human resource management Strategic human resource management (SHRM) has attracted the attention of many scholars in human resource management, particularly those who shaped the development of the human resource management concept. Several

3 definitions have been developed but they are not independent of ideas of general strategic management. For the purpose of raising and comparing issues covered in the areas of strategic human resource management, three definitions are offered below. An overall and coherent long term planning and shorter term management, control and monitoring of an organization s human resources so as to gain from them the maximum added value and best position them to achieve the organization s corporate goals and mission. This definition is about decision making and the process involved in terms of putting decisions into actions. Chapter 2: Human resourcing The process of human resource acquisition will depend on business strategy. For example, if new production lines are to be installed in three years time, there is no doubt that new skills will be required. Plans have to be made including training and recruitment so that there is qualified staff of the right size to manage the new production line. The same will apply to service provision whether in the private or public sector organizations. Commitment As we noted in the first chapter, commitment to the organization cannot start at the bottom of the ladder. Employees have to see, feel, and believe that the top management is committed to making the organization the best place for them to work. Business strategies have to indicate that top management commitment in order to create enabling environment for human resource management strategies. Productivity Productivity is an indicator of how best resources are utilized in the organization. Business strategy has to set out performance targets, standards and measurements. This will form the basis for developing strategies for acquiring the right skills, numbers and performance management as well as reward systems. Employee relations The relationship between the employee and the management as well as the relationships between employees themselves also depends on business strategy. For example, if a business s future is not promising, it will certainly affect working relationships. Strategies have to be developed in order to avoid grievance and disputes that could become very costly to the organization. Such strategies could include work-sharing arrangements, introducing work shifts, voluntary retirement, part time job arrangements and similar action. Making strategic value choices Although the model suggests ten strategic variables of human resource management that have to be embodied in systems, practices and competencies in order to guide employees as individuals and teams to higher level performance, managers have to focus on the most valuable aspects, depending on the organizational strategy. For example, an organization that emphasizes creativity and innovation will choose and reward employee behavior that demonstrates risk taking initiatives. That is to say, each of the nine constituents of the model will have different aspects to deal with but managers will have to make decisions and choose systems, processes, programs or activities with the most Strategic

4 value for the individuals, teams and the organization. strategies used to improve an organization s ability to cope with environmental pressure. Strategic integration Since HRM is related to other organizational strategies, integration is not only desirable but also necessary to ensure that human resource management decisions are not made for their own sake. HRM policies and procedures need to be linked with an organization s strategy, its objectives and its activities so that performance can be judged in terms of the degree of strategic fit between business strategies and human resource. Decentralization for empowerment Strategic human resource management calls for a decentralization of decision making and problem solving at the lowest levels possible in the organizational hierarchy. That is, allow decisions to be made at the very source of activity. Operational staff and teams are the public face of the organization. Therefore they need power, authority, and motivation to take the right decisions at that level. Organizations with a human resource management culture cannot afford to embarrass themselves in front of a valued customer by failing to conclude business deals simply because a particular manager has to make a minor, unnecessary routine decision. Flexibility and adaptation The nature of today s business success lies in the ability to promptly respond to the unpredictable and fast changing environment. Flexible but robust rules and regulations, flatter organization structures, preference for a multiskilled workforce, and use of convertible production technologies are some of the Creativity and innovation SHRM calls for the management and employees to work together and come up with new ideas that can be put into practice so that new business opportunities can be created. With regards to employees management, creativity and innovation are required in areas such as pay schemes that are internally fair and externally competitive, job enrichment, enlargement, leadership, team building, retraining, and better employment arrangements. Obsession with quality In the language of total quality management, the customer is always right and quality is seen in the eyes of customers. In order to produce the best quality goods and provide the best quality services as perceived by the customer when compared to other producers or suppliers, the organization need staff orientated towards, and a motivation for excellence in quality products and services. Careful recruitment and selection of staff, appropriate training and development programmers, use of quality circles, and performance management systems that reward employees according to contribution are some of the strategies used to build and sustain a culture of quality. Conclusion: No matter how many theories are developed, or how many people are observed, man has always managed to amaze the world and the people in it with his actions and behavior. There may be new methods developed in the future

5 for efficient managing of work, at the end of the day everybody is human and each and every person has unique talents and way of behaving, so no theories or methods can be created for forecasting or predicting of what an individual is capable of.