Since 1964, when the economist Gary Becker introduced the concept of the “human capital theory”, the field of human resource management has seen an increase in interest and commitment placed towards researching more effective practices of HRM. According to Wright, McMahan, and McWilliams (1994), this increase in commitment can be seen as a result of many factors including the aim to develop employee skills, increase satisfaction, and also as a way to keep a competitive advantage over competitors (as cited in Ballesteros-Rodriguez , De Saá-Perez , & Domínguez-Falcon, 2012). Furthermore, the increased commitment towards researching more effective practices of HRM recognizes the importance that such practices have towards improving the skills and performance of employees (Wright & Boswell, 2002). Several forms of HRM practices exist including the performance-based incentive practice in which companies make an investment by providing bonuses to their employees based on employee performance. Ultimately, companies hope that this investment will result in improved employee work performance and thereby overall company success (Gerhart, Rynes, & Fulmer, 2009).
As we discussed in first section, Jeff Immelt had a long term strategic vision for GE which based on GE’s core competencies of technology/innovation, customer focus and strong presence in global markets to reach the objectives of expanding organic growth and strongly compete in emerging markets. This vision required a changes in organizational structure, management development, appraisal system, marketing, technology functions and offshoring by basically moving manufacturing closer to customers (Denning, 2013). Also, GE has restructured their business segmentations as they sold the insurance and plastic segments to focus on capital finance and infrastructure segments. Lastly, Immelt took advantage of GE diversity to create value by providing innovative and integrated customised solutions through bounding products and services from various fractions of the portfolio (Bucifal, 2009). Consequently, it is a widely held view that that from identifying the company’s strategic position which could be summarized in a SWOT analysis, we would be able to generate options.
When it comes to strategic management, it is in itself a huge and lengthy process. The definition by Giffin (1999), on strategic management is that it is a set of activities that are directed towards an organizations human resources, financial resources and physical as well as other information, with the objective that an organization’s goals will be achieved in a an effective and efficient manner. The process involves a number of other process; strategy analysis, strategy formulation and strategy implementation. Strategy analysis is a procedure which takes into account the analysis of organizational goals and aims with regards to the internal and external environment in which the organization work. The next step is strategy formulation
Strategic Organizational Development Introduction The internal characteristics of the organization make up critical sources for success (Barney 1991). More attention has been paid to find out what characteristics are important to organizational success and how they influence organizational outcomes. Internal organizational context engaged in broad and relatively stable sorts of organizational characteristics, for example structure, culture and power (Pettigrew 1979). Therefor, the internal characteristics like structure, culture and power are all determine organizational success, which means, how the organization design the strategy is the first primary to achieve their business goal. However, strategic management and organizational development
Every project portfolio is impetus for making important decisions in many organizations and business enterprises either private or government institution. An example is the Transcontinental railroad which was a key factor in the industrial revolution and development of the United States in the late 19th century(Fishlow,1965). Business leaders began to face the challenges of labor laws and regulations from federal government and these challenges commenced the development of project management techniques like the Gantt Chart in the early 1914’s, the Fredrick Taylor’s Principles of Scientific Management in 1911 and subsequently the Program Evaluation Review Technique(PERT) and Critical Path Method, all in order to enhance project success in organizations.
he success of any government entity, public or private company and non-governmental organization depends on the organization’s ability to meticulously plan, design and implement strategies that gear it up for the achievement of its goals. This is possible through an engagement of the relevant stakeholders in the process of strategic planning. Strategic planning has been a major area of interest for decades and has been extensively defined, studied and developed. Strategic planning can therefore be defined as a continuous process and attempt at formulating decisions of the goals to be achieved and the methods or steps to be employed in making it happen (Neal & Buck, 2012). Strategic planning is a broad concept that encompasses the identification
Exploring corporate strategy, text and cases explains strategy as the direction and scope of an organization over the long term which achieves advantage in a changing environment through its configuration of resources and competences with the aim of fulfilling stakeholder expectations. So, in order for an organisation to do so they need to make sure they have put in certain elements in their strategy such as vision, mission and value statement. A vision statement is a more of a top management tool. It is a long-term view. It’s basically describes the organisations purpose.
1-Introduction Companies that are working in new and different challenges within, in an increasingly complex landscape; the role of managers is even more critical to success. Maintaining managers and other key staff development and corporate objective is essential for development. Within companies are increasingly critical to the success of individuals. The need to improve talent development, succession planning, recruitment and retention to identify individuals at the heart of the appearance of Management. Talent management is a significant development in recent decades.
Source: http://www.eileenfisher.com/EileenFisher/company/working_at_ef/Workplace_Culture.jsp HUMAN RESOURCE STRATEGY Strategy is determination of an enterprise basic long-term goals and objectives and adoption of courses of action and allocation of necessary resources for carrying out these goals (Chandler, 1962 cited in Armstrong, 2006) Therefore, Human Resource Strategy can be defined as an action put in place to achieve the overall vision of an organization. In order words every organization has a long term vision and is always driven towards achieving that vision proactively by applying certain measures which is strategy. In words of Armstrong (2006), “HR strategies set out what the organization intends to do about its human resource management policies and practices, and how they should be integrated with the business strategy and each other”. Business organizations adopt certain strategies for smooth evolution of business activities with common objective of attaining the organizational set goals which is where human resource management plays a very vital role. A good HR strategy, as pointed out by (Armstrong, M. 2006): Satisfies organizational business
Thompson et al (2006), concluded that strategic human resource management starts with strategic planning with long-term goal setting for an industry or organisation to succeed. According to them an action plan of how to implement these has to be brought up based on the position of the company and the main goal would be to achieve a competitive