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‘The major challenges of profitability, work-life balance and increased global competition have made the strategic HRM more important to business success than ever before.’ Discuss. 

Human resource management (HRM, HR) is the management of an organization's employees. On managing people within the employer – employee relationship. (Armstrong, Michael 2006). This includes employment and arbitration in accord with the law, and with a company's directives. HRM Involves the productive use of people in achieving the organization strategic objective and the satisfaction of individual employee needs. (Stone, R.J. 2011)

Strategic human resource management can be defined as the linking of human resources with strategic goals and objectives in order to improve business performance and develop organizational culture that foster innovation, flexibility and competitive advantage. (Boxall, P 1992) In an organization SHRM means accepting and involving the HR function as a strategic partner in the formulation and implementation of the company's strategies through HR activities such as recruiting, selecting, training and rewarding personnel

This essay will focus on analyzing of HRM for the company Dell to be more http://www.400190.com/Thesis_Writing/HRM/ profitability in the challenging of work life balance and increased global competition. The HRM strategy of the company will be examined and the importance of SHRM for the company.

In the old fashion, people think people go into HR because they like people and HR deals with the soft side of a business and therefore is not accountable, the hr’s job is to be the policy police and the health-and-happiness patrol. In the new realities, HR departments are not designed to provide corporate therapy or as social or health-and-happiness retreats.HR professionals must create the practices that make employees more competitive, not more comfortable. The impact of HR practices on business results can and must be measured. HR professionals must learn how to translate their work into financial performance and the HR function does not own compliance managers do. HR practices do not exist to make employee happy but helping them become committed. HR professionals must help managers to commit employees and administer policies.
 
Work–life balance is a broad concept including proper prioritizing between "work" (career and ambition) on one hand and "life" (Health, pleasure, leisure, family and spiritual development) on the other. Related, though broader, terms include "lifestyle balance" and "life balance". (Randall S. Schuler, Susan E. Jackson, 2007)#p#分頁(yè)標(biāo)題#e#
Dell Group knows that to make effective work-life balance, they strive to looking for ways to reward their people. In addition to fantastic training and support to help develop your career, and the advantage of working for a company that understands the importance of your work/life balance, Including Healthcare, Life Assurance, Long-term Disability Scheme, Work/Life Balance Policies, Sports & Social Club, Discounted Employee Product Purchase Programmers and many more. (from Dell’s web site)

Profitability management, coordinating a company's day-to-day activities through careful forethought and great management, was at the core of Dell's transformation in this critical period. Dell created a tightly aligned business model that enabled it to manage away the need for its component inventories. Not only was capital not needed, but the change generated enormous amounts of cash that Dell used to fuel its growth. The functions of HRM may contribute to a healthy company development and one component to be profitable is to analyze cost structure and their cost drivers.
Dell's pricing also reflected real-time demand management, and varied significantly from week to week. While its competitor's prices were stable with periodic adjustments, Dell's prices varied significantly from week to week as the company modified its prices to push products where component inventory was building beyond prescribed levels.

Dell's core philosophy of actively managing demand in real time, or "selling what you have," rather than making what you want to sell, was a critical driver of Dell's successful profitability management. Without this critical element, Dell's business model simply would not have been effective.

Dell knows that to be more profitability. The HRM cost has to http://www.400190.com/Thesis_Writing/HRM/ be measured, for instance almost 65 per cent of companies’ expenses can be spent on employment issues. Where the cost for recruitments, induction, training, compensation and benefits should be evaluated and compared to alternatives like shared services and outsourcing strategies. If cost is too high, a firm has to think about outsourcing the human resource function. In that case shared service models help to minimize cost by cutting the costs for bureau accommodations in the organizations.

The HRM function at Dell has become a strategic partner in the process of growth. HRM is split into operations and management. Through the service center, the HR operations section coordinates transactional functions. Operational HRM staff report directly to the top of the organization through an HR chain of command. HR management section provides consultants to business units and attends local staff meetings. HR management takes responsibility for Dell University employee resourcing including recruitment and a team of HR generalists. HR management section is （本文由留學(xué)生dissertation代寫(xiě)#p#分頁(yè)標(biāo)題#e#中心人力資源essay代寫(xiě)專(zhuān)家組整理并建議參考）also closely involved in growth policy. It is involved in segmentation through designing organization charts, identifying appropriate people and dealing with training needs. Dell makes use of an administrative service center, a center of excellence and HR business partners.
HR business partners are Dell’s HR Generalists who are generalist who report directly to line managers in business units, and only indirectly to HR department. The focus of HR Generalists is on providing tailored HR services to individual units. They serve as business consultants, aiding managers in the development and utilization of their human capital.

Strategic human resource management is a complex process which is constantly evolving and being studied and discussed by academics and commentators. Strategic Human Resource Management (SHRM) is an area that continues to evoke a lot of debate as to what it actually embraces. Definitions range from 'a human resource system that is tailored to the demands of the business strategy' (Miles and Snow 1984) to 'the pattern of planned human resource activities intended to enable an organization to achieve its goals' (Wright and McMahan 1992).

Strategic human resource management or SHRM is a branch of HRM. It emerged from the discipline of human resource management and is a fairly new field. Strategic HRM is defined as “the linking of human resources with strategic goals and objectives in order to improve business performance and develop organizational culture that foster innovation and competitive advantage.” SHRM in an organization means “to accept and involve the functions of HR as a strategic partner in formulating and implementing the company’s strategies through human resource activities which may involve recruiting, selecting, rewarding and training company personnel. In spite of the similarity in names, HRM and SHRM are two different practices; SHRM is basically a part of http://www.400190.com/Thesis_Writing/HRM/ the complete HRM process. Besides that SHRM focuses more on long-term objectives rather than the in-house objectives with employees dealt by HRM. In the late 1980’s writers started stating strong opinions for a much more strategic approach to managing people than was the standard practice of that time. They clamored for the change of traditional management practices of industrial relations and people to the modern more improved ones.

The universalistic approach seeks to identify a set of human resource practices that is beneficial for all organizations.  This approach has identified a bundle of practices, labeled the commitment strategy, that appear to be generally beneficial. Practices in the commitment bundle communicate the message that management cares about employees.  The commitment strategy also helps ensure that employees have the training and freedom to pursue important job tasks. The contingency approach seeks to match human resource practices with competitive business strategies. This approach focuses on cost leadership versus a focus on differentiation.  Organizations mainly concerned with reducing costs emphasize processes and general roles.  They carefully prescribe appropriate behaviors for performing work.  Another difference is whether the organization has an internal or an external labor orientation. Organizations with an internal labor orientation seek long-term relationships with employees, while organizations with an external labor orientation seek flexibility and do not make long-term commitments to employees.#p#分頁(yè)標(biāo)題#e#

The center point of Strategic Human Resource Management is to solve the problem, assess the effects of management programs centering on people in the long run and more than often globally. The main objective of strategic human resource management are to improve not only in the employees but in the business overall, achieved this by the focus on business issues and obstacles outside of human resources. Strategic Human Resource Management identified important human resource areas, which can be used to improve productivity and employee motivation. In order to achieve good results communication between human resource and management of the organization is of utmost importance as cooperation is not possible without active participation.

In the conclusion, the facts shown by Dell proved that use Human Resource strategy is essential for organization. Strategic human resource management objective is to assist organizations to meet the needs of their employees in best way, so the company's goals can promote.
We can also say that Strategic Human Resource Management is http://www.400190.com/Thesis_Writing/HRM/ the management practice, because it requires planning organizations to meet the needs of their employees, thinking ahead, and helping employees to meet the needs of the organization. This process changes the appearance and affects the way things are done at a business site, in the other words, it helps to integrate into the traditional human resource management practices to come up with better solutions which not only benefit the employees but the organization, This is mainly a process where everything is improved, from the employ of employees, to the training, assessment used by the HRM department.

Reference:
1.Stone, R.J. (2011). Human Resource Management (7th ed.).  Milton, QLD: John
Wiley & Sons Australia, Ltd
2.R. Wayne, Robert. M (2005) Human Resource Management, Pearson Prentice Hall
3.Wright, P.M. and Mcmahan, G.C. (1992) theoretical perspectives for shrm. journal of management. march. pp215-247.
4.Armstrong, Michael (2006). A Handbook of Human Resource Management Practice (10th ed.). London: Kogan Page. ISBN 0-7494-4631-5. OCLC 62282248
5.Boxall, P (1992) 'Strategic Human Resource Management: Beginnings of a New Theoretical Sophistication?' Human Resource Management Journal, Vol.2 No.3 Spring.
6.Randall S. Schuler (Editor), Susan E. Jackson (Editor) Strategic Human Resource Management Publisher: Wiley-Blackwell; 2 edition (January 16, 2007)

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