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Distinctive human resources are firms core competencies SHRM is the linking of HRM with strategic goals and objectives in order to improve business performance and develop organizational cultures that foster innovation and flexibility. SHRM is the pattern of planned human resource deployment and activities intended to enable an organization to achieve its goals. Strategic human resources management is largely about integration and adaptation. Its concern is to ensure that: (1) human resources (HR) management is fully integrated with the strategy and the strategic needs of the firm; (2) HR policies cohere both across policy areas and across hierarchies; and (3) HR practices are adjusted, accepted, and used by line managers and employees as part of their everyday work. Strategic Human Resource Management The 5-P Model ORGANIZATIONAL STRTEGY Initiates the process of identifying strategic business needs and provides specific qualities to them STRTEGIC BUSINESS NEEDS Expressed in mission statements or vision statements and translate into strategic business objectives EXTERNAL CHARACTERISTICS STRATEGIC HUMAN RESOURCES MANAGEMENT ACTIVITIES INTERNAL CHARACTERISTICS Linking Strategic Business Needs Strategic HRM Activities Pepsi-Cola International’s strategy Being No. 1 by Creating Value through Leadership and Excellence. The fastest growing The most committed to customer service and attuned to customer needs The best operators The best selling and marketing company The best people-oriented company The 5-P Model PCI’s strategic business objectives Committed bottling organization Uncompromising dedication to quality Development of talented people Focus on growth Quality business plans The 5-P Model Human Resources Policies Expressed as shared values (guidelines) Human Resources Philosophy Expressed in statements defining business values and culture Human Resources Programs Articulated as Human Resources Strategies Human Resources Practices For leadership, managerial, an
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