Strategic Human Resources Management

Aimen Tanveer 01 Muntaha Tatheer 28 Rahat Rafique 36 Asma Hameed 05

Distinctive Human Resources are Firms Core Competencies

The genesis of efforts to create distinctive competencies and, in turn, business strategies

Chose paired companies in same industries

Identified the distinctive Competencies of each organization

Finally compared there distinctive Competencies

When Employees are the Product

When information or advice as a Product

Beyond direct services

Professional SportsRetailingSales as Service

Recruitment through Collage Draft rather then trade

Long term player development strategy

Holding best Players and paying them generously

Players have influence on team decisions and feel they are part of Organization

They do not as a rule, develop their own Players and use trades to scoop up talented Players

High Turnover , their reputation as a collection of individuals who are not fit together well

Not known for treating players extraordinarily, and making them a part of Organizational Decisions

A precise , well defined unit

Players long tenure help to built relationship with fans

Qausi-autonomous teamIndividual Performance

Wide Open Style

Desperate attitude and reputations

an organization anomaly

Pioneering firm in the science of Employee selection

Sophisticated Selection tests

Frequent and rigorous employee surveys

Intensive training in Sears Products, Operating Systems and Sales techniques

Straight Salary for many of the employees, No Commissions or if paid (1% only)

Decentralized hiring, no formal selection tools

Applicants with experience and customer contact

Imp. Qualities are pleasant personality and Motivation

Only 1 rule in its personnel handbook use your best judgment at all times

A stream of Motivation programs, but provides little training

Pay system is leaded towards Commissions

Ranking on the basis of monthly sales

In fashion retail, employees personal contacts and emotional energy is important

Housewares dominant

Sales financing & warranties

The name you can trust

Turnover is costly

Highest satisfaction level Intense level of motivation & customer contact

Commissions, Internal Competition, Motivation programs provide drive

Autonomy and absence of rules let it too be exercised

High turnover

ConsultancyBusiness SchoolsFinancial Services

Attracts candidates having broad perspective of business

Maintain idea of Revolving door with academia

Entrepreneurial Environment

Individualized incentive pay culture

On campus recruiting system

Prefer candidates having technical background

Provide extensive training in companies method of project management and execution

Provide consistent services

Clean sheet of paper approachThe Mckinsey way (standardization)

Faculty having unique skills and abilities

Hire largely to business field

Students who are PHDs in unrelated business field became business experts and are hired as assistant professors

Hires from network of PHDs and competitor schools

Prefer candidates having exceptional academic record in relevant field of business

Harvard graduates are specialized in general management orientation and superior discussion skills Wharton graduates have superior analytical skills associated with functional areas

Shipping businessFood & beverages

Variety of programs to empower employees

Survey-feedback action

Developing detailed action plan

Dominant force in overnight mail business

First company to win national quality award

Achieve the objective of organized decision making

Organized interactive skill tests

No people management practices

Measures individual performance against company standard

Substantial material reward system

Pays highest wages and benefits

Offers gain sharing and stock ownership plans

Highly motivated and loyal employees

Operating with only one hubFocusing on overnight package delivery servicesHaving fewer problem of coordination as UPS incompatibleDrivers productivity is 3x higher than FedExWide range of productsOvernight delivery volume is only 60% of FedExNine time large total businessDemand an extremely high level

Most recognized trademark

Marketed 70 years before Pepsi

Requires a deep specific understanding and feel

Build employment system

Hires college graduates

Offer reward and life time job on adequate performance

Internal culture is family-like

Centralized decision making

Proposed by seeking out the niche market

Becoming more diversify by finding new markets

Markets more aggressively

Many more bottling franchises

Faces much more complicated set of management challenges

Hiring people with experience and advance degree

Operate in decentralized manner and introduce share power stock option program

Continuous flow of new ideas

Relatively less job security

Ability to change quickly

Employees having significantly less loyalty

By different ways attacking in many different markets

BUSINESS STRATEGIESHR COMPETENCIESOutside DevelopmentInside SelectionFlexibility

Established market/ Niche

RaidersBCGA.I.G.Pepsi49ersMcKinseyChubbCoke

Flexibility

Rely on outside market Grab opportunities through flexible approach Individualism

Established markets/Niche

Rely on organizations specific capabilities/ strengths

Outside developmentInside selection

Factors that help sustaining equilibrium: Difficult to match others strategy i.e.

Flexible Pepsi

Established markets/Niche Coke

Coke cannot respond quickly to the market changes as compared to Pepsi.

While Pepsi cannot meet the depth of competencies and long term investment.

Internal flexibility that is driven by organizations competencies and capabilities

Any of the approach is not universal

Competitive pressure pushing firms towards Outside/Flexible quadrant.

Firms taking on more talent from outside to create necessary competencies in future prospect.

Investment in particular approach affect employee selection

Transformation from outside to inside strategy (GE attempted to change HR practices in a decade) Start up and rapidly growing firms rely on market approach

Core competencies should derive business strategy not vice versaFirms that rely on flexible approach are better at spotting and managing talent and skills

Put pressure on firms to respond quickly (BM and UPS are established but not flexible)

Increased the level of employers investment

Employment policies should be well aligned with business strategies and competencies.

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