Strategic Human Resources Management (SHRM) is described as the connection of an organization's strategic business goals with human resources in order to stimulate innovation and increase motivation, contentment, productivity, and, ultimately, total performance. Strategic Human Resources Management is a new word that distinguishes itself from traditional HRM, which was essentially a function of the corporation.
Examples of Strategic Human Resource Management (SHRM)
1. Mr. Narayan Murthy, Chairman of Infosys, has highlighted human capital as one of the company's important growth determinants. As a result, the business has added a strategic Human resource dimension in the shape of "People managers," whose job it is to look after the requirements of employees. The corporation aspires to consider its workers as assets rather than resources. Infosys maintains a competitive advantage through nurturing and nourishing its resources. As a result, a specialised human resource department with people managers in each group serves as a SHRM practise that supports the organization's business objectives.
2. Due to a growth in the amount of client calls, Samson Enterprises began recruiting employees with good communication skills as well as technological aptitude through strategic HR efforts, so that customer solutions could be efficiently handled by the team.
Strategy
Strategy refers to the company's long-term strategy for balancing internal strengths and weaknesses with external opportunities and threats in order to preserve a competitive advantage. Strategy can be defined as a collection of decisions and actions used to design and implement strategies that optimise the fit between the company and its environment.
Based on these two concepts, strategic management is defined as:
• Using a cross-functional approach, the organisation can be viewed as a single system.
• Align the company with its surroundings (i.e., connect strengths to opportunities).
• A set of decisions and actions aimed at achieving organisational goals.