HB 307 Lecture 2 Current LectureStrategic Management and Human Resources - Strategic Planning – Procedures for making decisions about long-term goals and strategies- Human Resources Planning (HRP) – Process of Anticipating and making provision for the movement of people into, within, and out of organization - Strategic Human Resources Management (SHRM) – Pattern of human resources deployments and activities that enable organization to achieve its strategic goals o Strategy Formation – Providing input to possibilities and people o Strategy Implementation – Making decisions about structure, processes, HR Step 1: Mission, Vision, and Values - Mission – basic purpose of organization and scope of operations - Strategic Vision – Statement of Where company is going and what it can become in future - Core Values- Beliefs and principles that company uses as foundation for decisions Linking Strategic Planning and HRP - Strategic Analysis - Strategic Formation- Strategic Implementation Step 2: Environmental Analysis - Environmental Scanning – Monitors major external forces influencing organization - Includes economic factors, trends, technology, government issues, social concerns, demographic and labor market Corporate Culture: Values, assumptions, beliefs and expectations - Cultural Audits – Audits of the culture and quality of work life in an organization - Forecasting – Demand for labor, supply of labor, balancing supply and demandQuantitative Approach: Trend Analysis - Forecasting labor demand based on an organizational index such as sales These notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.- Select Business factor that predicts human resources needs- Plot business factor in relation to # of employees to determine labor productivity- Compute productivity ratio for last 5 years - Calculate HR demand by multiplying business factor by productivity ratio - Project HR demand out to the target year Forecasting - Demand – Management forecasts, Delphi techniques - Supply – Staffing Tables, Markov Analysis, Skill Inventory, Replacement Charts, Succession Planning Internal Demand Forecasting Tools - Skill Inventories – Personal education, experience, interests, skills- Replacement Charts- Current jobholders, persons who are potential replacements - Succession Planning – Identifying, Developing, tracking key individuals for positions - Gap Analysis – Quantity and Quality of EmployeesStep 4: Formulating Strategy - Strategy Formulation – Moving from simple analysis to devising plan of action - SWOT analysis – compares strengths, weaknesses, opportunities, and threatsBusiness Strategy- Value Creation – o What firm adds to a product o Amount of benefits provided by the product o Value = Benefits – Costs - Low Cost Strategy – Competing on productivity and efficiency - Differentiation Strategy – Compete on added value, provides something unique and distinctive to customers - Functional Strategy: Ensuring Alignment o External Fit – Connection between objectives and initiatives in HR o Internal Fit – Aligning practices with one another to establish configurationStep 5: Strategy Implementation - Taking Action: Reconciling Supply and Demand o Balancing considerations, forecasting, locating applications o Downsizing, outsourcing, offshoring o Making layoff decisionsStep 6: Evaluation and Assessment - Evaluation and Assessment Issueso Benchmarking – Process of compares organizations processes and practices withthose of other companies o Human capital metrics o HR metrics Measuring Firm’s Strategic Alignment - Strategy Mapping and Balanced Scorecard - Measurement framework that helps managers translate goals into objectives Ensuring Strategic Flexibility For The Future - Organizational Capability – Capacity to act and change in pursuit of competitive advantage- Coordination Flexibility – Ability to reallocate resources to new or changes needs- Resource flexibility – Having human resources who can do many different things Calculating Employee Turnover - (# of separations during month / Total # of employees at mid month) x 100 - Expressed as percentage Computing Absenteeism Rates- ((# of worker-days lost through job absence through period) / (Average # of employees x# of workdays)) x 100 - Expressed as