Abstract
The best-fit approach underlines the importance of assuring that HR strategies are performances. This takes into account, through the circ*mstances of the organization's culture, operational processes and external environment. Thanks to that, HR strategies consider two points, the organisation itself and its employees. However, this kind of HRM cannot be universally applied because it depends on the context. So you cannot apply it for all the HR systems.
According to Schuler and Jackson (1987), the business performances will facilitate the application of HR practices. The cost leadership, quality enhancement and innovation supported their choices of competitive strategy. Under this model, organizations need to work out the required employee behaviours to implement a chosen competitive strategy and devise supporting HR practices to increase the motivation in the workforce.
Then, following the principles discussed above we can establish links between corporate culture, corporate strategy and HRM. First, the company's culture can be the performance. Performance could be established by the HR supporting. Then, we can see that the HR supporting depends of three points: the cost leadership, quality enhancement and innovation. After that, we can link the HRM and corporate culture point with the corporate strategy. In fact, thanks to the performance, the cost leadership, the quality enhancement and the innovation, the company can have a competitive strategy.
Contents
- Introduction
- 3 models: best fit, best practice and life cycle
- Examples of company: soft and hard hrm due in practice
- Ryanair, a 'hard' HRM style
- Ibm, passed from the soft HRM to the hard HRM
- Google: a soft approach to drive employees and improve the performance
- Ikea: life cycle due in practice with the new store's implantation
- Conclusion
Extract
[...] The reading of human resources management books gave us the understanding needed to transcribe the global ideas. Then, we found other models which we did not see in class. Thanks to these approaches, we have different points of view from different authors, to compare to our own. Support our researches; find others criticisms with some examples of companies which are using different models. ← Interpretation of this assignment We saw in this assignement the aim to establish the links between the HRM models, the strategy and the corporate culture. [...]
[...] Thanks to this strategy, Ryanair can offer lower price for customers. Economies are looking everywhere, because, ‘Ryanair invest nothing on marketing' like O'Leary said on Marketing Magazine (March 2012). The employees of Ryanair are driven by hard HR practices. ‘The airline staffs are measured on sales targets and are paid only when on air'. We can take the example of searches University of Strathclyde Glasgow's students: to get profit, Ryanair charges 40 pounds for overweight luggage and offers 50 pence for employees who find them. [...]
[...] USA: Traditional personnel work: • Recruitment, selection, training, health, safety, pay and benefits • Managers' requests for assistance by providing prescriptive solutions and a largely administrative service More integrated and sophisticated personnel: • Strategic planning • Personnel activities relationship with each other; it's often referred to as ‘internal fit' • Appraisal outcomes are linking to: ← Training ← The development needs ← Pay and benefits strategies Britain, Australia, New Zealand: People-oriented practices: • Job design • Organisational culture • Reward systems The main aims are to encompass traditional personnel, organisational behaviour and employment relations. All people-oriented practices: • It must be consistent with the organisation's competitive strategy • So it's not only internal, it's also external thanks to the link with the business strategy organisation. In 1914 “CTR” is created; it was the first name of Watson's company. In 1924 “CTR” became IBM. [...]
[...] IBM had a business developed; in fact, this company was vertically and horizontally integrated. Horizontally: many products (computer, CD's, ink, etc.) and good services (training for users, after sales-services, etc) Vertically: IBM made of the basic component up to the biggest machine. IBM had the strategy to sale the product of the final customer To conclude, with this type of organisation and this business, IBM was working in long term, like a concept of ‘soft' HRM. Lifetime Employment was created by Thomas J. [...]
[...] Available at: www.resilience-organisationnelle.com/pj/meo_cas_ibm.doc [Accessed on: 05th January] IBM, IBM Archives, Exhibits, IBM's chairmen (no date). Available at: http://www-03.ibm.com/ibm/history/exhibits/chairmen/chairmen_9.html [Accessed on: 08th January] 3. GOOGLE: A soft approach to drive employees and improve the performance Strategy Explorers: Google: Who drives the strategy? ; Article by Phyl Johnson http://blogs.payscale.com/compensation/2011/06/google.html from World@Work conference 2011, San Diego [Accessed on January 11] Strategy Explorers: Google: Who drives the strategy? ; Article by Phyl Johnson http://resources.greatplacetowork.com/article/pdf/why_google_is_no._1.pdf [Accessed on January 11] http://fr.scribd.com/doc/13286610/Strategic-HR-Planning-at-Google-Inc [Accessed on December 20] http://online.wsj.com/article/SB10001424052702303410404577466852658514144.ht ml [Accessed on December 20] Strategy Explorers: Google: Who drives the strategy? [...]
