Consider the benefits and potential challenges, such as the internal staff’s skills not being at the level to successfully meet the organization’s strategic goals.

potential challenges

Strategic alignment between HR and organizational strategy, both horizontally and vertically, is achieved by supporting practices. Notions of strategic alignment have their roots in contingency theories of strategic HRM. An HRM contingency framework is one in which HRM policies and strategies are related to the underlying organizational strategy and in which alignment of HRM practices are contingent upon both the internal and external environments in which the organization operates. This theory emphasizes vertical alignment, the integration of HR strategies with organizational strategy.

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Earlier in the course, you read Porter’s work on strategy, which suggests that there are three potential ways to achieve a competitive advantage—focus, quality, and cost leadership. Strategic HRM scholars have argued that there are distinct HR practices aligned with these organizational strategies for increased competitive advantage: for example, performance systems that emphasize longer-term achievements or career paths that reinforce learning and skill development.

In contrast, a cost-leadership strategy can be supported by reduced levels of employee training and development. Turning to horizontal integration of HR strategies, also termed “bundling,” is equally important to organizational success. This requires careful consideration of how selection, developmental, and compensation practices fit to form a system that is equally aligned with vertically integrated practices.

In addition, organizations want to adopt practical HR practices that have the potential to attract, motivate, and retain key talent and create a competitive advantage while aligning with their strategic goals.

Your scenario is the following:

An organization’s staffing polices emphasize hiring at entry levels. They have a strong focus on training and promoting from within. Consider the benefits and potential challenges, such as the internal staff’s skills not being at the level to successfully meet the organization’s strategic goals.

MUST USE SUBTITLES/CONCLUSION

References to be used:

Article: Lepak, D. P., & Shaw, J. D. (2008). Strategic HRM in North America: Looking to the future. The International Journal of Human Resource Management, 19(8), 1,486–1,499.
Copyright 2008 by TAYLOR & FRANCIS INFORMA UK LTD – JOURNALS. Reprinted by permission of TAYLOR & FRANCIS INFORMA UK LTD – JOURNALS via the Copyright Clearance Center.

This resource provides a review of the literature on strategic HRM with a focus on North America. The article outlines emerging issues that effective HRM systems must address, including technological fluidity, workforce demographic changes, and shifting worker values.
•Article: Mahoney-Phillips, J., & Adams, A. (2010). Getting the measure of HR. Strategic HR Review, 9(1), 5–9.
Copyright 2010 by EMERALD GROUP PUBLISHING LIMITED. Reprinted by permission of EMERALD GROUP PUBLISHING LIMITED via the Copyright Clearance Center.

This article demonstrates how HR can align with other functional areas. In turn, it will provide the organization with better results.