hrd ppt g-3

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8/3/2019 hrd ppt G-3

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CHANGING ENVIRONMENT

y Is change taking place?

y What are these changes?

y What is the significance of these changes?

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CHANGING BUSINESS

ENVIRONMENT

GLOBALIZATION

MARKETCHANGES

LIBERALIZATION

TECHNOLOGICALCHANGES

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Broadly Classified in three categories

Portfolio related

Process related

Structure related

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Portfolio related strategic

responsesy Mergers, acquisition and takeovers

y Demergers

y Diversificationy Share buyback

y Disinvestment

y Joint ventures

y Strategic alliances/ Collaborations

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Process related strategic responsesy Quality strategies

y International quality 

y

Certification programmesy  Just in-time inventory 

y Benchmarking

y Building core competence

y Setting vision & mission

y Cost & asset utilization strategies

y Technological up gradation & indigenization

y Information Technology 

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Structure related strategic

responsesy Strategic Business units

y Matrix structure

y Delayring/Flat organisational structures

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Alignment b/w strategic responses of Orgs & SHRD

I. Portfolio related Strategic responses & SHRD systemMergers, Acquisitions, Takeovers, and SHRD

Effect on

- The success of any merger hinges on HR system, not on businessstrategies - Hamilton

- Notes from Business Week (1985) & Purcell (1994)

- If M & A ought to succeed they must depend on the people.

Changes in Orgstructures

 Attitudes fromthe perspectiveof acquired firm

Reaction afterthe

announcement

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II. Process related Strategic Responses and SHRDTQM, JIT, and SHRD

- Successful implementation of TQM, JIT depends on

- shared responsibility, commitment, rewards- Information sharing with employees on profit, productivity etc.- Employee involvement as a way of life-  Job Security as a key consideration in all decisionsHelipern & NadlerTeam effectiveness, training, effective communication, rewardsare important tools for organization in moving towards TQM

III. Structure Related Strategic Responses and SHRDOrganizational structure is determined by the integration of

- The structure- Technology better the integration, higher the- Human Resources performance

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HRD: A Strategic Perspective

y Understanding the concept Strategy 

Wh y do you think that strategic management isso relevant in todays business context?

- Integration of business strategy with HR strategy -  Acknowledging the importance of employees in an organization

 Wh y??? Employees influence on

- Rapid rate of business change

- High uncertainty - Increasing competitive pressures- Rapid technological changes

- Increasing multinational competition andcollaboration

Profitability Flexibility 

SurvivalCompetitiveness

 Adaptability 

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HR for a Competitive Advantage

y 5 major components of HR M to achieve CA 

y

- Perceiving workforce as strategic advantage not just as CTC

PorterHR M can attain CA bya) lowering costs service

differentiationb) increasing sources of 

production

c) service differentiation

Snell and Dean

- Investment in humancapital can help in attainingCA 

CultureOrganization StructurePerformanceManagementResourcingCommunications andCorporate Responsibilities

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Golden and Ramanujam(1985)

4 level model

 Administrative linkage

One-way linkage

Two-way linkage

Integrative linkage

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Linking HRD with Strategic Business PlanningBUSINESS PLANNING STEPS HR PLANNING STEPS

Starting pt. Mission stm

Macro-env. Analysis

Macro-resource analysis

Key business assumptions

Business implications

Critical business issues

Strategy development & evaluation

 Approval

Stm of business thrust

HR env. Analysis

HR resource analysis

HR assumptions

HR implications

Critical HR issues

HR strategies & evaluation for inclusionin strategic business plan

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HRD & life Cycle of Organization

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Org. stages & HR management need

Stage 3 : CONTROL

Competition for resources, increaseproductivity , investments

Cost ctrl HR activities, IT tools used toanalysis cost

Stage 2 : GROWTH

Dynamic growth, technical specialization,professional mgmt

 Advanced recruiting, training, socializationprogrammesto adapt new emp to org.

Stage 1 : STARTUP

Entrepereneurship, founder mgmt, ltdproducts & mkts

Recruiting to find key people, basiccompensation & admin system

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Stage 5 : FELEXIBILITY  Adapatability, collabarative team work,functional areas , multiple products &

markets

Highly developed monitoring & scanningcapablility, felexibilty to mktss & env. needs

Stage 4 : INTERGRATION

Diversification, decentralisation, productgroups & divisions, prj mgmt

HR components, planning & org.development

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Thank you

Group 3 : Niharika

Jyothi

UjwalaKiran

Venkatesh