The paper “ The Value of High-Performance Work Systems as a Form of Strategic Management of the Human Resources” is a sage example of the assignment on human resources. Human Resource: In the world that is dominated by competitive economy, the strength of any company, is highly influenced by the quality of the product and in the capacity to rapidly adapt to the changing environment. So it becomes obvious that to survive in this condition, the main resource to be relied upon is the people – employee’ s of the firm or exactly on qualities on them as creativity, ingenuity, problem solving ability etc.
In an attempt to achieve this, the firm provides workers with information skills, incentives, the responsibility to take decisions indispensable for new innovations, improvement in quality and rapid adaptation to change. These approaches are defined as the High Performance Work System of the organization. It has become the order of the day, with the turn of the century, a growing number of organizations are viewing, human resources as an unpreventable source and base for their competitive advantage.
Of relentless studies done, the fact is strongly established that high competencies are obtained on the competitive edge by the high quotient of employee skills, distinctive organizational cultures, management processes, and systems, entirely changing the scenario, where traditionally transferable resources such as equipment were considered to be an asset. Now it has been well understood by the organizations that competitive advantage could be only obtained with the backing of the high quality workforce that enables organizations to compete on front, on the basis of market responsiveness, product and service quality, differentiated products and technological innovation. SHRM: In this light, Strategic human resource management (SHRM) has been defined as ‘ the linking of human resources with strategic goals and objectives in order to improve business performance and develop organizational culture that foster innovation and flexibility ‘ .
The Strategic HR is a newly coined term, that on simple term delivers the meaning that, it is accepting of the HR function as a strategic partner in the formulation of the company’ s strategies. In broader sense it also means the implementation of those framed company’ s strategies through HR activities such as recruiting, selecting, training and rewarding personnel etc.
1. Stephen Wood , 2001, High Performance Work System,
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3. High Performance Work Research Project Managerial practices,1996-2007 International Labour Organization (ILO) http://www.oit.org/public/english/employment/skills/workplace/case/topi_3.htm#2
4. Vilma Midvertye and erika sirutye. Riga, 2004,The impact of SHRM on organisation’s productivity : a case of leading joint stock companies in lithuania .
5. Kai .k .anderson , Brain . K .Cooper and Cherrie Jihua Jhu , 2005, The impact of strategic integration and development on HR practices on firm performance : some evidences from Australia,