Shrm fit approach universalist approach and resource based approach

Vertical fit is viewed as directing human resources toward the primary initiatives of the organisation. Do managers in the HR function understand the economic consequence of their jobs.

Lengnick-Hall and Lengnick-Hall Can these services be provided more efficiently by outside vendors. In the decline stage HR may not have the scope to engage so wholeheartedly with the programmes operating in maturity. The central theme emerging in the SHRM resource-based literature is that privately held knowledge is a basic source of advantage in competition.

In my view the contingency approach is more important than the universalistic approach although benchmarking can still be used as a means of identifying areas for innovation or development that are practised in other organisations.

This in effect brought down the number of banks in Nigeria to 25 solid banks Gunu, May 29, Comments Off on The best fit approach The best fit approach emphasizes that HR strategies should be contingent on the context; the circumstances of the organization and its type.

The organization typically responds to this pressure by adding more formal structure and functional specialists, including HR. In order to achieve this, Human Resources may ask themselves the following questions: But it is a model of what might happen rather than what should happen. It requires thinking ahead, and planning ways for a company to better meet the needs of its employees, and for the employees to better meet the needs of the company.

Soft and Hard Models of Human Resource Management

There are difficulties in the sense that different writers from each perspective have different opinions about human resources management which led the generic process of different HRM models.

In addition, such organisations tend to develop bureaucratic structures that make them inflexible [3]. Text and Cases, Hemel Hempstead: Mabey et al argues that in various researches carried out, there has been no strong statistical correlation between HR programmes supported by senior management and company performance.

Strategic management journal, 13 5. Stewart and Brown call this strategy Committed Expert Strategy. Differentiation strategy practices external labour orientation, focusing on hiring people, who already have the skills who need limited company orientation, bring new talent into the organisation because of money they are offered and identify more closely with their professions rather than the company.

However United Bank for Africa has employed the benefits of best practice in the implementation of Human resources practice in her organization. The statusquo approach of employees.

Human resources and the resource based view of the firm

The dimension to nationalities mentioned in this approached suggested several challenges to best practice in the following ways; 3. This is reinforced through an extensive selection process, and a culture of trust and empowerment reinforced by the CEO.

The RBV theory provides a rationale for strategic HRM and in line with intellectual capital theory, RB theory emphasises that investment in people add to their value to the firm Armstong and Baron Employees receive long-term training that helps them develop strong expertise.

Internal fit measures the extent to which HR means follow from the HR goals and other relevant environmental conditions, as well as the degree of coherency or synergy among the various HR means. The competence frameworks could be used as the basis for human resource planning and in development centres.

However United Bank for Africa UBA has experienced the mentioned issued in the process of best practice implementation in her Human resources practice. Although the managers operate relatively independently in the region, they are not normally moved to the company headquarters.

According to the VRIO framework aspects of human resources that are valuable, rare, inimitable and appropriate HR systems in place could bring about sustainable competitive advantage. But there are problems with the best fit approach, as stated by Purcell who wrote: Moore has suggested that Mintzberg has looked inside the organization, indeed inside the heads of the collective strategists, and come to the conclusion that, relative to the organization, strategy is analogous to the personality of an individual.

For certain professions, there is a dearth of talent in the country. The universalistic approach seeks to identify a set of human resource practices that is beneficial for all organisations, the goal being to find one best way of managing human resources.

May 18,  · The DoN must revise its approach to human resource management, recognizing that its people are the indispensable element in mission accomplishment. The Society for Human Resource Management Ask me any Q's tomorrow about best fit, best practice, the resource based theory - in fact anything to do with stategic human resource management.

The companies that adopt this method normally have a localized HR department, which manages the human resources of the company in that country. Many international companies operating their branches in advanced countries like Britain and Japan predominantly adopt this approach for recruiting executives lo manage the branches.".

Torrington et al 5 defines SHRM as means of accepting the HR function as a from BUSINESSS MBA at The National University of Malaysia. which also happened to be the more recent approach to strategic HRM, was resource-based view of the firm, the Universalist approach on SHRM.

approach, the best fit approach adopts a contingency approach. The linkage between strategy and HRM has received extensive attention from contingency school of through.

This approach holds that the aim of SHRM is to provide a fit between policy goals of HRM and the business. The HR strategy of an organization must be contingent on the needs and circumstances of that organization (Guest, ).

Indeed the Universalist approach appears as the best way of managing human resources in companies because of the high commitment in both ways which means high output in a rewarding and serene work environment.

Shrm fit approach universalist approach and resource based approach
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Human Resources Management (Best Practice VS Best Fit) | Poet Foluso -