Strategic Human Resource 
Management

 
 
 
 
 
 

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Introduction 
The concept of strategic human resource management (SHRM) refers to the structure 
of administration that aids organizations to plan for the future and strategize for the 
appropriate procedures of acquisition of their employees. The idea denotes a practical 
model that helps workers deliver their services efficiently to meet their company’s 
objectives. 

The strategic human resource control model can develop a positive atmosphere within 
an organization and create additional value. The instrument can contribute to the 
progress of a business through a combination of human resource policies, strategies, 
and best practices. The most significant approach to enhancing the productivity of a 
company entails manpower planning and motivation. 

The strategic human resource control design employs a tool that makes appropriate 
use of the time factor and method approach and hence improves the capacity of 
personnel. The design helps increase the commitment of workers to an organization 
within a competitive market setting. 

Strategic human resource management is essential in controlling and influencing the 

performance of a business. It also develops a plan to institute change that can enhance 
the development of the organization. The involvement of an external facilitator in the 
plan may be significant because he or she is likely to provide an independent 
perspective of how the draft should look like. 

The responsibilities of human resource management include provision of crucial 

services, administrative and consultative expertise about the coordination and 
management of human personnel. HRM also seeks to decrease the turnover of 
employees, increase staff motivation and morale, and integrate workers into the 
decision-making process within the company. The human resource provides a vital 
strategy for the development of workers. 

It also provides the business with a competitive edge over its market rivals. A company 
should engage other experts and consultants in the drafting of a strategic human 
resource control framework to benefit from what other organizations do. 

This paper explains the concept of strategic human resource management and its 
application in different organizations. The research examines how effective strategic 

 
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human resource management mechanisms can be towards the improvement of 

operations in organizational contexts. 

It also offers examples of the application of SHRM in different companies. The report 
draws information from various internet sites, books, and journal resources to integrate 
different arguments related to strategic human resource management. 

The concept of strategic human resource management 

Strategic human resource management (SHRM) is one of the most relevant ideas in 
employee issues and business administration. Experts contextualize it in different levels 
of organizations. SHRM promotes the efficiency of employees, level of human capital 
management, and conditions of the workplace. Government organizations may employ 
the concept to improve the productivity of their labor forces and the economies of their 
countries. 

The notion of strategic human resource management has become a globally acceptable 
idea in the field of personal control. It has become significant in the competitive 
environment of the business world (Philip & Marshall, 2010). 

Most organizations utilize the concept with the assistance of human resource 
consultancy firms to develop competitive and effective employee management 
strategies through the creation of concept frameworks, methodologies, and 
management prescriptions. The significance and implication of strategic human 
resource management in organizations cannot be underestimated. 

Evidence indicates that the idea has provided solutions to the management of workers 
in businesses. The concept supports the fact that employees should be treated as 
critical assets in an organization. Ancient human resource management strategies 
tended to treat labor or employees as an unwanted cost in the business. 

Previously, organizational management, processes, procedures, and managerial 

systems supported the view that labor was an expendable cost. Investors perceived 
human resources as dispensable and plentiful. They paid little attention to the 
recruitment and development of human resources. 

Employee management techniques related to the industrial discipline model that used 
control and direct command with strict compensation for work performance. Human 
resource management was similar to the concept of “hire and fire.” The human 

 
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resource sector was full of industrial relations conflicts. Employees used collective 
agreements as a temporary strategy to avoid conflicts. 

Human resource management was related to performance incentives that reduced the 
productivity of the labor force. Organizational human resource experts continue to 
observe progress due to change in management aspects. The contingent workforce has 
grown as a result of the application of strategic human resource management 
principles. 

Organizations are now shifting from command based management and treatment of 
employees as a cost to incorporating labor as a resource in the production process. 
Human resource has become a core function in the operation of businesses. Experts 
appreciate it within the context of businesses, especially in terms of employee relations 
and paradigms. 

Professionals continue to observe comprehensive shifts in theories and practices of 

employee management. Organizations begin to appreciate their staff in the production 
processes. 

A number of the new concepts in human resource management include the 

resource-based perspective of the organization, appreciation of the importance and 
knowledge of employees, recognition of staff as an investment in the organization and 
provision of a learning environment for the success of employees. 

Also, contemporary organizations embrace high-performance work systems in human 

resource personnel. Organizations need to view their workers as strategic resources. 
Companies, both in the public and private sectors, recognize critical functions of their 
employees. 

Strategic human resource management relates to three fundamental factors that 

include human capital, strategic plan, and systematic approach. The concept 
recognizes the role of workers as sources of organizational power and competitive 
benefits. 

It suggests that employees perform a significant role in the implementation of the 

organization’s strategic plan aimed at realizing its objectives. A systematic approach to 
business helps define and provide a roadmap of where it endeavors to go and the 
mechanisms of achieving its goals. 

Strategic human resource management is a process that entails the application of 
integrated approaches to the development of personal strategies. These plans may be 

 
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integrated vertically according to the organizational strategy and structured horizontally 

against each other to form a network that facilitates the realization of business goals. 
The strategies incorporate the intentions of the company in the context of its overall 
objectives. 

Mechanisms should integrate factors like the efficiency and aspects of employee 
management. These aspects affect the performance of workers and the delivery of the 
organizational mandate. They include features like learning, resourcing, employee 
motivation, relations, and development. 

The meaning of strategic human resource management   

Strategic human resource management comprises of characteristics and programs that 
differentiate an organization from its competitors. The concept constitutes four 
fundamental principles that include the use of planning, a comprehensive approach in 
management, design of administration of human personnel, and a clear philosophy of 
the development of employees. 

The aspect also includes programs and policies that execute the strategy of the 
organization. It visualizes people as essential strategic components in the organization 
and plans to gain a competitive advantage through appropriate utilization of workers. 

The idea incorporates comprehensive organizational matters that relate to 

transformations in the structure and culture of human resource management. It also 
addresses issues of organizational performance and effectiveness of employees. The 
concept seeks to align resources to the future needs through the development of 
unique capacity, knowledge management, and to bring change in the management of 
human personnel. 

The notion relates to the needs of human capital and the development of staff capacity 
to improve the efficiency of human resources in the organization. Strategic human 
resource management deals with issues that affect employees and the general pool of 
human resource within a business. 

It enhances the management of human resources through the preparation of a strategic 

plan for the business. The critical premises of the idea include the decisions of the 
executive, organizational leadership, and the creation of an appropriate environment 
and patterns of employee relations that can improve the performance of the business. 

 
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Aims of strategic human resource management 

The importance of strategic human resource management comprises of the benefits it 
brings to the company by organizing employees in a productive force. It is beneficial to 
the business in the long term. The crucial rationale for strategic human resource 
management is to gain a competitive edge through effective human resource 
regulations. The company can use several tools to gauge its strength against its market 
rivals. 

The instruments may include a SWOT analysis, scenario building plan or PESTLED 
analysis, and a balanced scorecard. The tools may show the strengths and weaknesses 
of the company internally and externally. The company can use the results of company 
analysis to train its workers. 

The training of employees should focus on areas of their organization’s weaknesses. 

The training program must also align the skills of employees to the overall strategic 
human resource process. 

The objective of strategic HRM is to provide a channel of resolving critical issues or 
performance elements that relate to employees in the organization. The idea provides 
companies with strategic interventions that can provide insights into the management 
of employees for the effective performance of the company. 

Strategic human resource management creates organizational capacity by promoting 

the efficiency of the employees and increasing their commitment and motivation to 
perform for the business. It also helps to provide a company with a sense of direction in 
the context of a competitive business environment. The concept improves the individual 
and collective power of workers to meet the development goal of the company. 

It also helps in the execution of practical and broad human resource policies and 
actions. Strategic human resource management provides an organization with a 
structure of unifying simple forms of suggestions to complex projects due to the 
interaction and proper functioning of human resources. 

It prioritizes the broad perspectives of the stakeholders in the organization. Additionally, 

It ensures that the managers incorporate the interests of the shareholders in running 
the business. The idea caters for the demands of the employees and organizational 
management. For instance, soft strategic human resource management techniques 
have a focus on the relations of the employees and management. 

 
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They also emphasize the progressive development of people, communication, security 

of employees, and human resource involvement. SHRM also emphasizes the quality of 
the working environment for workers and balance of life. The aim of strategic human 
resource management also takes into consideration the related ethical issues. Hard 
SHRM underscores the outputs that result from a company’s investment in employees. 

It also promotes the interests of the organization. Companies exist to deliver their 
mandate and achieve stipulated objectives. Strategic human resource management, 
therefore, provides the coordination factor that can organize resources to function 
efficiently. This idea addresses all aspects of soft human resource management that 
ensure that companies recognize their employees and managers cater to their 
aspirations. 

Approaches to strategic human resource management 

This paper explores diverse approaches to strategic human resource management. 
These methods comprise the resource-based, the strategic fit, the high-performance 
management, and the commitment management approaches. 

The resource-based approach 

The resource-based approach is a crucial component in the strategic HRM. It aims at 
creating a strategic capacity for organizations and endeavors to balance the resources 
and opportunities of businesses, identify the areas of value addition, and ensure 
effective utilization of resources. The resource-based approach is effective in 
addressing the challenges that affect a company’s market strength. 

The perspective increases the strategic ability of an organization. It appoints managers 

and a competitive pool of human resources who can plan and think to improve the 
market prospects of the business. This view postulates that an organization can 
compete effectively with rival firms. It can develop a team of human resources that can 
learn fast and apply the measures effectively to outdo rival companies. 

The perspective emphasizes the effective use of such human resources as experience, 
risk-taking inclination, judgment, knowledge, and individual wisdom within the context of 
the organization. The view recognizes the firm as the organizer and coordinator of the 
resources. The activities of the firm ensure that it realizes profits in the market. 

The resource-based dimension concentrates on investment in human resources as the 

critical strategy of adding value to the company. The dimension advocates for the 

 
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creation of an organization that is flexible and intelligent in the administration of its 

operations. This aspect can be achieved through effective hiring of staff and the 
development of the talented worker's team with suitable skills. 

This human resource view engages in promoting the intellectual aptitude and human 
resource capital of the organization. It appreciates the power of knowledge as a tool for 
gaining direct profits for the business. The rationale of the resource-based view is to 
understand external environments in the context of what employees are capable of 
when working for the company. 

This research evaluates diverse ways through which workers can enhance the 
performance of the organization according to the resource-based perspective. The first 
way entails delivery of superior performance, maintenance of flexibility, an increment of 
productivity, and improvement of innovation in the business. 

The capacity of human resource personnel to deliver quality services to clients is a 

critical element in the creation of a competitive position for the business. Human 
resources become the essential tools for coordination of the interdependence of 
cross-functional activities and sustenance of a relationship with the external 
environment. 

Effective human resource management attracts benefits for the business. HRM 
policies, actions, and practices provide organizations with a unique combination of 
procedures, processes, capabilities, and organizational culture. 

The resource-based approach provides companies with the ability to differentiate their 
products from those of their market rivals. The differentiation is essential in improving 
the organization’s power against its competitors. It can be achieved through the 
development and creation of intellectual capital possessed by the organization and 
operation of a support center. 

The strategic fit perspective 

The second perspective affirms that a human resource approach should be oriented to 
the organizational strategy through the vertical fitting. The dimension advances that the 
human resource plan should be an essential part of the organizational strategy to 
enhance valuable contribution to business planning. It postulates that vertical 
integration is critical in the creation of congruence between the human resource 
strategy and the organization. 

 
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The two components should support the accomplishment and overall success of the 
business. Also, the horizontal integration into other elements of the human resource 
strategy is necessary for the improvement of coherence between different components. 
The objective is to maintain a workable plan for the management of people in instances 
where the different strategies may be mutually supportive. 

The high-performance management view 

The high-performance management perspective can be equated to a competitive work 
system. The objective of this dimension is to make an impact on the success of the 
organization through its workers. The view targets to influence the performance of 
employees in productivity, quality of their work, levels of client service, profits, 
development, and delivery of the improved stockholder value. Also, it advocates for the 
performance of management processes. 

The perspective entails careful and comprehensive systems of recruitment, selection, 

and employee training. The view also incorporates formal systems of sharing data with 
persons who work in the organization. It provides a structure for clear job design and 
high levels of participation processes. The approach measures and evaluates attitudes 
and employee performance appraisals. 

It provides workers with functional channels of presenting grievances to the 

management. It also creates a compensation and promotion scheme that provides for 
the recognition and financial motivation of high performing individuals in the business. 

The high-commitment management approach 

Human resource management emphasizes the role of improving mutual commitment in 
organizational development. The high commitment management perspective is a form 
of employee control mechanism. It enhances commitment to enable behavior to be 
self-regulated. Employee behavior may be manipulated by pressures and sanctions 
from individuals and the external environment. 

The dimension underscores the relationship between organizations and employees 

based on mutual trust. Several critical elements that aim at achieving a high level of 
commitment among employees include the development of career ladders and focus 
on training and commitment. The view advocates for staff development and a high level 
of functional flexibility free of rigid job responsibilities. 

 
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Also, the view focuses on the reduction of bureaucratic protocols and status disparities 
in the human resource management process. The dimension has a heavy dependence 
on team efforts in the distribution of the information through briefs, teamwork, and 
problem resolution. 

The view incorporates manageable job designs. It suggests that human resource 
managers should provide jobs that have a considerable level of intrinsic satisfaction. It 
comprises a plan of voluntary lay-offs or permanent employment opportunities and 
redundancies with the option of temporary employment to cater to seasonal 
fluctuations in the labor market. 

The approach notes that new forms of job evaluations and compensation systems 
deserve merit and revenue sharing. Also, it promotes a high level of employee 
involvement in the management of the organization and determination of quality. 

The high-involvement management approach 

The high-involvement management approach denotes the treatment of staff as part of 
the organization’s enterprise. The perspective implies that employees should be treated 
with respect and be allowed to communicate their concerns on the matters relating to 
their functionality. The dimension underscores a high level of communication and 
involvement of workers. 

The objective of the approach is to develop a setting that promotes progressive debate 
between employees and managers. This aspect creates a structure of involvement and 
sharing of information about the organization’s objectives, mission, and values. The 
view develops a mutual understanding of what is to be realized and a structure of 
administration and development of a human resource to promote organizational 
success. 

The effectiveness of HRM practices on the improvement of 

performance in an organizational setting 
The performance of companies has been a primary focus of different studies. Every 
business must deliver on its mandate and achieve its objectives. The potential of the 
company to administer its resources efficiently is a major part of promoting its success. 
The management can also play a significant role in the organization of resources and 
promotion of the performance of the business. 

 
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The role of the administration is to focus on resources within the organization and the 
ways to assure their efficiency. The company must ensure that the resources within its 
custody function well to achieve maximum benefits. Improving the management and 
administrative capacity of the organization about human resources is significant for its 
overall effectiveness. 

Effective human resource practices can increase performance in a business context. 

The dimension can increase employees’ output and the capacity of companies to attain 
their goals. Combining the use of human resource practices and the process of 
strategic planning enhances the probability of a company to achieve its goals and 
objectives. 

The approach enhances the productivity of the business through the diffusion of new 
technological ideas. It can provide public and private companies with new perspectives 
on addressing issues and enhancing performance. The future of organizations lies in 
technological innovations. Strategic human resource management provides a channel 
for the utilization of modern technology. 

Human resource management systems relate to the improvement of multiple values in 
organizations. The adoption of progressive human resource practices promotes the 
performance of the business. Companies within the public sector create a forum for the 
implementation of new procedures. Strategic human resource management practices 
enhance the transfer of protocols and social services for the welfare of employees in 
the organization. 

It provides businesses with a comparative edge over its rivals about professionalism, 
redistributive objectives, and social science data. The concept helps organizations to 
balance the demands of employees and the needs of the management. 

The integration of human resource practices helps to achieve the purpose of the 
business and maintain a substantial increase in the overall success of the business. 
Resource-based theory supports the relevance of strategic resource management. The 
view appreciates the role of essential organizational inputs in improving the operations 
management of a business. 

Effective HRM practices can improve performance through the motivation of workers. 
Strategic human resource management must direct its target towards matching of 
employee rewards to the goals of the business. The strategy focuses on the individual 
needs of the employees and the ways to enhance productivity in the organization. 

 
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Strategic planning helps the company to organize its pool of employees. It focuses on a 
practical perspective through the application of administrative tools, like management 
by objectives strategy, total quality management, and strategic planning through 
rational analysis. 

Strategic human resource management helps a company to develop a focused strategy 

on the future aspirations of the business. The idea provides organizations with a road 
map for meeting their aspirations in the future. It acts as a tool for organizing human 
resources. This aspect is essential in improving the performance of the business. The 
concept serves as the guiding framework that directs businesses towards the path of 
development. 

Also, it directs individual and team efforts in the accomplishment of organizational 

goals. Strategic human resource management helps companies to concentrate on 
individual employee efforts and teamwork (Collins & Porras, 2011). The perspective is 
essential in creating a quality practice in the administration of objective performance in 
appraisal systems. 

It increases the accountability of actions of human resources. The strategy can serve as 
a team building design that can transform the direction of the organization's 
development. It also promotes leadership support for the business to prevent potential 
problems that may inhibit its success. 

Strategic human resource management techniques extend training to people working 

for the organization. Also, they reduce instances of chaos, confusion, and conflict 
regarding the efficiency of human resources. They enable people to learn new concepts 
of promoting the efficiency of the organization. 

The merits of strategic human resource management to the 

progress of companies 
SHRM makes several positive gains to a company. The concept provides the business 
with the appropriate pool of human resources. The idea is essential to identifying and 
maintaining a competitive supply of qualified labor. It assures the organization that the 
human resource department can perform certain duties to perfection. The notion 
affirms that the business has the right amount of people to perform different tasks 
(Philip & Marshall, 2010). 

Also, strategic HRM provides the organization with a steady flow of qualified people in 
cases of shortage. New employees can be engaged by the company through the 

 
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processes of staffing, employee selection, and recruitment. The department of human 

resource ensures that it conducts adequate human resource appraisals to evaluate the 
employees and ensure that they can accomplish various tasks for the company. 

The notion of strategic HRM allows companies to adopt effective systems that can 
improve their productivity. It guides employees towards the desired goals and 
objectives of the business. 

The human resource department ensures that employees work appropriately. It also 
ensures that workers are always in a position to execute their responsibilities and help 
the organization to develop. Also, the concept allows staff to exercise flexibility, learn, 
train, and develop their careers to improve their overall efficiency to the company and 
add value to the achievement of objectives. 

Examples of companies that employ strategic human 

resource management techniques 

Walmart UK 
This study outlines three primary competitive strategies for an organization. These 
plans include the overall cost leadership, focus approach, and differentiation. The 
Walmart Company adopts the cost leadership approach. The objective of the company 
is to become the low-cost leader in the retail industry. 

The business preserves its viable advantage through its satellite-based delivery system 
and by observing store position costs to the lowest level. Walmart places its stores on 
low-cost sites in small to medium-sized towns. It applies the concept of strategic 
human resource management in different ways. The company buys large quantities of 
supplies to create a scale of economy. 

This aspect creates a competitive advantage for the company over its competitors. 
Walmart Company management operates at different levels of strategic planning. It 
operates at the business and commercial levels and uses the functional approach in its 
strategies. 

The functional approach serves the overall strategy of the company and provides ways 
for the execution of the corporate perspective. Walmart strategies address 
cost-effective practices for the company. Also, the business creates a low-cost practice 

 
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in its employment strategies. This aspect helps the business to achieve a low 
employment cost. 

The company employs different corporate approaches with a retailer differentiation 

practice that helps to improve its performance. Walmart uses a competitive recruitment 
process to select its employees. This aspect is another strategic human resource 
management procedure the company uses. Also, the business refers to its workers as 
to “associates” and motivates managers to consider the employees as servant leaders 
for the organization. 

This effort motivates Walmart employees and improves their attitudes towards the 
company. The dimension also enables the management to maintain the integrity of 
Walmart regarding its relationship with its employees. Walmart also provides training to 
its workers. 

The company’s training and motivation help to improve employees’ behavior and their 
capacity to handle different situations. The organization tries to align employees’ skills 
to its overall strategic goals. Also, this aspect decreases the chances of low morale in 
the Walmart workforce. The company is highly demanding in the quality issue of its job 
designs. 

Furthermore, the company has stringent regulations about job descriptions for its 
workforce. In aspects relating to career management, Walmart UK provides job 
promotions and effective employee compensation. Besides, its employees also receive 
benefits like health insurance and affordable access to health care. 

Pricewaterhouse Coopers 
This business is a leading consulting firm in the UK and across the globe. The 
organization makes use of the strategic human resource management concept. It has a 
highly selective recruitment procedure for its employees and the competitive 
development of staff. This aspect ensures that the firm offers its clients high-quality 
services in complicated business challenges. 

The business belongs to an elite group of companies that use the concept of strategic 
human resource management. It blends the concepts of strategic HRM with other 
policies to form an efficient pool of human personnel. The company uses such policies 
as proactive recruitment and high entry requirements for applicants and employees. 
These aspects provide workers with motivation to deliver their services to the 
organization. 

 
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Also, the business uses employee ownership and comprehensive professional 

education as an essential prerequisite to improve and maintain its credibility in the labor 
market. The firm also has efficient job evaluation systems to ensure that everything 
works according to the plan for the effective functioning of employees. 

The firm also has diverse systems that support its employee remuneration. It also 
advocates for the recruitment of result oriented employees and retention of high 
performing consultants. The firm’s decisions relating to the view of improving 
organizational productivity in line with its goals and objectives. 

The Tarmac Company 

Tarmac is a company that deals with asphalt and concrete construction for the 
development of road infrastructure and buildings. It also manufactures mortar and 
cement. It is one of the contemporary firms that recognize human resources as a 
crucial investment for its success. 

The company also ensures that the human resource department applies procedures 
and policies of employee administration in the right manner across its various sections. 
It employs people with high levels of skills to maintain a bigger advantage over its 
market competitors (Hughes et al., 2009). Also, the company provides career 
management programs that promote employee development and evaluation of the 
managers' role. 

British Gas, The British Gas Company, is the leading energy brand in the United 
Kingdom. The company supplies gas, appliances, and central heating systems. Also, it 
provides drain cleaning, plumbing, and house security services. It also makes use of the 
strategic human resource management concept. For instance, the organization’s 
employees comprise highly qualified staff only. 

It has about 9,500 expert gas engineers that work during the installation and 
maintenance of gas infrastructure. The business has an employee training academy 
that empowers its workers to provide clients with quality services. The academy offers 
different programs that provide employees with relevant skills in accordance with the 
company’s objectives. It provides opportunities for career development through 
education and training of its employees. 

Consequently, this aspect contributes to the success of the business. It employs staff 
from various disciplines through a rigorous and competitive process. The diversity of 
the company’s employees ensures that it can offer a wide range of services efficiently. 

 
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Cadbury 
Cadbury is a company that deals with the sale of chocolate. It enjoys a great share of 
the market and produces the most popular chocolate brands across the world. The 
organization applies different aspects of strategic human resource management. For 
example, it has different suppliers and maintains a good relationship with them. This 
aspect enables the business to make huge profits in the sector. 

Also, the company has diverse human resource principles that promote its 
development. It transforms its culture regularly to accommodate diverse individuals. 
This idea gives it popular among people and is a crucial factor for its success. The 
company helps its employees to focus on organizational objectives. This aspect 
ensures that its work schedules and objectives are successful. 

The company’s employees contribute efficiently to the running of the company by 
creating and nurturing its stock of skills, interests, talent, and capacity. The company 
also reviews its relationship with shareholders to develop competencies that promote 
the efficiency of the organization. Cadbury has a flexible employee schedule and allows 
the workforce to determine the organizational values. 

The Televox Company 

The Televox Company is another example of an organization in the United Kingdom that 
applies strategic human resource management. The business focuses on two essential 
factors that include the character of the human resource administration system and the 
inputs that influence human resources. It applies strategic approaches in the 
management of its human resources (Collins & Porras, 2011). 

For instance, it provides excellent customer services through constant feedback from 
its clients. The company considers its feedback program an essential part of its 
management. It analyses different complaints about its employees to determine the 
cause of any problem. 

The company’s human resource management can take action when it identifies the 
cause of the problem. The challenge may relate to employee training or motivation. This 
fact may provide room for the company to respond effectively to challenges. 

Televox strategic HR practices promote organizational performance and independence. 

Examples of the practices of the Televox Company include voice mechanisms, profit 
sharing, training systems, and employee job definitions. These aspects reveal that the 

 
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firm transforms from the simple to strategic human resource management practices in 
its administration. 

The company takes customer information seriously when clients report problems in 
service provision. This aspect can lead to training or loss of jobs of employees. Also, 
when Televox employees join the company, they learn its procedures and must deliver 
services according to the expected standards. 

Conclusion 
Human resource departments may always be under pressure from organizations 
because they never seem to make significant contributions to the success of 
businesses. However, the adoption of the strategic human resource management 
concept has brought a new dimension to the corporate world. Workers can now be 
perceived as a critical resource that can lead a business to future success. 

Global companies and different organizations operate within dynamic settings. These 
companies compete to acquire the best human resource talents from the job market. 
Most organizations invest large amounts of resources in the advertisement and hiring 
of appropriate job applicants. Also, they apply different management techniques to 
ensure that they retain the best pool of human resources for themselves. 

This factor leads to stiff competition for the best employee resources. Organizations 
need to adapt to shifting operations to remain relevant in the business sector. The 
application of strategic human resource management is one of the contemporary 
concepts that have gained momentum among global businesses. Companies must 
apply reliable human resource management approaches to deliver their services and 
achieve their objectives. 

Application of strategic human resource management designs can be effective in 

improving the performance of organizations in the market. This paper discusses the 
concept of strategic human resource management and how its effective application 
can improve the performance of businesses. 

It explains the application of effective strategic human resource practices and their 
effectiveness in resolving challenges and managing employees within companies. 
Organizations need to improve the overall capacity of the application of strategic 
human resource management principles and approaches to mitigate their risks. 

Human resource management professionals need to develop a structure that may 

organize and implement human resource policies within a business (Bullen, 2013). 

 
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Organizations in the United Kingdom need to adopt strategic human resource 

management measures to boost their institutional capacity, efficiency, and realization 
of a desirable output. 

Strategic human resource management provides an effective way of transforming the 

attitude and mind of an employee to transform his/her manner of working. This concept 
can be realized through the application of human resource plans. These strategies may 
be in the form of programs and actions. Experts need to conduct additional research on 
SHRM with a view of improving its utility in a dynamic work setting. 

References 
Bullen, P. (2013). ​Risk Management. Management Alternatives for Human Resources. 
Retrieved from http://www.mapl.com.au/risk/risk3.htm 

Collins, J. C., & Porras, J. I. (2011). Building your Company’s Vision. ​Harvard Business 
Review,​ 74(5), 65–77. 

Hughes et al. (2009). ​Leadership: Enhancing the lessons of experience. (6th 

edition).​Connecticut, CT: Cengage Learning. 

Philip, D., & Marshall, J. (2010). Pricing Long Bonds: Pitfalls and Opportunities​. Journal 
of Financial Analysts.​ 1(1), 32-39. 

 
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