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Strategic HRM & Planning, Why its so Important

Strategic human resource management is the practice of attracting, developing, rewarding, and retaining employees for the benefit of both the employees as individuals and the organization as a whole. The importance of strategic human resource management in an organization cannot be overemphasized due to the fact that human beings are the driving force behind any organization. As opined by Ulrick and Lake, the strategic HR framework aims to leverage and / or align HR practices to build critical capabilities that enable an organisation to achieve its goals. Strategic management offers both financial and non-financial benefits to an organisation which practices it.

14 Reasons Why a Company Needs Strategic HRM

1. Allows identification, prioritisation and exploitation of opportunities.

2. Provides an objective view of management problems.

3. Represents a framework for improved co-ordination and control of activities.

4. Minimises the effects of adverse conditions and changes.

5. Allows major decisions to better support established objectives.

6. Allows more effective allocation of time and resources to identified opportunities.

7. Allows fewer resources and lesser time to be devoted to correcting erroneous or adhoc decisions.

8. Creates a framework for internal communication among personnel.

9. Helps to integrate the behaviours of individuals into a total effort.

10. Provides a basis for the clarification of individual responsibilities.

11. Gives encouragement to forward thinking.

12. Provides a co-operative, integrated and enthusiastic approach to tackling problems and opportunities.

13. Encourages a favourable attitude towards change.

14. Gives a degree of discipline and formality to the management of a business.

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