The Human Resources department (HR) nowadays is no longer concentrated on recruiting new employees only. In fact, this department is required to work with effective management in order to create a cohesive strategy that can optimize an organization’s performance.

If you are looking for strategic human resources management, this article will give you basic information on this topic.

What is Strategic Human Resources Management?

A human resources strategy is the company’s comprehensive plan of managing its personnel to achieve its best performance. The strategic HR management includes the details for all sides of HR: recruiting, performance appraisal, development, and compensation.

Strategic HR appears in various activities of a business, such as recruiting, providing orientation, imparting training, assessing employee’s performance, providing benefits, etc. A strategy of human resources management has some characteristics as listed below:

• It requires an analysis of the organization, psychology, communication, economics and sociology.
• It helps to achieve both individual and organizational aims and objectives.
• Plays a vital role in deploying and allocating organizational resources such as money, time, personnel.
• It is a continuous process that should be revised yearly.
  

In a nutshell, human resources management following a suitable strategy will definitely make a direct impact on a company’s growth. HR staff should research and develop a sufficient approach that meets the company's long-term goals. When carried out successfully, such an approach can make the company a great place to work and therefore maintain organizational consistency.

The best practices of Strategic Human Resource Management

While creating and implementing an HR strategy, there are a number of best practices to take into consideration that can be listed as follows:

• Providing workplace safety: Not only people working with workplace hazards should be taken care of, but the people working in every work environment should also be protected with appropriate precautions, for example, COVID-19 protocol or anti-harassment. The safety guidelines for each kind of work must be established and strictly followed.

• Compensating fairly and based on performance: HR department should keep updated with current salary trends. For instance, HR can compare their salaries and compensation packages against the market in the local area. Moreover, bonuses, which is a great way to motivate workers, must be fitted with the performance of each employee.

• Creating open communication: HR department plays a crucial role in ensuring that communication is widespread across the entire organization. In addition, open communication encourages innovation, collaboration and ideas and experiences to be shared.

• Aligning the needs of the company with that of employees: Employees who fit into a business will feel valued will dedicate themselves to the general goals.

• Managing employee performance: HR strategy also includes managing and tracking the performance of employees. The employees will understand what is expected from them, and the leaders will learn which areas to improve and which areas to maintain.

A strategy in human resources management is a plan for the long-term. That also means a strategy should be adapted to better fit the environment within and without the company.

How TYDE creates the fittest strategy for your business

As mentioned above, designing an HR strategy takes time and effort. However, there are too many guidelines on how to build an HR strategy on the internet. And some companies do not even have an in-house HR function to carry out human resources management. Then, how to solve this problem?

Stay cool! TYDE Consulting Services is here to provide full HR Services for empowering the core system in human capital, including developing a human resource management strategy.

TYDE is the very first consulting firm in Vietnam that is certified to train in Process Communication Model® - an innovative communication and personality model that enables an enterprise to understand and, then, communicate effectively in a working environment.

With PCM®, we will help you to:

• Leverage the pitch of your sale team using advanced communication tool to influence your customers.
• Strengthen teamwork across the different departments and amplify solidarity within the corporate.
• Maximize the influence of social initiatives to fulfil corporate social responsibility.

Strategic HR management might minimize your operational burden and facilitate your company's future growth. Let’s see how TYDE can help you here, and you have more time to work on the strategic aspect of your business.