The Basic Definition of an HR Strategy - Essay Example

Critically evaluate the PESTLE and SWOT tools, and discuss where it would be appropriate for a strategic HRBP to them. Support your answer with reference to other relevant theories/models, and provide examples of application in the HR field Introduction For an organization, it is always important to understand the most used tools and resources. This would mean that the HR strategy is in line with the organizational objectives and goals that are envisaged from the long term scheme of things. The PESTEL and SWOT tools also play a significant role at detailing how societal and technological elements are detailed within the strengths, weaknesses, opportunities and threats premises. The HR business partner remains important because a lot of initiatives need to be completed first up by the organization before moving ahead any further with its plans and activities. HR Strategy The basic definition of an HR strategy is “the determination of human resource standards which shall pave the way for building up a long term strategy for recruiting, hiring, firing people”. The HR strategy for any organization depends a great deal on what the organization has really thought about its most prized resources – the employees themselves. This means that the HR strategy is comprehensive in its own right and encompasses a number of significant elements that would embody the basis of its success in the long run (Saunders 2004). It will decide whether or not to hire/fire people and thus enact mechanisms under which policy changes would come about every now and then. Since it is always a good practice to take care of the people because they bring in success, enacting a HR strategy would always be a good exercise as it shall mean nothing else but accomplishment of company’s objectives and end goals. PESTEL Tool The PESTEL tool signifies the political, economic, social, technological, environmental and legal factors that exist within any market. The political factor discusses the reasons what the government and the administration have in common over the product. The economic tenet pinpoints how the product would see the light of the day under the different economic and fiscal tangents which are drawn upon in entirety. The social factor highlights how the product would be seen within the society and what kind of societal pressures it would have to face through in order to become a successful one. The technological element comes into the fore when there is importance given to the product with regards to the technological interventions happening on a global level and how this product and indeed the organization would have to adopt the new age technology in order to move forward. The environmental factor for a product would be aimed at analyzing the role of the environment and how it would shape up the success domains of the organization in the coming days (Piercy 2002). The legal factors discuss the legal ramifications of the product and how it would tackle the law-related issues from time to time. The advantages of PESTEL analysis is that it creates room for understanding a product in terms of the several forces that have been shaping up its domains. The political, economic, social, technological, environmental and legal elements discuss its existence which will be there within a market. The disadvantages are that its understanding levels are sometimes limited to these six elements alone and not beyond that. An example is of the products under Apple which could be seen from political, economic, social, technological, environmental and legal areas so that its success could be seen. SWOT Tool The SWOT analysis stands for the strengths, weaknesses, opportunities and threats that exist within a market where a product is being distributed and sold. The SWOT analysis basically divides the strengths and weaknesses into an internal organizational manner whereas the opportunities and threats are external to it. The strengths take charge of the product’s ability to adapt to new courses and find out ways through which it can exploit its own resources to move ahead. The weaknesses pinpoint the manner in which it could be let down due to its own shortcomings and thus be given a shock in a very personalized manner. The opportunities are the areas which could be worked upon and which shall bring about immense success for the product within the related market domains (Vambery 2008). The threats are the external forces which could hit the product in a downright manner and thus halt the basis of its growth and development within the relevant markets where it is most famous. The advantages of SWOT analysis are that one can find strengths, weaknesses, opportunities and threats as this forms the core basis of a product when it is being developed in a mature market or even in a developing one. The disadvantages of SWOT analysis are that sometimes the internal and external forces are just not enough to define the scope of the product. An example is of Apple where iPad can only be understood from different perspectives of strengths, weaknesses, opportunities and threats but not any other. Different Models for Human Resource Business Partner (HRBP) The HRBP can use downsizing when there is a need to cut down on staff to save costs. This is one scenario which amounts to a lot of resentment and therefore is often looked down with a bit of suspicion. The HRBP finds a way in which lay-offs could be substituted for totally something else; however downsizing does happen every now and then (Karake-Shalhoub 1999). Price leadership is another aspect that takes into count where market leaders informally set prices to which other producers respond in a consistent manner. Cost advantage takes notice of the fact that there would be a profit in terms of the costs that have been spent in devising a product in the first place. It would mention the cost issues and the benefits that are achieved in the wake of such costs. Within corporate strategy, Johnson, Scholes and Whittington suggest a model under which different strategic options are discerned against three distinctive success criteria, namely sustainability, feasibility and acceptability (Donaldson 2002). Sustainability deals with the premise whether or not it would work to good effect within the corporate strategy domains while feasibility emphasizes upon the aspects that ask for the possibility that would it be able to work if given under certain circumstances. Lastly, acceptability focuses on the people as to would they be able to work on it and thus bring out the much intended value in the long run. Conclusion In the end, it would be sound to state here that the HR strategy is the basis of all the HR related tasks within an organization and they must be adhered to under all situations and circumstances. Furthermore, the HR strategy should be complied to and followed no matter how difficult it gets for the sake of the organization. The PESTEL and SWOT tools are very important for a product before it enters into a market, and even after it has made its journey within the relevant market territories. What is important to know is that if this product has touched the important tangents and taken into confidence the varied factors which are presented within these tools. In essence, the HRBP takes its basis from the different business models which are rampant in the time and age of today, and it is always a good exercise to account for such models to be on track on a proactively consistent basis. All said and done, these topics are deemed as quintessential when one discusses them within the context of an organization. Bibliography Donaldson, Bill (2002). Strategic Market Relationships: From Strategy to Implementation. John Wiley & Sons Karake-Shalhoub, Zeinab A (1999). Organizational Downsizing, Discrimination and Corporate Social Responsibility. Quorum Books Piercy, Nigel F (2002). Market-Led Strategic Change: A Guide to Transforming the Process of Going to Market. Butterworth-Heinemann Saunders, Jane (2004). The Future of HR and the Need for Change: New Operating Models to Deliver Increased Value. Thorogood Vambery, Robert G (2008). Aligning Global Business Strategy Planning Models with Accelerating Change. Journal of Global Business and Technology, Vol. 4 Read More