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Dave Ulrich: Four Central HR Roles

HR Roles in the Organization


Organizational People
Processes
Day-To-Day Role #1: Role #2:
Operational Management of Firm Management of EE
Focus Infrastructure Contributions

Future Role #3: Role #4:


Strategic Management of Management of
Focus Strategic HR Change

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HR Competencies

Skills and abilities all HR managers


need to possess to be successful.

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Financial Knowledge

Human resource professionals should be familiar with


their organization’s financial situation and understand
how human resource activities are impacted by and
can influence the organization’s financial success.

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HR Certification

HR certification provides an opportunity for those who


work in the area of human resource management to
demonstrate their professional competence.

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Organizational
Strategy

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Organizational Strategy

HR managers serve as strategic partners with


other corporate executives in executing strategy.

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Vision
Product or service the company ought to provide.

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Mission Statements

What elements are usually found in


mission statements?

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The Role of Strategy

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The Goal of Strategy: Imperfect Competition

Perfect Competition Imperfect Competition


• Numerous sellers/buyers • Few competitors
• Perfect information • Numerous suppliers/buyers
• Homogeneous products • Asymmetric information
• No barriers to entry or exit • Heterogeneous products
• Barriers to entry

Average or Below-
Supernormal Profits
average Profits
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Three Grand Strategies

What are the three grand strategies


identified by Michael Porter?

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Managers seek to formulate strategies that align internal
organizational characteristics & external environment.

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HR & The Value Chain

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Strategy Formulation

 Selecting the right competitive strategy is vital to


a firm’s success.

 How are strategies formulated?

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Strategic Management Process (SWOT Method)
Identify the Organization’s
Mission & Objectives

Analyze Environment: Analyze Resources:


Opportunities & Threats Strengths & Weaknesses

Formulate Strategy

Implement Strategy

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Evaluate and Monitor Results Copyright © 2015 by HRCP, L.C.
Strategic Alignment

Corporate - Identifies business


Strategy - Provides guidance

Business Unit - Identifies competitive advantage


Strategy - Provides a plan

R&D Operations Sales/Marketing HR


Strategy Strategy Strategy Strategy

- Functional units’ strategies should align with business strategy


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Organizational Capabilities

HR Organizational Business
Practices Capabilities Strategy

Organizational capabilities allow a firm


to implement its business strategy.

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Aligning the Organization

Good strategies depend on good


alignment and implementation

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Designing Effective Organizations

Vision/Mission

Strategy Feedback

Systems
Structure

Culture Processes

ORGANIZATION
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Resource-based Theory
of the Firm

Control of resources that are


rare, nontradable,
nonsubstitutable, valued by the
market, and difficult or
impossible to imitate.

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Distinctive Competence or Core Capability

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Five Forces Model of Competition
Potential
Entrants

Suppliers Rival Buyers


Firms

Substitute
Products
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Competitor Analysis

 future objectives

 current strategy

 assumptions

 capabilities

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