ASSIGNMENT B

Strategic Administration of Human Resources, Knowledge and Change

Abstract

This report is prepared in order to examine the existing human resource issues in an organisation from an operational and strategic perspective. A discussion of strategic HRM, the role of performance management systems, ways of dealing with labour shortages, change-management models, learning methods available to organisations, and the knowledge contributed by employees in gaining a sustainable competitive advantage is included herein.

Abstractii

Introduction1

Discussion1

Effective Knowledge Management Contributes to Sustained Competitive Advantage1

Learning Methods Available to the Organisation & Recommended Method3

Improved Performance through Performance Management System (PMS)5

Improved Employee Performance6

Recommended PMS7

Models of Organisational Change7

Kurt Lewin's Model7

McKinsey's Model7

Kotter's 8-Step Model8

Impact of Internal and External Factors8

Potential Impact of Change on Structures, Processes, and Culture8

Strategic HRM Improves Business Performance9

Imaginative Ways of dealing with Labour Shortages10

Human Resource Planning (HRP)11

Conclusion13

References14

Strategic Administration of Human Resources, Knowledge and Change

Introduction

Human resource management is one of the core functions of any organisation, whether large or small. The human capital when inducted becomes a governing force behind organisational performance. Whereas the induction of employees is not limited to scenarios where change management has to take place, change management itself requires a strategic approach towards the contemporary HR function: in order to implement change successfully, it is required to devise a viable strategic approach to the traditional human resource approach.

As a human resource officer, I am required to ensure the success of the change management programme initiated by the new governmental reform. This report is therefore prepared in order to examine the existing human resource issues in our organisation from an operational and strategic perspective. Included herein is a discussion of strategic HRM, the role of performance management systems, ways of dealing with labour shortages, change-management models, learning methods available to organisations, and the knowledge contributed by employees in gaining a sustainable competitive advantage.

Discussion

Effective Knowledge Management Contributes to Sustained Competitive Advantage

The Resource Based View of organisation holds that the effective and efficient management and utilisation of a firm's resources would lead it to gain competitive advantage. Resources are divided into three basic categories: organisational, human, and physical resources (Barney, 1991, p.101). Specific intangible assets such as employees' and managers' intelligences, decision-making power, and experiences are categorized as the human resources assets of an organisation. The resource based view holds that human resources, along with physical and organisational resources are the basis of a firm's competitive advantage. “Sustained” competitive advantage refers to a concept where an organisation is able to sustain its competitiveness in an industry over a prolonged time period. Furthermore, the resource-based perspective also holds that human resources are a valuable, rare, and inimitable resource to an organisation as they are one of the driving forces behind sustainability of an organisation's competitive advantage.

The important role of knowledge management in the context of sustainable competitive advantage has been explored. Organisation of intangible assets in a corporation takes place through development, or knowledge management. It has been well recognized that production and economic prosperity of an organisation depends to a large extent on its human ...