Strategic human resource management is a part of human resource management. This is a concept which acts as a bridge between human resource management and the strategic goals and objectives. It links them together to attain better business performance which further enhances the organizational culture (Ahmad & Kazmi, 2001, p. 133-140). Organizations, that are practicing, strategic human resource management, they incorporate human resource function as strategic association in the formulation and execution of the company's strategies through human resource activities. Therefore, it aligns the human resource function to the core business objectives in order to have an integrated advancement towards strategic goals.
Best Fit and Best Practice
Best fit and best practice are approaches that are part of strategic human resource management. The best fit concept of strategic human resource management emphasizes on the point that human resource practices must be in contrast with the other aspects of the organization as well as the external environment. However, best-fit model may fail to succeed in some cases as it may overlook an employee's interest, but most of time organizations prefer to work with such approach. An example for using the best-fit model in an organization is that when the departments are not integrated and are not working or aiding in to attain the strategic objective.
On the contrary, best practice mode of the strategic human resource management is implementing the best possible human resource policies. It is done for performance improvement as best workable policies are identified and then implemented. An example for this would be of a company in a crisis situation, so that the firm can use best practice policy. It is costly as well as time-consuming. Therefore, businesses apply such approach on few scenarios where it is certainly needed as it gives out the ...