Strategic Human Resource Management


In 1990 a great work to change the HRM system was started, which then resulted in a shift of role of the HR practinaires in the contemporary Australian business. The change was initiated through establishment of the united public sector. Australian HR practitioners had to focus not only on operational issues, but to consider the strategic goals as well. The need for a change has resulted from a perception that HRM could be used as a competitive advantage; however, there was a need to establish uniformity between HRM practices, strategic and operational goals of the company (Schuler, 1992; Poole & Jenkins, 1996). Acknowledgment of this fact then led to a change in both theory and practices of HRM in Australia.

Main text

To be more specific, the very role, as well as characteristics of effective HRM reactionaries, has changed due to an increased focus on individual competence and entrepreneurial creativity; a more uniform cooperation between strategic management and HR was established; the focus of HR shifted to the needs and concerns of customers, as a source of overall corporate competitive advantage.

The role of HR practitioners in the business decision-making has also increased, as compared with their role in the mid-1990s. HR practitioners aimed their attention on how to increase the value by demonstration of the competence and skills. Individual competencies of the personnel directors can play an important part in influencing the strategic business decision-making process (Gennard and Kelly, 1997; Ulrich et al. 1995).Practitioners need to be at the center of any organization. And this is a growing need. They took part in the strategic management process. In order to have a partnership with top managers the HR practitioners have to hold their main duties such as strategic, consultancy, and service.

To answer this purpose the practitioners took an active part in marketing their services and products to system managers. In order to do it they need to reposition themselves.

  • Technical / functional competence
  • General managerial competence
  • Autonomy/independence
  • Security / stability
  • Entrepreneurial creativity
  • Service/dedication to a cause
  • Pure challenge
  • Lifestyle

In order to have a partnership with system managers the HR practitioners have to hold their main duties such as: strategic, consultancy, and service.

They have to market their services and products to system managers. They need to follow the needs of their customers. They have to focus on their internal and external needs in order to reach a competitive advantage. HR practitioners need to do it in order to be on the same range with system managers in the strategic management of HR.

HR practitioners need to become internal consultants to system managers. This role has changed the organizational system in Australia. It involves the restructures in organizational system, appearing of new office technology and competitive pressures.

HR practitioners have to be in course of new business strategies and guide and support it to system managers. And at the same time they need to involve their customers to take part in delivery and design of their services and products. HR practitioners play the main role in minimizing negative factors inside the organizations.

A variety of roles of HR practitioners say they must have a lot of different skills in order to show their contribution to structure organization.

From mid-1990 and till nowadays the profession of HR practitioner has had a lot of changes.

Today the increase of HR practitioners status up to a level of the top echelon of management, complication of techniques of selection, arrangement, development, motivation, promotion and use of labor potential do this marketing one of the major for a survival and success of the organization, maintenance of its competitiveness. To some extent HR practitioners are limited in the direct influence on financial, material and other aspects of productivity. These are the prerogatives of the other officials and divisions. However HR practitioners can and should much more influence a labor component of productivity. They should count needs for the staff, predict personnel processes in the organization, realize the strategy of the organization in concrete personnel actions. HRM plays a key role in management of the modern organization. Its employees should incur the definition of direction of development of the organization, the formulation of the purposes, development of methods of achievement of these purposes, and then to introduce them into the organization, effectively having overcome the resistance to changes. For this purpose HR need professional skills in the field of planning, development and the analysis of alternative strategy, decision-making, the effective communications, motivation of employees, the resolution of conflicts, distribution of the best experience, etc. Ability to training and development is necessary to practitioners. Not only computers and cars, but also knowledge in the field of HRM becomes outdated in the modern world.


Therefore ability to constantly updating of a professional knowledge and skills is the important quality of the expert on management of the personnel. To operate the process of constant updating of a professional knowledge of the personnel of all organization can only the people easily acquiring new knowledge by themselves. So, work with the personnel demands today is a high professionalism. For this reason organizational measures are taken in order to increase the professional level of HR practitioners.


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Schuler, R. S. (1992). Strategic human resources management: Linking the people with the strategic needs of the business. Organizational Dynamics, 21, 18-32.

Ulrich, D., Broadbank, W., Yeung, A.K. and Lake, D.G. (1995). Human resource competencies: an empirical assessment. Human Resource Management, 34(4), 473-495.

Alan Price (2007). Human Resource Management in a Business Context, 8-21.

Shawn A. Smith, Rebecca A. Mazin (2007). The HR Answer Book: An Indispensable Guide for Managers and Human Resources Professionals.

Alston, Philip (1996) ed. Human Rights Law. New York, N.Y: New York University Press.