Human Resources is definitely a competitive advantage, when the organization does state-of-the-art HR. The clear vision and straightforward goal setting is a key to the successful Human Resources. The HR Strategy is a basis for the visible and successful Human Resources, which is widely recognized in the organization and by the external market (including the best talents).
HR Strategy in modern organization
Modern management of Human Resources is focused on perfect HR Processes and HR Policies, which support the constant building of the competitive advantage. The HR Strategy helps to build the competitive advantage and Human Resources Function, which is different from the competitors on the market.
The HR Strategy aligns the HR Policies, HR Standards and HR Roles and Responsibilities with the overall business strategy and makes HR ready to process successfully the requests of the business units. It makes Human Resources to grow with its internal clients as the organization is fully balanced. As the internal clients of HR grow, Human Resources has to follow the internal clients closely as their satisfaction level is not decreased.
It sets the logical and approved way of building the effective HR Management in the organization, which results in a stronger company, and the organization better prepared for coming challenges. It prepares the organization for the coming future.
The HR Strategy is a main HR Document for several years and HR employees have to update all HR Policies to make them fully compliant, the employees have to change many processes, the roles and responsibilities of HR employees internally and externally and they have to introduce many new HR Tools. It means, the HR Strategy cannot be implemented within several months, the implementation of HR Strategy takes usually several years.
The HR Strategy prepares Human Resources to increase the productivity and to implement the growth strategies and policies in Human Resources.
There are no HR Strategy Best Practices on the market, it has to be unique as it is always a mix of the corporate culture development, developing and enhancing the HR Processes (selected ones building the strategic competitive advantage), feedback from managers and employees and the expected development in the society and the industry. The HR Strategy has to be unique for the organization as it works.
Many organizations hire the HR Consultants to design the HR Strategy, but this approach usually produces a nice HR Strategy presentation in PowerPoint. The presentation has many slides, many HR Strategy analyses and the prepared implementation plan, which is never implemented at the end.
HR Strategy Development
The HR Strategy Development is a difficult and time consuming process as the team responsible for the design of the HR Strategy has to be set up and it has to be perceived as the team result, not the result of the activity of the single or few employees in Human Resources.
The HR Strategy has to be clearly formulated and the team has to go through several milestones to have the certainty, its development is on the right track. The HR Strategy Development Team has to use several sources and many employees in Human Resources and many managers and employees from the organization have to be asked for the regular feedback.
The team developing the HR Strategy brings the clear HR Strategy formulation, which is presented to the top management and when it is approved, it has to be communicated to managers and employees across the whole organization.
HR Strategy Implementation
The HR Strategy Design is difficult to evolve, but the effective HR Management is about the successful implementation of the HR Strategy, which meets all the expected deadlines and the outcomes have the desired quality.
The implementation of the HR Strategy is demanding as the HR Team has to produce the standard outcomes and it has to reserve the capacities for the change management, communication and designing new HR Policies and new HR Department.
The implementation of the HR Strategy is about the consistent work of the HR Management Team as the employees do not lose the confidence over the time.