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2 - Strategic Human Resource Management—... > Models of Strategic Human Resource M...

Models of Strategic Human Resource Management

The different models available in strategic human resource management are the business-oriented model, strategic fit model, and strategic labour allocation process model, as illustrated in Figure 2.1. However, all these models link HR processes to business strategy and performance. We shall now see now a brief description of these models.

Business-Oriented Model

The business-oriented model, according to P. M. Wright and S. A. Snell,8 focuses on the factors contributing to the competitive advantage of the firm. The highlight of this model is value creation in SHRM. For instance, the SHRM under this model deals with the HR system that creates and sustains the competitive advantage. The HR activities in the system should produce necessary employee skills and competencies and workforce commitment leading to the desired employee performance. In fact, the SHRM under this model covers the decisions and actions that deal with the management of employees at every level of the business, ultimately resulting in competitive advantage for the firm.9


  

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