Contents

• Introduction 2
• Strategic Human Resource Management (SHRM) 2
• Critical Analysis of the SHRM Systems 3
• Strategic Recruitment and Selection 3
• Performance Management and Retention 6
• Influence of the two SHRM systems to Accomplishment of Strategic Goals 9
• Comparison of contribution of the two SHRM systems towards management of human capital 11
• Conclusion 12
• References 14

Description

Human resource is considered as one of the most valuable assets in the modern organization and a strategic approach to manage them enables organization to nurture, develop and retain the human resource who can add increased value to the organization. Human resource management has a bigger contribution in achieving organizational objectives in today’s complex business environment. The efficiency of the human resource has a direct and positive influence on the organization’s productivity and profitability. Strategic human resource management (SHRM) enables organizations to manage the human resource more effectively by focusing on every function with a strategic approach. Recruitment and Selection system and Performance management and retention system are two important systems of the SHRM system. This report critically analyzes these two systems and analyzes its influence on achieving strategic goals. The report also compares the contribution of the two systems in managing human capital.