In your own words, describe the cultural meaning of HRM. Give an example of the strategic use of HRM practices.
HRM (Human resource management) is the lay man terms means dealing with people who form the most crucial asset to any organization. HRM manages people with the direct aim of increasing the efficiency, effectiveness and the revenue of the organization. HRM has an upper advantage of dealing with the internal as well as the external environment of the organization, in which it does analyses and tries to maintain a mix of both to get the best outcomes. The entire work flow of HRM is based on the strategy of the organization. Activities such as Selection & Recruitment, Training, Rewarding, motivating the employees are all based on the long-term strategies pre-decided by the organization.The strategy helps in removing various obstacles in the way and can help to achieve the goal very smoothly with high productivity. These strategies are made by the top level management with great amount of knowledge and experience and in accordance with the suggestions of the HR Professionals. Having these strategies clearly defines helps in efficiently managing a huge pool of employees which acts as the greatest boon to the oganization.
An example of the strategic use of HRM Practice is: The company Decathlon which a very big company of sports equipment’s, it has those sales personnel who are themselves already into sports which results in reduction of training cost needed to give the employees about sports. This is one of the most effective cost reduction strategy.