Strategic Human Resources Management

Strategy: The company’s long-term plan for how it will balance its internal strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage.

Strategy can be defined as a set of decisions and subsequent actions used to formulate and implement strategies that will optimize the fit between the organization and its environment in an effort to achieve organizational objectives.

Analysis of these two definitions reveal that strategic management is :

• Cross functional process to view the organization as a single system.

• Match the organization to its environment (i.e.) matching the strengths with the opportunities.

• Set of decisions and actions to achieve organizational objectives.