Strategic Human Resources: Any Business Can Benefit

The “HR World” is all abuzz about Strategic Human Resources. 

• What does this term mean, and how is it carried out in an organization?
• Why should a business be interested?

Generally, a strategic human-resources component helps business leaders draw their own picture for success.  It takes a “big picture” approach for understanding and positioning:

• What an organization wants to accomplish 
• How organizational goals are tied to mission and vision
• How employees relate to and help execute these goals
• How employees fine-tune a competitive advantage through processes
• How a business model is formulated to include performance requirements and initiatives

Regardless of size, any business can benefit by adopting a strategic human resources approach.  This big picture, or general approach, sets the stage for getting to the point where you can eventually do a “deep-dive” into more specific HR solutions. 

If you are an entrepreneur, you want your enterprise to succeed. A strategic HR approach helps your business grow and succeed because it: 

1. Takes advantage of people resources
2. Maximizes talents, skills and experience
3. Takes advantage of economic opportunities
4. Gives a competitive advantage for penetrating targeted markets
5. Leverages all resources
6. Develops skill sets
7. Increases opportunities for future successes

Here is a real-life example of how I recently helped an established business in the Northeast region develop a strategic human resources approach. 

First, we took a step back and reviewed their processes.  We wanted to see what tools and procedures they were using. We learned that they did not have the conventional or tactical components that give employees a sense of ownership. All evidence points to this realization as vitally important for increasing business successes.  

We focused on their organizational development and recommended that they reorganize their policies and protocols. We worked with them to identify their mission and their vision. We also helped them understand that they need to “sell” those foundational points to their employees. Next, they needed to develop a relevant culture and walk the talk: This helps build credibility and encourage follow-through.

We also helped them leverage their resources by encouraging and challenging their employees to “think outside the box.” We stressed our confidence in their employees’ abilities to come up with new and more effective ways of doing things.

We explained from the beginning that they weren’t ready for more specific actions until we worked through all the transactional or tactical processes. Now, we are working with the Vice President of Operations to successfully impact the company’s bottom line.

Of course, that is the real value to a business—the financial component—which is what every entrepreneur wants for their business. It doesn’t happen overnight, and it takes a steady commitment from the top on down.

Finally, when a business utilizes a strategic human resources approach to building and growing their business, they are also positioning themselves to better prepare for future uncertainties. A sound strategy helps a business react and rebound quickly from outside or external factors that are often beyond their control. My future blogs will focus on the business implications of developing “what if” scenarios.

If you are an entrepreneur, you want your enterprise to succeed. Learn how a strategic HR approach helps any size business grow and succeed.