The corporate strategy guides organization’s positioning in terms of responsiveness, cost leadership and product differentiation. In broad terms, corporate strategy is concerned with the broad decision making like choosing the business network, capacity utilization etc. The corporate strategy dictates the detailed strategies for each functional area such as Human resource, Operations, Finance, and Marketing. The changes in corporate strategy has often lead to downsizing ,unbundling ,and increased subcontracting of the workforce .The human resources are aligned with overall strategy of the organization to gain competitive advantage(Johnson and scholes(2003) relation between corporate strategy and human resource strategy is being reactive ,so human resource strategy is dependant on corporate strategy. This project is aimed at analyzing the relationship between the corporate strategy and human resource management by analyzing a cost leader strategy used by a multinational firm. Basically, study is aimed at studying the effect of corporate strategy on the all aspects of human resource management. (Ritson.N (1999)) Aim
To investigate the effect of cost leadership strategy on the human resource management function in an organization. The project is aimed at studying the effect of organization’s overall strategy on the human resource strategy. Objectives
To investigate the relationship between corporate strategy and human resource management To analyze the effect of cost leadership strategy on the human resource planning. To find out the effect of cost leadership strategy on recruitment and selection. To evaluate out the effect of cost leadership strategy on human resource development practices like training, knowledge management. To explore out the effect of cost leadership strategy on job and role designing. Recommendation and conclusion.
Miller (1989, p. 49) defines all strategies are market related, the demand dictates the organization direction and...
Please join StudyMode to read the full document