Human Resource Strategy (HR Strategy) is a designation for a long-term plan created to achieve objectives in the field of human resource and human capital management and development in the organization. Human Resource strategy is one of the outputs of strategic management in the field of human resources management.
HR strategy in practice: Human Resource Strategy helps to unify and direct the behavior and actions of all people and their overall development in accordance with the needs of the organization. It allows a meaningful planning and management of all work with human resources.
- Defines processes, responsibilities and requirements on recruitment and staff selection
- Defines requirements on staff training and qualification development
- Defines the way of management of work performance, motivating and rewarding people, social programs and employee benefits
- Defines working conditions, labor relations and influences the way of organizing
Human resources strategy usually follows a global strategy and includes specific goals in human resources and a schedule for implementation - through projects or other actions and tasks. Sometimes personnel audit can be part of developing a personnel strategy. When creating HR strategy, it is also used a number of analytical techniques and methods such as SWOT Analysis, VRIO Analysis, PESTLE Analysis and more.