Reserch proposal - Essay Example ning to the emergence of Strategic Human Resource Management (SHRM) from the approach of conventional Human Resource Management (HRM) will be provided. According to Armstrong (2006,) human resource is linked with strategic goals to improve the over performance of business and to develop such an organizational culture that fosters flexibility, innovation, as well as competitive advantage. For a company, SHRM refers to viewing functions of HR and accepting those functions as a strategic partner of the company that involves in implementation and formation of business strategies through activities like Training, Recruitment and Selection, Performance Appraisal etc. Currently, HRM is considered as nothing more than an administrative duty. In modern era, the responsibilities of HR Manager are higher than ever before. Due to Globalization, it must be ensured that human resource department is handled effectively and smartly. Globalization has causes a diversified workforce where people come from varying background. Globalization also causes technological changes, changes in the context of business, concern of business from moving to profit-oriented to growth-oriented and many others (Devana, Fombrumm, & Tichy, 1981; Wrightt, 1998). In modern era, in order to make a business grow, companies need to achieve a competitive edge and not only look into the transactional activities and administrative aspect of the job, but also formulate those strategies that align with the goals of business. In case the company does not adopt these tactics, then it will lose its relevance sooner or later. According to Huselid and Becker, (1997) companies that align organizational goals with human resource management system, a considerable change in financial position is observed. SHRM is considered as more extensive approach than conventional HRM because it links the activities of an organization with its goals (Singh, 2003). The performance appraisal system involves a strong reward plan.
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