Human Resource Management (HRM)

Aligning  Organizacional Structure With Business Goals

The key focus in Human Resource Management (HRM) is the identification of appropriate HR’s strategy, structure and systems within the context of value creation, that it require for the business / organization.

Both HRM and Organization Strategy (Organizational Design as well) must be aligned. Indeed, the main issue is to find out how HRM strategy adds value to the organization.

Lets see the following chat:

The HRM adds value to the business, doesn’t it?
Depends. If HRM has a strategy aligned to the business, then yes!
How is this? The HRM and their inherent area not always have been empowered enough within the Organization, in other cases, HR people don’t full understand or fullfil how to add value to the business strategy.

What methodologies HRM should have?

HRM is a field directed at interventions in the processes of human systems (formal and informal groups, organizations, communities, and societies) in order to increase their effectiveness and health using a variety of disciplines, principally applied behavioral sciences. HR requires practitioners to be conscious about the values guiding their practice and focuses on achieving its results through people.”

But that is not enough to get a HRM aligned with the business strategy

It is necesary the mastering of the following fields:
1. Stategic Planning
2. Customer satisfaction
3. Financial performance
4. Competitive advantage
5. Process Management


An example

Regional Airline Balanced Scorecard

Mission: Dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit. Vision: Continue building on our unique position — the only short haul, low-fare, highfrequency, point-to-point carrier in America. Read More

Performance Appraisal Interview


The communication to the subordinate about the results of the assessment  is a fundamental milestone in the performance management system. Performance appraisal is useless if the greater interested – the employee – not get to know it. It is necessary to let employee knows  what  information is relevant and meaningful about his or her performance, so that they may attain the fullness of objectives. This communication is set during the interview of feedback performance evaluation.


1. Give the subordinated the necessary conditions to improve their work through a clear and unambiguous communication about performance standard. The interview provides the subordinate the opportunity not only to learn and know what the boss expects him in terms of quality, quantity and working methods, but also to understand the goals of the organization. These are the rules of the game, which can only be played well when players understand them.
2. Give the subordinate a clear idea about how is he or she performing at work (feedback), highlighting their strengths and weaknesses and comparing them with expected performance standards. Often the employee believes subjectively that is doing well, and can develop a wrong idea about their expected performance. He or she needs to know what the boss thinks about his or her work to adjust and adapt their performance to expected standards.
3. Both – employee and supervisor – must clarify measures and plans, to develop and make better use of subordinate skills, the employee needs to understand how it could improve its performance and actively participate in the measures taken to enable such improvement.
4. Stimulate stronger personal relationships between the supervisor and subordinates, in which both are able to frankly talk about the work: how the relationship is developing and how can it be improved and increased.
5. Eliminate or reduce discrepancies, anxieties, tensions and uncertainties that arise when individuals do not have well oriented  work advice.


The supervisor must have the ability to present the facts and get that subordinate, to the end of the interview, has assumed the determination to overcome and adjust its performance to the level required by its position, and is aware of the positive and negative aspects of performance. Largely depends on the success of an interview of evaluation of the well that is be prepared, so that the supervisor should know beforehand what he will say to the subordinate and how to say it.


Performance Appraisal and Individual Potential Management

Have you ever experienced this?

You have promoted the best salesman in your team to Sales Supervisor position. But as a result he turned out to be a bad Supervisor and you have also lost  a good seller.

This happens more often than you think.
The reason is that companies often promote people based on their current
performance, without considering the potential for people to serve in positions
of greater complexity. And the current performance of the people in charge can be measured by applying different models of performance management, based on quantitative and/or qualitative variables. In turn, the potential applied as the current capacity of the people ( C.A.C. ) of the acronym Current Applied Capability , it can also be established by measuring the complexity of the information that people are able to process.
The latter is observable, for example, and skills can be measured by checking
behaviors associated with them ; the C.A.C. It can be established by observation of
mental processes that the person is able to perform.

Mental processes ordered  of increasing complexity :

  1. Concrete Verbal
  2. Symbolic Verbal Representation
  3. Abstract Conceptual
  4. Universals Ideas

Fuente: Jaques & Cason