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Strategic HRM is a set of distinct but interrelated philosophies, policies, and practices with the goal of enabling the organization to achieve its strategy. HR strategy is embedded in theories of the resource-based view of the firm, the behavioral perspective, and the human capital approach. By involving HR in the discussion of strategic policies, an organization has a better chance of being effective in its implementation. There are various approaches to linking HRM strategies to organizational strategies. We can begin with the corporate strategy that leads to the HR strategy or starts with the HR competencies that lead to business strategy or use a blend of the interrelationship of the HR strategy and the corporate strategy. Aligning HR strategy with the corporate strategy and that of other functional areas is important.
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