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Theories and Definitions for SHRM
- Vak
- SHRM
- Instelling
- Tilburg University (UVT)
This document is with all of the theories and definitions needed for the exam of SHRM.
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11. Black-box is the gap between the mechanisms by which HR practices translate into competitive
success.
SHRM main goal is achieving the goals of the organization. It is critical to the firm survival and to its
relative success. Strategic perspective on HRM research: emphasizes bundles of HR practices, often
referred to as high-performance work systems (HPWS), high involvement work systems and high
commitment work systems, in examinations of the effects of HRM and organizational outcomes.
(Organizational success; Relative success; HR analytics)
RBV provides insights in how human capital can create competitive advantage and gain strength over
the competitors. If one organization wants to gain competitive advantage its resources should be
rare, valuable, unique and non-substitutable. RBV can be linked to two other strategies. Inside out
(start with why) and outside in (concentrate on the customers needs).
AMO theory refers to the question: What can an organization do to increase the performance of
employees? Employees should have the skills and abilities (A) needed, they should be motivated (M)
and the organization should provide them with an opportunity to realize those abilities and their
motivation (by bonuses, etc.).
SHRM process model consist of Intended practices, Achieved practices, Perceived practices,
Attitudinal outcomes, Behavioural outcomes and Performance outcomes.
Human capital advantage concerns the skills and abilities of an employee in an organization and how
they contribute to the success of this organization.
Human process advantage is related to the inside mechanism that organizations use to gain
competitive advantage. For example new technologies, high mechanism and processes that are
unique to the firm.
2. The contingency perspective suggests that the effectiveness of given HRM models is likely to vary
depending on the particular context or situation involved. Central to the contingency approach has
been the identification of a number of individual, organisational and broader contextual factors that
may potentially moderate the HRM performance relationship. Organization’s internal and external
environments should shape the design of its HRM system; designing effective HRM systems required
more than discovering the “one best way”. Contingency approach to management is based on the
theory that management effectiveness is contingent, or dependent, upon the interplay between the
application of management behaviours and specific situations. In other words, the way you manage
should change depending on the circumstances. One size does not fit all.
HPWS – complete recruitment and selection, incentive-based compensation, performance
management, employee involvement and detailed training initiatives.
Internal fit - whether it is simply sufficient to adopt an integrated set of practices or whether certain
combinations are better than others.
Strategic fit is the alignment of an organization business plan (strategy) with HR practices. Several
types of strategies are known: cost strategy, quality strategy and flexibility strategy.
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