Hrm of Lenovo

3282 words 14 pages
Human resource management (HRM) is a way of employment management which can create sustainable competitive advantage and add value by integrating employment policies, programs and practices (Bratton and Gold, 2003). According to Storey, HRM consists of two approaches in term of style: ¡®hard¡¯ and ¡®soft¡¯ approaches. Compare with personal management, HRM not only identifies the ¡®hard¡¯, which roots in the manpower planning approach, but also considers the ¡®soft¡¯, which focuses on human relation and high commitment that is seen as the key factor in achieving competitive performance (Storey, 2002). As a strategy approach to HRM, strategy human resource (SHRM) has been proved to influence company performance and company
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It focuses on the vertical integration between business strategy and HRM strategy, which identify the degree of fit. In order to look insight the internal context and horizontal integration within HR policies and practices, it is useful to analyse another approach to understand the relationship between a company¡¯s approach to HRM strategy and its business performance (Beardwell, 2004).

According to Bamberger and Meshoulam¡¯s theory, the integrative model builds an approach to identify two main dimensions of HRM strategy, which are ¡®acquisition and development¡¯ and ¡®locus of control¡¯. This model focuses on both the strategy¡¯s underlying logic of managerial control and the reward-effort exchange (Bratton and Gold, 2003). Acquisition and development means whether the organizations depend on more towards ¡°making¡¯ their workers by high investment in training within the own companies or more towards ¡®buying¡¯ their labour from the external labour market (Rousseau, 1995). Locus of control, which makes a distinction between commitment and control strategies, identifies the ways by which the HRM strategy monitors workers¡¯ compliance: process-based standard or developing a psychological contract which fosters social relationships, entails trust and respect, and control the outcomes themselves (Bratton and Gold, 2003).

As the third largest computer company in the world, Lenove is currently using the commitment HRM strategy, which emphasizes the internal