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Is the Human Resource Management Department Becoming More Strategic? Exploring the latest global evidence

This chapter focuses on the historical development of the strategic orientation of HRM departments in different regions of the world, providing both a theoretical base as well as an overview of current practices and trends. By observing data on HRM departments across the globe over more than a decade, we paint a picture of the HRM department's strategic evolution in its attempt to deliver value to the organisation and create sustainable competitive advantage. Analysing the data to address the question ‘is the HRM department becoming more strategic?’, we reach the answer of a qualified ‘yes’. The trends over time and across contexts appear to suggest directional convergence in the HRM department achieving a strategic role. There are, however, differences in the pace at which this is being achieved, and even in what the ultimate goal might be, dependent on the context in which an organization is operating. Moreover, there is clear evidence of a connection between how advanced an economy is and the extent to which the HRM department can be more strategic. These findings have implications for HR practitioners and line managers alike in delivering bottom-line value to organizations.

HRM department, strategic role, historical development, cross-national comparisons, economic advancement

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