If HR were really strategically proactive: Present and future directions in HR's contribution to competitive advantage

Abstract

Current business conditions mandate greater competitive advantage from HR agendas and processes. To add greater competitive advantage, HR must contribute strategic value against criteria from customer and capital markets. HR can add strategic value either reactively or proactively. In its strategically reactive mode, HR assumes the existence of a business strategy and adds value by linking HR practices to the business strategy and by managing change. In its strategically proactive mode, HR creates competitive advantage by creating cultures of creativity and innovation, by facilitating mergers and acquisitions, and by linking internal processes and structures with ongoing changes in the marketplace. This article defines and describes these specific practices through which HR can contribute to greater competitive advantage.

The effect of talent management processes on knowledge creation

“…This outcome supports prior studies conducted in Malaysian private colleges by Khor (2017) which showed a significant positive effect of TR on KC. Moreover, these outcomes corroborate prior research conducted outside the higher education sector by Brockbank (1999), Kong et al (2013) and Rahimi et al (2015) who found that TR can be enhanced via greater learning capabilities through encouraging creativity and an innovation culture, as well as creating new knowledge and promoting continuous learning.…”

The impact of e‐HR on professional competence in HRM: Implications for the development of HR professionals

“…Previous research has emphasized the fact that technology can be used to perform many of the routine, administrative HR functions, thereby allowing HR professionals to focus their time and energies on more strategic business issues (Brockbank, 1999;Ulrich, 1997). Our research provides support for this argument, as highlighted by the respondent comments presented earlier.…”

The HR function's influence on organizational performance beyond high-performance work practices paradigm: an HRM whole system perspective

“…In our study, we used a framework with ten factors. These factors match what Brockbank (1999) thought was the best way for HR to improve a company's competitive advantage, which is to move from being operationally reactive to being strategically proactive. Furthermore, this framework encompasses elements that go beyond the traditional HR practices analysis and are more in tune with the HRM system approach, such as the value motive, whole system thinking, business/people strategy, learning organization, improvement philosophy, people risk, human capital ethos, trust, engagement and cooperation.…”

“…Their original framework has 10 pillars (factors): the value motive, whole system, business/people strategy, learning organization, improvement philosophy, people risk, human capital ethos, performance and reward system, trust, engagement and cooperation and communication. These factors are similar to what Brockbank (1999) considered to be the way HR adds more value to a firm's competitive advantage, i.e. from operationally reactive to strategically proactive.…”