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The matching model
In Devanna et al.'s model, HRM strategy and structure are linked to and influenced
by environmental forces. This model proposes that SHRM should be concerned with matching the 'five Ps', which reinforce employee role behaviour for each generic Porterian competitive strategy. The notion of ‘fit’ is also a central tenet of Beer et al.'s model. Limitations of the matching model: conceptual – predicated upon the rational view of strategic decision-making; empirical – limited empirical support for the
model.
HR strategies are the pattern of decisions regarding HR policies and practices
used by management to design work, select, train and develop, appraise,
motivate and control employees. Three models differentiate 'ideal types' of HR strategy:
a. the control-based model
b. the resource-based model
c. the integrated model.
The control-based model
This section discusses management structures and HR strategy as instruments to
control all aspects of the labour process in order to secure higher efficiency and profitability.
Individual, bureaucratic and technical controls are discussed:
a. Process-based control is adopted when the mean–ends relationship is certain.
b. Outcome-based control is adopted when the means–ends relationship is less certain.
The resource-based model
This emphasizes the strategic value of human assets and continuous workplace
learning. Whereas the matching SHRM model focuses on external ‘opportunities’ and
threats (from SWOT), the resource-based SHRM model focuses on the strategic significance of internal strengths'.
The integrative model
This characterizes two dimensions of HR strategy:
a. Acquisition and development focuses on internal human capital.
b. Locus of control focuses on monitoring employees' compliance.