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Unit 3 of 4 · MBA Sem 4

Unit 3: Strategy implementation

Strategic Human Resource Management notes · PTU syllabus (MBA 934-18)

3 min read6 topics10 exam questions
On this page
  1. Unit summary
  2. Behavioural issues in strategy implementation
  3. Matching culture with strategy
  4. The leadership factor in strategic change
  5. HR strategy evaluation and control
  6. Employee engagement
  7. Talent management and retention strategies
  8. Key terms
  9. Quick revision
  10. Important questions

Unit summary

HR strategy succeeds only when people embrace it. This unit covers behavioural issues in strategy implementation, matching culture with strategy, the leadership factor in strategic change, HR strategy evaluation and control, employee engagement, and talent management and retention strategies.

After this unit you can

  • Explain behavioural issues in implementing strategy
  • Match culture with strategy and explain leadership in strategic change
  • Evaluate and control HR strategy
  • Plan employee engagement, talent management and retention

PTU syllabus topics

  • Behavioural issues in implementation
  • matching culture with strategy
  • leadership factor in strategic change
  • HR strategy evaluation and control
  • employee engagement
  • talent management and retention strategies
ProcessTalent management cycle
  1. 1Attract
  2. 2Select
  3. 3Engage and develop
  4. 4Retain
  5. 5Plan succession
1

Topic 1

Behavioural issues in strategy implementation

  • Issues: resistance to change, power and politics, conflict between departments, fear of job loss, lack of commitment, poor communication, misaligned incentives.
  • Remedies: participation, communication of the "why", training, aligned rewards, quick wins, leadership role-modelling.
2

Topic 2

Matching culture with strategy

ComparisonCulture–strategy fit
Core values
Fits strategy

Clan (collaborate)

Teamwork, loyalty, development

Quality and service-focused strategies

Adhocracy (create)

Innovation, risk-taking

Innovation and growth strategies

Market (compete)

Results, competition, targets

Aggressive market-share strategies

Hierarchy (control)

Efficiency, rules, stability

Cost leadership and compliance-heavy businesses

  • Based on Cameron and Quinn's competing values framework. When culture and strategy conflict, either change the culture (slow) or adjust strategy, or manage around the culture.
3

Topic 3

The leadership factor in strategic change

  • Leaders create urgency, articulate vision, build coalitions, model behaviours and sustain momentum (Kotter).
  • Transformational leadership inspires commitment; HR's role: leadership development, succession, change management support.
4

Topic 4

HR strategy evaluation and control

ClassificationHR evaluation approaches
HR evaluation

  • HR audit

    Review of HR policies, practices, compliance

  • HR scorecard (Becker, Huselid, Ulrich)

    HR deliverables linked to strategy

  • HR metrics

    Cost per hire, time to fill, turnover, absenteeism, training ROI, revenue per employee

  • Benchmarking

    Comparison with best performers

  • HR analytics

    Predicting attrition, performance drivers

Key formulasHR metrics

  • Turnover rate

    Separations ÷ average headcount × 100

  • Revenue per employee

    Revenue ÷ headcount

  • Training ROI

    (Benefits − costs) ÷ costs × 100

5

Topic 5

Employee engagement

  • Engagement: emotional and intellectual commitment to the organisation and its goals (Kahn; Gallup).
  • Drivers: meaningful work, supportive manager, recognition, growth opportunities, fairness, voice, well-being.
  • Measurement: engagement surveys (Gallup Q12), pulse surveys, eNPS.
  • Outcomes: productivity, customer satisfaction, lower turnover and absenteeism.
6

Topic 6

Talent management and retention strategies

ProcessTalent management cycle
  1. 1

    Attract

  2. 2

    Select

  3. 3

    Develop

  4. 4

    Deploy

  5. 5

    Engage

  6. 6

    Retain

  7. 7

    Succession planning

  • Talent identification: nine-box grid (performance vs potential), high-potential programmes.
  • Retention strategies: competitive pay and ESOPs, career paths and internal mobility, learning opportunities, flexible and hybrid work, recognition, good managers, stay interviews, exit interview analysis.

Key terms

Competing values framework
Model of clan, adhocracy, market and hierarchy cultures
HR scorecard
Strategic measurement of HR's contribution
Employee engagement
Commitment and energy employees bring to work
Nine-box grid
Talent matrix of performance and potential
Stay interview
Conversation to understand why employees stay

Quick revision

  • Behavioural issues and remedies in implementation.
  • Culture types and strategy fit.
  • Leadership in strategic change.
  • HR audit, scorecard, metrics, benchmarking, analytics.
  • Engagement drivers and measures; talent cycle; nine-box; retention strategies.

Important exam questions

Practice questions written to the PTU exam pattern for this unit's syllabus: short answers (Section A style) and long answers (Sections B and C style).

Short-answer questions

  1. Q1.State three behavioural issues in strategy implementation.
  2. Q2.Name the four culture types in the competing values framework.
  3. Q3.What is an HR scorecard?
  4. Q4.How is turnover rate calculated?
  5. Q5.State four drivers of engagement.
  6. Q6.What is the nine-box grid?

Long-answer questions

  1. Q1.Discuss behavioural issues in strategy implementation.
  2. Q2.Explain how culture is matched with strategy.
  3. Q3.Explain methods of HR strategy evaluation and control.
  4. Q4.Discuss employee engagement and talent management and retention strategies.

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