lopment which began in the late 1970’s and early 1980’s was the realisation that effective HRM could give an organisation competitive advantage. Within this stage HRM is viewed as important for both strategy formulation and implementation. For example 3M’s noted scientists enable the company to pursue a differentiation strategy based on innovative products. At the competitive stage, then, human resources are considered explicitly in conjunction with strategic management, particularly through the mechanism of human resource planning (2). Human Resource Strategies currently focus around quality, customer orientation, flexibility, commitment, involvement, leadership, team working and continuous learning (3). These themes of integration and a central philosophy of people management have been drawn out by a number of writers , for example Handy et al (1989) and Hendry and Pettigrew (1986). As early as 1983 Baird et al went one step beyond this and argued that there can be no organisational strategy without the inclusion of human resources. Firms such as 3M were at the forefront of a trend towards recognising human resources as a crucial element in the strategic success of organisations (4). At 3M, high level managers within the HRM function participate directly in strategy formulation. They also help co-ordinate the HR aspects of strategy implementation (5). The extent to which the human resource function is involved in both organisational and human resource strategy development is dependent on a range of factors. The Personnel Role in the OrganisationThe degree of involvement in strategy is dependent on the status and level of regard the Human Resource function is given in the organisation. One way this can be assessed is by viewing the role of the most senior personnel officer.Organisational CultureHow does the organisation view its employees – as a cost or an investment?Buller (1988) found that the degree of...
