ntage to one organisation over another. Firms that previously relied on secrecy or knowledge domination lose their power (For example see McLagan 1999, p. 25. Buhler, 1999, p.16. & Walker, 1988, p.125). Therefore competitive advantage no longer relies on information or knowledge, as it may have done in the past. Instead competitive advantage arises from the individual employees of the corporation. To emphasise this Buhler (1999, p.16) gives an example where a previous CEO of Sharp who confirmed that all corporations had access to the same range of information and the same technology. The true difference between the success of these companies was found in the people. Hence the human resource department has become essential to a companies success. This competitive advantage arises from the individual employees of the organisation because this is the one area that is the most difficult to copy (Collins, 1987, p.8). Another example is in the service sector where employees’ behaviour and contributions are the end product which can provide a competitive edge through strategic human resource management. Collins (1987, p.9) summarises organisational success as dependant on the degree in which the people of the organisation can be aligned with the organisations capabilities in the environment in which it operates. To bring about strategic human resource management often requires transformation of the existing human resource management department. Perry (1993, p. 61) proposes one structure for bringing about this change. This includes the design of human resource policies to match organisational strategies and its mission, the empowerment of managers to be responsible for human resources and the articulation of accountability and to ensure that appropriate support activities are in place. However Hope-Hailey et al (1997, p.7) express a cautionary note stating that while the rhetoric includes human resources holding a strategic rol...
