Strategic HRM JUNE 2025

Description

Strategic HRM

Jun 2025 Examination

Q1. An organization is expanding its operations globally and needs to build a strong HR team to manage its diverse workforce. However, the company is struggling to find HR professionals with the right mix of strategic thinking, digital proficiency, and cultural intelligence. As the HR Head, how would you formulate and implement an HR strategy to attract, recruit, and develop top HR talent that aligns with the company’s evolving business needs? (10 Marks)

Ans 1.

Introduction

As businesses expand across borders, human resource management (HRM) becomes a strategic pillar for ensuring organizational success in a globalized environment. The challenge lies in building a robust HR team that is equipped not just with technical expertise but with strategic insight, digital dexterity, and high cultural intelligence. These competencies are essential for managing a globally diverse workforce and aligning HR operations with evolving business goals. In this context, the role of the HR Head becomes crucial in designing and executing an

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Q2. As an HR Manager, you discover during the appraisal process in the marketing department that two employees with the same job title and responsibilities are receiving different salaries. Upon further investigation, you realize that inconsistencies in the performance appraisal process may have contributed to this disparity. What key strategic factors should be considered while designing a fair and effective performance appraisal system to address such issues and ensure pay equity within the organization? (10 Marks)

Ans 2.

Introduction

In any organization, performance appraisals play a pivotal role in determining employee compensation, development, and retention strategies. However, when inconsistently implemented, these systems can inadvertently cause disparities in pay, employee dissatisfaction, and potential legal risks. The discovery of unequal salaries for employees with similar roles in the marketing department highlights a breakdown in the fairness and transparency of the appraisal system. To restore equity and organizational integrity, HR managers must reassess and redesign the performance appraisal framework. A strategically sound and consistently executed appraisal system will not only eliminate discrepancies but also reinforce a merit-based culture. This response outlines the essential strategic factors that should be considered while building a fair, objective, and equitable performance appraisal system aligned with pay policies.

Concept and Application

To ensure fairness and promote pay equity, a performance appraisal system must be transparent, objective, and strategically aligned with organizational goals. Below are the key strategic elements to be considered

Q3A. Mr. Michael, the HR Manager at a Pet Supply wholesaler, discovers that Mr. James, a top-performing salesperson who significantly contributed to the company’s revenue growth, has failed to complete the mandatory safety training despite a clear company policy stating that non-compliance would result in termination. When confronted, Mr. James dismisses the requirement, claiming he already knows all the safety rules and does not want to waste time on training.

1. a) Why is it essential for all employees, including high performers like Mr. James, to complete mandatory training? (5 Marks)

Ans 3a.

Introduction

Mandatory training programs are designed to create a safe, compliant, and standardized work environment across all levels of the organization. Even high-performing employees, like Mr. James, must adhere to these requirements to uphold organizational integrity and avoid operational risks. Disregarding company policies, regardless of performance, sets a dangerous precedent that can lead to liabilities, employee dissatisfaction, and breakdown of compliance systems. Hence, mandatory training should be treated as a non-negotiable element of professional

Q3 (B) How can the training benefit Mr. James, even if he is already experienced in his role? (5 Marks)

Ans 3b.

Introduction

Even seasoned professionals like Mr. James can benefit from structured training programs, especially when these are designed to ensure uniformity, legal compliance, and organizational cohesion. While experience provides a strong foundation, ongoing training serves to refresh, update, and reinforce critical practices. In a dynamic business environment, safety training not only protects the individual and the company but also promotes continuous learning. Recognizing training as a growth opportunity, rather than a chore, can greatly enhance performance