WU Strategic Planning in Healthcare Administration Paper

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Organizational Development, Workforce Planning, and Succession Planning

Organizational development is focused on improving the efficiency and effectiveness of a workplace. As part of this process, strategic planning professionals often work with leadership teams to develop strategies for short-term and long-term organizational development, including workforce planning and succession planning. This helps ensure that health care organizations recruit, train, and retain employees that are capable of meeting strategic objectives. For this Discussion, examine the following scenarios and suggest strategies for organizational development, workforce planning, and succession planning.

Scenario 2: Whitesville Medical Center has been providing quality patient care in Louisiana for over 100 years. However, during the last five years, the organization has experienced significant turnover in middle management positions in the Housekeeping Department. In fact, the average tenure of a middle manager is only six months, and there is a current vacancy in the day and evening shifts. Because of the unstable management team, no one has been able to hold supervisors accountable for facilitating appropriate orientation of new staff, ongoing training of the seasoned employees, and routine audits of the employees’ performance. Unfortunately, the breakdown in management oversight has led to a lack of employee training in cleaning and sanitizing patient rooms, surgical suites, and public areas including the restrooms and waiting areas. The lack of cleanliness and sanitation has led to an outbreak of nosocomial infections impacting several patients and causing them to remain in the hospital for a longer period of time. The Centers for Medicare & Medicaid Services and the Joint Commission have received anonymous tips about this outbreak and have sent survey teams to conduct unannounced visits at the facility, which could lead to fines until the issue is fully resolved by the medical center.

To prepare:

  • Review the scenario.
  • Consider strategies for short-term and long-term organizational planning, workforce planning, and/or succession planning.

Briefly describe the scenario assigned to you by the Instructor. Recommend strategies for short-term and long-term organizational development, workforce planning, and/or succession planning. Defend your recommendations. Support your response by identifying and explaining key points and/or examples presented in the Learning Resources.

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Asian Social Science; Vol. 11, No. 8; 2015 ISSN 1911-2017 E-ISSN 1911-2025 Published by Canadian Center of Science and Education Competence-oriented Approach to the Organization’s Human Resources Management in the Turbulent Environment Lyudmila T. Snitko1, Irina A. Gasho1 & Oksana A. Klinduhova1 1 Belgorod University of Cooperation, Economics and Law, Russian Federation Correspondence: Lyudmila T. Snitko, Sadovaya st., 116 A, Belgorod, 308023, Russian Federation. E-mail: slt2009@yandex.ru Received: November 20, 2014 doi:10.5539/ass.v11n8p65 Accepted: December 2, 2014 Online Published: March 20, 2015 URL: http://dx.doi.org/10.5539/ass.v11n8p65 Abstract The article reveals the essence of the resource concept as a basis for the organization’s strategic resources management; the ratio of its major categories-resources, abilities and competencies-is determined; a classification of organization competencies is suggested; the leading role of human resources in both realization of combined resources potential and formation of organization competencies for achieving sustainable competitive position on the market is justified; the mechanism for control over individual employees’ competencies is recommended. Keywords: resource concept, competence approach, resources, capabilities, competencies, human resources, intellectual resources, management 1. Introduction Actuality of the stated research is determined by the fact that nowadays, when resources are becoming more expensive and limited, it is important to identify strategic directions of the organization’s activity and concentrate sufficient resources on the key business aspects. The main attention should be paid to the resources that promote competitive advantages of the organization, i.e. its key resources. Among the dominant resources that form core competencies of the organization, there are human resources, which serve as a basis for intellectual resources development. In the turbulent environment the concept of dynamic capabilities is rapidly developing. Due to this concept a priority is set on the organization ability to integrate, work out and renovate its competencies so that to correspond with the turbulent external environment. In turn, dynamic abilities of the organization are primarily determined by its intellectual asset. A modern practice of resource management, including management of intellectual asset, faces very difficult problems which can be solved by means of a systematic approach implementation. We consider that decision of the issue is possible within the resource concept, which has become dominant in the strategic management theory. However, it should be noted that the resource management concept is just emerging, so the development of its main provisions as well as transition to the operational level of its application is becoming an urgent task. In recent decades, the resource concept has become a dominant paradigm in the strategic management theory. By the beginning of the XXI century resource theory, which initially emerged as one of the organization theory trends, has turned into a powerful intellectual flow that covers methodology of economic analysis and economic systems management at different levels of hierarchy and functions. The development of the resource concept provisions is traced in the works of foreign scholars-E. Penrose, B. Wernerfelt, R. Rumelt, D. Teece, J. Barney, M. Peteraf, K. Conner and C. Prahalad, etc. As for home science we can say that in the works of Russian authors these questions are reflected to a lesser extent. The greatest contribution to the theory of the issue was made by: L. Grebnev, G. B. Kleiner, V. S. Katkalo, V. L. Tambovtsev. Resource theory (in the English-language economic literature the most widely used term is (resource-based-view (RBV)); in the V. S. Katkalo’s monograph we come across the term (resource concept)) is based on the 65 www.ccsenet.org/ass Asian Social Science Vol. 11, No. 8; 2015 assumption that the external strategic position of an economic entity in the market place depends on its inner state, which is primarily characterized by resources which are at its possession or under its control. 2. Main Body Popularity of the resource approach, which emphasizes internal organization’s resources as a source of competitive advantages, is not objectionable. After J. Barney’s publication, where the basic theoretical model and criteria of sustainable competitive advantage sources are outlined, resource-based approach turned into a theory that is most frequently used in the field of strategic management research. The core of the resource concept constitutes features which distinguish one organization from another, due to the fact that each of them possesses a unique set of resources. In this case, the very notion of (resources) within the resource concept is treated differently by various researchers and it takes a variety of forms, ranging from raw materials, which organization can acquire by means of traditional transactions, to the brand, which is being formed during many years. Moreover, the resource concept, along with the concept of (resources), operates similar to concepts of (capacity) and (competence), which should be differentiated. In the context of the investigated problem a resource classification becomes very important though it is interpreted by different authors in different ways. The P.M. Grant’s approach to the resources classification, which singles out financial, physical, human, technological, organizational (quality control system, corporate culture, etc.) and reputation resources, is considered as a classical one. B. Wit and R. Meyer worked out another popular typology on resources division into tangible and intangible ones. Among tangible resources the authors reckon raw materials, land, buildings, cash; and among intangible there are organizational skills, knowledge, reputation, relations with external parties, organizational culture. It should be noted, that entity's resources shouldn’t be seen as a competitive advantage on their own account, they become a merit when the organization uses them while implementing its business processes. Concerning resources and abilities interpretation scientists offered a lot of options of paired terms: (system) and (digital) resources, (elementary) resources and resources of a (higher level), (peculiarities) and (configurations). Types of competences Classification features Implied (unconscious) Degree of awareness Precisely formulated Worked-out Life-cycle stage Still in power but, imitated by competitors Sustainable (difficult-to-imitate) Connected with access to a market Connected with credibility on behalf of customers Manifestation sphere Based on inner resources and skills Resource Level of formation Based on complementary effect Based on synergy effect (innovative) Figure 1. Types of the organization’s competences 66 www.ccsenet.org/ass Asian Social Science Vol. 11, No. 8; 2015 In literature we come across two approaches used for organization’s resources and abilities investigation. One of them is based on a broad interpretation of the resource concept and inclusion of proper abilities into the resources structure. The other one highlights differences between them. In the context of a systemic approach a distinctive interpretation seems more adequate. There is no a common view on the terms (resources) and (abilities); notions (capacity) and (competence) are also debatable. Concepts (capacity) and (competence) were traditionally used interchangeably. C. K. Prahalad and G. Hamel introduced the term (core competencies) to describe abilities that determine results and strategy of the organization. Some scientists recommended to separate two types of resource concept competencies. By a competence they understand general skills, abilities and organizational contacts, which in one case are necessary for sustainable operation in a particular market segment, and in the other are oriented to achieving a strategic advantage on one or several markets. A different understanding of competencies and abilities was built on stating differences between skills, knowledge and technological know-how of the organization; this helps to create special benefits both in some parts of the value chain of goods, and within the chain seen as an integral unit. The third view point on the relationship between the concepts (capacity) and (competence) was formed in the context of the dynamic nature of modern markets. It is based on the D. Teece’s concept of dynamic capabilities that was developed at the end of XX century which divided routines into static and dynamic. Dynamic capabilities can be seen as the firm's ability to integrate, build and reconfigure internal and external competencies so as to fit into the rapidly changing environment. Dynamic capabilities are a priority source of competitive advantage of the organization. Generalization of theoretical developments on this issue allowed us to build an organization competence classification and identify essential features of core competences as well as their types (Figure 1). We consider it is necessary to pay special attention to the fact that along with the generally accepted characteristics (degree of competence awareness, life-cycle stage, sphere of manifestation), indication of competencies level formation is of great importance. It is based on the notion of synergy effect that occurs as a result of a simultaneous use of resources in several areas of activity without any damage to any of them. Manifestation of this effect is only possible by means of intelligent (non-material) resources, the basis of which constitute human resources, so theoretical and practical interest to the latter is being reinforced. Critical analysis of the existing theoretical views on the nature of intellectual resources, intangible resources, intangible assets, intellectual capital allowed us to conclude that the concept of intellectual capital (intellectual resources) is closer to the concept of intangible resources of the organization, and goes far beyond the limits of its intangible assets. To prove this statement, we emphasize that intellectual resources (non-material resources, intellectual capital) are considered as a set of both formal and informal knowledge, which brings together anything that has value for the organization and is connected with its staff, arises from the production processes and organizational culture. At the same time, intangible assets, in our opinion, are only a part of intangible resources, which is the property of the organization, and does not include non-formalized knowledge, which is the employees’ property. We believe that competences of the organization can be formed as a combination of intelligent (non-material) resources, and as they have synergy properties they can be considered as a special kind of resource, which provides their more effective utilization. They are formed as a combination of both human (competence) capital elements and organization’s capital, and serve as a source for client (market) capital creation (Figure 2). The proposed framework allows selecting both basic (human capital the main part of which constitutes labor force) and targeting (client capital) components of the business system. To define competences as a special kind of the organization’s intellectual resource where human resources serve as its basis, you should create special tools to manage and estimate these resources, identify needs and make well-grounded management decisions on development. Currently, there are numerous studies in the field of classical resources management (material, financial, etc.), while intellectual resources have become the subject of intensive study not earlier than in the previous couple of decades. However, most of these studies were carried out by psychologists, sociologists and other professionals who are not directly related to the solution of purely economic problems. In this regard, they refer only to the study of factors which can influence the economic indices. 67 www.ccsenet.org/ass Asian Social Science Vol. 11, No. 8; 2015 Intellectual (intangible) resources Core competences Human capital (competence) - Intellectual property - Human resources Client capital (market) - Special knowledge - Employees’ abilities skills Organizational capital and - Relations with clients and business partners - Business ideas - Information resources and technologies - Organization structure - Management system i -goods and services distribution network - Business reputation Figure 2. Formation of the core competencies of the organization Common indicators of the organizations’ intellectual resources may include: a proportion of specialists with higher and secondary education, a share of personnel engaged in research and development, a number of inventions, patents, employees’ innovation proposals, etc. It should be noted that only a few of the stated indicators can be realistically calculated in consumer cooperative organizations. Intellectual resources of the organization can be assessed by means of quantitative (valuable) and qualitative indicators. Cost estimation of intellectual resources is difficult due to many reasons: lack of effective market structures that can determine the real market price; existence of unique products for which there are no prototypes and methods of valuation; accounting policies mechanism defectiveness. While analyzing the level of intellectual resources one must take into account the volume of resources, their value, intensity of resource usage, the extent of resource attaching to the organization. The indices used for intellectual resources measurement can also be divided into integrated and quantitative indicators for characterizing individual components of intellectual resources. A sociological interview is an effective method for obtaining high-quality assessments. Tobin's q is used for integral cost estimation of the organization’s intellectual resources. It is defined as the ratio between the organization market value and the replacement cost of its real assets (buildings, equipment, and inventories). If Tobin's q is less than one, it indicates that the organization has negative intellectual resources. Consequently, the level of management, organizational structure, links to consumers do not increase but reduce corporate capital. When Tobin's q values are less than one, it indicates that the organization is undervalued. In each case, the reason is specific, but this fact shows that a business faces serious problems. Defining and monitoring competences, which are based on human resources, as a special kind of intellectual resources of the organization them requires a quantitative measurement of human capital (personal competence), which can be estimated by means of the following indicators: - The structure of the human resources of the organization; - The employees’ age and labour experience; - The extent of staff’s satisfaction; - The volume of sales and the economic value added per each employee; - The employees’ education level; - The employees’ experience (how many years they have been engaged in the profession); 68 www.ccsenet.org/ass Asian Social Science Vol. 11, No. 8; 2015 - Training costs per one employee; - The amount of the costs spent by the organization for the employees’ development of vocational competence; - The number of working days spent for the employees’ development of vocational competence within a year; - The proportion of advanced in skill workers in total number of the employees; - Turnover. Taking into account the fact that (human factor) either in this or that form is reflected in all the elements of the intellectual capital, human resources usage indicators are beyond just the human capital and should include, among others, characteristics of organizational capital individual elements (organizational structure, system of organization management and employees promotion). On the assumption of this, we agree with R. Bulyga and P. Kohno’s opinion and recommend evaluating human resources usage with the help of the following groups of management indices: indices of total labor force organization; indices of the employee’s knowledge, abilities and skills, indices of the organizational structure and management system. Development of the strategic management theoretical foundations adjusted for the increasing role of intellectual resources in the process of creating sustainable organizations’ competitive advantages led to the modern trends emergence in the field of strategic management. We can refer to Robert S. Kaplan and David P. Norton’s Balanced Scorecard system methodology and G. Hamel and K. Prahalad’s concept of core competencies in the framework of (resource based view) concept (resource concept). In our opinion, a promising direction for ensuring competitiveness of the organization’s resource management system can become implementation of competitive management innovative tools, based on intellectual resources management. Taking into account the fact that the employees’ individual (personal) competencies constitute a basis for the organization’s competencies development and can promote competitiveness increase, in our opinion, it is appropriate to develop a mechanism for controlling employees’ individual competencies (Figure 3). Employees competences Staff development program Motivational system improvement Organizational culture development Organizational development Professional development Exit 4. Choice of a teaching method (competence development) 3. Revelation of demand in competence development 2. Building of employee’s competence profile 1. Development of competence directory Figure 3. Mechanism for controlling employees’ competencies in the organization 69 Labour capacity growth Entrance Reduction of employees’ turnover Investments into social team development Target components Factor components System of individual competencies assessment is a significant aspect of the proposed mechanism efficient functioning. www.ccsenet.org/ass Asian Social Science Vol. 11, No. 8; 2015 Stuff turnover and productivity can be regarded as target components of the proposed employees’ competencies management mechanism that functions as the basis for the organization’s intellectual resources development. In this case, the input components are: investment in social team development (social investments), staff development programs (investment in the employees’ professional development, labor motivation). Implementation of the needs’ identifying phase within the competencies development process, which is a central unit in the structure of the staff professional development block, should be done on the selection basis of the staff’s individual competence groups (professional, methodological, social, personal) to be included in the employees’ competence directory (glossary); systematization of personnel evaluation methods; choice of the assessment method for defining staff’s competence actual level and the results of this assessment for the organization. This information is basic for determining the organization’s needs for future development of the employees’ competencies. To develop the employees’ competences to the proper extent it is important to compare the required level of competences (as it is stated in the competence reference worked out for the specific position) and the employee’s actual level, which should be estimated (whether he or she is taking the position or aspiring to it). This assessment of the actual level can be carried out in the process of the employees’ certification or by expertise. The combination of the employee’s competence actual levels, in fact, is a competence profile of the worker. Significance of the employee’s competence for the organization is assessed by expertise. The impact of the analyzed competence on achieving the defined goals, which were set for the employees, should be taken into account. The importance of competence is a kind of competency profile of the positions. Thus, bearing in mind the dominant role of individual competencies in the process of the organization’s intellectual resources development, the role of competence-based approach in resource management functioning as a prerequisite for creating competitive advantages in the market, is to combine individual (personal) employees’ competencies and core competencies of the organization, which are considered as a special resource. 3. Conclusion Currently the resource concept has become dominant both in the resources theory and in the theory of strategic management, as it provides a viable alternative to other scientific schools. Resource-based approach emphasizes that competitive advantage content allows to develop a strategy based on internal factors, that is on unique resources of every organization and proper usage of their peculiarities. Under these circumstances, there are significant changes in the organization’s resources structure. The emphasis is shifting not just to pure human but specifically to intellectual resources of the organization. To be exact, today labour determines quality and efficiency of all other resources. To achieve the objectives of the organization workers should have a high level of knowledge; in this regard, an effective combination of other resources is impossible without development and implementation of their individual intellectual and creative potential. The proposed mechanism of employees’ competence management could help, in our opinion, to apply competence-based approach to human resources management and a competitive competence portfolio shaping. In the era of knowledge economy, growth of the intellectual component of the organization’s resource basis is the priority for ensuring its market stability. Combination of intellectual resources leads to developing of organizational competences with a synergy property. Human resources should be the basis for formation of core competencies, and exactly employees’ individual competences. The purpose of competence-based approach in the frame of resource management, which was investigated as a prerequisite for of the organization’s competitive advantage formation in the market, is to combine both its core competencies and individual (personal) employees’ competencies. Improving of the organization’s competitiveness requires an appropriate mechanism to manage employees’ individual competencies. It will promote a better realization of intellectual resources’ creative component and its transformation into core competencies of the organization that will ultimately ensure implementation of economic objectives and stability in a turbulent environment. References Barney, J. B. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99-120. http://dx.doi.org/10.1177/014920639101700108 Bulyga, R., & Kohno, P. (2007). 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The Competitive Challenge (pp. 137-158). Cambridge. MA. Snitko, L. T. (2009). Elements of human capital manifestations and their systemization. Bulletin of Belgorod University of Cooperation. Economics and Law, 2, 28-34. Snitko, L., & Akimova, G. (2013). Theoretical and Methodological Basis of a Bonus System at the Industrial Enterprise. Word Applied Sciences Journal, 25(6), 950-955. Tambovtsev, V. L. (2010). Strategic management basic concepts: Micro foundation problem. Russian Management Journal, 8(4), 3-30. Teece, D. J., Pisano, G., & Shuen, A. (1991). Firm Capabilities, Resources and the Concept of Strategy. Economic Analysis and Policy Working Paper EAP, 38, 412. University of California. Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic management journal, 18(7), 509-534. http://dx.doi.org/10.1002/(SICI)1097-0266(199708)18:73.0.CO;2-Z Teplov, V. I., & Tarasova, E. E. (2008). Strategy innovation as a factor for providing businesses competitiveness. Bulletin of Belgorod University of Cooperation. Economics and Law, 1, 5-9. Wernerfelt, B. (1984). A resource-based view of the firm. Strategic Management Journal, 5(2), 171-180. http://dx.doi.org/10.1002/smj.4250050207 Wit, B. de, & Meyer, R. (2010). Strategy: Process, Content, Context. An International Perspective. Cengage Learning EMEA, 975. Copyrights Copyright for this article is retained by the author(s), with first publication rights granted to the journal. This is an open-access article distributed under the terms and conditions of the Creative Commons Attribution license (http://creativecommons.org/licenses/by/3.0/). 71 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br v. 5, n. 3, June - September 2014 ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 HUMAN RESOURCES STRATEGIC PRACTICES, INNOVATION PERFORMANCE & KNOWLEDGE MANAGEMENT: PROPOSAL FOR BRAZILIAN ORGANIZATIONS Ursula Gomes Rosa Maruyama Centro Federal de Educação Tecnológica Celso Suckow da Fonseca (CEFET-RJ/PPCTE), Brazil E-mail: maruyama.academic@hotmail.com Marco Antonio Barbosa Braga Centro Federal de Educação Tecnológica Celso Suckow da Fonseca (CEFET-RJ/PPCTE), Brazil E-mail: braga@tekne.pro.br Submission: 23/01/2014 Accept: 05/02/2014 ABSTRACT Technology and innovation development presented new challenges for the twenty-first century manager. Besides, aspects of organizational culture and knowledge management are equally important for corporate success. All the above areas have a growing number of studies that seek to deepen reflections providing a greater understanding of their environmental relationship. Brazilian human resource management has shown years of late progress, especially due to the prevailing macroeconomic conditions, with no transformation evidences This current study with a theoretical-descriptive qualitative approach through literature analysis, study the integration model proposed by Chen and Huang (2009). The mediating role of knowledge management to strategic human resource practices and innovation performance presented by these authors are compared with national and international literature. The integration conceptual model proposed to apply in the Brazilian context, consider three pillars presented by the Eastern authors, enhanced by cross-checks prospects with intellectual capital approaches, representing the Western authors’ contributions. Henceforth, we aim to provide a suitable proposal for this model in the Brazilian organizational context. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 710 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 Keywords: Strategic Human Resources Management; Innovation Management; Knowledge Management 1. INTRODUCTION There is a growing trend and rapid incorporation of new forms of industrial organization to the corporate culture, in response to new market challenges (TALAMO; CARVALHO, 2004). To answer these transformations is necessary for organizations to constantly innovate while maintaining an efficient management of knowledge associated with strategic people management. The importance of strategic people management, innovation management and knowledge management as themes associated with the lack of their interdependently literature shows the relevance of this study. Results of previous research (LIN; LIU CHENG 2011; ANDRADE; GALINA, 2013) showed that the higher the degree of internationalization, the lower tends to be the commitment performance of multinational firms. In this sense, how should companies keep their focus in the national context in order to achieve their goals? Chen and Huang (2009) developed a survey of approximately 146 companies in Taiwan, presenting statistical evidence that corroborate the association of these relations, considering the ability of knowledge management as a mediator between strategic human resource practices and innovation performance. Thus, our research question arises: How Chen and Huang theory can be applied to the Brazilian context? Thus, this research aims to identify elements of Chen and Huang theory that can be used in the Brazilian scenario. To achieve this result, appear as specific objectives:  Search in the literature evidence to support or oppose the assumptions of Chen and Huang;  Identify the main points of this theory;  Analyze theory elements that can be applied in Brazil;  Develop conceptual model proposed for use in the Brazilian context. Furthermore, the research developed by Chen and Huang in 2009 is presented, integrating strategic areas of human resources (HR), knowledge [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 711 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 management (KM) and innovation. Finally, a conceptual proposal will be presented using these elements to facilitate the variables understanding and their subsequent implementation in the Brazilian organizational context. 2. STRATEGIC HUMAN RESOURCES PRACTICES Brazilian human resource management has faced years of late progress, especially due to the prevailing macroeconomic conditions, with no transformation evidences (LACOMBE; TONELLI, 2001). The aforementioned authors conducted research with 100 companies, verifying models of human resource management companies, divided in two groups: HR strategic model (53 % of the sample) and a HR competitive model (19 %). Although these companies can be configured within the same pattern, those practices have presented wide heterogeneity (LACOMBE; TONELLI, 2001, p. 172). According to Schuler (1992), strategic human resource management (SHRM) focuses on the relationship between individual motivations and performance and business development strategy. While Silva et al (2008) advocate an approach where human resource management (HRM) should not stick to organizational practices objective dimension, or either reject it. It is necessary to deal with the subjective dimension, as two different poles, complementary and inseparable. This is a challenge for HRM scientific knowledge (SILVA et al., 2008, p. 16). Analyzing strategic approach in the broad sense, only a small number of companies use actual strategic planning (ANSOFF, 1990). Strategic planning, rather than a static process, should be seen as a dynamic management tool, containing emerging events and anticipating decisions on the line of action to be followed by the organization in fulfilling its mission (ALDAY, 2000). Thus, it is noticed that dynamism and flexibility become a recurring challenge to organizations. HRM is not free of these obstacles, which require much effort by their managers in order to maintain your competitive edge. Once "people do not work in isolation" (ROCK; BARONE, 2011), the manager must be aware of expectations each professional brings to the workplace. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 712 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 In literature, possessing competitive advantage means having the ability to provide the best products, services or financial return than its competitors. Therefore, HR should help companies to create value. Thus, some categories of HR practices can create greater competitive advantage than others. Brockbank (1999) presents his theory, proposing that: [...] strategic dimension versus operational dimension suggests that HR builds competitive advantage when it creates greater long-term value than competitors HR activities and focuses on issues which are critical to success. Proactive versus reactive dimension suggests that in order to create value, HR activities must be made before their competitors. Thus, an HR department increases its potential to create a competitive advantage, since it moves from being operationally reactive to be strategically proactive (BROCKBANK, 1999 p.340). Theoretical studies in business strategy have driven the Human Resources area as a competitive advantage generator (BECKER; GERHARD, 1996). However, imitate human resource strategies that are deeply embedded in organizations is no easy task, especially due to the existence of process causal ambiguity and dependency (BARNEY, 1991; COLLIS; MONTGOMERY, 1995). HR planning should be developed as part of companies strategies. Setting needs to be periodically revised adapting to new environmental conditions (LACOMBE, 2005). In this study, SHRM use human capital approach, as well as organizational behavior and culture with strategic alignment. 2.1. Behavior, organizational climate and culture Organizational behavior is seen as human behavior study in corporate environments (GRIFFIN; MOORHEAD, 2006), whether is in the relationship amongst professionals, whether is in the organization itself. For Davis and Newstrom (2002), the organizational behavior key elements are people, structure, technology and environment in which the organization operates. Rock and Barone (2011) present three categories involving organizational behavior fundamental concepts:  Individual Processes: there is greater concern for organizational microenvironment, focusing on the motivational theories. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 713 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014  Interpersonal Processes: assesses the dynamics of group work and communication processes, including leadership, negotiation and decision making.  Organizational processes: analyzes systemic relationships, such as structure, culture, change and development. The behavior emerges from one’s commitment or apathy within organization which can be jointly translated by organizational climate. Accordingly, "an organizational commitment is usually conceived as a psychological connection with the organization, including an involvement sense, loyalty and belief in the organization value" (O'REILLY, 1995). On the other hand, organizational culture can be interpreted as a mediator between Human Resource Management (HRM) and organizational performance, once HRM practices lay the groundwork for culture, which in turn facilitates contributors participation to organization overall goals, increasing its performance (RIBEIRO, 2009). But what is organizational culture? How is it interpreted and perceived by its main authors and organizations? Schein (2009, p. 8) makes a good analogy: "culture is to a group like character or personality is to an individual." Although the concept of culture has a certain degree of 'abstraction', meanwhile represents real and profound behavioral and attitudinal consequences within the organization. Rock and Barone (2011, p.99) states that culture "is the underlying set of value, beliefs, knowledge and essential norms shared by employees." On the other hand, O'Reilly (1995) warns that failing on a clearer specification of what is culture can result in confusion, disagreement and conflict over its basic function and importance. When a group forms its culture, assumes that the components of this culture will be expressed, processed and transmitted to new generations of group members (LOUIS, 1980). Certo et al. (2010, p.117) presents organizational culture as "a set of shared value and beliefs that influence effectiveness of strategy formulation and implementation." [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 714 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 By analyzing organizational culture, it can be said that every culture has at least three levels in its composition: artifacts, shared value and basic assumptions. These components are the key elements to understand the culture of organization (CHIAVENATO, 2009):  Artifacts: Products, services and organization members’ standards of behavior. They are all things or events that may indicate through our senses as the organization culture, such as symbols, stories, heroes, slogans, annual ceremonies.  Shared value: Critical value that become important to people and define the motivations to do what they do. They function as justifications accepted by all members. In many organizations they are originally created by the organization founding fathers.  Basic Assumptions: Unconscious beliefs, perceptions, feelings and dominant assumptions that organizational members have. The culture prescribes 'the right way to do' adopted by and within organization, often through these unwritten presuppositions and sometimes even unspoken. Lacombe (2005) defines that company culture is a precious resource management and can be used to achieve strategic objectives by aligning technology, production inputs, equipment, financial and human resources through its symbols, codes and value. However, the biggest challenge for any organization is changing its culture. Whereas culture "is the stabilizing force, conservative, a way to make things significant and predictable" (SCHEIN, 2009, p. 367), an organization that has a 'strong culture', by definition, to be stable, would be difficult to modify itself, once distinguishes itself from the market dynamics, requiring flexibility and continuous learning. Organizational culture is the organization foundation: it is the summary of common beliefs reflecting traditions and habits, as well as more tangible manifestations - stories, symbols, or even buildings and products (MINTZBERG, et al., 2000). [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 715 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 A concept which links organizational culture, SHRM and knowledge management was presented by Peter Senge as ‘learning organizations’. The 'learning organizations' are those in which people continually enhance their skills in order to create the future they really want to see in organization and might be known by its characteristics: personal mastery, mental models, shared vision, team learning and systems thinking. However, Senge (2000) shows no models or learning organizations models because, according to the author, "is not the way that innovation happens: it cannot be copied". Once learning and change cannot be imposed on people, it is necessary to reflect the extent to which perceptions, thoughts and feelings are culturally determined to modify amidst these organizational transformations. In this sense, human capital becomes a catalyst for boosting these changes. 2.2. Human Capital The human capital term was first coined in 1954 by the economist and Nobel laureate Arthur Lewis along with Theodore Shultz in Economic Development with Unlimited Supplies of Labour, considered an influential paper developed in its age. However, the most widespread concept in the economic field of 'human capital' was developed by Mincer and Becker, members of the Chicago School. The book human (1964) has become a reference standard, where human capital is presented as ‘production means’. Thus, it could be inferred that human capital investment through education, training, medical treatment would depend partially on ROI (return over investment). Therefore, human capital was considered as an input, a means of production in a given additional investment that would in turn produce additional outputs. Following this logic, human capital would be replaceable, easily attainable, but could not be transferred as land, labor or capital assets. Similarly, another meaning of the term human capital is attributed to skills used to finish some work adding economic value. Economic theories refer to it as simply workforce, considering a fungible resource - homogeneous and easily interchangeable. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 716 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 However, the contemporary view used in management presents different approaches: people generate capital for companies through their skills, their attitudes and their capacity to innovate. Skills include ability and education, and attitude refers to behavior and assertiveness. As a matter of the fact, it is ultimately the ability to innovate, which can generate more value to organizations: this is the human capital framework (SANTOS, 2009). Considering as an intangible asset, human capital assigns a value to each individual, and this value is used for the company's growth within pragmatic policies and measures for each business management guidelines. According to Oliveira & Oliveira (2011) in their 194 records meta-analysis and original studies in the period between years 1985-2007, there is a positive relationship between HRM and organizational performance. In order to seal this relationship a key element is required: people. 3. INNOVATION PERFORMANCE Products offered by companies need to be rethought, because organizations expend too much effort, time and resources to attend costumers needs. Similarly, business administration theory has been adapting itself to such organizational reality (JUSSANI, et al., 2011). Not all types of innovation are equally important in all environments (DAMANPOUR; GOPALAKRISHNAN, 1998). Understanding how the company operates in this context creates opportunities and competitive advantage. Kim and Mauborgne (2005) present an approach called 'Blue Ocean Strategy' which emerges from the analysis of the red ocean, for instance, the chaotic and aggressive organization routine. Henceforth, instead of a bloody battle to compete, the differential blue ocean strategy search unexplored market spaces, where competition has not arrived yet and the company can expand its market share. This strategic move is directed to a value innovation, which results in a strong asset to the organization and to products and services clients (JUSSANI, et al., 2011). Schumpeter emphasizes that innovation is not invention synonymous, once an invention does not necessarily induce innovation. The invention itself produces no significant economic effect (TIGRE, 2006). "Owning creative minds is not enough to [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 717 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 innovate in companies"(SERAFIM, 2011, p.25). How about the creativity and the creative process? What is its relationship with technological innovation? Creative ideas can only be considered an innovation, if the next moment that they have been deployed, they are able to obtain some return or added value. Accordingly, one of the accepted definitions assigned to the innovation is to be an invention that has reached the market introduction phase in the case of a new product or the first use of a production process, in the case of an innovation process (UTTERBACK, 1971). 3.1. Research & Development (R&D) In order to achieve organizational goals, managers must evaluate "options and information available and choose the most attractive choices. Thus, the strategies formulation should be based on aggregated, incomplete and uncertain information over alternative levels"(HITT, et al., 2003). Russell (1990) raises the question: what do we know about innovation? Innovation is influenced by individual, organizational and environmental variables. In this sense, one can find several not related to Research and Development (R & D) activities but considered them prior to conducting innovative activities of higher levels conditions. In developing countries, technology transfer began with technology acquisition and application to accelerate economic development (DAYS; MARINA, 2013). This process is known by starting with simple activities application (e.g. copying and imitation), encouraging continuous improvement and experimentation, as activities become more complex up to reaching a degree where there is investment in research infrastructure and development with constant feedback. 3.2. Structural capital development Structural capital is known for a set of elements that compounds administrative systems, concepts, models, patterns, brands, patents and computer systems providing effectiveness to organization. Its composition is attributed to organization elements represented by its explicit intangible assets. Therefore, when an employee [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 718 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 tacit knowledge (human capital) is captured and stored it becomes part of the structural capital. Thus, this capital is formed by technology, inventions, data, files, knowledge repositories, publications, processes and programs that record the knowledge of the organization. It also can be considered that systems enterprise value ensure consistency and enable human capital enhancement (as explained before). The focus on each of these ‘capitals’ must be suited to its peculiarities and temporal needs. 3.3. Technological capacity Presenting the accumulation of technological capacity issues is perceived the intra-organizational factors and learning mechanisms which are influenced by leadership, as well as macro-environment influences: [...] Far from being a linear and continuous, the trajectories of technological capabilities accumulation - particularly in the context of emerging companies - are characterized by high variability, among companies of the same and different industrial segment - both in terms of the way (direction) and speed they accumulate their technological capabilities (FIGUEIREDO, 2011, p 5). The technological accumulation process also suffers influences from the nature of industrialization models adopted in each country. Even though this technology accumulation process occurs within companies, there is a significant role in government policies on their development, especially if developed countries and developing countries are compared one to another. Even during crisis, opportunities may arise in unexplored areas from creative and innovative capacities encouragement. Considered from Brazilian organizations viewpoint, the current scenario is quite challenging, intricate and full of transformations. Roberts (1988) argued that there are four guiding dimensions for organizational success: people, structure, strategy and support systems. Such dimensions are central to innovation success. They ensure companies have the right people to effectively manage critical organizational development issues. Analyzing under this point of view, observing the "people dimension”, multidisciplinary teams are able to work efficiently and effectively in solving these complex situations. Increasingly, more professionals with generalist background [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 719 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 presence are required: they can engage with other specialties professionals, contributing effectively in those teams works (LACOMBE, 2005). When dealing with such issues, the organization technological capabilities system interacts amongst intellectual capital elements (structural capital, human capital and social capital) as well as with organizational culture, in continuous feedback (e.g. there is a continuous updating and interaction with the system). The capacity for innovation accumulation can represent not only performance and competitive advantage, but also national and international leadership, economic superiority and influence on political alliances among companies, countries and geographical regions. In this sense, "the more complex and profound is technological capacity, the harder is to be imitated and copied by other competitors" (FIGUEIREDO, 2011). Innovative activities are based on a process of innovation and this in turn presents some typical characteristics (DOSI, 1988), such as:  Uncertainty is inherent in the innovation process;  Increasing reliance on scientific knowledge (for more advanced levels);  Organizational formality of the innovation process;  Technological capability. On the other hand, to FGV professor Paulo Figueiredo (2011) other characteristics should be observed in the assessment of technological capabilities:  Companies from different industries have differentiated innovation processes and characteristics;  Sectors have specific issues in their businesses and therefore cannot be compared with different companies. For instance, produce commodities cannot be compared with high-tech companies;  These aforementioned differences produce effects originated by the nature of its innovation process within organizations. Whereas the accumulation of technological capabilities has its effects on organizations performance, technological learning indirectly influences the enterprises competitiveness. In this sense, another challenge for companies is how to manage knowledge and foster organizational learning. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 720 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 4. KNOWLEDGE MANAGEMENT CAPACITY In this new economy age, the so-called Age of Knowledge, Knowledge Management (KM) is suggested to be the core strategy for competitiveness in organizations (BEM, et al., 2013). This is due to the subject being in several areas of knowledge borderline. Recognized as being multidisciplinary par excellence, the degree of knowledge considers a skill set from many areas it originates (FRANCINI, 2002). Knowledge management can be applied in whole or part of the company, in order to improve its internal processes and become more efficient (CANDIDO; ARAÚJO, 2003). According to Scholl, et al. (2004), KM is a "relatively diffuse and characterized by different concepts, perspectives and approaches”, while Spender (2001) claims to be "difficult to conceptualize knowledge because it is a fluid term and difficult to define it". Nonaka and Takeuchi, the renowned Japanese authors (2008) consider knowledge an internal process within the individual person and then, externalized. Inasmuch, through this socialization, knowledge is shared and enhanced. Considering this premise: When organizations innovate, they do not just process information from outside to inside aiming to solve existing problems and adapting to the changing environment. They actually create new knowledge and information, from the inside out, aiming to redefine both problems and solutions in the process, recreating its environment. [ ... ] Information is a flow of messages, while knowledge is created by the same flow of information, anchored by the beliefs and commitment of its bearer. This understanding emphasizes that knowledge is essentially related to human action (NONAKA; TAKEUCHI, 2008, p. 55- 56). Emotions regulate learning and memory formation. In this way, learning can be considered as a process of change, triggered by various stimuli, mediated by emotions, which may or may not come to manifest themselves in the person change of behavior. Thus, organizational knowledge creation is a continuous and dynamic interaction between tacit and explicit knowledge. The interaction process is composed between different models of knowledge conversion which are induced by various triggers. Davenport and Vopel (2001) assert organizations must learn to employ knowledge workers from their attitudes and motivation in relation to knowledge. Thus, [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 721 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 developing activities in accordance with those rules create a culture in which staff internalizes knowledge management as part of their own work. However, the institutionalization of KM suggests a favorable cultural environment, and if the organization has not acquired this environment, it will have to build or reform it. Knowledge Management policies are useless if they do not leave the paper (BEM, et al., 2013). 4.1. Corporate University Corporate university is considered the concept inspired in universities and sheltered by corporate environment in order to develop people in organizations as well as their stakeholders (ARAÚJO; GARCIA, 2009). Eboli (2006) presents the rationale for integration and implementation of Corporate Education: In full corporate education, for example, education promoted by universitybusiness partnership, the central issue is not to let people in the organization deviate from the independent educational processes. The corporate university cannot be compared to the training and development (T&D) area because it is directed to specific programs to meet the organization's strategy, while the T&D is directed to develop skills, abilities and attitudes related issues presented in the organization. As stated by Vergara and Davel (2001), corporate universities have doctrinal character. Despite the speech, which is developed the ability to think differently, to innovate, break paradigms, like the core competence required nowadays and therefore privileged in education and business training. 4.2. Competencies Management McClelland after publishing his article Testing for Competence rather than Intelligence in 1973, initiated the debate on competence among psychologists and administrators in the United States (FLEURY; FLEURY, 2001). The competence concept is currently thought of as: [...] set of knowledge, skills and attitudes (i.e., set of human capabilities) that justify a high performance, believing that the best performances are grounded in the intelligence and personality of the people (FLEURY; FLEURY, 2001, p.185). Competence is seen by Le Boterf (1995) as the integration of three axes formed by the individual (his biography, socialization), by their educational [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 722 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 background and their professional experience. Competence thus becomes a set of social and communicative learning nourished by the upstream and downstream learning by the ratings system. Prahalad (2001, p. 45) reviewing the core competencies portfolio, where management becomes complex, identified at least five distinct tasks:  Gaining access to knowledge and acquire new knowledge;  Linking knowledge flows;  Sharing culture and shorten distances;  Learning to forget;  Bringing competencies beyond business unit boundaries. Competencies development focuses on learning at three levels: individual, group and organizational. The learning focus should include, in addition to analytical skills, learning processes, behaviors and value. Thus, a new competence is developed, individual role is examined, teams across organization pursuit excellence, scientific knowledge, creativity transforming into expertise and innovation capacity. The main advantages from framework and processes consolidation in the organizational competencies development are (BITTENCOURT, et al., 2013):  More simple, flexible and sustainable management models;  Easier identification of skills and competencies;  Results-oriented structures;  Adequacy of support activities;  Lean structures. Thus, according to the authors, the dynamic capabilities refer to organizational ability to develop new skills, integrating and regenerating old and new features rapidly through their processes in a constant process of change. However, it should be noted that the organization dynamic capabilities depend on its specific allocation of resources, whether they are physical, material, financial, human or organizational. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 723 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 5. RESEARCH METHODOLOGY This study is classified as qualitative, considering the need to understand in depth the researched phenomenon (RICHARDSON, 1999). While as and approach, it was classified as descriptive, aiming to explicit the issue, allowing ideas enhancement and the characteristics description of a particular phenomenon (GIL, 2002). The bibliographical research was used to support deepening national and international literature comprehension (GRAY, 2009; SILVERMAN, 2009). 6. CHEN & HUANG MODEL AND PROPOSITION TO BRAZILIAN CONTEXT Chen and Huang work aimed to examine the strategic impact of HR practices on the performance of innovation through its mediating effect on the ability to manage knowledge. The strategic HR practices (SHRP) arise as pillars to support the path organizations will model their skills, attitudes and employees behavior in order reaching their goals in innovatively. Figure 1: Chen and Huang Model (2009) Source: Authors How do companies as Intel, Hewlett-Packard, Cray Research, 3M and Johnson & Johnson develop successful products and create new ways of doing things? How can culture help or hinder these processes? The answer lies in the rules [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 724 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 if widely shared and accepted by organizations members could actively promote new ideas generation and implement different approaches (O'REILLY, 1995, p. 319). Notwithstanding, innovation arise in the corporate environment, as human capital are leveled in organizational expertise creating new products and services. In addition to accessing employees’ knowledge, skills and expertise, it is necessary to have good ability to manage knowledge management tools ensuring human capital effective use in organization expertise development towards innovation. Knowledge management is an approach that will add value by balancing know -how (practical or tacit knowledge) and expertise (know-why) facilitated by explicit knowledge in the organization. By using these four management practices dimensions: selection, training, recognition and reward proposed by Youndt, et al. (1996) associated with participation dimension, complete the construct used by Cheng and Huang (2009) to analyze organizations. The Taiwanese research conducted selected the 5000 companies in the China Credit Information Service Incorporation, divided this sample into five levels of 1,000 companies. Out of this classification, 150 questionnaires were sent to each level totaling 750 questionnaires, which finally 146 were considered valid forms. The quantitative research results indicated that HR practices relate positively with knowledge management capacity, which in turn is positively related to innovation performance. Thus, a better level of knowledge management capacity can stimulate creativity and innovative thoughts leading to better innovation performance. Therefore, to counterbalance the link between people management practices and promote innovation performance, managers need to first recognize the importance of knowledge management. 6.1. Integraded conceptual model proposed The current technological revolution is not characterized by knowledge and information, but by a cumulative feedback loop between innovation and its use (CASTELLS, 1999). To complement the work of Chen and Huang (2009) as proposed in this study, national and international literature were analyzed, whereas similar studies merged to corroborate within the theoretical framework. [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 725 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 Considering Chen and Huang proposed model (2009) and evaluating how it could be applied to Brazilian context, we elaborated a new structure where three pillars - Strategic Human Resources Practices, Knowledge Management and Innovation Performance - were organized in three intellectual capital directories (thematic axis or approaches): Figure 2: Proposed model for integration in the Brazilian context Source: Authors In consonance with Bem, et al. (2013), with regard to knowledge management success is necessary to have a steadfast cultural environment. Raw intellectual capital would be found in the three organization secondary axis as Training & Development (T&D) in Strategic Human Resources Practices pillar, as well as Corporate University (CU) in Knowledge Management pillar and Research & Development (R&D) axis to Innovation Performance pillar. Yet, the second axis or focus approach, represented by this intellectual capital management would be recognized in the form of raising human capital in Strategic HR Practices pillar, whereas the manager is able to attract new talent to organization. On the other hand, organizational capital alignment would be allocated on Knowledge Management pillar, which means management tools and systems are able to organize knowledge. The last represented factor by social capital [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 726 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 (stakeholders) development would be assigned to Innovation Performance pillar, due to the positive influences in diversity to foster creativity and innovation. Finally, the focus of intellectual capital strategic management finds Strategic Human Resources Practices pillar by Organizational Culture axis, mainly by recognizing organizations value and basic assumptions influencing their choices and strategic decisions. In Knowledge Management pillar is presented Competencies Management concerning its improvement on essential skills as a result its competitiveness. Figure 3: Organizational management process focusing on intellectual capital for R&D Source: Authors Last, but not least, Innovation Performance pillar, embedded the dynamic and technological capabilities concept, so that the organization has the necessary elements for innovative sustainability. An integration scheme in a logical sequence of events is shown on figure 3. By using this conceptual model, companies maintain its structure linked to human resources and innovation management. When there is integration, rework is eliminated; both human and temporal, as well as financial resources and efforts are [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 727 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 saved. It is recommended that this structure is viewed from the project management perspective in order to continually provide feedback. Knowledge management, as presented by Chen and Huang (2009) in the East, can become an ally integrating internal organizational resources (human and organizational capital), as well as better allocation of external resources (stakeholders and their capital) in the Western organizational context and more specifically in Brazil. Therefore, it is necessary a multidirectional communication where culture is open to change and innovation. 7. FINAL CONSIDERATIONS Knowledge management ability emerges as mediator between strategic human resource practices and innovation performance. The performances of these three pillars are important foundations for the creation of competitive advantage in organizations. Whereas Chen and Huang (2009) demonstrate through its quantitative research the relationships amongst these variables, this theoretical-descriptive essay presented concepts in the literature corroborating to adapt the proposed model nationally. Throughout this study, behavior and culture organization research concepts and theories were introduced along with human capital development to assemble Strategic Human Resources Practices. Without these elements, organization does not maintain its sustainability, losing its identity responsible for generating value and competitive advantage. Before it reached the R&D stage, companies initiate a process from reverse engineering, copying or imitation. These processes evolve as structural capital develops together with organizational learning, forming a mature foundation for technological capacity. Thus, Innovation Performance originates from complementary levels, enhancing a continuous feedback loop focused on innovation. Corporate university goes beyond training because it shows a broader systemic and strategic approach. Moreover competencies management helps in identifying and retaining more appropriate talents to organization needs. Using these [http://creativecommons.org/licenses/by/3.0/us/] Licensed under a Creative Commons Attribution 3.0 United States License 728 INDEPENDENT JOURNAL OF MANAGEMENT & PRODUCTION (IJM&P) http://www.ijmp.jor.br ISSN: 2236-269X DOI: 10.14807/ijmp.v5i3.188 v. 5, n. 3, June - September 2014 supportive tools, intellectual capital arises: structural capital, social capital and human capital are integrated, so the knowledge management ability. Presenting its components, Chen and Huang (2009) work was introduced to contextualize the purpose of this study. The integration conceptual model proposed to apply in the Brazilian context, consider the three pillars presented by the Eastern authors, enhanced by cross-checks prospects with axes, approaches or intellectual capital directories, representing the Western authors contributions. In summary, all three pillars: strategic human resource practices, knowledge management and innovation performance are combined with three axis (approaches): intellectual capital, intellectual capital management and intellectual capital strategic management. The presented structure facilitates the configuration of all organizational levels strategies and simplifies knowledge management optimizing the available resources. There are some limitations in the presented study: its methodology did not empirically apply the aforementioned issues. Nonetheless, organizational practices compliance can provide opportunities to develop further projects concerning this subject matter. Another limiting aspect lies on the lack of longitudinal and crosssectional analysis so that comparative studies may corroborate with the developed topic as well. In conclusion, this research corroborated to draw structural aspects of this theme which did not have many written studies integrating them. Interdisciplinary approaches and its relationship with organizational strategy are recommended. It is desired this study contributes bringing about alternatives to expand these isolated subjects into new perspectives on innovation and knowledge management in Brazil. 8. REFERENCES ALDAY, H. (2000). O planejamento estratégico dentro do conceito de administração estratégica. Revista FAE, Curitiba, v. 3, n. 2, p. 9-16. ANDRADE, A. de; GALINA, S. (2013). Efeitos da internacionalização sobre o desempenho de multinacionais de economias em desenvolvimento. RAC, Rio de Janeiro, v. 17, n. 2, art. 6, p. 239-262. ANSOFF, H. I. (1990). Do planejamento estratégico à administração estratégica. 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IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/464-470 ISSN: 2249-7196 INTERNATIONAL JOURNAL OF MANAGEMENT RESEARCH AND REVIEW NEW ROLES OF HUMAN RESOURCES IN FACING THE CHANGING CHALLENGE OF BUSINESS ENVIRONMENT Dr. Sri Rahardjo*1 1 Senior Lecturer, Department of Management, Adi Unggul Bhirawa College of Surakarta, Central Java, Indonesia. ABSTRACT Changing of environment condition causes effect on friction of human resources roles within the organization. It requires improving of organization awareness to redefine the role of human resources regarding to the environment changes. Various role models of human resources have been explained by the formers and then, model of human resources role suggested by Ulrich (1996). All of the models, essentially, emphasize on the action that according to behavior perspective, strategy requires unique attitude and behavior so that the performance become effective. In this matter, human activities are the main device which can be used to support many kinds of employee behavior which are needed by company. The main responsibility of human resources role transformation becomes CEO’S concern and each department. Human resources role has to be integrated entirely into the real world of company. To realize human resource role has massive contribution, it is required supporting of human resources function in the application. New roles, competences, and ways in managing human resource need to be included in strategic planning and management system of human resources in facing business challenge in the future. Keywords: business environment changing, friction of human resources role. INTRODUCTION Role friction in human resources function has happened in recent years, in line with the changing of organization’s vision and mission. The history of industry and production success began from exploitation and taking over of natural resources in massive, but in recent, the technological advance and development increasing entirely give great contribution in fundamental change in the field of economy. Raw materials or physical assets have no more become parametric of the advance of company or industrial development. Science becomes an important role as new resources to get the successful and competitive excellence of an organization. Thus, organizations have to innovate the organizational of their company fundamentally. Essential changing and business naturally affect in changing of managerial practices which are universal in various industry and organization. When talking about organization, seemingly it often explains topic which emphasizes on organization excellence reached through various efforts of rearrangement of business process both by structural and cultural changing, vision and mission redefinition, reengineering, keizen strategy. TQM problem, branch marking, downsizing and others, which essentially by *Corresponding Author www.ijmrr.com 464 IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/464-470 ISSN: 2249-7196 using those instruments, it is, hoped that the need can be reached. It seldom or little bit talking about human resources role. Management solely explains neither strategic concept which is nor so much pay attention on the existence of human resources role. It is only considered as other side of supporting value concept from the strategic which is conducted. It seems restorable, because human resources less concerned by people because the result of investing human resources are difficult to be calculated and viewed and have long term characteristic (Ulrich, 1998). Business environment changing both macro and micro will management behavior changing in adapting the condition both which has relation with strategic matters and operational factices. Strategic concept will always involve many things, including human resource role. To realize that human resources have great contribution, it needs human resources function support in the application. New roles, competences and ways in managing human resource need to be included in strategic planning and management system of human resource in facing business challenge in the future. Now, the problem of human resources is more caused by complexity of business challenge which is faced by the company, such as globalization. Profitability improvement, rapid change in technology, intellectual capital which has to be existed, focus and capability, business value chain, objective change through downsizing, consolidation, restructuritation, and reengineering, and proactive in facing the changing. Many business challenges which are faced by companies appear particular implication to them. Organization to them. Organization which can face those challenges is the organizations which have high level capability. They will change the strategic rapidly into the action, managing the process in smart and efficient way, maximizing innovation contribution and employee commitment, and also creating condition which improve capability continuously. To respond business challenge. company must create a new organizational capability there are two important capabilities which to be belonged by future organizations (Elchinger and Ulrich, 1995). (1) Intellectual and active: organization has to move and change rapidly, and also learn well. In other wood organization has to be active organization has to be reactive to every change which is happened in the environment where in the organization exist. Adaptation moving to every change is an indicator of the organization reaction to the change. (2) Innovative: organization must continuously find new ways to compete in the market. These new ways, of course, will be conducted simultaneously by all of organization functions to reach the organization objective. Intellectual and active, and also innovative, of course, will require the need of human resource role. It is native is require of intelligence, activity and innovation without includes human resource role. In development history of human resource function have experiences friction its real function. At the half of twentieth century. Nile and snow suggested that human resource function solely emphasized on recruitment problem, selection, record keeping, training, time and motion studies, prosperity and relation ship of employees alliance. Copyright © 2012 Published by IJMRR. All rights reserved 465 IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/464-470 ISSN: 2249-7196 At 1960-1970, Friedman said that human resource function focused on employee’s relationship, salary determination and system administration and profitability design, compensation, recruitment, training and development, succession planning, appreciation system management, application policy of similar work opportunity, title security, prosperity and pension innovation. At 1970s, human resources function included the subject matters, such as training, education and development expert that focus on affectivity of individual productivity and organization. At 1980s, human resources function moved to the matter of creating organization capability troughs concerned at competitive pressure, cost decreasing, productivity innovation, quality advance and customer oriented. At 1990s human resources function emphasized on new priorities which wearer more concerned at human resources skill, such as by motivating team work between functional units. Creating thought which oriented as customer service, identifying skill needed and new competence, and also global expansion (Conner and Ulrich, 1996). PROBLEM OF STATEMENT From the problems ranging from changing requirement and friction of human resource function in arranging the organization. It will appear the question: what new roles which have to be applied human resources matters that need to be included in strategic planning and management system of human resources in facing business challenge in the future are? In short, the answers of this question is creating human resources which are really new and creating new roles in different perception of human resources. It is hoped to be suitable or it can adapt business challenge in the future. This new roles are not only become discourse but also guidance directing the portion which has to be presented in the structure which changes continuously. New roles of human resources are hoped to become reference to very strategic concept which will be elaborated as organization operational tactics. HUMAN RESOURCES: NEW ROLES MODEL Some human resource new roles model have been explained by researchers, for instance: French (1986) suggested that human resource had some roles, such as: (1) Diagnostic role: human resource executive must give early solution every problem which is faced by the organization. Here, the analyzing of every problem has to be able to be detected in order to find an exact solution. (2) Facilitator and catalisator role: human resources executives can act and bridge every interest in every business activity done by employees, employee’s interest, working units which orientate to organization objectives have to be accommodated and facilitated. (3) Consultant role: human resource executives van give solution to each problems. They can role as consultant to each business activities which are performed. (4) Evaluator role: human resource executives can role as appraiser of each activity performed by each employee or working units and they can give measurement standard to the success that has been reached and will be reached. Copyright © 2012 Published by IJMRR. All rights reserved 466 IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/464-470 ISSN: 2249-7196 Human resource roles model are also explained by Schuler and Jacson (1987). The explained that human resources played roles in the field of planning, staffing, valuing, compensation and also training and development. Human resource executives have to be able to give action in planning context ranging from employee needs to the development. This is often done by many human resources executives that still use conventional performance. Here, it is more emphasize on sequence of planning main function of human resources management. Schuler (1990) explained other human resource roles model. He said human resource has role as business personal, changing creator, organization consultant, formulator, strategic implementation, talent manager, cost controller and asset manager. This model is more emphasize on the orientation that human resource executive have a main role in the success of business. Requirement of human resource executives role are not only act as human resources management function but also as business architect. Wiley (1992) gave human resources role model where it had a role in strategic process [as consultant, elevator, detector, changing agent, catalisator, business partner and cost manager, legal aspect (as auditor consultant, peace maker and giver); operational aspect (as problem solver, changing agent, employee advisor, facilitator and policy consultant)]. Compared with other models, it seems become a complete model which summarize aspects in strategic to its operational aspects. Ferris (1994) suggested that human resource role as supporter, server, consultant and leader. Becker and Gerhart (1996) said that human resources role as value creator that was be come competitive excellence. Meanwhile corner and Ulrich (1996) said that human resource role as strategic partner, administration expert, employee fighter and changing agent. According to Ulrich (1998), there were four human resource new roles: (1) Role as strategic partner. Human resource executives have to motivate and guide the serious discussion or how the company has to be organized to perform its strategy. Here human resources must be responsible to define organizational structure, perform organizational audit, identify method to renovate how organizational structure part, take initiative and arrange priority. This role focuses on strategic combination and human resource practices with business strategy. Human resource professionals work to become strategic partner and assist to ascertain business strategy success. By employing this role, human resource professionals improve business capacity to conduct the strategy. As application of business strategy into human resource practices help the business in order to adapt the changes, to fulfill costumer’s demand, and to reach performance though a more effective strategic application. This strategic partner role can be elaborated in sort, such as caring of bottom line, understanding business and market, ensuring the success of strategy performance, having long-term vision of business direction, interpreting various strategies to become various activities of priority human resources management, and having ability to diagnose organization in determining strength and weakness. (2) Role as administration expert. Human resources must improve efficiency of there traditional function and a whole organization. It requires human resources professionals that design and employ on efficiency of human resource process to staffing, rewarding, training, promotion, and other employee managing thought organization in efficient ways. In turn, this Copyright © 2012 Published by IJMRR. All rights reserved 467 IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/464-470 ISSN: 2249-7196 efficiency improvement will develop human resource credibility and the last it will become strategic partner. This role can be elaborated in sort, such as planning and developing human resource management process in efficient ways, creating organizational infrastructure thought valuing and improving human resource management process constantly, performing activity which directs to reengineering working process continuously, and analyzing and giving response to organization’s need. (3) Role as employee fighter. Human resource must perform many actions in order to increase commitment and employee contribution. In the companies where intellectual capitals become critical aspect of resource of company, human resource professionals will become active and aggressive in the success of organization. In respect to this matter, human resource professionals have to understand employee’s needs and ascertain that employee contribution to the organization will increase. It can be elaborated as follows: understanding various potential of human resource, focusing competence identification that is required to perform strategy in the future, having training and education management capability, analyzing various human resource provisions that are required in fulfilling new challenge, and having ability to develop commitment to the action. (4) Role as changing agent. Human resource must develop organizational capacity to catch and capitalize the change. Changing initiatives emphasized on creating team that has high performance in implementing new technology developed and addressed in the way and exact time. The most difficult challenge for organization is a challenge to change organization’s culture. To create new culture, human resource has to perform. The implementation of this role can elaborated as follows: having ability to implement strategy change, having ability to develop organizational learning and team work and also having relationship, having ability to create sense of urgency, having ability to create sense of urgency, having ability to think conceptually and articulate thought and having sense of purpose through focus and value system. HUMAN RESOURCES COMPETENCE REQUIREMENT General approach which is used in modern competency frame is Boyazis Approach (Wood and Payne, 1998) which tends to simplify the concept and focuses on behavior that can be observed. It is obtained (12) twelve competence indicators which are generally used within the organization and individual. Those indicators are: (1) Good communication. (2) Result or achievement orientation. (3) Consumer orientation (4) Having ability to work together within a group. (5) Having leadership spirit. (6) Having ability to plan and to organize. (7) Having commercial knowledge and high consciousness in business. (8) Having flexibility or ability to adapt rapidly. (9) Can improve and develop others capability. (10) Having ability in solving problem. Copyright © 2012 Published by IJMRR. All rights reserved 468 IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/464-470 ISSN: 2249-7196 (11) Having ability to think analytical. (12) Having ability in developing ling term relationship. According to behavior perspective, strategy requires unique attitude and behavior in order to perform effectively. In respect with this matter, human resource activity is a main device that can be used to strengthen various employee behaviors which are required by company. In the new roles model that have been explained above become effective, it needs dramatic change in the way of thinking and behavior of human resource professionals. The competences which have to be owned by them, including: (1) Empowering Business. Human resource problems are determinant aspect in business success, so that human resource professional have to cooperate with management team of organization. Thus, they must have general knowledge in the field of financial, the need of external costumer, information technology (IT) and other business processes. (2) Empowering Human Resource. Human resource professionals design and address human resource practices with are linked together with business objective. Note that human resource professionals have to increase systematic and strategic perspective, and even their functional skills. (3) Empowering process and change. It means that human resource professionals need to develop their competence in interpersonal skill and management affects to catch issues properly, identifying innovation opportunity, detecting and solving problem, vacillating decision making, creating environment which supports participation and having dare to face risk wisely. (4) Employing upgrade to human resource professionals that are not prepared and positioned to respond change of human resource agenda, it is conducted because they that perform in this field will determine service quality and affectivity from them. Human resource professionals need to identify clearly who is their costumer and conduct the measurement of their new performance. HUMAN RESOURCE CHALLENGE IN THE FUTURE Challenge for human resource in the future is not begin with its function but business results. The constantly have to ask what will be performed to increase value of company. What is their graduate to what will be happened in the company, in respect with what they have done? In order to fast the future, organization needs to do activities (Elchinger and Ulrich, 1995) including: (1) Developing global leadership. (2) Developing organizational core competence. (3) Creating strongest internal organization (4) Become authority of rapid change better. (5) Costumer orientation. (6) Learning to use organization, culture as weapon and competitive device. (7) Developing and improving business continuously. By using human resource, the organization will be able to make it “different” from others, valuable, and it is difficult to be replaced and imitated by competitors, so that it will appear Copyright © 2012 Published by IJMRR. All rights reserved 469 IJMRR/ April 2014/ Volume 4/Issue 4/Article No-4/46...
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Strategic Planning in Healthcare Administration



Strategic Planning in Healthcare Administration
The scenario, in this case, is about Louisiana's Whitesville Medical Center, which has
been operating for the past 100 years. During the past five years, the rate of middle management
turnover for the organization's Housekeeping Department has drastically increased. A middle
manager only stays with the company for six months, and the day and evening shifts have a
current vacancy. The management has failed in holding supervisors responsible for seasoned
employees' continuous training, new staff orientation, and regular employee performance audits.
Due to this failure, employees no longer get the necessary training on cleaning and sanitization
of patient rooms, public areas, and surgical sites.
Consequently, a nosocomial infections outbreak has led to several patients acquiring
infections at the...

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