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EXECUTIVE SUMMARY
Most successful strategy and HR planning integrations are deceptive. The belief that success is due to the linkage of strategy-HR or strata-mind set-HR overlooks the importance of using the strategy-HR linkage to build unity between customers and employees. The logic of a framework for, and examples of HR planning for customer-employee linkage are provided. Based on the experiences of a number of companies, this article describes the steps in translating strategic capability to organizational capability through an HR planning process. The requirements for each step are detailed to help the HR professional translate theory to practice.
INTRODUCTION
Merging strategic and human resource (HR) planning activities has become a critical source of competitiveness for all organizations. Executives must be able to integrate strategic initiatives and HR practices to gain competitive advantage in the face of increasingly volatile technological innovation, customer expectations, and global competition. HR professionals must learn to integrate strategic and HR planning as well. While others (Walker, 1992; Schuler, 1990; and Ulrich, 1987) have detailed the models for changing HR roles, less work has been done to identify the specific steps of linking strategic and HR practices. This article (1) demonstrates the need for collaboration between strategic and HR planning, (2) expands traditional HR planning models that focus on the strategy-HR linkage to include a customer-employee linkage, (3) offers a specific process for building this linkage, and (4) proposes key questions which executives may ask to ensure that the integration occurs.
CASES OF STRATEGIC AND HR PLANNING COLLABORATION
Marriott Corporation employs over 220,000 employees. For over 20 years, Marriott has been one of the most profitable firms in each of its product lines--hotels, airline food service, business food service, family dining, and contract services. Its historical key to success rests in being the "preferred provider," the provider customers think of first when making lodging or food choices. At a recent management planning meeting, Marriott decided that a second component was necessary for continued success. Along with being the "provider of choice," the f also had to become the "employer of choice." If Marriott could not continue to attract and manage high quality people, its historically rapid growth would slow. As the provider of choice, competitors include Milton, Myatt, Sheraton; as the employer...