7). With the corporate community now becoming increasingly aware of the potential competitive advantage available through people, the management of a company's human resources is seen as a function that needs to be managed strategically. A study by Armstrong (1994: p. 52) found that there were three common threads in developing strategies within each of the 10 blue-chip companies he questioned:.
• Strategic leadership from the top, which creates the vision and sets the direction. .
• A cohesive top team, whose members share the same values. .
• A clear view of the important success factors concerning people, and how this must be addressed in the strategy. .
The Chief Executive Officer (CEO) with vision provides the leadership from the top, and there is clearly recognition of the importance of people. It is also likely that the top team is cohesive, since the chief executive has communicated the core values to all involved.
The term "human resource management" has come into popular usage in recent years. It is widely accepted in the workplace, and sums up the current state of play with regard to the management of people with the current emphasis on links to business strategy and on the fact that human resources are as important as any other resource and need to be managed carefully. One of the main underlying themes in the philosophy of HRM is that human resource needs must be taken into account in getting everyone to meet organisational objectives, and that this will be to the advantage of everyone concerned. Hence people are important whether they are full- or part- time employees, permanent or temporary, or contract workers who are actually employed by another company. Increasingly, all the people who contribute in some way to the work of the organisation will expect and demand some influence, and personnel management techniques in appraisal, training and job evaluation can be applied only with the consent and support of employees.
