Alignment of HRM and Business Strategies in Ford Motor Company Essay

Introduction

Ford Motor Company's corporate and business strategy is One Team, One Plan, One Goal (Ford Corporate, 2018). On the other hand, its main HR strategy is to build a team of employees who are customer centric, have innovative ideas, and perform as required to compete in the global business arena. I would ensure that Ford's HR strategy is aligned with the business strategy by first, recognizing that the HR department and its duties are a strategic asset, rather than the traditional administrative cost center focused on compliance. I will attain this by ensuring that top management in Ford support HR's role by accepting it into the strategic planning initiatives. Then, I would ensure that the HR hires employees who are strategically focused towards the attainment of the business strategy.

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The HR at Ford seeks to deliver high-impact, innovative workforce solutions and experiences that drive One Ford business strategy. The main responsibilities listed for the HR department include compensation and benefits, global travel, relocation and event services, global occupational health services, and global security and fire. Other responsibilities are listed under HR business operations, labor affairs, learning and organizational development, and occupational safety (Ford Corporate, 2018). The various HR job positions in Ford include Hourly Personnel Administrator, Human Resource Representative, Labor Relations Representative, and Occupational Health Nurse (Ford Corporate, 2018). The HR job position I would prefer is the Human Resource Representative because the responsibilities under the position encompass a majority of the responsibilities listed for the HR Department. Thus, holding the position would accord me a wide range of skills, knowledge, and abilities in the HR field.

HRM Strategies to Improve Competitive Advantage

HRM strategies play a crucial role in a company's competitive advantage. Moreover, according to Albrecht, Bakker, Gruman, Macey, and Saks (2015), there is a linkage between competitive strategy, HR practices and performance. In essence, HRM strategies that improve employees' performance and long-term loyalty lead to a great competitive advantage. Therefore, Ford can improve its competitive advantages by establishing various HRM strategies. First, the company can focus on sets of commitment-enhancing practices, for example, competitive pay and benefits, training and development, selective staffing, and employee retention. Mainly, high levels of investments in these practices serve a dual purpose for Ford as they attempt to maintain a competitive edge. In particular, they enhance retention and facilitate the creation of environments that foster sharing of knowledge within and between employees.

Also, Ford should focus on flexibility and agility in the HRM system and beyond. Albrecht et al. (2015) assert that the future if HRM regarding competitive advantage lies in its ability to adapt. Mainly, as technology drives change in the systems underlying many entities and as companies are driven towards flexibility in their structures and processes, efficient HRM systems must follow suit. Thus, Ford requires guiding principles that foster inflow and outflow of talent in a manner that facilitates and only minimally disrupt internal flexibility. Finally, Ford should use HRM investments as a signal of future investment and an ambiguity reducer when workforce size changes. According to Albrecht et al. (2015), companies can realize additional benefits by continuing their investments in strategic HRM practices after layoffs. Adopting such investments will provide additional and indirect signals that the company values the survivors, which eases concerns about future layoffs by availing training and development that will be crucial in future job searches, which may improve morale and lead to a higher competitive advantage.

Increasing Diversity

The organization has long realized that diversity means good business, that welcoming a multiplicity of ideas and cultures drives innovation and creativity, improves decision-making, raises employee productivity and retention, and leads to better customer service. Ford can increase diversity by looking beyond compliance. According to Nair and Vohra (2015), a truly inclusive company understands that diversity is about more than filling quotas or complying with affirmative action requirements. Today, it is about building a workforce that is as diverse as the company's customer base and then using those differences to drive Ford's business. Notably, when a company brings together individuals of varying backgrounds, belief systems, and cultures, it brings with them a wide array of work styles, perspectives, and thought processes (Nair & Vohra, 2015). Therefore, by taking advantage of all these, Ford can spark creativity, boost efficiency, and get closer to its customers.

Second, Ford can increase diversity by addressing it in every aspect of talent management. In particular, diversity and inclusion management should not start and end with hiring. Moreover, no matter how diverse Ford's workforce is today, the company will have a hard time retaining and benefiting from that diversity if the entity does not continue to address both individual and collective differences throughout the whole employee lifecycle (Nair & Vohra, 2015). Essentially, how likely is a worker to consider a long career at Ford if he or she does not see themselves in management positions? Further, how successful will the company's workforce be if managers cannot avail feedback in a manner that complies with employees' cultural norms? Thus, for such reasons, diversity and inclusion are aspects that need to extend beyond HR to the whole entity and be considered at every stage of talent management.

Finally, Ford should make diversity a part of its brand. Furthermore, when it comes to diversity, the company needs to let the world know that embraces differences, and the most effective way of doing this is by making diversity a part of Ford's brand. The company can achieve this by investing in diversity by offering scholarships and internships to individuals from marginalized groups or availing information that underscores its desire to provide the flexibility and tools needed to guarantee success for all.

References

Albrecht, S. L., Bakker, A. B., Gruman, J. A., Macey, W. H., & Saks, A. M. (2015). Employee engagement, human resource management practices and competitive advantage: An integrated approach. Journal of Organizational Effectiveness: People and Performance, 2(1), 7-35.

Ford Corporate. (2018). Retrieved 18 April 2018, from http://corporate.ford.com/careers/departments/human-resources.htmlNair, N., & Vohra, N. (2015). Diversity and inclusion at the workplace: a review of research and perspectives.