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Stages, Content, and Theory of Strategic Human Resource Management (SHRM): An Exploratory Study

This study discusses “theory of strategic human resource management (SHRM)”. Theory of SHRM is that human resource management (HRM) has an impact on firm performance through employee performance. Therefore, research topic of this study is to discuss SHRM theory. Research method is literature scanning. Research findings are, firstly, that strategic HRM can be defined with employee/firm performance relationship. Secondly, this study depicts its own SHRM model. In this model, HRM practices develop individual performance of employees in organizations, and individual performance increases performance of business departments, such as supply department, finance department, marketing department, logistics department, etc., and performance of business departments has an impact on firm performance. Furthermore, this study makes its SHRM definition. So far, there have been two definitions of SHRM in literature studies. The first definition identifies SHRM with corporate strategies and competitive advantage. The second definition describes SHRM with HRM-firm performance relationship. This study makes the third definition, namely, SHRM is employee/firm performance relationship, and this definition is figured in a SHRM model in this study.