An organization makes strategic decisions in dealing with its environment. These decisions serve to link the organization with its environment and to establish the basic direction of the organization, as shown in the figure on the next page.
A firm can establish several basic strategic postures with the environment. Four postures, which follow the Miles and Snow typology, are outlined below:
Strategic choices of environment for human resource management
1. Defenders: An organization can adopt a defender strategy. Defenders focus on a narrow line of products and strongly defend their position in the market against anyone— competitors, government, and so on.
2. Prospectors: A firm can become a prospector. Prospectors always are looking for new markets and aggressively seek to develop both new products and new markets.
3. Analyzers: A firm can adopt an analyzer posture. Analyzers have a split personality. They have one product in a stable market and one in a changing market. In the stable market, they operate routinely; in the rapidly changing market they closely watch their competitors and then adapt as best they can.
4. Reactors: Finally, a firm can become a reactor. Reactors see ma changes in their environment but gave difficulty changing quid enough to meet these changes.
Adopting any of these strategic profiles will impact human resources. Defend want aggressively trained specialists in the industry in order to
Links between Environment and Organizational Strategic Decisions
produce and market their narrow line of products. Prospectors want aggressive entrepreneurial types of people who are willing to take risks to develop m products and markets.
Analyzers value both stability and innovation employees, depending on which unit the employees worked. Finally, react want employees who are less resistant to change and able to help the organization move along its chosen path.
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