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12 Competitive Advantage Through Human Resources C. Offering a product or service that is unique can create petitive advantages. 4 sources: 1. Financial or economic capital capability. 2. Physical capital capability. 3. Human capital capability: Composition of workforce 4. Organizational capability: The firm’s ability to manage people D. Key issue for organizations is to achieve alignment among their various functions and be flexible in responding to their environment. 13 Strategic HRM HRM as a petitive advantage involves strategic human resource management. ? 1) Represents an effort to link HRM activities to a firm39。s performance. ? 7) The recognition of HR at the executive or strategic level in addition to the firm and operational levels. ? 9) Emphasizes longerterm planning through the examination of a set of environmental, public policy, industry structure and organizational frameworks. 15 Integrating HR into Strategic Planning ? The Strategic Planning Process: Uluru Energy ? Mission, Goals, and Values Statements – Environmental Threats and Opportunities – Organizational Strengths and Weaknesses – Goals and Objectives – Formulation of Strategies ? How To Strategically Integrate H