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Explain with examples how human resources management can be instrumental in helping a company create a competitive advantage.

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Most business strategists are constantly thinking about how to identify, develop, and interact with different markets using their own organizational capabilities, and human resource management is the best place to start. Human resource management is related to cost minimization in that it seeks to optimize how people mesh with the...

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Most business strategists are constantly thinking about how to identify, develop, and interact with different markets using their own organizational capabilities, and human resource management is the best place to start. Human resource management is related to cost minimization in that it seeks to optimize how people mesh with the tasks needed to be done by situating, promoting, and paying them.

For example, large shipping companies (FedEx, Amazon) have historically managed their human resources by thinking about their business model as a network, recursively moving more tasks accomplished by people into the digital sphere so that people can work on more meaningful, less repetitive, tasks, at greater profit to the company. The caveat is that as technologies improve, jobs for humans might dwindle. The social cost of a shrinking volume of human resources is another detail that employers must balance in their HR model.

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