Strategic human resource management can be termed as the modern approach by the Human Resource Department in managing the people in the organization as they are considered as the most important asset to the organization, its emphasis on both the employees satisfaction as well as looking after the organizational benefits on same.this can be understood as taking an instance as olden times HRM approach was in maintaining employee relations whereas the modern strategic HRM emphasis good relations within the organizations as well as with the outside parties. Changes in policies, process, product, market, culture, and the modern lifestyle depend on HR on many levels.so highly performing employees should be recognized by the modern way of compensation & rewards structure. The primary goal of Strategic Human Resource is to increase productivity by focusing on business obstacles that occur outside of human resource. it emphasizes that the HR Manager has to find the key HR areas where strategies can be implemented in the long run to improve overall motivation and productivity. It emphasizes long term objectives rather than focusing on internal human resource issues.
So adopting Strategic Human Resource Management results in reduced absenteeism, increased job satisfaction, and higher employee commitment. And organizational outcomes such as heightened productivity, services, and customer satisfaction.