The module begins with an overview of the various internal and external environmental contexts which shape organisational action (PEST forces) and consideration of organisational objectives. The module then moves onto review competing conceptions of the role and function of management and their implications for practice. Next, an introduction to the links between strategic HRM and organisational strategy is followed by a concise overview of strategic management models. The module then examines the concept of strategic HRM, the variety of ways strategic HR decisions are made within different organisations, the implications for the HR function and critically evaluates the different approaches to aligning organisational strategy with people management practices. In doing so, the module provides a critical understanding of strategic HR. Distinctions are drawn between the different levels of HR strategy and the diverse directions of growth and international strategic choice in a globally competitive environment. The potential ethical issues arising from strategic choices to internationalise the organisation are also considered. The impact of the increasing use of technology within HR as the function attempts to strategically reposition itself within the organisation is critically evaluated. Mindful of emergent strategies adopted by organisations to quantify the contribution of the HR function to organisational profitability the module also offers an introduction to Human Capital Management. To support this end and in recognition of the centrality of financial planning to organisational success this module provides instruction on the preparation and interpretation of financial statements and data, including profit & loss accounts, balance sheets, cash budgets, capital investment appraisal and break-even analysis.