Relationship between values-driven HRM and KM

Values-driven HRM balances the needs and skills of its personnel with the strengths and weaknesses of the organization. When an organization is strong in both strategic orientation and human capital, this HRM strategy is ideal. The facets of values-driven HRM are, in practice, team learning, innovation, trust, communication, and respect. When implemented, these aspects of an organization foster tacit knowledge in its employees. That knowledge is strengthened, and built upon through personal/professional development as well as organizational capacity development strategies. And through the retention of the people and their knowledge, an organization gains institutional knowledge. Institutional knowledge and its effective management leads back toward team learning, innovation, trust, communication, and respect, completing a perpetuating system that reinforces itself. 

Values-driven HRM creates the conditions in which internal capacity development can strengthen and retain important tacit knowledge and therefore utilize it toward mission achievement.

Implications for Organizational Sustainability

"An organization's commitment to and capacity for learning can be no greater than that of its members." - Senge

The role of HRM in organizational sustainability is undeniable. Human resources are an SCO's greatest resource. When individuals are intrinsically motivated to do work and their work is fostered in an environment that exudes teamwork, learning, innovation, trust, communication, and respect, their contribution to the organization will be superior. Further, when their knowledge is gained and maintained over time in the form of institutional memory, the impact of the organization increases substantially. As long as the organization establishes the traits of a continual learning organization, the institutional knowledge achieved through value-driven HRM will lead to effective mission achievement and simultaneous sustainability of the organization.