What is Strategic Human Capital Management?

Strategic Human Capital Management Defined

Strategic human capital management (sometimes referred to as strategic HCM) is the essential backbone of all human resource related initiatives. A strategic human capital management plan, usually executed with the aid of integrated, full-suite HR technology, is most successful when it encompasses all parts of the employee lifecycle, beginning with recruitment and moving all the way through retirement.

A principal goal of strategic human capital management technology is providing a consistent, easy-to-use experience for all employees that enhances work life. Because, after all, happy employees leads to happy customers, which leads to positive business results.

Why Use Strategic Human Capital Management?

When companies are looking to optimize their human resources practices, they evaluate solutions that provide strategic human capital management. This well-developed, people-centered approach to business involves a variety of HR-related processes—such as recruiting, onboarding, payroll, talent management, and others—working together as one, unified “team” to improve the overall health of the organization, by building upon the individual strengths of its people.


Ultimate Software’s UltiPro® is a strategic human capital management solution designed with a primary focus on people. From creating memorable first impressions via simplified job applications to transforming dreaded annual performance reviews into productive, ongoing, and collaborative discussions. From powerful payroll administration functionality that simplifies complex calculations and helps ensure tax compliance to insightful business intelligence (BI) reporting that provides managers with a 360-degree view of the workforce. UltiPro is built to serve employees at all levels and empower professionals to work more efficiently and more effectively each and every day—no matter where they work.

More Strategic Human Capital Management Resources

But cloud-based UltiPro doesn’t stop there. To see how strategic HCM can change the way your organization thinks about human resources, check out Ultimate’s UltiPro Solution Features page.

From Manager to HCM Strategist in 4 Easy Steps

Learning how to develop and implement a strategic HCM plan isn’t impossible. Discover the steps you can start taking today to make a major impact on all aspects of your organization.
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Employers See Huge Benefit from One Suite for HCM in “Real Cloud”

Join HCM principal analyst Brent Skinner from Nucleus Research and Cecile Alper-Leroux, Ultimate’s VP of Innovation, for a discussion on the ROI of implementing integrated, cloud-based strategic HCM software.
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UltiPro Strategic Human Capital Management Product Tour

Take a few minutes to view UltiPro in action. From recruiting and onboarding to payroll and talent management—and everywhere in between—this unified solution delivers strategic HCM to organizations across industries.
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