Evolution-pm 1

7/29/2019 Evolution-pm 1

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(i) Era of Industrial Revolution

[ i. COMMODITY CONCEPT ](ii) Era of Trade Unionism

(iii) Era of Social Responsibility Feeling[ ii. & iii. PTERNALISTIC CONCEPT ]

(iv) Scientific Management Era[ iv. FACTOR OF PRODUCTION CONCEPT ]

(v) Indl. Psychology Era (Human Relations)[HUMANISTIC CONCEPT ]

(vi) The Behavioral Era[ VI. BEHAVIOURAL HR CONCEPT ]

vii Personnel S ecialist Era

Growth of Per. Mgt


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(i) I ndustr ial Revolution Era1Modern P.M evolved from several significant inter-

related developments (prior to Indl. Revolution)

Then existed several distinct Employer-Employee

Relationships,Termed as Slaver, Guild System

State of Guild System seeded Per. Mgt for well-knitgroups- Masters, Traveling journeymen

,Apprentices

This System involved selection, Trg, development,rewarding, maintaining workers

Wage Salary Admn & Collective Barging over

wage & working conditions were in evidence


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I ndustr ial Revolution Era2

But Economic & Social Changes Overtook Old

Eco-Soc-Political System

Indl-Revolution: Developed Machines /used

Mech. Energy consequently start of factoriesemploying Large number of people

All increased Productive power & Capacity to

pay / man with efficiencies gained throughsub- division of labor, speed of Machine.

Factory system replaced old cottage system.

Specialization ( in One-Task than skills in

number of Jobs ) ruled


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IRE Expanded Mass Production

Mod. Indl Corporations Applied Science &

Tech to all Facets of WorkIt overly affected Personnel Admn System:

Work Place: From home to Common Roof

Production Methods:Manual skills toMachine skills

Migration-Rural to Urban concentration


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Separation of Owners & Managers, Employer-Employee closeness affected

Mechanization- Women & child labor replaced

MenComplexity of Production Process & Adv-Tech :

New class of employees commanding power

in Company

Nature Jobs suited white collars. Managerial

groups replacing Blue collars /artisans

Specialization produced Specialists:

Engineers/Lab. Relation Mgrs/SafetyEngineers


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I ndustr ial Revolution Brought6

Brought Heights of Business &Economy

But

Materialism, Monotony,Discipline, Boredom, Job-

displacement, Work -

interdependence, Poor working

conditions, Average citizen/ Labor

Exploitation


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(i i ) Era of Trade Unionism1

After start of Factory System, employeesgathered, discussed common Probs.

Initially Child Labor, Long work Hours

Later, Economic, Employee Benefits,Poor Working Conditions

Workers Joined :Improve Their Common Lot

Underlying philosophy: Force Mgt to listen &Redress their Grievances

Weapon: Strikes, Slowdowns, Walkouts,

Picketing, Boycotts, Sabotage


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Era of Trade Unionism2

Influenced-Personnel Managementin the fields of:

Adopting Grievance Handling System

Install Arbitration to Resolve Conflicts &Rights, Disciplinary Practices

Employee Benefit Prog, Liberalize Holiday

& Vacation Time, Clear Definition ofJob Duties/ Job Rights through

Seniority, Installing Rational, and

Defensible Wage structures


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Era of Trade Unionism3

Managements Created:

Organizational Units to deal Union-

Representative Relationships

Sponsoring Unions as a means to

controlling their Activities

Installed systems:

To Study jobs, Improving methods,Connecting wage to performance,

Careful Selection of Personnel

where Unions brought wage-hikes


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(i i i ) Social Responsibi l i ty Feeling Era1

In the past,Employers were not very sympathetic

towards the employees

FOR THE FIRST TIMERobert Owen (1913)A British

Businessman, Reformer, Humanitarian,pioneered Fatherly Attitude or Adopted

PaternalisticAttitude towards the

employees


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Social Responsibil i ty Era2

Robert Owen believed that: The Principal Socio-Economic Environments

influence Physical, Mental, Psychological

development of workers To Enhance Productivity: Improve

Environment by providing more of Satisfactory

Living/Working ConditionsDevote as much attention to Vital Machine

(workers) as pay to Inanimate Machines

Maximizes Profits


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Owen Implemented Philosophy By:

Building: *Model Villages next to his Mills,

*Unheard facilities in Factories: Windows,

Ventilations, Shower Bath, & Clean Toilets

* Schools: Day (children), Night (workers)

*Child Labor: Min. Age Raised to 11yrs,

later abolished*Treated Workers: As own children who

must be cautiously guided, trained, &

protected


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Other Humanitarians Supported Views, like:

If each one work for his own economic self-interest, Society will gain- Adam Smith

Emphasis Be on Mutuality of Interests

(Employer-Employees) and on Div-of-Labor toenhance productivity on use of resources

- Charles Babbage

Babbages concept of Hard Work & HighProductivity were source of good wages for

workers and higher profits for employers

was Denounced by Unionisation


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(iv) Scienti f ic Management Era1

Movement Began in 1900, Peakedin1930, Dwindled in Relative

Importance, Remained Alive to Present

Times

Owes to Frederick W.Taylor (1856-

1955)- Father of Scientific ManagementHe started Experiments in Steel industry

(Midvale & Bethelem Plants)


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(iv) Scienti f ic Management Era2

Taylor Developed Four Principles of Mgt:1. The Development of a True Science for

each job

2. Scientific Selection of the Right Person forRight Job

3. Train a Person to Perform Job in a

Scientific Manner4. Friendly Cooperation Between MGT &

MEN


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TAYLOR BELIEVED THAT:3

Planning should be Results of Mgt-Worker

Co-operation, and also to provide Financial

incentives to compensate workers

Workers are untapped energy source, to use

[ if Trained and Treated fairly ]

Anticipated Mod.Suggestion System to pay

Cash Bonuses on workers Accepted ideas

Majority Mgt-Workers conflicts WILL

disappearBy Time study, Method Study Jobclassifications, Standardization of Tools,

Differential Piece-Rate S stem etc.


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Scienti f ic Management Has:4

Improved Employee- Employer

Relationships & Management in General

Elevated MGT By Plan, System,Design

BUT

Declined Mgt. By Hunch/IntuitionContributed Greatly to:

Professionalisation of Management


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Taylors Approach Improved / Led To:5

Management Methods, Procedures &

StandardsStrengthened Production & Supervision

Approach Accepted by Labor-Mgt.,

with Mutual Benefits of Productivity- More Profit for Mgt, more Money

& Better lives to Workers


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Taylors IDEAS Led to:6

Separate Discipline called Human Engg

It Studies, People At Work and Of Work

Methods Studies, Equipment Design, Pacing of

Work, Hours of Work, Environment of

Conditions of Work.Purpose: To Improve PRODUCTIVITY

& JOB SATISFACTION


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Post 30 Yrs Taylors Popularity Declined7

Found that Mgt. Problems Resulted of Human& not Mech. Factors

Taylors Approach Stressed:

Need for Techniques that ensure higher performanceat work

Eliminating unnecessary movements gave greater

importance to Technology than Men at work.Fragmentation of operation/ Mechanistic

conception at workled to Alienation, Frustration,

Conflicts, and loss of Production


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THE KNOWLEDGE INVITED

NEW THINKERS8

Douglas McGregor in U.S.A and Eric

Trist in U.K pointed out Best Results were obtained when

Human Beings were treated in Totality

of their Physical & PsychologicalCharacteristics


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The Knowledge Invited New Thinkers9

Henry Gantt, Frank & Lillian Gilbreth Modified

Taylors views:Gantt propoundedTask & Bonus System-

Hourly Guaranteed Rate + 20% on touching Std-

Output + High Pc-Rate for crossing Std-OutputFrank Gilbreth extensively used Motion Picture

of Task done analyzing Body movements, led to

Popular Laws of Efficient Motions

Lillian Gilbreth produced First Time a book

Psychology of Mgt- application of Psychology to

the Principles of Scientific Management


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(v) I ndl. Psychology & HR Era1

Psychologists EnteredIndl Mgt.,

for Systematic Study of Personnel

ProblemsDevelopment of Indl. Psychology

Owes to

Father of Indl. PsychologyHugo Munsterbergs

Book Psychology & Indl. Efficiency


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(v) TO THE I ndl. Psychology2

His Notable Contributions -AnalyzingJobs in terms of :

Mental & Emotional Requirements

Development of Testing Devises

Era Witnessed Advances in Areas of

Selection, Placement, Testing, Trg. &

Research Practices


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Indl. Psychology Introduced & Emphasized:

Matching Employees to JobsDiff Jobs need

Diff Skill & Abilities

Use of Personnel Testing, Interviewing,Attitude Measurement, Learning Theory, Trg.,

Failure & Monotony study, Safety, Job Analysis

and Human Engg. But Major Applications AreasRecruitment,

Testing for Employment, Job replacement,

Promotion & Trg


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Human Relation Movement Beganas an Outcome of Reaction Against

Impersonality of Scientific

ManagementTop Mgt. Personnel Realized

Human Resources Most Important

Valuable Assets

without which

other Resources are useless


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Experiments were Conducted

at

Hawthorne Works, Western Electric,

Chicago

byElton Mayo, Roethlisberger, Dickson

(Late1920s- Early 1930)


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As a Result of these Experiments:Employee Productivity Began to be Analyzed

in terms ofTeam Works, Participation,

Cohesiveness, Loyalty &Esprit De CorpseInstead of Engg. Terms

Triggered ENTRY ofSeveral Concepts

(Social system, Informal organisation, Groupcontrol of behavior, Equilibrium etc) into fields

of Personnel Mgt and Human Relations


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SCIENTIFIC MANAGEMENT

TREATED ORGANISATION

ASTECHNO-ECONOMIC SYSTEM

WHILE

HUMAN RELATIONS MOVEMENTVIEWED IT AS

SOCIAL SYSTEM


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(vi) The Behavioral Era1

Era IsAn Outgrowth of Human Relations

Studies

Began Around 1955

Major Impact LastedFor

10-15 YEARS


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Behavioral Sciences include :-

Sociology, Social Psychology, Psychology

Mathematical Biology, Medicine &

PsychiatryAnthropology, Economics, History,

Philosophy

RESEARCH IN THESE AREASCATERED SUBJECT MATTER TO

PERSONNEL MANAGEMENT


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Behavioral Scientists are Concerned with the:

Impact of *Methods of Pay and IndividualPerformance, Effect of * Diff. Leadership

Styles & Philosophy

on Total Org-PerformanceJob-designits Relationship to Personality

Growth;

Impact of *Diff. Appraisal Systems,* GroupInfluences and * Organization

Communications on Productivity & Change

Research Data used for Theor Buildin


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Three Popular Theories1. Theories of Motivation

Maslows Hierarchy of Needs -Higher

needs cannot be satisfied unless Lowers Are.

Herzbergs Two-factor Theory: Hygiene

/ Maintenance Needs (money, job,supervision, Working conditions) and

Motivators (Recognition, Advancement

Growth, Responsibility)


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2. McGregor formulated Two-Management Beliefs or Views

(Theory X& Theory Y).

Theory X (Traditional beliefs , HardApproach)strict supervision, coercion

and threat breed restriction of output

Theory Y ( Modern, Humanistic

Beliefs ,Soft Approach)


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Human Relation Approach Developed

Sound Mgt. Practices:-

2-Way Communication

Participative Decision Making,

Individual Goal Setting (MBO)

Informal Organizations

Treating Work Place a Social System Management Development

Management of change


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(vii) Personnel Specialist Era1

With introduction of Factory system,1000 of employees under one roof

were to be controlled to realize Org-

GoalsAdministrative office recruited

Clerks/Manual Employees responsible

to hire workers

Later concerned with the Recruitment,

Selection, & Placement


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Organization size grew:* Functions allottedto Full Time Manager

Separate Personnel Executives installed to

develop - Systematic Methods, Job Discipline,Job Description & Specifications

* Further Duties enlarged to cover

Employees Benefits & Services* Arrangements added to train existing

employeesTraining Manager appointed.


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(vii) Personnel Special ist Era3

Ultimately Many Specialists introduced-

Safety Experts, Physicians, Behavior

Researchers, Labor Relation Specialist etc

For Administrative & Org-Effectiveness -

All merged into a single Personal Manager

or Welfare Officer

Subsequently adding-Organizational

Planning, & Manpower Planning and

Selection, other significant problems

( Mgt of Managers, Mgt of Talent power)


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Change Emerged:High Talent Personnel were the key

Human Resources

Personnel Management -TURNED into

Present Day Economic Structure

Emphasis Now is on MANAGEMENTOF HUMAN RESOURCES

Todays Day Personnel Management


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Today s Day Personnel Management5

Entrusted with 3-Chief Responsibilities

1. To Assist Line Managers in ManningOrganization & Help Maintain Force at

Optimum level through:

*Recruitment, Induction, Placement

*Wage & Salary Admn

*Training Key NON-MGT Personnel*Admn. of Benefits & Allied Services

*Dev. of Employees Communication

Programs


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Todays Day Personnel Management6

2.To Provide Task Force to MGT. in theAreas of:

* Union-Mgt. Relations

* Mgt. of Staff Development Functions* Training for Key non-Mgt Personnel

* Development of Grievance procedure

Development of Personnel Policies

and Procedures


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Todays Day Personnel Management7

3.To Control Employee ServicesFunctions

* Housing, Transport

* Promotion of and Recreational

facilities

* Financial Aid to Employees* Educational Activities etc


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CONCLUSIVELY

Personnel Management Entrusted withMultiple Personnel Jobs

Changes were caused by Slow Cultural,

not By Drastic EventsSocial, Economic, Political, Techno-

Cultural Factors Influenced Nature &

Scope of Personnel Administration

History of P.M is Evolutionary and Not

Revolutionary


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THANKS

Prof. Pankaj Handa

IITM

E l ti HRM I di


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Evolution- HRM India 1

Indian experts account growthsince 1920

This period related to

post World War I- difficult conditionsthat

called for State intervention & TradeUnions.

E l i HRM I di


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The Royal Commission (1931)-

Recommended to appoint

Labor- Welfare Officer

forselection of workers & settling grievances

The Factories Act, 1948to appoint

compulsory Welfare officer

(For workers 500 & 500+)

E l i HRM I di


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In course of time: Two Professional

Bodies set up.

IIPM ( Kolkota ) & NILM (Mumbai),

premier Traditional IndustrialCenters.

Post II- World War & Indian

independence- witnessed increased

Awareness & Expectations of

workers


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During 1960s Personnel Functionbegan expanding beyond

Labor welfare

Personnel Administration

Labor welfare, Indl Relations

merged intoEmerging Profession

Personnel Management (PM)


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Shift in focus towardsProfessionalisation of MGT.-

Massive thrust to heavy industry

(II-Five Year Plan)

& accelerated public sector growth in

Indian economy1970s-Shift in Professional Values -

Focus from welfare to focus on Efficiency

E l ti HRM I di


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1980s-New Technologies, HRMchallenges, HRD - Talk of Professionals

1980s-IIPM and NILM merged,

National Institute of PersonnelManagement Born(NIPM)

1990- ASPM (USA) changed to Society

for Human Resource Management

1990s-Emphasis Shift to - Human

values & productivity thro people


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THANKS


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Human Resource Management

Definition

Meaning (Semantic)

Scope of HRM

Objectives & Functions


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HRM Term: 2

Relates to-People aspect in MgtImply Philosophy, Policies, and

Procedures & Practices relating to

management of people insideorganisation.

Getting peoples services, developing &

stimulating them to higher performance

for their commitment to the Org-

objectives.

5 E ti l C P i t


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5-Essential Core Points3

Definition MUST EMBRACE 5-core points

1. Organizations R People who staff & manage2. Mgt.Functions & Principles are applied in

Acquisitioning, Developing, Maintaining &

Remunerating employees3. Employees Related decisions be integrated /

consistent with all HR-decisions

4. Decisions to influence Org-Effectiveness.Effectiveness must cater to customers high

Quality Products/Services (reasonable price)

5. HRM functions valid to all Organizations

D id & St h DEFINITION


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David, & Stephen- DEFINITION4

HRM is concerned with the people dimension

in management. Since every organization is

made up of people, acquiring their services,

developing their skills, motivating them to

higher levels of performance, and ensuring that

they continue to maintain their commitment to

the organisation are essential to achieving

organizational objectives. This is true regardless

of organisation - government, business,

education, health, recreational, or social action


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Flippo - DEFINITION5

HRM is

planning, organizing, directing,

and controllingof the procurement, development,

compensation, integration, and separation

of human resources to the end thatindividual, organizational, and social

objectives are accomplished.


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DEFINITION6

Therefore

HRM refers to a set of

Programs, Functions, and Activitiesdesigned and carried out

in order to

maximizeboth Employee and Organizational

Effectiveness.


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HRM Semantic7

Meaning:Alike other disciplines,

HRM also face semantic problem

(of Two Meanings)i.e., two terms

Personnel Management (PM)

and HRM

These, basically differ in Scope &

Orientation

HRM Semantic


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HRM Semantic8

HRM views PeopleImportant assets for

benefit of Orgn-Employees-Society

HRM emerging as distinct

Mgt-Philosophy Promotes Policies onMutuality of-goals/respect/reward/ responsibilities

Mutuality- elicit commitment for

better Eco-performance & HRD

HRMintegrated to Strategic Mgt.

HRM latest term in evolution

HRM Semantic


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HRM Semantic9

PM - limited Scope & Orientation

Labor is used as tool, manipulate &

replaced when worn-out.

Per. Depttwas not respected, never hadvery-productive employees historically

Per. Function did routine hiring of new

employees & maintaining recordsPM was never considered part of Strategic

Mgt. of business


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HRM Semantic9A

DIFFERENCE BETWEENHRM & PM:

PLEASE REFER SHEET

HRD PM & I ndl Relations


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HRD, PM , & I ndl.Relations10

HRD- Trg & Development, CareerPlanning & Development, and O.D

are Part of HRM

Indl.Relations - Employees grievances,Settlement, Unionisation.

HRD ,PM, and Indl.Relations

are all PART of

HRM

Scope of HRM 11


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Scope of HRM11

The Scope is vast. All activities in the

working life of a worker- from the time of

his/ her entry till he/she leaves-come under

the purview of HRM.HR planning, Job Analysis & Design,Recruitment & Selection, Training &

Development, Performance Appraisal, Job=Evaluation, Employee Remuneration,

Motivation & Communication, Welfare,

Safety, Health, Indl. Relations


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Scope of HRM12

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