HUMAN RESOURCE MANAGEMENT

HRM Concept

Definition

Concept

Evolution and Relevance

HRM Functions

HRM in India and Global Scenario

Human Resource Policies

What is Management???

It is the art of getting Work done through other

People.

Management in business and organizations is

the function that coordinates the efforts of people

to accomplish goals and objectives using

available resources efficiently and effectively.

What is HR????

Human resources is the set of individuals who

make up the workforce of

an organization, business sector, or economy.

other terms sometimes used include

"manpower", "talent", "labour", or simply

"people".

HRM - Definition

It is defined as the art of procuring, developing and maintaining competent workforce to achieve the goals of an organization in an effective and efficient manner.

“HRM is the function performed in organizations

that facilitates the most effective use of people to

achieve organizational and individual goals.”

Definition

• HRM is planning, organizing directing and controlling of the procurement , development, compensation , integration, maintenance, and separation of human resources to the end that individual, organizational and social objectives are accomplished.

Core Elements of HRM

Organizations ------People ------ Management.The HRM process consists of planning, attracting,

developing, and retaining the human resources (employees) of an organization

Concept

Human resource management means

management of people at work. HRM is the

process which binds people with organizations

and helps both people and organization to

achieve each others goal. Various policies,

processes and practices are designed to help

both employees and organization’s to achieve

their goal.

Human resource management is branch of

management that deals with people at work, it is

concerned with the human dimensions of

management of the organization. As organization

consists of people, therefore acquiring them,

developing their skills, providing them motivation

in order to attain higher goal and ensuring that

the level of commitment is maintained are the

important activities.

Human Resources help in transforming the

lifeless factors of production into useful products.

They are capable of enlargement i.e capable of

producing an output that is greater than the sum

of inputs. Once they get inspired, even ordinary

people can deliver extraordinary results.

They can help an organization achieve results

quickly , efficiently and effectively.

Functions of HRM

Objectives: To help the organization reach its goals.

To employ the skills and abilities of the work force efficiently

To provide the organization with well trained and well motivated employees

To increase to the fullest the employee’s job satisfaction and self actualization.

To develop and maintain a quality work Life.

To communicate HR policies to all employees

To be ethically and socially responsive to the needs of the society.

It includes the personnel aspects of the management job, like

Conducting the job analysis

Planning labour needs and recruiting job candidates

Selecting job candidates

Orienting and training new employees

Managing wages and salaries

Providing incentives and benefits

Appraising performance

Conducting interviews, counseling, disciplining

Training and developing managers

Building employee commitment

Scope

The scope of HRM is Very wide

Personal Aspect: It is concerned with manpower planning, recruitment, selection, placement, transfer, promotion, training and development, lay off and retrenchment, remuneration, incentives, productivity etc.

Welfare Aspect: It deals with working conditions and amenities such as canteens, crèches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities etc.

Industrial Relations Aspect : This covers union –management relations, joint consultation, collective bargaining, grievance and disciplinary procedures, settlement of disputes etc.

Objectives of HRM

To help the organization reach its goals

To employ the skills and abilities of the work force

efficiently.

To provide the organization with well trained and well

motivated employees

To increase to the fullest the employee’s job satisfaction

and self actualization.

To develop and maintain quality of work life

To communicate the HR policies to all employees.

To be ethically and socially responsible to the needs of

society

Importance of HRM

At the enterprise level:

Good HR practices help in attracting and retaining the best people in the organization

It helps in training people for challenging roles, developing right attitude towards the job and the company, promoting team spirit, commitment etc

At the individual level:

It promotes team work and team spirit among employees

It offers excellent growth opportunities to people who have potential to rise

It allows people to work with diligence and commitment

At the society level:

Employment opportunities multiply

Scarce talents are put to best use.

History of Human Resource Management Industrial Revolution: machines are brought in the

production process, rapid progress in technology, jobs were more fragmented, specialization increased, but left workers with dull, boring , monotonous jobs. Govt. did very little to protect the interest of the workers

Scientific management: To improve efficiency and speed F W Taylor advocated scientific management. Scientific management is nothing but systematic analysis and breakdown of work into its smallest mechanical elements and reaaranging into most efficient combination. Improtance of training was also identified

Trade Unionism: Workers joined hands to protect against the exploitive tendency of employers and unfair labor practices. TU tried to improve work conditions, pay and benefits, disciplinary actions etc.

Human relations movement: After Hawthorne experiments conducted by Elton Mayo, productivity not only depends on rewards, and the job design but also on certain social and psychological factors also.. Human relations movement led to the implementation of behavioural science techniques in industry.

Human Resources approach: During early 60’s “pet milk theory” of human religionist's had been largely rejected(happy workers are productive or happy cows give more milk). It was recognized that workers are unique and have individual needs. The trend move towards treating employees as resources or assets emerged.

Evolution of concept of HRM

Concept What is it all about?

The Commodity

concept

Labour was regarded as a commodity to be bought and sold.

Wages were based on demand and supply. Government did

very little to protect workers.

The Factor of

Production concept

Labour is like any other factor of production, viz, money,

materials, land, etc. Workers are like machine tools.

The Goodwill concept Welfare measures like safety, first aid, lunch room, rest room will

have a positive impact on workers’ productivity

The Paternalistic

concept/ Paternalism

Management must assume a fatherly and protective attitude

towards employees. Paternalism does not mean merely

providing benefits but it means satisfying various needs of the

employees as parents meet the requirements of the children.

Cont…

The Strategic Role Of Human Resources Management

The Humanitarian

concept

To improve productivity, physical, social and psychological

needs of workers must be met. As Mayo and others stated,

money is less a factor in determining output, than group

standards, group incentives and security. The organization is a

social system that has both economic and social dimensions.

The Human Resource

concept

Employees are the most valuable assets of an organisation.

There should be a conscious effort to realise organisational goals

by satisfying needs and aspirations of employees.

The Emerging concept Employees should be accepted as partners in the progress of a

company. They should have a feeling that the organisation is

their own. To this end, managers must offer better quality of

working life and offer opportunities to people to exploit their

potential fully. The focus should be on Human Resource

Development.

Relevance of HRM

Change Management

Competence

Commitment

Congruence of objectives

Motivation

Functions of HRM

Managerial

Planning Organizing Staffing Directing Controlling

Operational

Employment HR Development Compensation MgtEmployee

Relations

HR Planning

Recruitment

Selection

Placement

Induction

Performance

Appraisal

Training

Management

Development

Career Planning

and Development

Job Evaluation

Wage and Salary Admn

Incentives

Bonus

Fringe Benefits

Human resource policies

Human resource policies are systems of codified

decisions, established by an organization, to

support administrative personnel functions,

performance management, employee relations

and resource planning.

Each company has a different set of

circumstances, and so develops an individual set

of human resource policies.

Personnel Procedures :

Sequence of Steps

Personnel Programs :

A plan of Action

Personnel Practices :

Style and Methods

Types of Policies

i. Functional or Organizational – policies which are grouped for different categories of personnel eg- for the mgmt dealing with planning, organizing & controlling etc.

ii. Centralized – are planned for companies with several locations and are formulated at the Head Office

iii. Major Policy – pertain to overall objectives, procedures and control which affect an organization as a whole. They are formulated by the Board of Directors and framework is established within which major executives for the remaining policies necessary to carry out the major objectives of an organization.

iv. Minor Policy- cover relationships in a segment of and organization with considerable emphasis on details and procedures.

HR Policies Originated Policies – established formally by top management

Appealed Policies – formulated on requests of subordinates who want to know handle some situations.

Imposed Policies – An organization accepts these policies due to external agencies like govt. trade association .

Eg.- Not to accept any one below the age of 14 according to the factories act.

General Policies – These policies do not relate to specific issues in particular

Specific Policies – Policies relating to specific issue like staffing compensation , collective bargaining etc.

Written or Implicit Policies – are inferred from behavior of managers.

CHARECTERSTICS

Related to Objectives

Easy to Understand

Precise

Stable as well as flexible

Based on Facts

Appropriate numbers

Fair and Equitable

Reasonable

Review