MBA 103 - Human Resource

Management


What is HRM?
Human people

Resource assets/costs for organizations

Management co-ordination and control to
achieve set goals.

But humans, unlike other resources in the context of
work and management, cause problem.
According to Edwin B. Flippo
Personnel or human resource management
is the planning, organizing, directing and
controlling of the procurement, development,
compensation, integration, maintenance of
human resource to the end so that individual,
organizational and societal objectives are
accomplished.
According to National Institute of
Personnel Management of India
Personnel management is that part of
management that concern with people at
work and with their relationship within the
organization
HRM/ Personnel management describes the
process of planning & directing, development
& utilization of human resource in
employment. According to Dale Yoder
HRM is a broad concept
PM & HRD are the part of HRM
PM is a routine oriented administrated function;
HRM places on a continuous development of
people at work.
PM is reactive & responds to the demands of
an organization whenever they arise. HRM is
proactive & not only concerned with present but
anticipates future needs & act accordingly.



HRM is more proactive than Personnel
Management.


PM emphasize on economic rewards &
traditional job design but HRM focuses on
satisfaction of higher needs for motivating
people like challenging jobs, creativity etc

HUMAN RESOURCE MANAGAMENT
Managing people at work
Process of acquiring, training,
appraising, and compensating
employees and of the labor
relations, health-n-safety, and
fairness concerns.

IT INCLUDES:
Conducting job analysis
Planning labor needs and recruiting
Selecting candidates
Orienting and training
Managing wages and salaries
Appraising performance
Communicating- interviews, counseling,
disciplining
Building employee commitment

Nature of HRM
Continuous process
Flexible
People oriented
Development oriented
Futuristic
Pervasive
Multi-disciplinary
Action oriented
It is a process (planning,
organizing, directing &
controlling)
Integrating mechanism

Scope of HRM
HR planning
Personnel
Job analysis & design
Research & Development
Orientation & Placement
Training & development
Industrial relations
Safety & welfare
Performance Appraisal & Job evaluation
Motivation & communication

Societal objectives
Personal
Functional
Organizational

HRM Objectives
Specifically HRM objectives have 4
folds-
Personal Objective ( To assist employees in
achieving their personal goals)

Functional Objective (To maintain deptts
contribution at appropriately to organization needs)

Organizational Objectives ( To recognize the role of
HRM in bringing about organizational effectiveness.)

Societal objectives (To be ethically & socially
responsible)

HRM Objectives
To help the organization attain its goals by providing well trained
and well motivated employees

To utilize the skills and knowledge of employees efficiently and
effectively

To established and maintain productive working relationship
among all the members of the organization

To bring about maximum individual development of members of
the organization by providing opportunities for their carrier
development

To maintain high morale and good human relations within the
organization
Importance/ Need of HRM
Attract and Retain talent (employees)
Generate development opportunities
Increase productivity
Improve job satisfaction
Develop competencies
Train people for new and challenging roles
Develop loyalty and commitment


Functions

Managerial functions

Operating functions
Functions
Managerial
Planning Organizing Directing Controlling
Operative Functions
1 Procurement : job analysis, HRP, Recruitment &
selection, placement and induction
2 HR Development: Performance and potential
appraisal, training, management development,
career planning and development
3 Compensation: job evaluation, wage and salaries
administration, bonus, social security measures,
fringe benefits etc..
4 Human Relation Maintenance function, Integration,

Motivating the employees, developing
communication, leadership skills, redressing
employee grievances, handling disciplinary
cases, counseling the employees.
History of HRM
Industrial Revolution- Jobs
fragmentation, more stress on work
specialization
Scientific Management- More emphasis
was laid on the increase in efficiency and right
person for the right job. Employees were
trained carefully by supervisors to ensure that
they performed the task exactly as specified
by prior scientific analysis.
History
'Scientific management', created an
inevitable tension between the rights
and expectations of workers and
management's need to gain ever
greater quality and cost-effectiveness.
History
Labor unionization- Workers started
coming together. They started their Union
activities for getting good benefits; good
pay, perks and improved welfare conditions.
Humane Factor- The fact that apart from
economic incentives, human beings need
satisfaction of social and psychological
needs were realized and stressed upon.
History
Human relations- Work performance did not
depend simply on pay and discipline. The
Hawthorne experiments paved way for this
thought.
Human relation movement led to wide scale of
implementation of behavioral science
techniques in Industry for the 1
st
time.
Human Resource Approach- it says that
happy workers are productive workers.
Period Development
status
outlook Emphasis Status Roles
1920- 30 Beginning Pragmatism
of capitalist
Statutory,
welfare
clerical Welfare
Administrator
1940-60 Struggling for
recognition
Technical
legalistic
Introduction
of
techniques
Administrative Advisor
Mediator
Appraiser
1970-80 Achieving
sophistication
Professional
Legalistic
Impersonal
Regulatory
conforming
Managerial Change Agent
Integrator
Trainer
1990s Promising Philosophical Human
Values
Executive Coach
Mentor
Problem solver
Counselor
Tabular Data on Growth Of HRM
Growth of HRM in India
Early roots of HRM in India started after 1920.

The Royal commission on labor in 1931
suggested the appointment of labor officers to
protect worker's interest & act as a
spokesperson of labor.

After Independence, the Factories Act 1948,
made it obligatory for factories employing 500.
In legal compulsions, welfare officers busy
with routine functions.

Meanwhile two professional bodies,- The
Indian Institute of Personnel Management
(IIPM) Calcutta & The National Institute of
Labor Management (NILM) Mumbai have
come into existence in 1950s.
In 1960s emphasis was on striking a
harmonious balance between employee
demands & organizational requirement.
In 1990s emphasis shifted to human values &
productivity through people.
The American Society for Personnel
Administration (ASPA) was re-named as the
society for HRM(SHRM)
Organization of HR Department
1. Director HRM

Manager personnel
Manager Administration
Manager HRD
Manager Industrial Relation
Manager personnel
HRP

Hiring

Grievance Handling

Compensation
Manager Administration
Canteen

Medical

Welfare

Transport

Legal

Manager HRD
1. Appraisals
2. T & D
Human Resource Development
HRD is the process of increasing the
knowledge, skills and capacities of all the
people in a country
Concerned with human welfare
Identification of employees potential
Developing core competencies