HUMAN RESOURCE MANAGEMENT (HRM)
The Management Process
Planning
Controlling Organizing
Leading Staffing
Human Resource Management at Work
• What Is Human Resource Management (HRM)?
The policies and practices involved in carrying out the “people” or human
resource aspects of a management position, including recruiting,
screening, training, rewarding, and appraising.
• Basic HR Concepts
The bottom line of managing- Getting results
HR creates value by engaging the human resource in activities that the
company needs to achieve its strategic goals.
Human Resource Management at Work
Acquisition
Fairness Training
Human
Resource
Management
Health and
(HRM) Appraisal
Safety
Labor Relations Compensating
Nature of HRM
• HRM Consists of people related functions
• Building of Human Capital
• Alignment of HR Policies and practices with organisation
strategies
• Application of Management Principles
• Motivating employees to generate value to the organisation
• Applicable to Non-business organisation too
Scope of HRM
• Personnel Aspect:
Manpower Planning
Recruitment
Selection
Placement
Transfer
Promotion
Training and Development
Lay off and Retrenchment
Remuneration
Incentives
Productivity
Scope of HRM
• Welfare Aspect
Working conditions
Amenities such as canteens, creches, rest and lunche rooms
Housing
Transport
Medical Assistance
Education
Health and safety
Recreation facilities
Scope of HRM
• Industrial Relation Aspect
Covers union management relations
Joint consultation
Collective Bargaining
Grievance and Disciplinary procedures
Settlement of disputes
Objectives of HRM
• Societal Objectives: To ensure that the organisation becomes
ethically and socially responsible
• Organisational Objectives: To assist the organisation to reach its
primary objectives and bring about organisational effectiveness.
• Functional Objectives: To maintain the department’s contribution
at a level appropriate to the organisation’s needs.
• Personal Objectives: To assist the employees in achieving their
personal goals
HRM Objectives & Functions
HRM Objectives Supporting Functions
1. Societal Objectives 1. Legal Compliance
2. Benefits
3. Union- Management Relations
2. Organisational Objectives 1. Human Resource Planning
2. Employee Relations
3. Selection
4. Training & Development
5. Appraisal
6. Placement
7. Assessment
3. Functional Objectives 1. Appraisal
2. Placement
3. Assessment
4. Personal Objectives 1. Training & Development
2. Appraisal
3. Placement
4. Compensation
5. Assessment
Importance of HRM
• At the enterprise level:
• Good human resource practices can help in attracting and
retorting the best people in the organization.
• Planning alerts the company to the types of people the company
will need in the short, medium and long run.
• It helps in training people for challenging roles, developing right
attitudes towards the job and the company, promoting team spirit
among employees and developing loyalty and commitment
through appropriate reward schemes.
Importance of HRM
• At the individual level: Effective management of human
resources helps employees thus:
• It promotes team work and team spirit among employees.
• It offers excellent growth opportunities to people who have the
potential to rise.
• Employment opportunities multiply.
Importance of HRM
• At the society level: Society, as a whole, is the major
beneficiary of good human resource practices.
Employment opportunities multiply.
Scarce talents are put to best use.
Companies that pay and treat people well always race ahead of other
and deliver excellent results.
Importance of HRM
• At the National level:
• Effective use of human resources helps in use of natural,
physical and financial resources in a better way.
• People with right skills, proper attitudes and appropriate values
help the nation to get ahead and compete with the best in the
world leading to better standard of living and better employment.
Line and Staff Aspects of HRM
• Line manager
A manager who is authorized to direct the work of subordinates and is
responsible for accomplishing the organization’s tasks.
• Staff manager
A manager who assists and advises line managers.
Line Managers’ HRM Responsibilities
1. Placing the right person on the right job
2. Orientation for new employees in the organization.
3. Training employees for jobs that are new to them
4. Improving the job performance of each person
5. Gaining creative cooperation and developing smooth working relationships
6. Interpreting the firm’s policies and procedures
7. Controlling labor costs
8. Developing the abilities of each person
9. Creating and maintaining department morale
10. Protecting employees’ health and physical condition
Human Resource Specialties
Recruiters
Employment/
Human
Industrial
Resource
Relations
Development
Specialist Human Specialists
Resource
Specialties
Training
Job Analysts
Specialists
Compensation Employee
Managers Welfare Officers
The Changing Environment of
Human Resource Management
Globalization Trends
Technological Trends
Changes and Trends
in Human Resource
Management
Trends in the Nature of Work
Workforce Demographic Trends