Meaning of HR/Definition• “The total knowledge, skills,creative abilities, talents and aptitudes of an organizations workforce as well as the value attitudes and beliefs of the individuals involved”
Meaning of HRM• HRM refers to a set of programmes, functions and activities designed and carried out in order to maximize both employees as well as organizational effectiveness.• HRM means employing people,developing their resources,utilising,maintaining & compensating their services in tune with the job and organisational requirements with a view to contribute to the goals of the organisation,individual & the society.
Definition• HRM can be defined as managing the functions of employing, developing & compensating human resources resulting in the creation & development of human relations with a view to contribute proportionately to the organizational, individual & social goals.
NATURE OF HUMAN RESOURCES• Complex Dynamisma. Economicb. Physiologicalc. Psychologicald. Sociologicale. Ethical BeingsSocial SystemChallenging Task
Features of HRM• HRM is concerned with employees both as individual & as a group in attaining goals.• It is concerned with the development of human resources• HRM covers all levels & categories of employees• It applies to the employees in all types of organizations in the world.• HRM is a continuous & never ending process.• It aims at attaining the goals of organization.• Organizational goals
• Individual employee goals• Goals of society• HRM is a central sub-system.• It is concerned mostly with managing human resources at work.
Functions of HRMManagerial Functions Operative Functions Employment Planning Human Resources Organizing Development Compensation Directing Human Relations Controlling Industrial Relations Recent trends in HRM
HRM as a Central Sub-System Marketing Finance Materials HRM Technology Information Production
4.HUMAN RELATIONS5.INDUSTRIAL RELATIONS6.RECENT TRENDS IN HRM
Differences B/W P.M and HRMDIMENSIONS PM HRMEmployment Careful delineation of Aim to be ‘beyondContract written contracts contract’ ‘can do’ outlookRules Importance of devising Impatience with ‘rule’Guide to Clear rules/mutuality ‘Business need’management proceduresactionBehaviour Norms/customs & Values/missionreferent practiceNature of Pluralist UnitaristrelationsConflict Institutionalized De-emphasised
DIMENSION PM HRMKey relations Labour management customerCorporate plan Marginal to Central toSpeed of decision slow FastManagement role transactional Transformational leadershipKey managers personnel General/business/line managerscommunication indirect Directstandardization high LowJob categories & grades Many Fewcommunication Restricted flow Increased flowJob design Division of labour Team workTraining & development Controlled access to courses Learning companies
ORGANISATION OF HR DEPARTMENT• Two issues –Place of the HR department in the overall set up –Composition of the HR department itself • HRM in a small scale unit • HRM in a large scale unit• Composition of a HR/Department
HRM in a small scale unit Owner/managerProduction Sales Office accountant manager manager manager Personnel assistant
HRM in a large scale unit Chairman & managing Director Director Director Director Director Directorproduction Personnel/H Finance Marketing R&D RM
Composition of a HR/Personnel Department Director-personnel/HRMManager Manager Manager HRD Manager HRPersonnel Administration HRP PR Appraisal Training & Hiring Canteen Development Grievance Medical Handling Compensation Welfare Transport Legal
PERSONNEL POLICIES AND PRINCIPLES• HRM policies as “a set of proposals and actions that act as a reference point for managers in their dealings with employees”.• “personal policies constitute guides to action. They furnish the general standards on which decisions are reached. Their genesis lies in an organizations values, philosophy, concepts and principles”.
A few specific personnel policies are:-• Policy of hiring people• Policy on terms & conditions of employment• Policy with regard to medical assistance• Policy regarding housing, transport, uniform & allowances.• Policy regarding training & development• Policy regarding industrial relations
FORMULATING POLICIESThere are 5 principal sources for determining thecontent & meaning of policies:-Past practice in the organization.Prevailing practice in rival companies.Attitude & philosophy of founders of the company as also its directors & the top management.Attitude & philosophy of middle and lower managementThe knowledge & experience gained from handling countless personnel problems on a day- to-day basis.
Why adopt policies?• The work involved in formulating personnel policies requires that the management give deep thought to the basic needs of both the organization & the employees.• Establish policies ensure consistent treatment of all personnel throughout the organization. Favoritism & discrimination are, thereby minimized.• Continuity of action is assured even though top- management personnel change.• Policies serve as a standard of performance.• Sound policies help build employee motivation & loyalty.• Sound policies help resolve intrapersonal, interpersonal & intergroup conflicts.
PRINCIPLES• Principle of individual development to offer full & equal opportunities to every employee to realize his full potential.• Principle of scientific selection to select the right person for the right job.• Principle of free flow of communication• Principle of participation to associate employee representative at every level of decision making.• Principle of fair remuneration
• Principle of incentive• Principle of dignity of labour• Principle of labour management• Principle of team spirit• Principle of contribution to national prosperity
CHALLENGES OF HRM• Globalization• Corporate re-organizations• New organizational forms• Changing demographics of work forces• Changed employee expectation• New industrial relations approach• Renewed focus on people• Managing the managers• Interests of the weaker sections of society.
HRM MODEL HR Planning Job Analysis Recruitment Selection PlacementTraining & Development Remuneration MotivationParticipative Management
Communication Safety & Health Welfare Promotions Industrial Relations Trade UnionismDisputes & Settlement Future of HRMEthical Issues in HRM
Careers in HRM• Supervisors/officer Level• Junior Management Level Jobs• Middle Management Level Jobs• Senior Management Level• General Management Level
Organization Design & Line & Staff RelationshipsSteps in Designing Organizational Structure External Environment Overall aims & purpose of the enterprise Objectives Activities Decisions to be taken across horizontal & vertical dimensions Relationships Organization structure Job structure Organization climate Management Style Human Resources