Definitions“Human resource or manpower management effectivelydescribes the process of planning and directing the application,development and utilization of human resources in employment” –Dale Yoder.“HRM is that part of management process which is primarilyconcerned with the human constituents of an organization” –E.F.L.Brech.“The personnel function is concerned with the procurement,development, compensation, integration and maintenance of thepersonnel of an organization for the purpose of contributing towardsthe accomplishment of that organisation’s major goals or objectives”– Flippo.cont’d…
“It is the field of management which has to do withplanning, organizing, directing and controlling the variousoperative functions of procuring, developing ,maintaining and utilizing a labour force for the attainmentof the company’s objectives” – Prof. Jucius. “It is that part of the management function which isconcerned with people at work and with their relationshipwithin an enterprise. Its aim is to bring together anddevelop into an effective organization the men andwomen who make up an enterprise and having regard tothe well-being of an individual and of working groups, toenable to make their best contribution to its success” –The British Institute of Personnel Management.
FunctionManagerial functionsOperative function
Human Resource• Peculiar Characteristics• Exist• Lives• Created the other resources• Commitment, devotion, enthusiasm,energy, interest, intelligence,• Creative
Nature of Human Resource Management It is universally relevant It is goal-oriented It adopts a systematic approach in handling themanpower resource It is pervasive in nature It is an on-going activity It is a dynamic field of activity It focuses on the development of manpowerresource It is a Science as well as an Art It is inter disciplinary It is relatively new
Importance/role of Human Resource Management(HRM) Identify correctly its manpower needs Right man for the right job Development of the skill of every individual Appraisal Incentives Employee attitude Good human relations Collective bargaining
The Role of a Human Resource ManagerCounsellingAct as a linkEmployees get what is due to themSpokesmanIntroduce any changeAdvise the line Managers
Qualities of a Human Resource Manager Good Communication Skills Creative Analyse any problem objectively Inspire, induce and motivate Leadership qualities Friendly and approachable Fair and honest Make decisions independently Curious always. Dynamic Person Good Memory
Objectives of Human Resource Management• To make an optimum utilisation of the humanresource of the organisation• To ensure that the organisation has the requirednumber staff• To establish and maintain a sound organisationstructure• To reconcile personal and organisational goals• To provide scope for the development of personnel• To ensure that the employees have higher jobsatisfaction• To provide scope for participation in decision-making
Human Resource AuditMeaningHuman Resource Audit (HR Audit) isconcerned with the examination andevaluation of the policies, proceduresand practices with reference to thehuman resource of the organisation. Itis a periodic review to measure theefficiency and effectiveness of humanresource management.
Objectives of HR Audito To review the entire system of procuring,developing, allocating and utilising the humanresources in an organisationo To seek explanation on any matter pertaining to thehuman resource of the organisation.o To evaluate the extent of implementation of thehuman resource policies and programmeso To evaluate the performance of the staff lookingafter the HRM function.
IMPORTANCE OF HR AUDITDue to theImportance ofthe humanresource itselfTo face anyfutureenquiryTo meet thechallenges oftrade unionsTo havecontrol overcost of labourTo improve theperformance ofhuman resource
Human ResourceManagement FunctionQualitative Indicators1. Procurement2. Development3. Compensation4. Integration5. MaintenanceQuality of HR planning, Job Specification, Source ofRecruitment, Selection Procedure.Type of Training, Management DevelopmentProgramme, performance Appraisal Methods,promotion Criteria, Career Planning.Method of Job Evaluation, Methods of Wage Payment,Type of Incentives, Fringe Benefits, Union Demands.Handling of Grievances and Conflicts, Measures takento ensure Discipline and a high level of Morale,Employees’ participation in decisions.Steps taken to provide Job Satisfaction, Measuresadopted to control labour turnover.Qualitative Indicators for HR Audit
Human ResourceManagement FunctionQuantitative Indicators1. Procurement2. Development3. Compensation4. Integration5. MaintenanceTime taken to fill up vacancies, Ratio of Vacancies toNumber of Posts, Number of Employees recruitedduring the year.Duration of each Training Programme, Number ofTrainees in every Programme. Productivity Increase.Pay differentials, Number of employees earning bonusand other incentives.Level of Morale, Grievances and Conflicts, Rate ofAbsenteeism.Level of Job Satisfaction, Rate of Labour Turnover.Quantitative Indicators