2. 2
Definition of Human Resource Management
Edwin Flippo defines HRM as- “planning, organizing,
directing, controlling of procurement, development,
compensation, integration, maintenance and separation of
human resources to the end that individual, organizational and
social objectives are accomplished”
According to French Wendell – “Human Resource
Management is the recruitment, selection, development,
utilization of and accommodation to human resources by
organizations.”
According to Gary Dessler – “Human Resource Management
is the process of acquiring, training, appraising, and
compensating employees, and attending to their labour
relations, health, safety and fairness concerns.”
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Objectives of Human Resource Management
1. Organizational Objectives:
HRM is a means to achieve efficiency and effectiveness. It
serves other functional areas, so as to help them to attain
efficiency in their operations and attainment of goals to attain
efficiency. Acquiring right man for the right job at right time
in right quantity, developing through right kind of training,
utilizing the selected workforce, and maintaining the
workforce are the organizational objectives of HRM.
Succession planning is an important issue to be taken up as a
contemporary organizational objective.
2. Functional Objectives:
HRM performs so many functions for other departments.
However, it must see that the facilitation should not cost more
than the benefit rendered.
4. 4
3. Personal Objectives:
In today’s world there is shortage of requisite talent.
Employees are encouraged by competitive firms to change the
jobs. HRM has the responsibility to acquire, develop, utilize,
and maintain employees. This would be possible only when the
HRM helps employees to achieve their personal goals to get
their commitment. Creating work-life balance for the
employees is a personal objective.
4. Societal Objectives:
HRM must see that the legal, ethical, and social environmental
issues are properly attended to. Equal opportunity and equal
pay for equal work are the legal issues not to be violated. To
take care of farmers (whose land has been acquired for the
factory) and tribal’s (who are displaced by industries and
mining companies) are the ethical issues.
5. 5
Functions of Human Resources
1. Human resource planning
2. Recruitment & Selection
3. Performance Management
4. Learning and Development
5. Function Evaluation
6. Rewards
7. Industrial Relation
8. Employee participation &
communication
9. Health & Safety
10.Administrative Responsibility
6. Basis of Difference Personnel
Management
Human Resource
Management
Meaning It is traditional
approach of managing
people at workplace
and is concern of
personnel department.
It is modern approach
of managing people at
workplace and is
concern of managers
of all level (from top to
bottom).
Focus Efficient management
is given priority.
Human values and
individual needs are
given priority.
Function Personnel
administration, labor
relation and employee
welfare are major
functions of personnel
management.
Acquisition,
development,
utilization and
maintenance of human
resource are major
functions of human
resource management.
7. Basis of Difference Personnel
Management
Human Resource
Management
Objective It manages people in
accordance with
organization’s goal.
It determines human
resource needs and
formulate policies by
matching individual’s
needs with
organization’s needs.
Job design Jobs are designed on
the basis of division of
labor.
Jobs are designed on
the basis of teamwork.
Orientation It is discipline, direction
and control oriented.
It is development
oriented. It provides
space for employee
involvement,
performance and
growth.
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Features of Employer-Employee Relations
1. Employer-employee relations are the outcome of the
employment relationship in industry. These relations
cannot exist without the two parties—employer and
employees.” It is the industry which provides the setting
for employer-employee relations.
2. Employer-employee relations include both individual
relations as well as collective relations. Individual relations
imply relations between employer and employees. Collective
relations mean, relations between employers’ associations
and trade unions as well as the role of the State in regulating
these relations.
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3. The concept of employer-employee relations is complex
and multi-dimensional. The concept is not limited to
relations between trade unions and employer but also extends
to the general web of relationships between employers,
employees and the Government. It covers regulated as well
as unregulated, institutionalized as well as individual
relations. These multi-pronged relationships may be in
organized or unorganized sector.
4. Employer-employee relations is a dynamic and developing
concept. It undergoes change with changing structure and
environment of industry. It is not a static concept. It flourishes
or stagnates or decays along with the economic and social
institutions that exist in a society. The institutional forces give
content and shape to employer-employee relations in a
country.
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5. Several parties are involved in the employer-employee
relations system. The main parties are employers and their
associations, employees and their unions, and the
Government. These three groups interact within the
economic and social environment to shape the employer-
employee relations system.
6. The main purpose of employer-employee relations is to
maintain harmonious relationships between management and
labour. The focus in these relationships is on accommodation.
The parties involved develop skills and methods of adjusting
to or cooperating with each other. They also attempt to solve
their problems through collective bargaining. Every employer-
employee relations system creates a complex set of rules,
regulations and procedures to govern the workplace.