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hrm
1. HUMAN RESOURCE
MANAGEMENT
Based on Applicability:
HRM is planning, organizing directing and controlling of the
procurement , development, compensation , integration,
maintenance, and separation of human resources to the end that
individual, organizational and social objectives are accomplished.
Based on Integration :
HRM is a series of integrated decisions that form the employment
relationships; their quality contributes to the ability of the
organizations and the employees to achieve their objectives
What is HRM ??
2. HUMAN RESOURCE
MANAGEMENT
Based on Influencing :
HRM is concerned with the people dimensions management. Since
every organization is made up of people ,acquiring their services,
developing their skills , motivating them to higher levels of
performance and ensuring that they continue to maintain their
commitment to the organization are essential to achieving
organizational objectives.
3. EVOLUTION OF HRM
• A number of academics and practitioners in the past have contributed a
great deal to the development of HRM.
• The history of its development goes back to the early management
pioneers, robert owen (1771 – 1858) and charles babbage (1792 – 1871).
• Similarly, other developments such as the industrial revolution, the
principles of scientific management, the classical organization theory
and more recently, the behavioral science movement and the
organization development movement have influenced the development of
personnel management and hrm.
4. EARLY SCIENTIFIC MANAGEMENT
• The history can be traced back to the Origin of Personnel Management. In the
beginning of 18th century, many masons, carpenters, leather workers and people of
other crafts organized themselves into guilds.
• In the later part of 18th century, the Welfare Concept was developed by some prominent
family business houses in the UK.
• Industrial Revolution started from the late 18th century. Labor was treated as
commodity to be bought or sold. There was strict system of punctuality and rigorous
working rules.
5. SCIENTIFIC MANAGEMENT
• F.W. Taylor invented principles of scientific management in the 19th
century.
• He suggested to plan work and gave methods to maximize productivity and
minimize inefficiencies.
• In his studies, he explained less about humanization of workplaces and focused
more on output from the workers.
6. HUMAN RELATIONS MOVEMENT
• Elton Mayo and Fritz Roethlisberger investigated the causes of low
productivity different from Taylor’s perspective.
• The Hawthorne studies (1927 – 1932) laid the foundation for the
human relations movement and explain why human elements are
important to rise productivity.
7. THE HRM ERA
• It was by 1920s, personnel management began to taught at university level
in US.
• At the period of 1920s, a number of large companies established personnel
departments.
• During 1930 – 1950, many instances of exploitation of labor appeared.
• Subsequently, a labor relations movement in the form of Labour Unions and
collective bargaining emerged and remained successful during 1935 – 1960.
• Personnel department started to work in collaboration with union
representatives.
8. DIFFERENCES BETWEEN PM AND
HRM
PERSONNEL MANAGEMENT
• It focuses on personnel
administration, employee welfare
and labor relation.
• It deals with employees, their
payroll and employment laws.
• It is considered to be reactive.
• It focuses on administrating people
or employees.
• It is independent from an
organization.
HUMAN RESOURCE
MANAGEMENT
• It focuses on acquisition,
development, motivation and
maintenance of human resources.
• It deals with the management of the
work force, and contributes to an
organization’s success.
• It deals with developing personnel
management skills.
• It is stated to be proactive.
• The prime focus of hrm is to build a
dynamic culture.
• It forms an integral part of a
company or an organization.
9. ROLE
The Human Resources Department also covers five key roles.
Executive role – in this role the HR department are viewed as the specialists in the
areas that encompass Human Resources or people management.
Audit role – in this capacity the HR department will check other departments and
the organisation as a whole to ensure all HR policies such as Health & Safety,
Training, Staff Appraisal etc are being carried out in accordance with the
company’s HR policy.
Facilitator role – in this role, the HR department help or facilitate other departments
to achieve the goals or standards as laid out in the HR policies of the organisation.
This will involve training being delivered for issues that arise in the areas relating
to people management.
Consultancy role – the HR department will advise managers on how to tackle
specific managing people issues professionally.
Service role – in this capacity the HR department is an information provider to raise
awareness and inform departments and functional areas on changes in policy.
10. Challenges on HRM
GLOBALIZATION
Changing workforce
dynamics
Managing Diversity
Attitude towards
UNIONS
HR Trends
Balancing Work Life
With the increase in
competition, locally or globally,
organizations must become
more adaptable, resilient, agile,
and customer-focused to
succeed.
And within this change in
environment, the HR
professional has to evolve to
become a strategic partner, an
employee sponsor or advocate,
and a change mentor within the
organization.
11. Challenges on HRM
GLOBALIZATIO
N
Changing
workforce
dynamics
Managing
Diversity
Attitude towards
UNIONS
HR Trends
Balancing Work
Life
The globalization influences
the jobs that are available and
requires that organizations
balance a complicated set of
issues related to managing
people in different
geographies, cultures, legal
environments, and business
conditions.
HR functions such as staffing,
training, compensation, and the
like have to be adjusted to take
into account the differences in
global management.
12. Challenges on HRM
GLOBALIZATIO
N
Changing
workforce
dynamics
Managing
Diversity
Attitude towards
UNIONS
HR Trends
Balancing Work
Life
As we enter the 21st century,
workforce diversity has become
an essential business concern.
In the so-called information
age, the greatest assets of
most companies are now on
two feet (or a set of wheels).
Undeniably, there is a talent
war raging.
And no company can afford to
unnecessarily restrict its ability
to attract and retain the very
best employees available.
13. Challenges on HRM
GLOBALIZATIO
N
Changing
workforce
dynamics
Managing
Diversity
Attitude towards
UNIONS
HR Trends
Balancing Work
Life
Diversity is a potential
performance barrier.
(if we think in positive, then :
Diversity is a value added
activity)
There may be problem to
retain Employees…
Because of the perception of
the diverse employees
values and norms
15. Challenges on HRM
GLOBALIZATIO
N
Changing
workforce
dynamics
Managing
Diversity
Attitude towards
UNIONS
HR Trends
Balancing Work
Life
Moving Business Towards
globalization (going global)
- Increase in Competition
- Diversified work-force
Technological Innovation and
Change
Challenges on International
Human Resource
Management
Q : - what are the other HR trends
that are the challenges of HRM ?
16. Challenges on HRM
GLOBALIZATIO
N
Changing
workforce
dynamics
Managing
Diversity
Attitude towards
UNIONS
HR Trends
Balancing Work
Life
Employees have the
responsibility for their
parents and for the
organization (how they
balance?)
Managing work life and
personal life of employees is
challenging task for the HRD
Challenge on time
management (flexibility)
17. DUTIES AND RESPONSIBILITIES
• Recruitment procedure
• Hiring employees
• Training and developing employees
• Organization development
• Bridge for communication
• Employee performance
• Consultation for employees
• Advocating company policies
• Wages and benefits
• Teamwork and team spirit
• Relations amongst employees
• Significance of strategies
18. HR FUNCTIONS
The main functions of human resource management are classified
into two categories:
(a) Managerial functions and
(B) Operative functions
19. FUNCTIONS OF HRM
Managerial function
• Planning
• Organizing
• Directing
• Controlling
Operational function
• Employment
• Human resources development
• Compensation
• Human relations
• Industrial relations
• Recent trends in HRM
21. CONT..
• Existence of multiple stakeholders within the organization.
• Stake holders includes share holders, employees, government, and community at
large.
• This model emphasizes more on the fact that employees like any other shareholder
are equally important in influencing organizational outcomes.
• Employee influence is recognized through people motivation and the development
of an organization culture based on mutual trust and team work.
• The outcomes from such a set up are soft in nature as they include high
congruence, commitment, competencies etc.
• The achievement of the crucial hr outcomes has got an impact on long term
consequences, increased productivity, organizational effectiveness which will in
turn influence shareholder interests and situational factors hence making it a
cycle.
• It is thus important to note that the harvard model is premised on the belief that it
is the organization’s human resources that give competitive advantage through
treating them as assets and not costs.
23. CONT..
• The matching aspect of this model demonstrates that the model is inclined towards the
harder side of HRM.
• The matching model emphasizes more on “tight fit” between the hr strategy and the
business strategy.
• It demands that available human resources must be matched with jobs in the organization.
• The hr strategy must be highly calculative in terms of the quantity of the human resources
required to achieve the objectives enshrined in the business strategy.
• Business strategy takes the central stage in this model hence human resources are taken
like any other resource which must be fully utilized together with the other resources to
achieve organizational objectives.
• The point of departure in the michigan model is the pre-eminence and pre-dominance of a
business strategy, which must strictly be achieved by the available resources regardless of
whether, they are able to do so or not.
• In fact the business strategy must be achieved through minimum labour costs enhanced by
structural re-organization, performance related pay and staff reduction.
25. WARWICK MODEL
This model was developed by 2 researchers, hendry & pettigrew of university of
Warwick.
It is classified into 5 elements :
• outer context ( macro environmental forces)
• Inner context ( firm specific or micro environmental forces)
• Business strategy
• HRM context
• HRM content
The strength of the model is that it identifies & classifies important environmental
Influences on HRM.
It maps the connection between the external & environmental factors & explores how
Hrm adopts to changes in the context.
27. CONT..
• Purpose: it involves all the elements that constitute the strategic intention of
the organization. This includes the organization’s mission, vision, goals,
and objectives, as well as strategies for achieving the vision and mission.
Strategies drive structure “processes and principles” should be aligned with
purpose.
• Principles: they are the guiding philosophies, assumptions, or attitudes about
how the organization should operate and conduct business. They are the
integrity base, ethics, and core values to which employees are expected to
make a commitment when they are hired. These core values are the
foundation for the way decisions are made and employees behave.
• Processes: it is the organizational structures, systems, and procedures that
are used to make the products or perform the services that the organization
provides, as well as the infrastructure and rules that support these systems
and procedures. Performance appraisal methods, communication patterns,
and production systems are examples of processes.
28. CONT..
• People: they are the employees (individuals and teams) who perform work
that is consistent with the principles and processes of an organization to
achieve its purpose. They are the active components through which work
results are accomplished. Purpose, principles and processes must be in
place before people can be consistently effective to achieve excellence.
• Performance: it encompasses all the metrics, measurements, and expected
results that indicate the status of the organization and are used as
criteria for decision making. Performance results are fed back into the
strategic management process to provide a means of feedback and
control. Effective performance will result in long-term survive and
profitability.
30. CONT..
• This model is a fusion of aspects that resemble both a hard and a soft
approach of HRM.
• Guest proposes 4 crucial components that underpin organizational
effectiveness. They are:
• Strategic integration: this is the ability of organizations to maintain a fit
between the hrm strategy and the business strategy. Strategic integration
shows the harder side of the guest model. This is precisely because human
resources are treated in a similar manner like any other resource with the
prime goal of achieving business objectives. Thus there are implications of
labour exploitation.
• Flexibility: it is basically concerned with the ability of the organization and
its people to adapt to the changing business and work environment and to the
capacity to manage innovation.
31. CONT..
• High commitment: it is concerned with the need to have both behavioral
commitment, which is the ability to go an extra mile, and attitudinal
commitment, which is reflected through a strong identification with the
organization.
• Quality: quality is based on the assumption that provision of high
quality goods and services results from a quality way of managing
people.
