The document outlines the evolution of human resource management (HRM) from the pre-industrial era to the present day. It traces the development of HRM from an absence of formal functions in the 1400s-1700s, to the industrial revolution where workers were replaced by machines. Formal HRM emerged in the 1900s with scientific management and welfare programs. The human relations movement of the 1920s-1950s focused on sociological and psychological factors. Personnel management developed between the 1930s-1970s alongside increased unionization and legislation. From the 1960s quality of work life programs aimed to improve employee performance and relationships. The modern HRM function focuses on maximizing employee and business performance through contemporary practices from the

1. Evolution
of
HRM
Group 2
Akanksha
Bansal
Atul Kumar
Mishra
Kartik
PGDM-HR 2011-
2013
Internationa

2. The Early Days:
Pre- Industrial Era
(1400-1700s)
•Absence of any formal HRM function
in organizations
•Cessation of feudalism
•Shift from agricultural to commercial based
economy
•Development of putting out or domestic
system

3. • Shift from agricultural society to industrial
society.
• Replaced human effort and workers skill by
machines.
• Autocratic rule was followed.
• Total neglect of the human effort.
Industrial
Revolution and the
Factory System
• Set the stage for partnership and business
enterprise.
• To improve the production size and
technology.
• No improvement in human resource
management.
The emergence of
Modern Corporation
and Managerial
Capitalism

4. • Science, not the rule of thumb & Co-
operation not individualism .
• Maximum output, in place of restricted
output & Each worker gets compensated
according to their output.
• SM represented a new attitude towards
management & Functional Management
as a part of SM.
Scientific
Management,
Welfare Work &
Industrial
Psychology
• Scientific personnel administration and
centralizing.
• Labour turnover increased & Labour
shortage, increased wages and demand for
employees for war production.
• In UK and USA firms established personnel
departments in between 1920 & 1950.
• Unsystemised HRM practices.
World War 1 &
The emergence of
HRM as a
profession
(1911-1914)

5. • Associated with Elton Mayo and Fritz
Roethlisberger.
• An alternative and opposite approach to
scientific management.
• Importance of sociology and psychological
aspects on productivity
The Human
Relations
Movement
• Golden Age of IR: Focus shifted towards
the industrial relations function.
• Increased need for the practice of HRM as
a result of growth in union and federal
legislations.
• Social security means initiated : the Norris-
LaGuardia act, National Labor Act (NLRA)
and Wagner Act(1935).
The Personnel
Management
Maintenance (1935-
1970)

6. • HR as an asset and not a liability
• Policies and practices implemented to
maximize the performance of both
employee and the firm.
Quality of
Work Life Era
(1960s-1970s)
• Fall in Private sector unionism
• Building employer-employee relationship
• Use of TOTAL QUALITY MANAGEMENT
The Emergence of
Contemporary HRM
Function
(1970s-Present)

7. Pre- Industrial Era
(1400s-1700s)
Industrial Revolution &
Factory System
Modern Corporation &
Managerial Capitalism
Scientific Management,
Welfare Work & Industrial
Psychology
World War I & HRM as a
profession
Human Relations Movement
Personnel Management
Maintenance
Quality of Work Life Era
(1960s-1970s)
Contemporary HRM
Function
HRM
Evolution
Ladder

8. HR in 2020
However HR develops,
understanding its
customer & segmenting
services will determine
its success Understanding your
workforce enables HR
to add value to business
both now and in the
future
Technology adoption
rate will increase and
Social Media is here to
stay
HR capability need to
be raised to enable it
to support the
strategic aspects of
business
Lessons learnt from
other’s experience will
enable organizations to
jump steps on their
evolution
HR has considerably
evolved over the past
ten years

9. Thank
You!