MODULE-1
HUMAN RESOURCE
MANAGEMENET
Human resource management is to
make the most productive use of
human resource to the greatest
benefits of the organization and
individuals.
Human Resources
• According to Leon C.Megginson, the term human
resources can be thought of as “the total knowledge,
skills, creative abilities, talents and aptitudes of an
organization's workforce, as well as the value, attitudes
and beliefs of the individuals involved”.
Personnel management
Michael J. Jucius defined Personnel Management
as “the field of management which has to do with
planning, organizing, directing & controlling the
functions of procuring, developing, maintaining
and utilizing a labor force, such that the-
• Objectives of the company is met
• Objective of all levels of personnel are served
• Objectives of society are duly considered and
served
Meaning of HRM
• HRM can be defined as managing the
functions of employing, developing and
compensating human resources
• resulting in the creation and development of
human relations with a view to contribute
proportionately to the organizational,
individual and social goals.
Evolution of HRM
• The commodity concept
• The factor of production concept
• The good will concept
• The paternalistic/ Paternalism concept
• The humanitarian concept
• The human resources concept
• The emerging concept
Nature of HRM
• Pervasive force
• Action oriented
• Individually oriented
• People oriented
• Future oriented
• Development oriented
• Integrating mechanism
• Comprehensive function
• Auxiliary service
• Inter- disciplinary function
• Continuous function
Importance of HRM
Individual Level:
• Man v/s Machine
• Team work
• Growth
opportunities
• Commitment
towards work
Organizational level :
• Personal management and general
management
• Attracting and retaining the best people in the
organization
• It helps to train the employees for challenging
roles.
• Promotes Team spirit among employees.
Society level:
• Employment opportunities
• Scare talents are put to best use
National level:
• Optimum utilization of human resources
• Proper attitude and appropriate values
Functions of HRM
• Managerial
functions
• Operative functions
HRM is
concerne
d with
two sets
of
functions
they are
Managerial functions
• Planning: It deals with the determination of the future course of
action to achieve desired results.
• Organizing: it is concerned with proper grouping of personnel
activities, assigning of different groups of activities to different
individuals and delegation of authority.
• Directing: it involves supervising and guiding the personnel. To
execute plans, direction is essential without direction there is no
destination. Direction consists of motivation and leadership.
• Controlling: it is measuring the employee’s
performance, correcting negative deviations and
industrial assuring an efficient accomplishment
of plans.
– Individual becomes aware of his/her performance
through review reports, records and personnel audit
programmes.
Operative functions
• Procurement function (Employment): It is
concerned with procuring and employing people who
possess necessary skill, knowledge and aptitude. The
function includes job analysis, human resource planning,
recruitment, selection, placement, induction
&orientation, internal mobility.
• Human Resource Development: It is the process
of improving, moulding, changing and developing the
skills, knowledge etc. The development of employees is
done by providing them with,
proper training,
executive development,
career planning and development,
human resource development which aims at developing the
total organization.
• Motivation and compensation: It is the process
which inspires people to give their best to the
organization through the intrinsic and extrinsic rewards.
This function includes job design, work scheduling,
motivation, job evaluation, performance appraisal,
compensation administration, incentives and benefits.
• Maintenance: It aims at protecting and preserving the
physical and psychological health of employees through
various welfare measures.
This function includes health and safety, employee welfare,
and social security measures.
• Integration function: This tries to integrate the goals
of an organization with employee aspirations through
various employee-oriented programmes, like
redressing grievances promptly,
instituting proper disciplinary measures,
empowering people to decide things independently,
encouraging a participative culture,
offering constructive help to trade unions etc.
• Emerging issues: Effective management of human
resources depends on refining HRM practices to
changing conditions.
• Hence there is a need to look at other important issues that can
motivate people to give their best in a dynamic and ever-
changing environment.
Principles of HRM
Principles of HRM have been well summarized in 10c’s :
 Comprehensiveness
 Cost effective
 Control
 Coherence
 Communication
 Creativity
 Competence
 Credibility
 Change
 Commitment
Comprehensiveness
proper management of all aspect of the people
This means that the financial, health, transportation,
tools and anything employees need to work should be
well taken care of.
Cost effective
Company should ensure that they remunerate their
employees accordingly. The employees reward system
should be able to sustain the organization
Control
 Firm should ensure that productivity and quality are
achieved and maintained though employees.
 Control should be exercised carefully so that it does not
seem like tyranny
Coherence
Every organization should have mission and vision.
They should focus on company needs and employees
abilities.
Communication
Communication is very important in every
organization through communication further can
there is a flow of information that is necessary for
efficiency.
Creativity
It is key, if a firm is to be efficient in human
resources management firm should adopt new
ways of human resources management as long as
it fits their companies.
Competence
Proper training should be given to the
employees to compete in the market.
Credibility
Company should have a credibility and we
should direct employees to a common goal.
Change
Change is inevitable for business.
Change is necessary it produce better results.
Commitment
It is the duty of HRM to keep employees
committed to the organization.
Role of HR manager
 The Human Resources Manager is responsible for
oversight of all human resources systems and
procedures,
 including recruitment and selection, training and
development, performance management (evaluations),
conflict resolution, and compensation/rewards
management and ensuring compliance with governing
regulations.
 and he/she will be responsible for the development and
implementation of HR policies and procedures.
The three important role of HR manager
are as follows:
1) Administrative roles
2) Operational roles
3) Strategic roles
Administrative roles
The administrative roles of HR manager include policy
formulation and implementation, housekeeping,
records maintenance, welfare administration legal
compliance etc.
 Policy maker
 Administrative expert
 Advisor
 Housekeeper
 Counselor
 Legal consultant
 Policy maker
Formation of policies & implementation, governing
talent acquisition and retention, wage and salary
administration, welfare activities, personnel records
etc.
 Administrative expert
Record keeping, maintaining employees file,& HR
related database processing employee benefit claims,
answering queries regarding leave, transport &
medical facilities etc.
 Advisor
Advising, suggesting, conflict resolution,
 Housekeeper
Time keeping, pre employment testing. Reference
checking, wellness programs, maintenance records
etc
 Counselor
Problems of the employees are tackled and resolved
 Legal consultant
Grievance handling, settling disputes, handling
disciplinary cases etc
Operational Roles
These roles are tactical in nature and include recruiting,
training, and developing employees coordinating HR
activities with the actions of managers and supervisors
throughout the organizations and resolving differences
between employees.
 Recruiter
 Trainer ,developer ,motivator
 Coordinator /linking pin
 Mediator
 Recruiter
to recruit suitable candidate for the
organization.
 Trainer developer motivator
Responsible for all the organization
staff Training and Development
 Coordinator /linking pin
act as a linking pin between various departments
of an organization.
 Mediator
The HR manager acts as a mediator in case of
friction between two employees, groups of
employees, superiors, and subordinates and
employees and management with the sole objective
of maintaining industrial harmony.
Strategic roles
 Strategic Partner.
HR must ensure that its practices, processes, and policies
complement the overall organizational strategy. It needs to
develop a capacity to execute that strategy. HR must minimize
the time it takes to implement the strategy.
 Change Agent.
The HR role is to facilitate that change in organizations. This
includes modelling change to other departments, advocating
change across the entire organization, resolving issues that
arise from change, and institutionalizing change by
implementing efficient and flexible processes.
Organisation of personnel
Department
 The internal structure of personnel development depends on
various factors such as nature and size of the organization,
managerial preferences to structure operations clearly, external
forces etc.
 Small firms have only a single section headed by a personnel
officer taking care of everything .
 medium sized firms may create a separate personnel department
having expert in the personnel field supported by administrative
staff.
 In large firms the structure of a personnel department may take
various shapes depending on a organizational resources,
competitive pressures and total employee strength.
Designing organisational structure
Line organization
Line structure is more common in small firms this structure
authority flows in a direct line from supervisors to subordinates.
Each employee knows who his superior is and who has authority
to issue orders managers have full authority in their areas of
operation and are responsible for final result.
Line authority implies the right to give orders and to have
decision implemented.
 The “one-man-one boss” principle is observed
strictly.
 authority are clear and there is strict discipline as
persons working at lower levels can have access to
higher level officers only through their immediate
bosses
Functional (Staff) organization
In any functional organization, all activates of an
organization are divided into various functions such as
production, marketing, finance etc.
each functional area is headed by a especially who
directs specialist who direct the activities of that area for
the entire organization.
Every, employee, therefore, is required to report to
various functional heads.
 The functional head has line authority over
subordinates in his own area. Additionally, he has
functional authority over activities in there functional
areas.
 The term “functional authority” thus is a limited form
of line authority given to functional experts in an area
where certain specialized activities are carried out
under the normal supervision of managers belonging
to other department .
Line and staff organization
 The line and staff structure combines the benefits of
both line organization and functional organization.
 Staff positions are created to assist line manager .
 Thus the personnel department offers and advices on
personal issues to all departments without violating one
unity of command principle.
Matrix Organization
 A Matrix Organizational structure is a company
structure in which the reporting relationships are set up
as a grid, or Matrix, rather than in the traditional
hierarchy.
 In other words, employees have dual reporting
relationships - generally to both a functional manager
and a product manager
Module-1.pptx Human resource management subject
Module-1.pptx Human resource management subject

Module-1.pptx Human resource management subject

  • 1.
  • 3.
    Human resource managementis to make the most productive use of human resource to the greatest benefits of the organization and individuals.
  • 4.
    Human Resources • Accordingto Leon C.Megginson, the term human resources can be thought of as “the total knowledge, skills, creative abilities, talents and aptitudes of an organization's workforce, as well as the value, attitudes and beliefs of the individuals involved”.
  • 5.
    Personnel management Michael J.Jucius defined Personnel Management as “the field of management which has to do with planning, organizing, directing & controlling the functions of procuring, developing, maintaining and utilizing a labor force, such that the- • Objectives of the company is met • Objective of all levels of personnel are served • Objectives of society are duly considered and served
  • 8.
    Meaning of HRM •HRM can be defined as managing the functions of employing, developing and compensating human resources • resulting in the creation and development of human relations with a view to contribute proportionately to the organizational, individual and social goals.
  • 9.
    Evolution of HRM •The commodity concept • The factor of production concept • The good will concept • The paternalistic/ Paternalism concept • The humanitarian concept • The human resources concept • The emerging concept
  • 10.
    Nature of HRM •Pervasive force • Action oriented • Individually oriented • People oriented • Future oriented • Development oriented
  • 11.
    • Integrating mechanism •Comprehensive function • Auxiliary service • Inter- disciplinary function • Continuous function
  • 12.
    Importance of HRM IndividualLevel: • Man v/s Machine • Team work • Growth opportunities • Commitment towards work
  • 13.
    Organizational level : •Personal management and general management • Attracting and retaining the best people in the organization • It helps to train the employees for challenging roles. • Promotes Team spirit among employees.
  • 14.
    Society level: • Employmentopportunities • Scare talents are put to best use National level: • Optimum utilization of human resources • Proper attitude and appropriate values
  • 16.
    Functions of HRM •Managerial functions • Operative functions HRM is concerne d with two sets of functions they are
  • 17.
    Managerial functions • Planning:It deals with the determination of the future course of action to achieve desired results. • Organizing: it is concerned with proper grouping of personnel activities, assigning of different groups of activities to different individuals and delegation of authority. • Directing: it involves supervising and guiding the personnel. To execute plans, direction is essential without direction there is no destination. Direction consists of motivation and leadership.
  • 18.
    • Controlling: itis measuring the employee’s performance, correcting negative deviations and industrial assuring an efficient accomplishment of plans. – Individual becomes aware of his/her performance through review reports, records and personnel audit programmes.
  • 19.
    Operative functions • Procurementfunction (Employment): It is concerned with procuring and employing people who possess necessary skill, knowledge and aptitude. The function includes job analysis, human resource planning, recruitment, selection, placement, induction &orientation, internal mobility.
  • 20.
    • Human ResourceDevelopment: It is the process of improving, moulding, changing and developing the skills, knowledge etc. The development of employees is done by providing them with, proper training, executive development, career planning and development, human resource development which aims at developing the total organization.
  • 21.
    • Motivation andcompensation: It is the process which inspires people to give their best to the organization through the intrinsic and extrinsic rewards. This function includes job design, work scheduling, motivation, job evaluation, performance appraisal, compensation administration, incentives and benefits. • Maintenance: It aims at protecting and preserving the physical and psychological health of employees through various welfare measures. This function includes health and safety, employee welfare, and social security measures.
  • 22.
    • Integration function:This tries to integrate the goals of an organization with employee aspirations through various employee-oriented programmes, like redressing grievances promptly, instituting proper disciplinary measures, empowering people to decide things independently, encouraging a participative culture, offering constructive help to trade unions etc.
  • 23.
    • Emerging issues:Effective management of human resources depends on refining HRM practices to changing conditions. • Hence there is a need to look at other important issues that can motivate people to give their best in a dynamic and ever- changing environment.
  • 24.
    Principles of HRM Principlesof HRM have been well summarized in 10c’s :  Comprehensiveness  Cost effective  Control  Coherence  Communication  Creativity  Competence  Credibility  Change  Commitment
  • 25.
    Comprehensiveness proper management ofall aspect of the people This means that the financial, health, transportation, tools and anything employees need to work should be well taken care of. Cost effective Company should ensure that they remunerate their employees accordingly. The employees reward system should be able to sustain the organization
  • 26.
    Control  Firm shouldensure that productivity and quality are achieved and maintained though employees.  Control should be exercised carefully so that it does not seem like tyranny Coherence Every organization should have mission and vision. They should focus on company needs and employees abilities.
  • 27.
    Communication Communication is veryimportant in every organization through communication further can there is a flow of information that is necessary for efficiency. Creativity It is key, if a firm is to be efficient in human resources management firm should adopt new ways of human resources management as long as it fits their companies.
  • 28.
    Competence Proper training shouldbe given to the employees to compete in the market. Credibility Company should have a credibility and we should direct employees to a common goal.
  • 29.
    Change Change is inevitablefor business. Change is necessary it produce better results. Commitment It is the duty of HRM to keep employees committed to the organization.
  • 30.
    Role of HRmanager  The Human Resources Manager is responsible for oversight of all human resources systems and procedures,  including recruitment and selection, training and development, performance management (evaluations), conflict resolution, and compensation/rewards management and ensuring compliance with governing regulations.  and he/she will be responsible for the development and implementation of HR policies and procedures.
  • 31.
    The three importantrole of HR manager are as follows: 1) Administrative roles 2) Operational roles 3) Strategic roles
  • 32.
    Administrative roles The administrativeroles of HR manager include policy formulation and implementation, housekeeping, records maintenance, welfare administration legal compliance etc.  Policy maker  Administrative expert  Advisor  Housekeeper  Counselor  Legal consultant
  • 33.
     Policy maker Formationof policies & implementation, governing talent acquisition and retention, wage and salary administration, welfare activities, personnel records etc.  Administrative expert Record keeping, maintaining employees file,& HR related database processing employee benefit claims, answering queries regarding leave, transport & medical facilities etc.  Advisor Advising, suggesting, conflict resolution,
  • 34.
     Housekeeper Time keeping,pre employment testing. Reference checking, wellness programs, maintenance records etc  Counselor Problems of the employees are tackled and resolved  Legal consultant Grievance handling, settling disputes, handling disciplinary cases etc
  • 35.
    Operational Roles These rolesare tactical in nature and include recruiting, training, and developing employees coordinating HR activities with the actions of managers and supervisors throughout the organizations and resolving differences between employees.  Recruiter  Trainer ,developer ,motivator  Coordinator /linking pin  Mediator
  • 36.
     Recruiter to recruitsuitable candidate for the organization.  Trainer developer motivator Responsible for all the organization staff Training and Development
  • 37.
     Coordinator /linkingpin act as a linking pin between various departments of an organization.  Mediator The HR manager acts as a mediator in case of friction between two employees, groups of employees, superiors, and subordinates and employees and management with the sole objective of maintaining industrial harmony.
  • 38.
    Strategic roles  StrategicPartner. HR must ensure that its practices, processes, and policies complement the overall organizational strategy. It needs to develop a capacity to execute that strategy. HR must minimize the time it takes to implement the strategy.  Change Agent. The HR role is to facilitate that change in organizations. This includes modelling change to other departments, advocating change across the entire organization, resolving issues that arise from change, and institutionalizing change by implementing efficient and flexible processes.
  • 39.
  • 40.
     The internalstructure of personnel development depends on various factors such as nature and size of the organization, managerial preferences to structure operations clearly, external forces etc.  Small firms have only a single section headed by a personnel officer taking care of everything .  medium sized firms may create a separate personnel department having expert in the personnel field supported by administrative staff.  In large firms the structure of a personnel department may take various shapes depending on a organizational resources, competitive pressures and total employee strength. Designing organisational structure
  • 41.
    Line organization Line structureis more common in small firms this structure authority flows in a direct line from supervisors to subordinates. Each employee knows who his superior is and who has authority to issue orders managers have full authority in their areas of operation and are responsible for final result. Line authority implies the right to give orders and to have decision implemented.
  • 42.
     The “one-man-oneboss” principle is observed strictly.  authority are clear and there is strict discipline as persons working at lower levels can have access to higher level officers only through their immediate bosses
  • 45.
    Functional (Staff) organization Inany functional organization, all activates of an organization are divided into various functions such as production, marketing, finance etc. each functional area is headed by a especially who directs specialist who direct the activities of that area for the entire organization. Every, employee, therefore, is required to report to various functional heads.
  • 46.
     The functionalhead has line authority over subordinates in his own area. Additionally, he has functional authority over activities in there functional areas.  The term “functional authority” thus is a limited form of line authority given to functional experts in an area where certain specialized activities are carried out under the normal supervision of managers belonging to other department .
  • 48.
    Line and stafforganization  The line and staff structure combines the benefits of both line organization and functional organization.  Staff positions are created to assist line manager .  Thus the personnel department offers and advices on personal issues to all departments without violating one unity of command principle.
  • 50.
    Matrix Organization  AMatrix Organizational structure is a company structure in which the reporting relationships are set up as a grid, or Matrix, rather than in the traditional hierarchy.  In other words, employees have dual reporting relationships - generally to both a functional manager and a product manager