Human resource management Introduction

1. Human Resource Management
Dr. N.Shanmughavadivu
Assistant Professor
Department of Social Work
Bharathiar University
Coimbate -46

2. Human Resource Management
UNIT - I
Human Resource Management
• Concept
• Importance
• Scope
• Origin & Growth of HRM
• Role of HR Manager

3. What is Management ?
–It is the art of getting Work done through
other People.
– Management in business and organizations
is the function that coordinates the efforts of
people to accomplish goals and objectives
using available resources efficiently and
effectively.

4. What is Human Resource Management?
• human resources means the people.
• Human Resource Management (HRM) is the
term used to describe formal systems devised
for the management of people within an
organization.
• Human Resource Management is also a
function of management, concerned with
hiring, motivating and maintaining people in
an organization. It focuses on people in the
organization.

5. HRM Meaning
• Organizations does not only consist of building,
machines or inventories. It is people they manage and
staff the organization
• HRM applies management principles in procuring,
developing, maintaining people in the organization.
• Aims at integrated decision making and decisions on
different aspects of employees.
• HR Decisions must influence effectiveness of the
organization leading to better service to customer and
high quality product and services at reasonable price.
• It is not confined to business establishment only, HRM is
applicable also to the non business organization, like
government department, education, health care etc.

6. CONCEPT
Why name Human Resource Management?
Human: refers to the skilled workforce in the
organization.
Resource: refers to limited availability or scarceness.
Management: refers how to optimize and make best
use of such limited and a scarce resource so as to meet
the organization goals and objectives.

7. CONCEPT
• Human Resource Management (HRM or simply HR) is
the management of human resources. It is a function in
the organizations designed to maximize employee
performance in service of an employer's strategic
objectives.
• Basically, Human Resource Management is the
management of the employees of an organization.
Simply speaking, it is putting right people to the right
task thereby making maximum use of the employees'
talent and abilities.

8. Human Resource Management includes
• Conducting job analyses
• Planning personnel needs
• Recruiting the right people for the job
• Orienting and training
• Managing wages and salaries
• Providing benefits and incentives
• Evaluating performance
• Resolving disputes
• Communicating with all employees at all levels

10. DEFINITION
• Alvin defines Human resources are people, and
Human Resource Management (HRM) is the
process an organization undergoes to manage
people in order to achieve its goals.
• Pigors and Myers – “It is basically a method of
developing potentialities of employees so that they
feel maximum satisfaction of their work and give
their best efforts to the organization”.

11. DEFINITION
• The National Institute of Personal
Management (NIPM) of India has defined
human resources personal management as “that
part of management which is concerned with
people at work and with their relationship within
an enterprise. Its aim is to bring together and
develop into an effective organization of the men
and women who make up enterprise and having
regard for the well being of the individuals and of
working groups, to enable them to make their best
contribution to its success”.

12. DEFINITION
• According to Ivancevich and Glueck, “HRM is
concerned with the most effective use of people to
achieve organizational and individual goals. It is a
way of managing People at work, so that they
give their best to the organization.
• Michael J. Jucius has defined human resources
as “a whole consisting of inter-related, inter-
dependent and interacting physiological,
psychological, sociological and ethical
components”.

13. IMPORTANCE OF HRM
HRM helps an Organization and its people to realize
their respective goals in various ways. It is categorized
in the following levels.
 At the Enterprise level
 At the Individual level
 At the Society level
 At the National level

14. IMPORTANCE OF HRM
At the Enterprise level
 Attracting and retaining the best people in the
Organization
 Train people for challenging roles
 Developing the right attitudes towards the job and the
Company
 Promoting team spirit among employees
 Developing loyalty and commitment through
appropriate reward schemes.
 Increase productivity and profits

15. IMPORTANCE OF HRM
At the Individual level
 It promotes teamwork and team spirit among
employees
 It offers excellent growth opportunities to people who
have the potential to rise
 It allows people to work with diligence and
commitment
 Develop skills
 Job Satisfaction

16. IMPORTANCE OF HRM
At the Society level
Employment opportunities
Enhance standard of living
Scarce talents are put to best use.

17. IMPORTANCE OF HRM
At the National level
Effective use of human resources helps in
exploitation of natural, physical and financial
resources.
 People with right skills and proper attitudes help
the nation to get ahead.
 Compete with the best in the world leading to
better standard of living and better employment
 Industrial development.
 GDP (Gross Domestic Product) growth

18. Scope
• The scope of HRM is, indeed, very vast and
wide. It includes all activities starting from
manpower planning till employee leaves the
organization.
• Accordingly, the scope of HRM consists of
acquisition, development, maintenance/
retention, and control of human resources in
the organization.

20. Scope
The National Institute of personnel
Management, Calcutta has specified the scope
of HRM as follows:
1. The Labour or Personnel Aspect:
• This is concerned with manpower planning,
recruitment, selection, placement, transfer,
promotion, training and development, lay-off
and retrenchment, remuneration, incentives,
productivity, etc.

21. Scope
2. Welfare Aspect:
• It deals with working conditions, and amenities
such as canteen, creches, rest and lunch rooms,
housing, transport, medical assistance,
education, health and safety, recreation facilities,
etc.
3. Industrial Relations Aspects:
• This covers union-management relations, joint
consultation, collective bargaining, grievance and
disciplinary actions, settlement of disputes, etc.

22. Top 10 Key Roles of HR Manager
• Human Resource Planning
• Job Analysis and Design
• Hiring Candidates
• Training and Development
• Design Workplace Policies
• Monitor Performance
• Maintaining Work Culture
• Resolve conflict
• Ensure Health and Safety of employee
• Rewards and Incentives

23. Origin & Growth of HRM
• Management as a concept is not new to the country.
• Historically it is stated that Kautilya (the most reputed economist and
management guru of Indian History, advisor to King Chandragupta
Maurya) provided a systematic treatment of management of human
resources as early as 4th century B.C. in his treatise titled "Artha Shastra".
• This book or treatise details logical procedures and principles in respect to
people management referring to the rajya (state) as an organization and
the raja (king) as the head or CEO of an organization.
• Kautilya being the eminent advisor, through his sutras emphasizes the
need of humility in the king and his mantris (managers) while following
the path of dharma (ethics & righteousness) in management of an
organization (state).
• The importance was on self-management and self-evaluation before
considering oneself truly capable of leading an organization as a
competent leader keeping welfare of people and the organization before
one’s own motives.

24. Origin & Growth of HRM
• The initial years of modern management evolution in India, started
with the eighteenth century (termed the Colonial period till the
year 1950) when the Britishers or the colonial rulers set foot in the
country, an era that has been marked with a sole focus on
utilization of labour as a commodity which can be bought and sold
at a price.
• Personnel management being the main concern of employers
during the early twentieth century, there was more concentration
on industrial relations and labour management paving way for the
enactment of various acts – namely the Trade Union Act (1926),
Workmen Compensation Act (1926), Trade Disputes Act (1929);
recommendations of Royal Commission on Labour 1931 led to the
Payment of Wages Act (1936) and further amendments to Factory
Legislations Act (see report by First National commission of Labour,
NLC, 1969).

25. Origin & Growth of HRM
• Post independence focus slowly started shifting
towards industrialization of the new country and
evolution of a uniform Labour policy.
• After independence considerable changes happened
in the personnel management approach of
organizations.
• The post independence period encouraged a mixed
economy as the growth model.
• The Constitution of India had the objective of
achieving a socialist society and various
constitutional provisions supported protection to
working class.
• Numerous legislations were introduced to protect
workers.

26. Origin & Growth of HRM
• Evolving along the years, the approach has shifted to
human values and productivity through people.
• It is against such a shift in managing people, in the
1990s, a new approach has emerged, i.e., human
resource management (HRM).
• This approach focuses more on development aspects
of human resource, i.e., human resource
development (HRD).
• HRM is, no doubt, an outgrowth of older process and
approach. But it is much more than it's parent
disciplines viz., personnel management and
behavioural science.