*Human resource management can be defined as a strategic, integrated
and coherent approach to the employment, development and well-being
of the people working in organizations.
The role of human resource management is to plan, develop, and administer policies
and programmes designed to make expeditious use of an organisation’s human
resources. It is that part of management which is concerned with the people at work
and with their relationship within an enterprise.
Its objectives are:
1. Effective utilisation of human resources;
2. Desirable working relationships among all members of the organisation; and
3. Maximum individual development.
The major functional areas in human resource
management are:
1. Planning,
2. Staffing,
3. Employee development, and
4. Employee maintenance.
These four areas and their related functions share the common objective of an
adequate number of competent employees with the skills, abilities, knowledge, and
experience needed for further organisational goals. Although each human resource
function can be assigned to one of the four areas of personnel responsibility, some
functions serve a variety of purposes. For example, performance appraisal measures
serve to stimulate and guide employee development as well as salary administration
purposes. The compensation function facilitates retention of employees and also
serves to attract potential employees to the organisation. A brief description of
usual human resource functions are given below:
Human Resource Planning: In the human resource planning function, the number
and type of employees needed to accomplish organisational goals are determined.
Research is an important part of this function because planning requires the
collection and analysis of information in order to forecast human resources supplies
and to predict future human resources needs. The basic human resource planning
strategy is staffing and employee development.
Job Analysis: Job analysis is the process of describing the nature of a job and
specifying the human requirements, such as skills, and experience needed to
perform it. The end product of the job analysis process is the job description. A job
description spells out work duties and activities of employees. Job descriptions are a
vital source of information to employees, managers, and personnel people because
job content has a great influence on personnel programmes and practices.
Staffing: Staffing emphasises the recruitment and selection of the human
resources for an organisation. Human resources planning and recruiting precede the
actual selection of people for positions in an organisation. Recruiting is the personnel
function that attracts qualified applicants to fill job vacancies. In the selection
function, the most qualified applicants are selected for hiring from among those
attracted to the organisation by the recruiting function. On selection, human resource
functionaries are involved in developing and administering methods that enable
managers to decide which applicants to select and which to reject for the given jobs.
Orientation: Orientation is the first step toward helping a new employee adjust
himself to the new job and the employer. It is a method to acquaint new employees
with particular aspects of their new job, including pay and benefit programmes,
working hours, and company rules and expectations.
Training and Development: The training and development function gives
employees the skills and knowledge to perform their jobs effectively. In addition to
providing training for new or inexperienced employees, organisations often provide
training programmes for experienced employees whose jobs are undergoing change.
Large organisations often have development programmes which prepare employees
for higher level responsibilities within the organisation. Training and development
programmes provide useful means of assuring that employees are capable of
performing their jobs at acceptable levels.
Performance Appraisal: Performance appraisal function monitors employee
performance to ensure that it is at acceptable levels. Human resource professionals
are usually responsible for developing and administering performance appraisal
systems, although the actual appraisal of employee performance is the responsibility
of supervisors and managers. Besides providing a basis for pay, promotion, and
disciplinary action, performance appraisal information is essential for employee
development since knowledge of results (feedback) is necessary to motivate and
guide performance improvements.
Career Planning: Career planning has developed partly as a result of the desire of many
employees to grow in their jobs and to advance in their career. Career planning activities
include assessing an individual employee’s potential for growth and advancement in the
organisation.
Compensation: Human resource personnel provide a rational method for determining how
much employees should be paid for performing certain jobs. Pay is obviously related to the
maintenance of human resources. Since compensation is a major cost to many
organisations, it is a major consideration in human resource planning. Compensation affects
staffing in that people are generally attracted to organisations offering a higher level of pay in
exchange for the work performed. It is related to employee development in that it provides
an important incentive in motivating employees to higher levels of job performance and to
higher paying jobs in the organisation.
Benefits: Benefits are another form of compensation to employees other than direct pay for
work performed. As such, the human resource function of administering employee benefits
shares many characteristics of the compensation function. Benefits include both the legally
required items and those offered at employer’s discretion. The cost of benefits has risen to
such a point that they have become a major consideration in human resources planning.
However, benefits are primarily related to the maintenance area, since they provide for many
basic employee needs.