Human Resources
Management (HRM)
Prepared By: Ralch A.Cuaresma
Introduction to Human
Resource Management
Human resources: Meaning
Human resources means the collection of people
and their characteristics at work. These are
distinct and unique to an organization in several
ways.
Human resources: Definition
Human Resource are ”A whole consisting of inter-
related, inter-dependent & interacting
psychological, sociological & ethical
components”.
-Michael J.
Jucius
“Having good talent people in the
organisation was important yesterday, but
today it is critical !!”
What is HRM?
Human Resource Management is “the 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.”
Human resource management:
Definition
Human resource management is concerned with
policies and practices that ensure the best use of
the human resources for fulfilling the
organizational and individual goals.
-Edwin B. Flippo
Characteristics of HRM
Objectives of HRM
To act as a liaison between the top management and
the employees.
To arrange and maintain adequate manpower
inventory
To devise employee benefit schemes
To ensure and enhance the quality of work life
To offer training
To help keep up ethical values and behaviour
amongst employees both within and outside the
organization.
To maintain high morale and good human relations
within the organization.
Scope of HRM
1. Personnel or Labour Aspect
Planning, recruiting, selection, placement, transfer,
promotion, training and development, Lay-offs,
retrenchment, remuneration, incentives and
productivity
2. Welfare Aspect
Housing, transport, medical assistance, canteen,
rest rooms, health and safety, education, etc.
3. Industrial Relation Aspect
Union-management relations, collective bargaining,
grievance and disciplinary actions, settlement of
disputes.
HRM
HRM is proactive in nature
HRM is a resource-centered activity
HRM emphasizes on flexible, open-ended contracts
HRM views better performance as a cause of job
satisfaction.
HRM
HRM seeks to develop the competencies of
the employees on a sustained basis.
Sustained basis – meaning
An action or activity that is
Repeated regularly over a
Period of time.
Functions of human resource
management
Operative Functions of HRM
Procuremem Development Compensatio Maintenance Integration
t Career n and Industrial
Job Analysis Planning and Job Motivation relation
Recruitmen development Evaluation Employee Discipline
t Working Performanc well being Dispute
Selection training e Evaluation Social settlement
Placement Executive Wages Security
Orientation development administrati Workers
Socializatio Organizatio on participation
n nal Incentives Job Rotation
developent benefits
Significance of HRM
Significance for an enterprise
Professional significance
Social significance
National significance
Significance of HRM
Significance for an
enterprise
Attracting & retaining the required
human resource, recruitment &
selection , placement , orientation,
compensation & promotion policies.
Developing the skills & necessary
attitude among the employees by T&D
& performance evaluation
Providing them social & job security
by grievance handling, motivating &
participation in mgt
Utilizing effectively the available
human resources
Ensuring that the enterprise will have
in future a team of competent &
dedicated employees.
Significance of HRM
Professional
significance
Providing maximum
opportunities for personal
development of each
employee.
Maintaining healthy
relationships among individual
& different work groups.
Allocating work properly.
Significance of HRM
Social Significance
Sound human resources management has
a great significant for the society. It help to
enhance the dignity of labour in the
following ways.
Providing suitable employment that
provides social & psychological satisfaction
to people.
Maintaining a balance between the job
available & the jobseekers in terms of
numbers, Qualification, needs & aptitudes.
Eliminating waste of human resource
through conservation of physical & metal
health
Significance of HRM
National Significance
Human resource & their management plays a vital role in the
development of a nation. The effective exploitation &
utilisation of a nation’s natural, physical & financial resources
require an efficient & committed manpower.
There are wide differences in development between countries
are with similar resources due to differences in the quality of
their people.
Countries are underdeveloped because their people are
backward. The level of development in a country depends
primarily on the skills , attitudes & values of its human
resources. effective management of human resources helps to
speed up the process of economic growth which in turn leads to
higher standards of living & fuller employment
Human resource Management is the central subsystem of an
organisation.
National Significance
National Significance
a. Increase in the size & complexity of
organization eg.MNC employees ,Rapid
technological development like automation,
computerisation
b. Rise of professional & knowledgeable workers,
Increasing proportion of women in the workforce
Growth of powerful nationwide trade unions.
c. Widening scope of legislation designed to protect
the interests of the working class.
d. Revolution in the information technology that
might affect the work force.
e. Rapidly changing jobs & skills requiring long-
term manpower planning.
f. Growing Expectations of society from employers.
Evolution of HRM
1. The Industrial Revolution(beyond 1820 to
1840)
2. Trade unionism(1841 to 1909)
3. Scientific Management (1910 evolve & 1920
implementation to 1940)
4. Industrial Psychology (1945 to 1970)
5. Human Relation Movement Era( 1971 to
1980)
6. The Contemporary HRM Era (1990
onwards)
The Industrial Revolution(beyond 1820 to
1840)
• Usages of the machinery
• Mass level of production
• To satisfied the human need
• Profit maximization form the
factor of production like land ,
labour, capital, entrepreneur
Trade unionism(1841 to 1909)
•
World have been separated in two
type of economy one is capitalization
which has a motive of profit
maximization other other side labour
intensive economy
Labour class reflected their provouge
by strike, slowdown, pen down,
boycott & sabotage of the work for
resolution of the problem where new
redressal procedure had been
developed to subside the chaos like
collective bargaining, grievance
handling system, arbitration,
disciplinary practices
Construction of titanic & child
labour pathetic condition
Scientific Management (1910 evolve &
1920 implementation to 1940)
• Development of true • Draw back
science
• Man become
• Scientific selection &
machine human
training
factors were
• Friendly co-operation
between management completely
• Development of every
avoided.
worker to his fullest
aspects.
Industrial psychology era (1945 to
1970)
Mainly focused on the part on IQ of the
employees through MMPIT(Minnesotta
multiple personality test )or MBTI( Myer
Brigg Jung topology) & assigned them skill &
aptitude based job.
Human relation movement ( 1971 to
1980)
Hawthorne experiment (being observed)
Interaction with the employee increase the
productivity
Basic facilities are required for the
production
Empathized view towards workers have
increased productivity of worker
The Contemporary HRM era (1990
onwards)
More focused on gaining competitive
advantage in market through HR.
Focuses on developing HR strategies,
aligning them with corporate strategy and
achieving organizational goals effectively.
Qualities of an HR manager
Knowledge
Intelligence
Communication skills
Objectivity and fairness
Leadership and motivational qualities
Emotional maturity and
Empathy
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