EVOLUTION OF HUMAN RESOURCE MANAGEMENT

_____________________________________________________ _

REPORTERS: ARUGAY, Hazel NAMOCO, Jenilynn EDISON, Rizel REYES, Mary Rose CORDERO, Hazel (BSBA HRDM 4 2S)

Reporter: Hazel C. Arugay

The history of human resource management started with providing welfare measures to apprentices of the putting out system. This begin with the cottage- based guild manufacturing which was displaced by the Industrial Revolution of the mid-18th century led to the emergence of large factories. Due to the unhygienic and hazardous work in the factories which led to many labor riots, and even government stepped in to provide basic rights and protections for workers rises thee need to set up a formal mechanism to redress issues concerning labor. These result to the development of Human Resource Management (HRM) which evolved through the ages and gained acceptance with each passing age. MEDEVIAL GUILDS IN EUROPE The European Middle Ages with the organization of the trade guilds marked the historical beginnings of employer-employee relations in the industrially advanced nations of the world today. The guild which was an association of men belonging to the same trade gained prominence in England during the 14th century. These were really small cottage industries carried on in the households of the individual craftsmen. Types of Guilds 1. Merchant Guilds composed of storekeepers, merchants, and builders who carried on trade in the towns and nearby villages. The trader dealt with his customers and his employees directly. 2. Craft Guilds composed of masters, journeymen, and apprentices engaged in shoemaking, weaving, baking and similar trades. The masters exercised tight control over the association

and decided who were to be admitted as apprentices or who were to be slowed to undergo training in the crafts. Purposes of Guilds For mutual aid, protection and benefits of the merchant guilds and the craft guilds For establishing apprenticeship rules, quality standards, prices and conditions of work when chartered by the government or by the king For preserving a monopoly of the tradesmens calling A direct control over the selection of their members, their training, compensation, and development is observable. The guilds paved way for the beginning of modern manpower management. INDUSTRIAL REVOLUTION All the way back in the mid-18th century, the Industrial Revolution begins which was characterized by the development of machinery the linking of power to machines and the establishment of factories employing many workers. The result was an increase in the job specialization and a great acceleration in the development of business and commerce. In this time, labor was considered a commodity to be bought and sold and the laissez faire political philosophy prevailing in England kept government away from intervening in the plight of workers. Because of the way in which workers were used, they had organized themselves to bring about some alleviation in their poor condition. This results to the gradual emergence of more systematic attention to job design, choice of workers, provision of pay and benefits and welfare measures. Along with the advent of collective bargaining between labor and management and this development lay to the foundations of the HRM concepts as we understand them today. SCIENTIFIC MANAGEMENT (1885-1915)

The famous name associated with this movement was Frederick Winslow Taylor during the 1800s and early 1900s. He was an instrumental in bringing the logic of efficiency to management. Taylor, the Gilberths, Gantt and others were involved, more or less simultaneously, in the search for principles of efficient operation, measurement standardization of performance, substitution of facts and the like. The organization was considered as a machine which could be made more efficient if universal principles could be applied. Scientific Management was founded with the principles of precision. Taylor, with the stopwatch as his Bible, began his experiments in the steel industry at the Midvale and Bethlehem plants in 1885. Here he observe that men producing far less than their capacities for the three principle reasons: (a) workers systematically soldiered because they believed that faster work would put them our of a job, (b) hourly or daily wages destroyed individual initiative, and (c) the manner and mode of doing work was never studied for possible improvements. From his experience, Taylor knew that the solution was clear productivity was the answer to both higher wages and higher profits. The key for productivity without undue expenditure of energy or effort was the application of scientific methods instead of previous custom, common sense and rule of the thumb. Taylor believed that the same techniques that scientists used in the lab could be used by management to increase efficiency and output in the workplace -experimentation, evolving and testing of hypotheses, formulating theories and the like. Taylor called for a mental revolution to fuse interests of labor and management into a mutually rewarding whole. This was based on the following principles: Time and motion study where tasks must be systematically and meticulously analyzed and broken down into the smallest

mechanical elements and then rearranged into their most efficient combinations. Workers must be trained by supervisors so that they perform as per specifications derived by prior scientific analysis. Workers must not, however, be compelled to work at a pace that would be injurious to their health. The worker should be matched as possible, physically and mentally, to the demands of the job. In general, the scientific management movement emphasized the importance of management planning down to the smallest details in the operations of the factory. But his opinions about group effort were quite negative and for this his efforts were strongly resisted by organized labor, and even the House of Representative Committee or Congress of the USA.

Reporter: Hazel C. Arugay

GROWTH AND DEVELOPMENT IF HUMAN RESOURCE MANAGEMENT (HRM) IN THE PHILIPPINES HRM is relatively a new field in the Philippine business. It was only in the early 50s that it gradually gained acceptance and recognition in private business and industry. Three conditions must exist for it to gain acceptance and recognition: 1. Top management must be convinced that human resource management is needed in its business operations 2. Qualified human resource administrators must be available 3. Human resource administrators must demonstrate its capacity to contribute to companys objectives and goals. Despite these limitations, HRM has won a good deal of acceptance and recognition for itself, due largely efforts of the

Personnel Management Association of the Philippines (PMAP). Among the activities of PMAP are: 1. training and developing human resource administrators through seminars, tripartite lectures, conferences, pertaining workshops, to HRM meetings and and conferences industrial

relationships 2. participation in public hearings to voice support of, or opposition to, proposed legislations affecting business and industry 3. dissemination of information to upgrade HRM, offering technical advice through its special committees and library facilities 4. establishments of a public relations program aimed at informing the public about the nature of human resource work Moreover, government instrumentalities such as the Department of Labor and Employment (DOLE), the Employees Compensation Commission, the Social Security System (SSS), the National Manpower and Youth Council, and the other government agencies, usually consult with the Association before taking a stand on matters affecting employee employer relations. Post War Development The development and growth of HRM in the Philippines is primarily a post-war phenomenon, and is concomitant with the countrys industrialization. Its growth is continuing in both scope and importance. Factors contributed to the growth of HRM are: 1. The increasing complexity of business operations. 2. The number of government regulations and labor laws promulgated in recent years. 3. The growth of labor unions. 4. Shortage of qualified men. 5. The influx of new concepts in management. 6. The present trend.