INTRODUCTION TO HUMAN RESOURCE MANAGEMENT

Contents

HRM: Concept & Its Definition Importance of HRM Functions of HRM HRM Department: Organization & Role HRM vs. HRD Limitations of HRM Challenges before HRM Principles of HRM
1

Human Resources

Are an organization's greatest assets All other resources get connected through men To make them deliver they need to be
Properly

selected Properly trained Properly motivated

Definitions of HRM

Byers & Rue: HRM is the function facilitating the most effective use of people to achieve both organisational and individual goals Michael Jucious: HRM is that field of management which deals with planning, organising & controlling the functions of procuring, developing, maintaining and utilising a labour force such that organisational & individual goals are fulfilled

Importance of HRM

Importance of human resources can be discussed at four levels:

Corporate Professional

Social
National

Corporate

HRM can help an enterprise in the following ways:

Attracting

talent through effective HRP Developing necessary skills & attitude with training Securing cooperation through motivation Retaining talent through the right policies

Professional

HRM helps improve quality of work life and contributes to growth in the following ways:
Opportunities

for personal development Motivating work environment Proper allocation of work Healthy relationships between individuals & groups

Social

Society benefits from good HRM in many ways:

Good

employment opportunities Development of human capital Generation of income & consumption Better lifestyles

National

Drivers of development of a country Deliver economic growth

Functions of HRM

The process of HRM consists of 4 basic functions:

Acquisition

of human resources Development of human resources Motivation of human resources Maintenance of human resources

Acquisition Function

Process of identifying and employing people possessing required level of skills

Job

Analysis HRP Recruitment Selection

Development Function

Process of improving, moulding and changing the skills, knowledge and ability of an employee
Employee

Training Management Development Career Development

Motivation Function

Process of integrating people into a work situation in a way that it encourages them to perform / deliver to the best of their ability
Understanding

needs Designing motivators Monitoring

Maintenance Function

Process of providing employees the working conditions that help maintain their motivation and commitment to the organisation
Satisfaction

Levels

Retention

Organisation of HRM Department

DIRECTOR (HRD)

MANAGER (PERSONNEL)

MANAGER (ADMINISTRATION)

MANAGER (HRD)

HR PLANNING

WELFARE

TRAINING & DEVELOPMENT

RECRUITMENT & SELECTION

LEAVE RECORDS

PERFORMANCE APPRAISAL

Role of HR Manager

Job Design / Job Analysis Human Resource Planning Recruitment & Selection Training & Development Performance Appraisal Compensation / Benefits Personnel Information Systems Employee Motivation / Assistance

HRM vs. HRD

HRM is the process of effectively employing people in an organisation HRD is the process of training & development of employees to make them effective HRD is an important subset of HRM

Limitations of HRM

HRM only a support function! Training programs only a cost! Not an as & when needed function! Not specifically qualified / trained people! Inadequate information systems / records! Misunderstood as HRD!

Challenges before HRM

Globalisation (More productivity) Technological Trends (New skill set) Increasing Service Sector (Customer Interface) Working Trends (9 to 9!) Demographic Trends (Young India!)

Principles of HRM

Employees are valued assets Strategy and Culture Emphasis on commitment rather than compliance Emphasis on the key role of line management