Professional Documents
Culture Documents
Management
Personnel Management
Historical background
Personnel Management
Concept of Personnel Management
The real development of PM begun after the 2nd world war in 1945.
HRM historically known as PM, deals with formal system for the
management of the people within the organization.
The PM was a significant change in the way we work with people in the
organization, it represented one of the best improvement of workplace
conditions ever introduced.
Personnel Management
Concept of Personnel Management (continue )
They key goal of PM was designing cost-efficient processes and kept the
organization competitive.
Handle labor laws and directly interact with labor and law-enforcement
authorities.
Personnel Management
Personnel Management vs Human Resource Management
Personnel Management
Personnel Management vs Human Resource Management
Personnel Management
PM and HRM - Current and past state
Personnel Management
Difference between PM and HRM
Personnel management is a traditional approach of managing people in the
organization. Human resource management is a modern approach of managing
people and their strengths in the organization.
Personnel management focuses on personnel administration, employee welfare
and labor relation. Human resource management focuses on acquisition,
development, motivation and maintenance of human resources in the
organization.
Personnel management assumes people as an input or source for achieving
desired output. Human resource management assumes people as an important
and valuable asset for achieving desired output.
Under personnel management, personnel function is undertaken for employee's
satisfaction. Under human resource management, administrative function is
undertaken for goal achievement.
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Personnel Management
Difference between PM and HRM Continue .1
Under personnel management, job design is done on the basis of division of
labor. Under human resource management, job design function is done on the
basis of group work/team work.
Under personnel management, employees are provided with less training and
development opportunities. Under human resource management, employees are
provided with more training and development opportunities.
In personnel management, decisions are made by the top management as per
the rules and regulation of the organization. In human resource management,
decisions are made collectively after considering employee's participation,
authority, decentralization, competitive environment etc.
Personnel management focuses on increased production and satisfied
employees. Human resource management focuses on effectiveness, culture,
productivity, employee's participation and engagement.
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Personnel Management
Difference between PM and HRM Continue .2
Personnel management is concerned with personnel manager. Human resource
management is concerned with all level of managers from top to bottom.
Personnel management is a routine function. Human resource management is a
strategic function.
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Personnel Management
Conclusion
Many researchers have been arguing on difficulty to distinguish Personnel
Management with Human Resource Management. Some believe that the
difference is just a change of label as Torrington (1989cited in Koster 2007)
said that there is no different in the content of Human resource
management. On the other hand, there are researchers such as Guest (1987
cited in Arsmtrong, 1999) who argued that Human resource management is
differentiated from traditional Personnel management.
However, HRM is concerned with performing the same functional activities
traditionally carried out by personnel function, but HRM approach performs
these functions in a qualitatively distinct way when compared with
personnel management (Storey, 1989).
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