What does it mean HRM?

HRM is a management function concerned with hiring

,motivating and maintaing people in the organisation .
It focuses on the people in the organisation.


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Personnel vs. HRM
Personnel management HRM
Time and planning
perspective
Short term, reactive, ad
hoc, marginal
Long term, proactive,
strategic, integrated
Psychological
contract
Compliance Commitment
Control system External controls Self-control
Employee relations
perpective
collective, low trust individual, high trust
Preferred structures Bureaucratic/mechanistic,
centralised, formal roles
developed, flexible
roles
Roles Specialist Integrated
Evaluation criteria Cost minimization Maximum utilisation
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The cycle of personnel
Planning
Recruiting & Selection
Career planning
Appraisal
Rewarding
Performance
Development & Training
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HRM function has four key
objectives:
Staffing objectives
Performance objectives
Change-management objectives
Administration objectives

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Functions of HRM
Functions of HRM


Managerial Functions Operative Functions
Planning Employment
Organizing HRD
Directing Compensation
Controlling Human Relations
Industrial Relations
T and D
Recent Trends in HRM
t


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HRM in a small-scale unit
Owner/Manager


Production Sales Office Accountant
Manager Manager Manager

Personnel
Assistant
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HRM in a large-scale unit
Chairman and Managing Director



Director Director Director Director Director
Prod. Finance Personnel/HRM Mktg. R&D
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Manage
r
personn
el
Manager Admn
Manager HRD
Appraisal
T&D
Manager IR
HRP
hiring
Grievance Handling
Compensation
PR
Canteen
Medical Welfare Transport
l
e
L
e
g
a
l
Legal
Composition of HR Dept
HRM as a Central Sub-System

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Finance
Marketing
Materials
Technology
HRM Information
Production
Strategic HRM
The linking of human resources with
strategic goals and objectives in order
to improve business performance and
develop organizational culture that
foster innovation and flexibility
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Assessing HR Effectiveness
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Diagnostic Measures of HR
Effectiveness
HR expense per employee
Compensation as a percent of
expenses
HR department expense as a
percent of total expenses
Cost of hires
Turnover rates
Absenteeism rates
Workers compensation per
employee
HRD CLIMATE
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