HRM

Presented By :
Tamanna

Managers must find ways to get the highest level

of contribution from their workers. And they will
not be able to do that unless they are aware of the
many ways that their under-standing of diversity
relates to how well, or how poorly, people
contribute.
R. Roosevelt Thomas Jr., p 320

Human Resource Management

The process of attracting, developing and

maintaining a talented and energetic workforce to
support organisational mission, objectives and
strategies

Human Resource Management

A distinctive approach to employment management

which seeks to achieve competitive advantage
through the strategic deployment of a highly
committed and capable workforce, using an
integrated array of cultural, structural and personnel
techniques.

HRM Includes:

Employment Issues
Discrimination
Equal Employment Opportunity
Harassment
Affirmative Action
Diversity Management
Occupational Health and Safety
Industrial Relations

HRM Includes:

Employment Issues
Recruitment
Selection
Induction / Orientation
Training and Professional Development
Performance Appraisal and Management
Career Development
Quality of Work Life
Retention and Turnover

PRINCIPLES OF HRM
Strategic integration
Organisational flexibility
Commitment
Quality

STRATEGIC INTEGRATION

An attempt to treat all labour management

processes from recruitment and training to
remuneration and retrenchment in a strategic
fashion by integrating them with the broader
business concerns of the enterprise.

STRATEGIC HRM

People are not just another cost or factor of production. They are
the key to competitive advantage.

Close fit between human resources, internal processes and the

external environment.
1. Devolution of responsibility for labour management to line
managers.
2. Co-ordination of policies on recruitment, training &
performance management.

FLEXIBILITY

The flexible firm and the global economy.

Functional flexibility
Numerical flexibility
Financial flexibility

1.

Core: Highly skilled knowledge workers. Full time jobs

and job security.

2.

Periphery: Casuals and part-time workers and shortterm contractors.

COMMITMENT

From control to commitment through changing the

organisations culture.

Mission statement: A statement of core values.

Recruitment: Only recruiting those prepared to

subscribe to these core values.

Contd

Transformational leadership: CEO as visionary change

agent.

Ensuring employees demonstrate desired attitudes,

competencies and behaviours.

Culture Management strong culture

QUALITY

Culture of quality: Quality work, quality workers, quality

products and services.

Total Quality Management.

Quality assurance and zero defects.

Internal customers.

Empowering workers via team working.

Functions of HRM
a.
b.
c.
d.
e.
f.
g.
h.

Conducting job analysis.

Planning future needs and supplies.
Recruiting and selecting employees.
Orienting and training employees.
Managing wages and benefits.
Performance appraisal.
Communicating (discipline and services).
Building employee commitment (incentives).

OBJECTIVES OF PM/HRM

Personal Objectives
Organizational Objectives

Societal Objectives

PERSONAL

It is concerned with the optimum utilization of the human

resources within and organization.

It is concerned with the creation of conditions in which

each employee is encouraged to make his best possible
contribution to the effective working of the undertaking.

It is also concerned with the development of the sense of

mutual respect and trust between management and
workers through sound relations.

It endeavors to increase the productive efficiency to the

workers through training, guidance and counseling and

It tries to raise the morale of the employee.

ORGANIZATIONAL

To recognize the role of HRM in bringing about

organizational effectiveness.

HRM is not an end itself. It is only a means to assist the

organization with its primary objectives.

Simply stated, the department exist to serve the rest of

the organization.

SOCIETAL

To be ethically and socially responsible to the needs and

challenges of the society while minimizing the negative
impact of such demands upon the organization.

The failure of organizations to use their resources for the

societys benefit in ethical way may lead to restrictions.

For example, the society may limit HR decisions through

laws that enforce reservation in hiring and laws that
address discrimination, safety or other such areas of
social concern.

HRM ACTIVITIES

Job analysis defines a job in terms of specific

tasks and responsibilities and identifies the
abilities, skills and qualifications needed to
perform it successfully.

Human resource planning or employment

planning is the process by which an organisation
attempts to ensure that it has the right number of
qualified people in the right jobs at the right time.

HRM ACTIVITIES (cont)

Performance appraisal is concerned with determining

how well employees are doing their jobs, communicating
that information to the employees and establishing a
plan for performance improvement.

Training and development activities help employees

learn how to perform their jobs, improve their
performance and prepare themselves for more senior
positions.

Career planning and development activities benefit

both employees (by identifying employee career goals,
possible future job opportunities and personal
improvement requirements) and the organisation (by
ensuring that qualified employees are available when
needed).

Employee motivation is vital to the success of any

organisation. Highly motivated employees tend to be
more productive and have lower rates of absenteeism
and turnover.

Employee recruitment is the process of seeking

and attracting a pool of applicants from which
qualified candidates for job vacancies within an
organisation can be selected.

Employee selection involves choosing from the

available candidates the individual predicted to be
most likely to perform successfully in the job.

WHAT IS PERSONNEL MANAGEMENT?

According to the British Institute of Personnel

Management :
Personnel Management can be defined as that
part of management which is concerned with
people at work and with their relationship within an
organization.

WHAT IS HUMAN RESOURCE MANAGEMENT?

According to American Management

Association:
Human Resource Management is that field of management
which has to do with planning, organizing and controlling
various operative functions of procuring, developing,
maintaining and utilizing a work force in order that
(a) the objectives for which the company is established are
attained as efficiently and economically as possible;
(b) the objectives of all levels of personnel are served to the
highest degree; and
(c) the objectives of the community are duly considered and
served.

DISTINCTION BETWEEN
PERSONNEL MANAGEMENT (PM) & HUMAN RESOURCES MANAGEMENT (HRM)
Dimension

PM

HRM

Perspective

Short-term perspective

Long-term perspective

Point of View

Compliance

The psychological
contract based on
commitment

Control

External control

Self-control

Perception

Pluralist perspective

A utilitarian
perspective

Role

Specialist role

Strategic role

Outlook

Cost-minimization

Maximum utilization

DISTINCTION BETWEEN PERSONNEL MANAGEMENT &. HRM (CONTD)

Dimension

PM

HRM

Employment contract

Careful delineation of
written contracts

Aim to go beyond
contract

Rules

Importance of
devising clear rules

Can do outlook,
impatience with rule

Guide to management Procedures

action

Business need

Behavior referent

Norms/customs and
practices

Values/mission

Managerial task vis-vis labour

Monitoring

Nurturing

Initiatives

Piecemeal

Integrated

DISTINCTION BETWEEN PERSONNEL MANAGEMENT &. HRM (CONTD)

Dimension

PM

HRM

Job design

Division of labor

Team work

Conflict handling

Reach temporary truce

Manage climate and

culture

Training and
development

Controlled access to courses

Learning organizations

Respect for
employees

Labor is treated as a tool

which is expendable and
replaceable

People are treated as

assets to be used for the
benefit of an organization

Shared interests

Interests of the organization

are uppermost

Mutuality of interests

Evolution

Employee advocate'

Member of the
management team'

SOURCE
Aswathappa, K., Human Resource and Personnel Management, Tata McGraw-Hill
Publishing Company Limited, 3rd Edition, 2002, p. 6. and Guest, 1987, cited in Gamage &
Pang, 2003, p.256.

Impact of the HR Manager on

Organizational Performance
1.

Reducing unnecessary overtime expenses by

increasing productivity during a normal day.

2.

Staying on top of absenteeism and instituting

programs designed to reduce money spent for
time not worked.

3.

Eliminating wasted time by employees with

sound job design

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Impact of the HR Manager on

Organizational Performance
4.

Minimizing employee turnover and

unemployment benefit costs by practicing
sound human relations and creating a work
atmosphere that promotes job satisfaction.

5.

Installing and monitoring effective safety and

health programs to reduce lost-time accidents
and keep medical and workers compensation
costs low.

1-30

Impact of the HR Manager on

Organizational Performance
6.

Properly training and developing all employees to

improve their value to company and do a better job
producing and selling high-quality products and
services at lowest possible cost.

7.

Decreasing costly material waste by eliminating bad

work habits, attitudes and poor working conditions
that lead to carelessness and mistakes.

8.

Hiring the best people available at every level and

avoiding overstaffing.
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Impact of the HR Manager on

Organizational Performance
9.

Maintaining competitive pay practices and

benefit programs to foster a motivational climate
for employees.

10.

Encouraging employees to submit ideas for

increasing productivity and reducing costs.

11.

Installing human resource information systems

to streamline and automate many human
resource functions.
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THANKYOU!!!