• THE concept of human resource management(HRM)

has first emerged in mid 1980s.HRM philosophy puts

into effect the following values.
• They genuinely believe that this is the right approach
to managing people;
• It accords with what is happening to organisations in
the form of the need to be competitive, to add value
and be managed efficiently or
• Simply this is a new idea that has been packaged
attractively;
• The strategic nature of HRM emphasises the need
to integrate HR strategy with the business stragy.
• HRM DEFINED:
• “HRM can be defined as a strategic and coherent
approach approach to the management of an
orgn’s most valued assets—the people working
there who individually and collectively contribute
tothe achievement of its objectives.”
• A distinction has been made between the”hard”
and ‘soft’ versions of HRM.
 VERSIONS OF HRM

• HARD HRM:
• The approach to HRM emphasizes the
quantitive, calculative and business-strategic
aspects of managing the headcount resource in
as ‘rational’ a way as for any other factor.
• IT adopts a business-oriented philosophy that
emphasizes need to manage people in ways that
will obtain additional value from them and
achieve competitive advantage.
• It regards people as human capital from which a return can
be obtained by investing judiciously in their development.
• The drive to adopt HRM is based on business need to
respond to an external threat from increasing and invisible
competition.it is necessary to increase competitive
advantage.
• The emphasis therefore is on:
• #The interests of management;
• #Adopting a strategic approach that is closely integrated
with business a strategy
• Obtaining added value from people by the processes of
human resource development AND Performance
Management;
• The need for a strong corporate culture expressed in
mission and value statements and reinforced by
communications,training and performance management
processes;
• SOFT HRM:
• The soft model of HRM traces its roots to the human
relations school,emphasizing communication,motivation
and leadership.
• It involves treating employees as valued assets,a
source of competitive advantage through their
commitment,adaptability and high quality of skills
performance and so on.
• The soft approach to HRM emphasizes need to gain
commitment—’the hearts and minds’ ---of
employees through involvement, communications
and other methods of developing a high
commitment,high –trust organisation.Attention is
also focussed to key role of organisational culture.
• The focus is on ’mutuality’—a belief that the
interests of management and employees can,
indeed should be coincided.
• IT is therefore a university approach.
Organisations are assumed to be harmonious
and integrated, all employees sharing the
organisational goals and working as members of
one team.’
• It has been observed that even if the rhetoric of
HRM is soft, the reality is often hard, with
interests of orgn prevailing over those of
individual. Hence there is often in orgns a
mixture of hard and soft HRM approaches.
• This suggests that the distinction between hard
and soft HRM was not as precise as thought to
be.
• AIMS OF HRM
• a) enable orgn to obtain and retain skilled,
committed and well-motivated workforce it
needs;
• b)enhance and develop inherent capacities of
people---their potential and employability by
providing learning and continuous development
opportunities;
• c)develop high performance work systems including
rigorous recruitment and selection precedures,performance
based incentive systems.and management development
and training activities linked to needs of business;
• d)develop high committment management practices that
recognise that employees are valued stakeholders in orgn
and help development a climate of cooperation and mutual
trust;
• e)create a climate in which high productive and harmonious
relationships can be maintained through parternerships
between mgmt and employees;
• e)develop an environment in which team work and
flexibility can flourish
• f)help orgn to balance and adapt to needs of its
stakeholders (owners, govt bodies ,mgmt
&employees,customers,suppliers and public at large);
• g)ensure that people are valued and rewarded for what
they do and achieve;
• h)manage a diverse workforce, considering individual
and group differences in employment needs,work style
and aspirations;
• g)adopt an ethical approach to managing
employees based on concern for
people;,fairness and transperancy;
• h)maintain and improve the physical and
mental wellbeing of employees.
 DEVELOPMENT OF THE HRM
CONCEPT
• The full concept of HRM emerged in mid-1980s against
the background of the basic philosophyb of ‘softHRM’.
• The concept of HRM has gone through three stages:
• 1)The initial concepts developed by American writers in
the 1980s.
• 2)The British Writers took up these inlate1980s and
earlier 1990s who were earlier skeptical;

• 3)The assimilation of HRM into traditional Personnel

Management
 THE MATCHING MODEL OF HRM
• The Michigan School was first to hold that HR systems and
organisation structure should be managed in a congruent
way with organisational strategy hence the name ‘matching
model’. There is a human resource cycle consisting of four
generic processes that are performed in organisations:
• 1.SELECTION---matching available human resources to jobs,
• 2.APPRAISAL—performance management planning and
process
• 3.REWARDS---the reward system is for driving
organisational performance.It must reward short short as
well as long term achievements since business must
perform in present to succeed in future.
• 4)Development—developing high quality
manpower.
• The HR function should be linked to line
organisation by providing business with
databases to ensure that all line mgrs give
serious attention to HR issues so that they can
measurecontribution of HR function at
strategic,managerial and operational levels.
 REWARDS

SELECTION PERFORMANCE
PERFORMANCE
MANAGEMENT

DEVELOPMENT

The Human Resource Cycle

• THE HARVARD FRAMEWORK
• This Harvard frame work is based on the belief
that problems of historical personnel mgmt can
only be solved.
• Without either a central philosophy or a strategic
vision to be provided by general managers—HRM
is likely to remain a set of independent activities,
each guided by its own practice tradition.
• With the tremendous demand and pressure on
HRM the first underlying tenet is that HRM
belongs to line managers.
• Harvard framework suggested that ‘Human resource
management involves all management decision s and
action that affect the nature of relationship between
the organisation and its employees—its human
resources’.
• The Harvard school suggested HRM has two
characteristic features:1)line managers accept more
responsibility for ensuring alignment of competitive
strategy and personnel policies;and2)the personnel
function has the mission of setting policies that
govern how personnel activities are developed and
implemented in ways that make them more mutually
reinforcing.
• The advantages of this model are as follows:
• #incorporates recognition of a range