Basics about Human Resource Management 1

Human Resource Management (HRM) is the strategic approach to managing people in an organization, ensuring they contribute effectively and efficiently to the overall goals of the company. HRM encompasses various functions, including recruitment, selection, training and development, performance appraisal, compensation management, employee relations, and ensuring compliance with labor laws and regulations.

1. Human Resource Management Nature of HRM: HRM refers to the application of management principles to management of people in an organization. HRM comprises the following: HRM consists of people-related functions as hiring, training and development, performance review, compensation, safety and health, welfare, industrial relations and the like.

2. Human Resource Management Human Capital: More important functions of HRM are the building of human capital . Human capital refers to the stock of employee skills, knowledge and capabilities that may not show up in a balance sheet but have significant impact on a firm’s performance .

3. Human Resource Management Human Capital: Obviously, building human capital is the major function of an HR professional. These activities (routine as well as capital building initiatives) are not carried out in isolation. They are interdependent .

4. Human Resource Management HRM Functions: Henry Mintzberg identified 10 roles (read functions) which managers play in organisations . A typical manager, according to Mintzberg , acts as a monitor, disseminator , spokesperson , figure-head , leader,liaison , entrepreneur, disturbance handler, resource allocator and negotiator.

5. Human Resource Management HRM Functions: He classifies these ten roles into three broad categories: first three together are called informational role , next three constitute the interpersonal role, and the decisional role includes the remaining four.

6. Human Resource Management HRM Functions: Planning: Preparing forecasts of future HR needs in the light of an organisation’s environment, mission and objectives, strategies, and internal strengths and weaknesses, including its structure, culture, technology and leadership. • Staffing : Obtaining people with the appropriate skills, abilities, knowledge and experience to fill jobs in the work organisation . Key practices are human resource planning, job analysis, recruitment and selection .

7. Human Resource Management HRM Functions: Developing: Analysing learning requirements to ensure that employees possess the knowledge and skills to perform satisfactorily in their jobs or to advance in the organisation . Performance appraisal can identify employees’ key skills and ‘competencies’. • Monitoring: The design and administration of reward systems. HR practices include job evaluation, performance appraisal, pay and benefits .

8. Human Resource Management HRM Functions: Maintaining: The administration and monitoring of workplace safety, health , and welfare policies to retain a competent workforce and comply with statutory standards and regulations. • Managing relationships: Encompasses a range of employee involvement/participation schemes in non-union or union work places. In a union environment this includes negotiating contracts and administering the collective agreement.

9. Human Resource Management HRM Functions: Managing change: This involves helping others to envision the future, communicating this vision, setting clear expectations for performance and developing the capability to reorganize people and reallocate other resources. • Evaluating: Designing the procedures and processes that measure, evaluate and communicate the value-added component of HR practices and the entire HR system to the organization .

10. Human Resource Management

11. Human Resource Management HRM is a broad concept. Personnel management (PM) and human resource development (HRD) are a part of HRM. PM has a limited scope and an inverted orientation. It viewed labour as a Tool. The personnel department itself was not treated with respect. Personnel function was treated as a routine activity meant to hire new employees and to maintain personnel records . It was never considered a part of the strategic management of businesses . Historically , PM preceded HRM. Differences between HRM and PM

12. Human Resource Management Differences between HRM and PM

13. Human Resource Management Differences between HRM and PM

14. Human Resource Management Differences between HRM and PM

15. Human Resource Management Objectives of HRM

16. Human Resource Management Objectives of HRM

17. Human Resource Management Objectives of HRM

18. Human Resource Management Objectives of HRM The societal objectives of HRM seek to ensure that the organisation becomes socially responsive while the organisational objectives make sure that HRM is not a standalone department , but rather a means to assist the organisation reach its primary objective .

19. Human Resource Management Objectives of HRM

20. Human Resource Management Objectives of HRM Functional objectives remind the HRM that it has only functional value and should not become too expensive at the cost of the organisation it serves , while personal objectives assist employees in achieving their personal goals.