Introduction to HRM and its importance .pptx

## Introduction to Human Resource Management (HRM)

Human Resource Management (HRM) is a strategic and coherent approach to managing an organization's most valued assets: the people working there who individually and collectively contribute to the achievement of the objectives of the business. HRM is about creating a workplace culture and environment that encourages high levels of productivity, efficiency, and satisfaction among employees. This introductory essay delves into the origins, definitions, functions, and strategic importance of HRM, as well as the current trends and challenges in the field.

### Origins and Evolution of HRM

The roots of HRM can be traced back to the early 20th century. Initially, the focus was on the welfare and administrative functions, such as recruitment, payroll, and compliance with labor laws. The early pioneers like Frederick Taylor and the scientific management movement emphasized efficiency and productivity through work standardization and optimization.

The Human Relations Movement, led by Elton Mayo and his colleagues during the 1920s and 1930s, shifted attention to the social aspects of work. The Hawthorne Studies highlighted the importance of employee attitudes, social relations, and worker satisfaction, laying the foundation for modern HRM.

Post-World War II, the field saw a significant transformation with the rise of labor unions, the development of employment laws, and the recognition of employee rights. The 1980s and 1990s marked the emergence of Strategic Human Resource Management (SHRM), where HR practices became aligned with organizational goals, emphasizing the strategic role of HR in driving business success.

### Definitions and Scope of HRM

HRM can be defined as the process of hiring, developing, motivating, and maintaining employees in an organization. It encompasses a wide range of functions and activities aimed at optimizing the performance and satisfaction of employees while achieving the strategic objectives of the organization.

According to the Society for Human Resource Management (SHRM), HRM involves the following key functions:
1. **Recruitment and Selection**: Attracting and selecting the right talent for the organization.
2. **Training and Development**: Providing learning opportunities to enhance employees' skills and competencies.
3. **Performance Management**: Assessing and managing employee performance to ensure alignment with organizational goals.
4. **Compensation and Benefits**: Designing and administering pay structures and benefits packages.
5. **Employee Relations**: Fostering a positive work environment and managing employer-employee relationships.
6. **Compliance**: Ensuring adherence to labor laws and regulations.
7. **Health and Safety**: Promoting a safe and healthy workplace.

### Strategic Importance of HRM

The strategic importance of HRM lies in its ability to influence organizational performance and competitive advantage. HRM practices play a crucial role in at

1. Part 1 Introduction Introduction to Human Resource Management

2. Topics to be covered...... What is HRM and how it relates to the management process? Why HRM is important for to all managers. Human resources responsibilities of line and staff (HR) managers.

3. Human Resource Management at Work What Is Human Resource Management (HRM)? The process of acquiring, training, appraising, and compensating employees, and of attending to their labor relations, health and safety, and fairness concerns. Organization People with formally assigned roles who work together to achieve the organization’s goals. Manager The person responsible for accomplishing the organization’s goals, and who does so by managing the efforts of the organization’s people.

4. Organization

5. Who is Manager? Managers The people responsible for supervising the use of an organization’s resources to meet its goals 1- 5

6. What is Management? The planning, organizing, leading, and controlling of human and other resources to achieve organizational goals effectively and efficiently 1- 7

7. Copyright © 2011 Pearson Education 1– 8 The Management Process Planning Organizing Leading Staffing Controlling

8. What Managers Do? Functions Manager’s Perform Planning Defining goals, establishing strategies to achieve goals, developing plans to integrate and coordinate activities. Organizing Arranging and structuring work to accomplish organizational goals. Leading Working with and through people to accomplish goals Controlling Monitoring, comparing, and correcting work.

9. 1– 10 Exhibit 1–4 Management Functions

10. Human Resource Management Processes Acquisition Training Appraisal Compensation Labor Relations Health and Safety Fairness Human Resource Management (HRM)

11. Personnel Aspects of a Manager’s Job Conducting job analyses Planning labor needs and recruiting job candidates Selecting job candidates Orienting and training new employees Managing wages and salaries Providing incentives and benefits Appraising performance Communicating Training and developing managers Building employee commitment

12. Why HRM important to all managers ... 1. To Avoid Personnel Mistakes Hire the wrong person for the job Experience high turnover Have your people not doing their best Waste time with useless interviews Have your firm in court because of discriminatory actions Have your firm cited by OSHA for unsafe practices Have some employees think their salaries are unfair and inequitable relative to others in the organization Allow a lack of training to undermine your department’s effectiveness Commit any unfair labor practices

13. 2. Improve Profits and Performance 3. All managers are HR managers 4. Enterprenuers are also HR managers

14. Line and Staff Aspects of HRM Line Manager Is authorized (has line authority) to direct the work of subordinates and is responsible for accomplishing the organization’s tasks. Staff Manager Assists and advises line managers. Has functional authority to coordinate personnel activities and enforce organization policies.

15. Line Managers’ HRM Responsibilities Placing the right person on the right job Starting new employees in the organization (orientation) Training employees for jobs that are new to them Improving the job performance of each person Gaining creative cooperation and developing smooth working relationships Interpreting the firm’s policies and procedures Controlling labor costs Developing the abilities of each person Creating and maintaining department morale Protecting employees’ health and physical condition

16. Copyright © 2011 Pearson Education 1– 17 Human Resource Managers’ Duties Line Function Line Authority Implied Authority Staff Functions Staff Authority Innovator/Advocacy Functions of HR Managers Coordinative Function Functional Authority

17. Line Function : The HR manager directs the activities of the people in his/her own department. Coordinative Function : HR Manager also coordinates personnel activities by ensuring that line mangers are implementing the firm’s HR policies and practices. Staff Function: assists in hiring, training evaluating, rewarding,promoting and firng employees.

18. Human Resource Specialties Recruiter EEO coordinator Labor relations specialist Training specialist Job analyst Compensation manager Human Resource Specialties

19. Key terms Organization Manager Management process human resource manager Authority Line authority Staff authority Line manager Staff manager Functional authority

20. Assignment 1 Explain all the key terms Read the reading 1