Introduction to Human Resource Management.pptx

HRM

1. Introduction to HRM

2. HRM is the art of procuring, developing and maintaining competent workforce to achieve the goals of an organization in an effective and efficient manner.

3. Nature of HRM Pervasive force Action oriented Individual oriented People oriented Future oriented Development oriented Integrative mechanism Interdisciplinary function Continuous function

4. Scope of HRM Personnel aspect: Manpower planning Recruitment Selection Placement Transfer Promotion Training and development Lay off and retrenchment

5. Remuneration Incentives Productivity Welfare aspect: Working conditions Amenities(canteens, crèches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities, etc.)

6. Industrial relations aspect: Union management relations Joint consultation (aims to promote cooperation between the employer and employees and allow personnel to participate in decision-making.) Collective bargaining (It is a process of negotiations between employers and a group of employees aimed at reaching agreements that regulate working conditions.) Grievance and disciplinary procedures Settlement of disputes.

7. Objectives of HRM Societal objectives – To be socially responsible to the needs of the society. Organizational Objective – To recognize the role of HRM in bringing about organizational effectiveness. Functional objective – To maintain department’s contribution at a level appropriate to the organization's needs. Personal Objective – To assist employees in achieving their personal goals, at least in so far as these goals enhance the individual’s contribution to the organization.

8. Objective of HRM HRM Obj. Supporting function Societal Objective Legal compliance Benefits Union Management relations Organisational Objectives 1. HRP 2. Employee relations 3. Selection 4. Training & Development 5. Appraisal 6. Placement

9. Objectives of HRM HRM Obj. Supporting function Functional objectives Placement Assessment Personal Objectives 1.Training & Development 2. Compensation

10. Objectives of HRM To help the organization reach its goals. To employ the skills and abilities of the workforce efficiently. To provide the organization with well-trained and well motivated employees. To increase to the fullest the employee’s job satisfaction and self-actualization. To develop and maintain a quality of work life. To communicate HR policies to all employees. To be ethically and socially responsive to the needs of society.

11. Functions of HR i ) Managerial Functions: Planning Organizing Staffing Directing Controlling ii) Operative Functions: a) Procurement: Job analysis HR Planning

12. Recruitment Selection Induction and internal mobility. Placement b) Development: Training Executive development Career Planning Succession planning Human resources development strategies

13. c) Motivation and compensation: Job design Motivation Job evaluation Performance and potential appraisal Compensation administration Incentives and other benefits d) Maintenance: Health Safety Welfare Social security.

14. e) Integration: Grievance redressal Discipline Teams and teamwork Collective Bargaining Participation Empowerment Trade Unions Industrial Relations

15. Importance of HRM Human Resource Management helps an organization and its people to realize their respective goals: At the enterprise level: Good human resource practices can help in attracting and retaining the best people in the organization. It helps in training people for challenging roles, promoting team spirit among the employees and developing loyalty through appropriate reward schemes.

16. 2. At the individual level: It promotes teamwork and team spirit among employees. It offers excellent growth opportunities to people who have the potential to rise. It allows people to work with diligence. 3. At the society level: Employment opportunities multiply. Scarce talents are put to best use. Companies that pay and treat people well always and deliver excellent results.

17. 4. At the national level: Helps in use of national, physical and financial resources in a better way. People with right skills, proper attitudes and appropriate values help the nation to compete with the best in the world leading to better standard of living and better employment.

18. Evolution of HRM Early Phase : Though it is said that HRM is of recent origin, it had its origin dating back to 1800 B.C. Eg . Minimum wage rate and incentive wage plans were included in Babylonian Code of Hammurabi around 1800 B.C. Kautilya , in India(in his book Arthashastra ) made reference to various concepts like job analysis, selection procedure, executive development, incentive system and performance appraisal.

19. Legal phase : The early roots of HRM in India could be traced back to the period after 1920. The royal commission on labour in 1931 suggested the appointment of labour officer to protect workers’ interest. Two professional bodies , the Indian Institute of Personnel Management(IIPM) Kolkata and the National Institute of Labour Management( NILM) Mumbai have come into existence in 1950.

20. Welfare Phase : During 1960’s the scope expanded as it covered labour welfare, participative management, industrial harmony, etc. Development Phase : In 1960’s and 1970’s, the HR professionals focused more on developmental aspects of human resources. The emphasis was on striking a harmonious balance between employee demands and organizational requirements. HRD occupied an important place.

21. The two professional bodies, IIPM and NILM were merged to form the National Institute of Personnel Management (NIPM) at Kolkata.

22. The various phases of HRM : Period Emphasis Status Roles 1920-30 Welfare management Clerical Welfare Administrator 1940-60 Expanding the role to cover Labour , Welfare, Industrial relations. Administrative Appraiser Advisor Mediator Legal Advisor 1970-80 Efficiency, effectiveness, emphasis on human values. Developmental Change agent Integrator Trainer Educator

23. 1990-2000 Increased productivity gains through human assets. Growth oriented. Developer Counsellor Coach Mentor Problem solver Post 2000 Cost cutting in order to compete in a global environment Fight for survival to live for another day. Compete with the best and win

24. Personnel management: Personnel management is concerned with people at work and their relationships with each others. It may be defined as a set of programmes , functions and activities designed to maximize both personal and organizational goals. It involves the establishment of various policies to deal with employees and to retain them.

25. Personnel Management Personnel Aspect : Recruitment, selection, placement, training, appraisal, compensation, productivity. Welfare Aspect : Working conditions, amenities, facilities, benefits Industrial Relations Aspect: Union management relations, disputes settlement, grievance handling, discipline, collective bargaining.

26. . Personnel Management Human resource management Evolution Precedes HRM Latest in the evolution of the subject Flexibility Personnel function is concerned with contracts, rules and guides to management action. The driving force is adherence to established rules, bureaucratic procedures and rigid systems. HRM is more flexible in terms of designing work norms, payment plans, labour management relations, etc. Scope It is narrow in scope. HRM is much broader in scope. Primary goal of HR is to help employees realize their potential while meeting organizational objectives.

27. Hrm incorporates personnel management tasks, wile seeking to create and develop teams of workers for the benefit of the organization. Approach to labour relations It sees conflict as inevitable and their principal task is to identify reasons and try to minimize through negotiation. HRM sees no conflict in the ultimate Goal of both the organization and its employees.

28. Strategy aspects It assumes a routine, record keeping, inward looking, reactive role. It visualizes corporate plan as central to all its activities, which therefore involves building up the business and improving customer relationships. Key Relations Labour Management Customer Integrated Speed of decision Slow Fast Communication Indirect Direct Respect for Employees Labour is treated as a tool which is replaceable. People are treated as assets to be used for the benefit of an organization, its employees and the society as a whole.

29. Challenges faced by HRM Vision penetration Internal environment Change in industrial relations Job design and organizational structure Increasing size of workforce Satisfaction of higher level needs Equalitarian social system Technological advances Computerized information system Changes in legal environment Management of human relations

30. Strategies for the New Millennium HR strategies set out what the organization intends to do about its human resource management policies and practices and how they should be integrated with the business strategy and with each other . Key elements: Strategic objectives Plan of action HR strategy must be aligned with the organization’s vision, mission and goals. In developing an HR strategy, the company must analyze the characteristics of its industry, determine its competitive advantage, and identify key processes and key people.

31. Strategy determines the direction where the organization is going. A good HR strategy satisf ies business needs and takes account of the needs of line managers, employees and other stakeholders . An HR strategy can be : Overall / General strategy Specific strategy: focuses on specific areas Talent management Development Reward management

32. Overall HR strategies Describes about how people should be managed and developed and what steps should be taken to ensure that the organ i zation can attract and retain the people it needs; and ensure that employees are committed, motivated, engaged.

33. Categories of overall strategies The overall strategies involves: High-performance management High-involvement management High-commitment management

34. High-performance management Aims to influence organizational performance through people. HRM areas involved (HPWS – high performance work systems): Recruitment & selection Training and development Reward management Performance management

35. High-involvement management Treating employees as partners. Providing opportunity for the employee to control and understand their work. Communication for mutual understanding.

36. High-commitment management Organizational relations based on trust. Approaches to achieve commitment: Emphasis on trainability Functional flexibility Reduction of hierarchy, ending of status differentials Reliance on teams: problem solving Intrinsic satisfaction via job design Permanent employment with temporary workers Merit pay and profit sharing Involvement in quality management

37. Specific HR strategies Corporate social responsibility Organization development Employee Engagement Knowledge management TQM Talent management Quality Circles Kaizen Flexible working Employee relations

38. Reward management Mentoring Emotional quotient