Presented By Sharad Jauhri

Torrington regards PM as a continuing process of evolution and growth, in which more and more fields of expertise are acquired and assimilated and within this evolutionary process HRM is only adding a further dimension to a multi-faceted role , and is not at all a revolutionary concept Armstrongmaintains that although the procedures and techniques strongly resemble those of personnel management, the strategic and philosophical context of HRM makes them appear more purposeful, relevant, and consequently, more effective. According to Keenoy, PM caught in ambiguity as it is torn by managing the tension between organisational demands and needs of employees. The clear strategic orientation of HRM provides an escape route from ambiguity, because it has sharply refocused the attention on the organisational loyalties of the personnel function.

PM is traditional, routine, maintenance-oriented, administrative function whereas HRM is continuous, on-going development function aimed at improving human processes. PM is an independent function with independent sub-functions. HRM follows the systems thinking approach. It is not considered in isolation from the larger organization and must take into account the linkages and interfaces. PM is reactive, responding to demands as and when they arise. HRM is proactive, anticipating, planning and advancing continuously. PM is the exclusive responsibility of the personnel department. HRM is a concern for all managers in the organization and aims at developing the capabilities of all line managers to carry out the personnel functions.

The scope of PM is relatively narrow with a focus on administering people. The scope of HRM views the organization as a whole and lays emphasis on building a dynamic culture. Important motivators in PM are compensation, rewards, job simplification and so on. HRM considers work groups, challenges and creativity on the job as motivators. In PM improved satisfaction is considered to be the cause for improved performance but in HRM it is the other way round (performance is the cause and satisfaction is the result).