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HUMAN

RESOURCE
MANAGEMENT
MODULE 1
Introduction
Human Resource
Management
 ATTRACTING

 MANAGING

 MOTIVATING

 DEVELOPING EMPLOYEES
“ If you want 10 days of happiness, grow
grain. If you want 10 years of happiness,
grow a tree. If you want 100 years of
happiness , grow people”.
Organizations require many things in order to be
effective: a method of producing, a way of
marketing whatever product or service is created,
and human resources. While all of these things
are important to organizational effectiveness, the
only factor that represents a potential
competitive advantage is human resources
and how these resources are managed.
 Human Resources are the most
valuable and unique assets of an
organization.
 The successful management of an
organization’s human resources is an
exciting, dynamic& challenging task
especially at a time when the world
has become a global village .
Meaning of HUMAN
RESOURCES
The total knowledge, skill,
creative abilities, talents and
aptitudes of an organization’s
workforce, as well as the value,
attitudes and beliefs of the
individuals involved.
WHAT IS HUMAN RESOURCE
MANAGEMENT?
 Human resource (HR)
management refers to the practices
and policies you need to carry out
the personnel aspects of your
management job, specifically,
acquiring, training, appraising,
rewarding, and providing a safe and
fair environment for your company’s
employees.
 HRM is a Management function that helps
managers recruit, select, train & develop
members of an organization. It is concerned
with people’s dimension in organizations.
 HRM is one of the functional areas of
management and it has replaced the term
‘personnel Management’.
 It represents a new model of management
with a different value system.
 It is based on ideas and techniques
developed to enhance worker motivation,
productivity & performance.
Definition:

Human Resource Management is


defined as a strategic and coherent
approach to the management of an
organization’s most valued assets –
the people working there who
individually and collectively
contribute to the achievement of its
objectives.
Why Is HR Management
Important to All Managers?
Personnel mistakes you don’t want to make -
 Hiring the wrong person for the job

 Experiencing high turnover

 Finding employees not doing their best

 Having your company taken to court because of


your discriminatory actions
 Having your company cited under federal
occupational safety laws for unsafe practices
NATURE OF HRM
HRM is concerned with the people’s dimension in
organizations.
- It is people who staff and manage organizations
- HRM involves the application of management
functions and principles.
- Decisions on different aspects of employees must
be consistent with HR decisions.
- Decisions must influence the effectiveness of the
organizations which must result in betterment of
services to the customers.
- HRM functions not confined to business
establishments only. They are applicable to non-
business organizations too.
SCOPE OF HRM

Control: Acquisition:
HR Audit HR Planning,
HR Accounting Recruitment ,
HRIS Selection, Placement.

HRM

Maintenance:
Remuneration, Development:
Motivation, Training, Career
Health & Safety Development,
Social Security, Organization
Industrial Relations Development,
Performance Appraisal Internal Mobility
HUMAN RESOURCE
DEVELOPMENT
 It is a process of improving, moulding
and changing the skills, knowledge,
creative ability, aptitude, attitude,
values commitment, etc., based on
present and future job and
organizational requirements.
Scope of HRD

CAREER PLANNING & PERFORMANCE


DEVELOPMENT APPRAISAL

ORGANIZATION
CHANGE
HRD TRAINING

ORGANIZATION MANAGEMENT
DEVELOPMENT DEVELOPMENT
1.Performance Appraisal: It is the systematic
evaluation of individuals with respect to their
performance on the job and their potential for
development.
2. Training: It is a process of imparting the
employees the technical and operating skills
and knowledge.
3. Management Development: It is the
process of designing and conducting suitable
executive development programs so as to
develop the managerial and human relations
skill of employees.
4. Career Planning and development: It
is the planning of one’s career and
implementation of career plans by
means of education, training, job
search and acquisition of work
experiences.
Features of HRM

 HRM is concerned with employees both as


individuals and as a group in attaining
goals
 Is concerned with the development of
human resource
 HRM covers all levels(top, middle, low) and
categories (unskilled, skilled, technical,
professional) of employees
 It appeals to the employees in all types of
organizations in the world
 Is a continuous never ending
process
 Integrated approach aiming at
attaining goals of individuals,
organisations & society
 Is concerned with managing
Human Resource at work
 Central subsystem of an
organization
 Aims at securing unreserved
cooperation from all employees
Functions of HRM
Managerial Functions
 Planning: It is a pre-determined course of
action. Planning is future oriented concerned
with clearly charting out the desired direction of
business activities in future. Forecasting is one
of the important elements in the planning
process. Other functions of managers depend
upon planning function.
 Organising: It is a process by which the
structure and allocation of jobs are determined.
It involves giving each subordinate a specific
task, establishing departments, delegating
authority to subordinates, establishing channels
of authority and communication, coordinating
the work of subordinates.
 Staffing: This is a process by which managers select, train,
promote and retire their subordinates. This involves
deciding what type of people should be hired, recruiting
prospective employees, selecting employees, setting
performance standards, compensating employees,
evaluating performance, counselling employees, training
and developing employees.
 Directing: It is the process of activating group efforts to
achieve the desired goals. It includes activities like getting
the subordinates to get the jobs done, maintaining morale,
motivating subordinates, etc for achieving the goals of the
organisation.
 Controlling: It is the process of setting standards
for performance, checking how actual performance
compares with these set standards, and taking
corrective actions as needed.
OPERATIVE FUNCTIONS
 Employment: It is concerned with procuring right
kind of people in appropriate number to be placed
necessary to achieve the organizational objectives.
It covers functions such as
- Job analysis: It is the process of study and
collection of information relating to the operations
and responsibilities of a specific job.
- Human Resource Planning: It is a process for
determination and assuring that the organization will
have an adequate number of qualified persons,
available at proper times, performing jobs which would
meet the needs of the organization.
- Recruitment: It is the process of searching for
prospective employees and stimulating them to apply
for jobs in an organization.
- Selection: It is the process of ascertaining the
qualifications, experience, skill, knowledge, etc of an
applicant with a view to appraising his/ her suitability to
a job.
- Placement: It is the process of
assigning the selected candidates with
the most suitable job in terms of job
requirements. It is process of matching
employee specifications with job
requirements.
- Induction and Orientation: These are
the techniques by which a new employee
is rehabilitated in the changed
surrounding and introduced to the
practices, policies, purposes and people,
etc of the organization.
 Human Resource Development: It is
the improving, moulding and changing
the skills, knowledge, creative ability,
aptitude, attitude, values, commitment,
etc, based on present and future job and
organizational requirements.
- Performance Appraisal: It is the
systematic evaluation of individuals with
respect to their performance on the job
and their potential for development.
- Training: It is the process of imparting the
employees the technical and operating skills and
knowledge.
- Management Development: It is the process
of designing and conducting suitable executive
development programs so as to develop the
managerial and human relations skill of the
employees.
- Career Planning and Development: It is the
planning of one’s career and implementation of
career plans by means of education, training, job
search and acquisition of work experience.
- Organization Development: It is a planned
process designed to improve organizational
effectiveness and health through modifications in
individual and group behavior, culture and systems
of the organization using knowledge and
technology of applied behavioral science.
 Compensation: It is the process of providing
adequate, equitable and fair remuneration to the
employees. It includes job evaluation, wage and
salary administration, incentives, bonus, fringe
benefits, social security measures.
 Maintenance: It is concerned with protecting
and promoting employees while at work. For
this purpose, various benefits such as housing,
medical, educational, transport facilities, etc
are provided to the employees. Several
security measures like provident fund,
pension, gratuity, group insurance, etc are
also arranged.

It is important to note that the


managerial and operative functions of
HRM are performed in conjunction with
each other in an organization, be large or
small organizations.