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y Personnel

management is the planning organising directing and controlling of the procurement,development,compensation,integra tion,maintanace and separation of human resources to the end that individual, organisational and social objectives are accomplished

Definition of HRM

Human Resource Management: Objectives

To help the organization reach its goals. To ensure effective utilization and maximum

development of human resources. To ensure respect for human beings. To identify and satisfy the needs of individuals. To ensure reconciliation of individual goals with those of the organization. To achieve and maintain high morale among employees.

 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 be ethically and socially responsive to the needs of society To develop overall personality of each employee in its multidimensional aspect. To enhance employee's capabilities to perform the present job To equip the employees with precision and clarity in transaction of business. To inculcate the sense of team spirit, team work and interteam collaboration.

Human Resource Management: Scope

The scope of HRM is very wide: 1. Personnel aspect-This is concerned with manpower planning, recruitment, selection, placement, transfer, promotion, training and development, layoff and retrenchment, remuneration, incentives, productivity etc. 2. Welfare aspect-It deals with working conditions and amenities such as canteens, creches, rest and lunch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities, etc. 3. Industrial relations aspect-This covers unionmanagement relations, joint consultation, collective bargaining, grievance and disciplinary procedures, settlement of disputes, etc.

Human Resource Management: Nature


Human Resource Management is a process of bringing people and organizations together so that the goals of each are met. The various features of HRM include: It is enveloping in nature as it is present in all enterprises. Its focus is on results rather than on rules. It tries to help employees develop their potential fully. It encourages employees to give their best to the organization. It is all about people at work, both as individuals and groups. It tries to put people on assigned jobs in order to produce good results. It helps an organization meet its goals in the future by providing for capable and well-motivated employees. It tries to build and maintain cordial relations between people working at various levels in the organization. It is a multidisciplinary activity, utilizing knowledge and inputs drawn from psychology, economics, etc.

Functions of HRM
y Conducting job analyses (determining the nature of each

employee's job) Planning labor needs and recruiting job candidates

y Selecting job candidates y Orienting and training new employees y Managing Wages and Salaries (how to compensate employees)

Providing incentives and benefits

y Appraising performance and Communicating (interviewing,

counseling, disciplining)

Functions of HRM (Cont.)

y Training and developing y Building employee commitment y Equal opportunity and affirmative action y Employee health and safety y Grievances and labor relations


 Organizational, work, and job design  Planning  Recruitment and Selection  Training and Development  Performance Management  Compensation  Occupational health and safety  Employee and labour relations

Importance of HRM functions

As managers none of us would like to make the following mistakes.
y y y y y

To hire the wrong person for the job To experience high turnover To find our people not doing their best To waste time with countless and useless interviews To have our company sued for our discriminatory actions.

Importance of HRM functions (Cont.)

y y

To be quoted under bad example of unsafe practices To have some of your employees think their salaries are unfair and inequitable relative to others in the organization To allow a lack of training to undermine your department's effectiveness To commit any unfair labor practices

Personnel Management
Standard definition given by experts of personnel management
It is that phase of management which deals with the effective control and use of manpower as distinguished from other sources of power.

Personnel Functions
1. The procurement function- obtaining of

a proper kind and number of personnel necessary to accomplish an organization s goals

2. The development function- personnel development of employees, training 3. The compensating function- securing adequate and equitable remuneration to personnel 4. The Integration function- an integration of human resources with organization through job improvement, job assessment, variable compensation plans, disciplinary action programme \s. 5. The maintenance function- maintaining the physical conditions of employees (health and safety measures) and employee service programmes

There are two school of opinions prevailing between the difference between both. Some experts assert that there is no difference between human resources and personnel management. They state that the two terms can be used interchangeably, with no difference in meaning. For those who recognize a difference between personnel management and human resources, the difference can be described as philosophical.

y Personnel Management - Personnel Management is basically an

administrative record-keeping function, at the operational level. Personnel Management attempts to maintain fair terms and conditions of employment, while at the same time, efficiently managing personnel activities for individual departments etc. It is assumed that the outcomes from providing justice and achieving efficiency in the management of personnel activities will result ultimately in achieving organizational success. y Human Resource Development - Human resource management is concerned with the development and implementation of people strategies, which are integrated with corporate strategies, and ensures that the culture, values and structure of the organization, and the quality, motivation and commitment of its members contribute fully to the achievement of its goals.

Main Differences between Personnel Management and HRM

y Personnel management is workforce centered, directed mainly at the

organization s employees; such as finding and training them, arranging for them to be paid, explaining management s expectations, justifying management s actions etc. While on the other hand, HRM is resource centered, directed mainly at management, in terms of devolving the responsibility of HRM to line management, management development etc. y Personnel Management is basically an operational function, concerned primarily with carrying out the day-to day people management activities. While on the other hand, HRM is strategic in nature, that is, being concerned with directly assisting an organization to gain sustained competitive advantage. y HRM is more proactive than Personnel Management. Whereas personnel management is about the maintenance of personnel and administrative systems, y HRM is about the forecasting of organizational needs, the continual monitoring and adjustment of personnel systems to meet current and future requirements, and the management of change.


Human resource development refers to the process whereby the employees are continuously helped in a planned way to
y Acquire or sharpen capabilities required to perform various tasks

associated with their present/future expected roles.

y Develop their general capabilities as individuals so that they are able to

discover and exploit their own inner potential for their own and/or organizational development purpose.
y Develop an organizational work culture where: superior-subordinate

relationships, team work and collaboration among different units are strong and contribute to the professional well-being, motivation and pride.