As proposed by Rao, this model has development at its core, which suggest that the development of motivated, dynamic

and committed employees is a means to achieve better organizational performance. This perspective views HRM as a process, and not merely as a set of practices or techniques. It is close to the resource based view which suggests a bundling of HR practices.

Pareek and rao developed a systems framework that is useful for an in-depth understanding of HRD/HRM . The components of HRD ,according to them are the career system (manpower palnning,recruitment,retention,continuous potential appraisal and career planning, development activities),work planning system(helping individuals understand organizational needs, plan and improve their work) development system (training, counseling and other development activities(,self renewal system(team building, survey feedback, research) and culture system .

According to Athreya, the ultimate aim of HRD is full participation of the individual in his/her job and life . The starting point for moving towards fuller employee participation is the reaffirmation of the HR philosophy. The HR philosophy has an underlying belief in the employees' potential for growth .

This perspective has been put forward by Dayal,who advocates that HRD is an approach, not a function. This perspective highlights that at he underlying belief of all HR programmes of an organization is individual growth and development which leads to improved organizational performance .

HR programmes are need based and may vary significantly in their approach and emphasis in the following ways :Emphasis on philosophy: when an organization articulates its beliefs about people and operationalises them in personnel systems and managerial practices in the organization it views HRD as a way of life and not as a programme .

Emphasis on programmes : HR initiatives by an organization are integrated with the problem areas identified by the organization. Emphasis on leader behavior : In some situations ,leader behavior is regarded as the central feature of HR initiatives . Transformational leaders create an environment in which employees can improve their capabilities and achieve an impressive growth .