MODULE 1 6hrs

INTRODUCTION TO HRM
SHIFT FROM PERSONNEL MANAGEMENT TO HRM

DIFFERENCES BETWEEN PERSONNEL MGMT & HRM

DEFINITION OF HRM

COMPONENTS OF HRM

FEATURES OF HRM

PIONEERING STATEMENTS OF HRM

AIMS OF HRM

OBJECTIVES

FEATURES OF HRM

ROLE / FUNCTIONS OF HR MANAGER

QUALITIES , QUALIFICATIONS & COMPETENCES OF HR

MANAGER
POLICIES, PROCEDURES & PROGRAMMES

OVERALL FRAME WORK OF HRM

12/08/21 1
Differences Between Personnel Mgmt & HRM
PERSONNEL MGMT
 Management of people employed
 Employees are treated as economic
man & services are exchanged for
salary, wages
 Employees are treated as cost centre
 Employees are mostly used for
organizational benefit
 Personnel mgmt is treated as auxiliary
function
 Actions are based on procedures
 Mgmt tasks are monitoring
 Decision is slow
 Communication is indirect
 Behaviour is based on norms, policies,
customs & practices
 Pay is based on job evaluation
 Mgmt role is transactional
HRM
 Management of employees’ KSA
 Employees are treated as economic,
social & psychological man.
 Employees are treated as profit centre
 Employees are utilized for multiple
benefits.
 HRM is treated as strategic function
 Action is based on business needs
 Tasks are nurturing
 Facilitates speedy decisions
 Communication is direct
 Behaviour is based on values, mission
 Pay is based on performance evaluation
 Role is transformational leadership.
PIONEERING STATEMENTS OF HRM

 Employees are valued assets

 Strategy and culture are important
 Emphasis is on commitment rather than on compliance

12/08/21 3
DEFINITION

“HRM is the function performed in Organisations that facilitates the most
effective use of people to achieve organizational and individual goals”
- Ivancevich & Glucck.
 HRM is “planning, organizing, directing and controlling of the procurement,
development, compensation, integration, maintenance and production of
human resource to the end that individual, organizational and societal
objectives are accomplished,”
- Flippo.
 “ The management of human resources is viewed as a system in which
participants seeks to attain both individual & group goals.”
- Dale Yoder.

12/08/21 4
 COMPONENTS OF HRM
 Acquisition
 Development
 Motivation
 Maintenance

HRM lays emphasis on

 Interests of management

 Adopting a strategic approach

 Obtaining added value from people

 Gaining their commitment

12/08/21 5
AIMS OF HRM
 To achieve Organizational objectives through workforce
 To utilize people to their full capacity & potential
 To fosters commitment from individuals to the success of
the company.
 To integrate human resource policies with business plans
 To unleash the energy of employees.
 To create conditions where innovation, team work and
total quality flourishes.
 To encourage willingness to operate flexibly.

12/08/21 6
 OBJECTIVES OF HRM

 Helping the organization achieve its goals

 Employing the skills and abilities of the workforce effectively
 Providing the organization with well trained and well
motivated employees
 Communicating HRM policies to all the employees.
 Increasing employee’s job satisfaction and self-actualization
 Developing and maintaining a Quality of Work life
 Helping to maintain ethical policies and social responsible
behavior
 Managing change.

12/08/21 7
 FEATURES OF HRM
 Pervasive force
 Action oriented
 Future oriented
 People oriented.
 Comprehensive function.
 Individual oriented.
 Inter-disciplinary function
 Continuous function.
 Staff function.
12/08/21
 Development oriented 8
FUNCTIONS OF HRM
MANAGERIAL FUNCTIONS OPERATIVE FUNCTION

Planning Employment

Organizing HR Development

Staffing Compensation

Directing Human relations

Coordinating Industrial Relations

Reporting Recent trends in HRM

Budgeting
HRM Policies, Procedures & Programmes
 Need for Policies:
 Minimizes favouritism
 Sets standards for performances
 Creates loyalty / enthusiasm
 Promotes stability
 Basic needs of Organization & employees are taken into account
 Resolves conflicts
 Characteristics of HRM policies:
 Related to objectives
 Easy to understand
 Precise
 Stable as well as Flexible
 Based on facts
 Appropriate number
 Just, fair & equitable
 Reasonable. Review

12/08/21 10
 Advantages of HRM policies
 Facilitates delegation
 Increases independence in decision making
 Better control without friction & conflict
 Serves as standard for efficiency
 Creates confidence
 Speedy Decisions
 Acts as a coordinating device

 5 Principles useful in formulating Policies:

 Past practices in the organization
 Prevailing practices in rival organizations
 Attitudes & Philosophy of top management
 Attitudes & Philosophy of middle / lower management
 Knowledge & experience gained through handling personnel problems

12/08/21 11
QUALITIES & QUALIFICATION OF HR MANAGER

 INTELLIGENCE
 EDUCATION SKILLS
 DISCRIMINATING SKILLS
 EXECUTING SKILLS
 EXPERIENCE & TRAINING
 PROFESSIONAL ATTITUDE

12/08/21 12
12/08/21 13
Competences of  PERSONAL CREDIBILITY
HR Manager  Trust
 Personal Relationship
 BUSINESS MASTERY  Courage
 Business acumen  Values
 Customer orientation
 External orientation

 CHANGE MASTERY
 HR MASTERY
 Interpersonal skills & influence
 Staffing
 Problem solving skills
 Performance appraisal
 Reward system
 Reward system
 Innovativeness & creativity
 Communication
 12/08/21
Organization design 14
 COMPETATIVE CHALLENGES
Globalization
Technology
Managing Change
Human Capital HUMAN RESOURCES
Responsiveness Planning
Cost Containment Recruitment
Staffing
Job Design
OPPORTUNITIES &
Training & Development
CHALLENGES IN HRM Appraisal
EMPLOYEE CONCERNS Communication
Background Diversity Compensation
Age Distributions Benefits
Gender Issues Labour relations
Educational Issues
Employee Rights
Privacy Issues
Work Attitudes
Family Concerns
12/08/21 15