Course Name: BCOMH

Semester Number: V Semester

Subject Code: BCOMH-502
Subject Name: Human Resource Management
Faculty Name: Himanshu Upadhyay
Designation: Assistant Professor
Topics: HRM: Meaning, Nature, Scope,
Objectives, Functions, Personnel
Management Vs HRM
 Human Resource Management
▪ HRM is concerned with managing the people resources of an organization.
▪ Managing human resources is the most crucial and challenging task.
▪ Crucial because it is the key to sustainability in the present competitive world
and challenging because no two individuals are same.
▪ According to Mary Parker Follett, “management is the art of getting things
done through people".
▪ Management is, "that field of human behaviour in which managers plan,
organize, staff, direct and control human, physical and financial resources in
an organized effort, in order to achieve desired individual and group activities
with optimum efficiency and effectiveness."
▪ The important resources that have to be managed by the organization include:
human, finance, operations and information.
▪ Out of these, human resource is the only resource that is living part of the
organization.
▪ Thus, human resource is a crucial sub-system in the process of management.

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 Definitions of HRM
▪ According to F. E. L. Brech, “Human Resource Management is that
part of management progress which is primarily concerned with the
human constituents of an organization.”
▪ According to Dessler, “the policies and practices involved in
carrying out the “people” or human resource aspects of a
management position, including recruiting, screening, training,
rewarding, and appraising comprises of HRM.”
▪ According to Armstrong, “Human Resource Management can be
defined as ― a strategic approach to acquiring, developing,
managing, motivating and gaining the commitment of the
organization’s key resource – the people who work in and for it.”

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 Features/Nature of HRM
▪ HRM is a pervasive function
▪ HRM is action oriented
▪ HRM is individually oriented
▪ HRM is people oriented
▪ HRM is future oriented
▪ HRM is development oriented (career planning and development,
reward structure , training, job enlargement and job rotation)
▪ HRM is an integrating mechanism
▪ HRM is a comprehensive function
▪ HRM is auxiliary service
▪ HRM is an inter-disciplinary function
▪ HRM is a continuous function
▪ HRM seeks to maximize employee motivation
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 Scope of HRM

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 Objectives of HRM
▪ To help the organization to reach its goals.
▪ To employ the skills and abilities of the workforce efficiently.
▪ To provide well-trained and well-motivated employees to the
organization.
▪ To increase the employee’s job satisfaction and self-
actualization to the fullest.
▪ To develop and maintain a quality of work life.
▪ To communicate HR policies to all employees.
▪ To be ethically and socially responsive to the needs of society.
▪ To develop organizational climate.
▪ To assist the organization in obtaining the right number and
types of employees to fulfil its strategic and operational goals.
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 Objectives of HRM conti..
▪ To help in maintaining performance standards and increase
productivity through effective job design; providing adequate
orientation, training and development; providing performance-related
feedback; and ensuring effective two-way communication.
▪ To help in establishing and maintaining a harmonious
employer/employee relationship.
▪ To help in creating and maintaining a safe and healthy work
environment.
▪ To ensure that the organization is in compliance with
provincial/territorial and federal laws affecting the workplace (such as
human rights, employment equity, occupational health and safety,
employment standards, and labour relations legislation).

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Classifications of HRM Objectives

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 HRM Objectives and Functions
Sr. HRM Objectives Supporting Functions
No.
1 Societal Objectives ▪ Legal compliance
▪ Benefits
▪ Union- management relations
2 Organizational Objectives ▪ Human Resource Planning
▪ Employee relations
▪ Selection
▪ Training and development
▪ Appraisal
▪ Placement
▪ Assessment
3 Functional Objectives ▪ Appraisal
▪ Placement
▪ Assessment
4 Personal Objectives ▪ Training and development
▪ Appraisal
▪ Placement
▪ Compensation
▪ Assessment
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 Personnel Management
▪ Personnel Management is concerned with people at work and
their relationships with each other.
▪ It may be defined as a set of programmes, functions and
activities designed to maximize both personal and
organizational goals.
▪ It ensures that the organization attracts and hires qualified,
imaginative and competent people.
▪ It involves the establishment of various policies to deal with
employees and to retain them.
▪ To this end, it lays out the rules regarding working conditions,
designs appropriate compensation plans, and strengthens
employer-employee relations.

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Three Dimensions of Personnel Management

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 Definitions of Personnel Management
▪ According to Edwin B. Flippo, “Personnel Management is the
planning, organizing, directing, and controlling of the procurement,
development, compensation, integration and maintenance and
separation of personnel to the end that individual, organizational and
societal objectives are accomplished.”
▪ According to French Wendell, "Personnel Management is the
recruitment, selection, development, utilization, compensation, and
motivation of human resources by the organization. The human
resources of an organization consist of all individuals regardless of
their role, who are engaged in any of the organization’s activities.”

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 Features of Personnel Management
▪ Personnel management is concerned with employees, both as individuals
and as a group in attaining goals. It is also concerned with behavioral,
emotional and social aspects of personnel.
▪ It is concerned with the development of human resources. It optimizes
knowledge, capability, skill and potentialities towards attaining both
employee- and organizational goals.
▪ Personnel management covers all levels (lower, middle and top) and
categories (unskilled, skilled, technical, professional, clerical and
managerial) of employees. It covers both organized and unorganized
employees.
▪ It applies to the employees in all types of organizations in the world (industry,
trade, service, commerce, economic, social, religious, political and
government departments).
▪ Personnel management is a continuous process requiring constant
reviewing, upgradation and integration.
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 Features of Personnel Management
conti..
▪ It aims at attaining the goals of an organization, individual working
therein and society in an integrated way.
▪ Personnel management is a responsibility of all line managers and a
function performed by staff managers across the organization.
▪ It is concerned mostly with managing human resources at work.
▪ Personnel management is the central sub-system of an organization
and it permeates all types of functional management viz., production
management, marketing management and financial management.
▪ Personnel management aims at securing unreserved cooperation
from all employees in order to attain predetermined goals.

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 Difference between
Personnel Management and HRM
▪ Traditional/Modern
▪ Focus: Personnel administration, employee welfare, & labour
relation / acquisition, development, motivation & maintenance
of HR
▪ Philosophy
▪ Nature of activity: Routine activity / strategic activity
▪ Managerial outlook: Monitoring / nurturing
▪ Shared interests
▪ Responsibility: HR Manager / all managers
▪ Humanization
▪ Respect for employees

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 Difference between
Personnel Management and HRM conti..
▪ Organizing principles: Mechanistic, top-down and centralised /
mechanistic, top-down and centralised
▪ Speed of decision
▪ Communication
▪ Job design: Division of labour / group work/teamwork
▪ Decision making
▪ Training & Development
▪ Management role: Transactional / transformational
▪ Employment contract
▪ Job categories and grades: Many / few

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