AIR UNIVERSITY ISLAMABAD

HRM & OB
INTRODUCTION TO HRM AND OB
DEFINITION, SCOPE AND INTER-RELATIONSHIP

Facilitator
MUHAMMAD ALI BAIG
MHRM, MPM, PMP, MPHIL

UNIT 1
Introduction to
Human Resource Management
Human Resource Management (HRM) is the strategic and
comprehensive approach to managing an organization's most valuable
assets – its people.
HRM involves the coordination of various functions related to acquiring,
developing, and managing the workforce to achieve organizational goals
efficiently and effectively.
It encompasses a range of activities, policies, and practices that focus on
optimizing human capital to drive individual and collective performance,
innovation, and organizational success.
Scope and Functions of
Human Resource Management
Human Resource Planning:
Forecasting future workforce needs.
Aligning workforce requirements with organizational goals.
Recruitment and Selection:
Attracting qualified candidates for job openings.
Implementing effective selection processes to hire the right talent.
Training and Development:
Identifying skill gaps and training needs.
Designing and delivering training programs for skill enhancement and
career development.
Scope and Functions of
Human Resource Management
Performance Management:
Establishing performance standards and expectations.
Evaluating and appraising employee performance.
Providing feedback and guiding performance improvement.
Compensation and Benefits:
Designing fair and competitive compensation structures.
Administering employee benefits and incentives.
Employee Relations:
Fostering positive workplace relationships and handling conflicts and
grievances.
Promoting employee engagement and satisfaction.
Introduction to
Organizational Behaviour
Organizational Behaviour (OB) is the systematic study of individual and
group behavior within the context of an organization.
The goal is to understand, predict, and influence human behavior to
improve organizational effectiveness.
It explores how individuals, groups, and structures interact in the
workplace and how these interactions impact the overall performance,
well-being, and success of the organization.
Draws upon insights from various disciplines such as psychology,
sociology and management to analyze and address issues related to
people in organizations.
Scope and Functions of
Organizational Behaviour
Individual Behaviour:
Understanding personality traits, perception, motivation, and attitudes.
Examining the impact of individual differences on job performance.
Group Dynamics:
Analyzing the formation and development of groups.
Investigating communication patterns and collaboration within teams.
Leadership and Power:
Studying leadership styles and their impact on organizational culture.
Analyzing the distribution and utilization of power within an organization.
Scope and Functions of
Organizational Behaviour
Organizational Culture and Climate:
Defining and shaping organizational culture.
Assessing the impact of culture on employee behavior and performance.
Communication:
Examining various forms of communication within organizations.
Identifying barriers to effective communication and strategies for
improvement.
Conflict Resolution and Negotiation:
Understanding the sources and types of conflicts in the workplace.
Developing strategies for conflict resolution and effective negotiation.
Scope and Functions of
Organizational Behaviour
Technology in the Workplace:
Exploring the impact of technology on work processes and
communication.
Adapting to technological advancements for improved organizational
efficiency.
Stress Management and Well-being:
Identifying factors contributing to workplace stress.
Implementing measures to enhance employee well-being.
Diversity and Inclusion:
Recognizing and valuing diversity within the workforce.
Promoting inclusive practices for a harmonious work environment.
Inter-relation of HRM &
Organizational Behaviour
Both are interconnected fields and mutually influence each other to
contribute to the overall effectiveness and success of an organization.

Common Focus on People:

HRM and OB share a primary focus on people within an organization.
OB studies individual and group behavior, while HRM manages and
develops human resources.
The understanding gained from OB enhances HRM's ability to effectively
manage people.
Inter-relation of HRM &
Organizational Behaviour
Alignment of Objectives:
The objectives of OB and HRM are aligned towards improving
organizational performance and creating a positive work environment.
Both fields aim to optimize human potential to achieve organizational
goals.
Recruitment and Selection:
OB provides insights into individual and group behavior, aiding HRM in
making informed decisions during recruitment and selection processes.
Knowledge of OB principles helps HRM select candidates who align with
the organization's culture and objectives.
Inter-relation of HRM &
Organizational Behaviour
Training and Development:
OB principles contribute to the design and delivery of effective training
programs.
HRM leverages these insights to enhance employee skills, promoting
continuous learning and development.
Performance Management:
OB's understanding of individual and group behavior informs HRM's
performance management strategies.
HRM establishes performance standards and conducts appraisals, while
OB helps interpret and address behavior-related performance issues.
Inter-relation of HRM &
Organizational Behaviour
Leadership and Team Dynamics:
OB explores leadership styles and team dynamics, providing valuable
insights for HRM in leadership development and team-building efforts.
Effective leadership is essential for HRM to motivate and guide
employees.
Organizational Culture and Climate:
OB examines the formation and impact of organizational culture, which
is crucial for HRM.
HRM plays a role in shaping and maintaining the desired organizational
culture, ensuring it aligns with the organization's mission and values.
Inter-relation of HRM &
Organizational Behaviour
Conflict Resolution and Employee Relations:
OB provides frameworks for understanding and managing conflicts
within organizations.
HRM applies these frameworks to foster positive employee relations and
implement effective conflict resolution strategies.
Employee Engagement and Satisfaction:
OB's insights into factors influencing employee engagement and
satisfaction contribute to HRM initiatives aimed at enhancing the overall
well-being of employees.
HRM strategies informed by OB principles lead to a more engaged and
satisfied workforce.