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Introduction HRM- Meaning and definition Importance of HRM Functions of HRM Conclusion

Introduction
An organization is nothing without its HR.

What is management? .

staffing.• Management is the process of efficiently getting activities completed with and through other people. organizing. • The management process includes planning. . directing and controlling activities that take place to accomplish objectives.

• Management is the process of “efficiently” getting “activities completed” with and through other “people”.• Any definition of management has 4 M’s . • any definition of management must include three common factors: Goals. limited resources and people. .

motivating them to high levels of performance and ensuring that they continue to maintain their commitment to the orgn is highly important. developing their skills. public or private. • Since every organization is made up of people. whether profit or nonprofit.What is Human Resource management ? • HRM is concerned with the people dimension in management. • Getting and keeping good people is critical to the success of every organization. . acquiring their services.

Industrial relations etc. Job analysis.& job evaluation.Human resource planning. • Activities include . training & development. motivation.• HRM refers to a set of programs. functions and activities designed & carried out in order to maximise both employee as well as organizational effectiveness. . welfare. safety & health. performance appraisal. & design. employee & executive remuneration. selection and recruitment.

.• The utilization and development of HR is not by any means an ancillary activity but a central element in the operation of a business. • Thus.of human resources. motivation and maintenance.acquisition. development. HRM is a process consisting of four functions.

& internal mobility. man power planning. moulding. changing & developing the skills. job analysis. knowledge & aptitude. values. selection. placement. career planning. • Development: process of improving. . knowledge. recruitment. HRD. commitment based on the present & future requirements. Includes Training.• Acquisition: procurement of people with necessary skills. induction. creative ability. executive devt. attitude. It includes. aptitude.

• Maintenance: aims at protecting & preserving the physical & psychological well being of employees thru’ various welfare measures. dependant benefits. social security measures(workmen’s compensation in accidents. . work scheduling. employee welfare. responsibility) & extrinsic (job design. Maternity benefits. retirement benefits like PF. pension & gratuity etc.• Motivation & compensation: process that inspires people to give their best to the orgn thru’ the use of intrinsic (achievement. recognition . appraisal based incentives) rewards. Includes health & safety.

programs and practices should cater to the needs of employees and should help them in their work and also in their personal development. .• Organizations have now adopted the ‘Human resource approach’ which treats the organizational goals and employee needs as being mutual and compatible and which can be pursued in unison • Employees are asset to organization • Policies.

to encourage the employees to develop and harness their knowledge and skills for their good and the good of the organization. • HR policies and practices should be in alignment with the goal of balancing individual and organizational needs. .• It is necessary to create and maintain a conducive work environment.

4.Good recruitment and selection activities identify the best people for available jobs and make sure that they are placed in suitable positions 3.Good HR practices can help in attracting and retaining the best people in the organization.Importance of HRM 1. . knowledge and attitudes different from those they currently possess.Good HR practices can also motivate organizational members to do outstanding work. 2. Performance appraisal and training develop individuals who need skills.

2. 4.HRM Process • 5 basic activities 1. 3. Human Resource planning Staffing Training and development Performance appraisal and Compensation . 5.

Human Resource Planning – It is the process of determining future human resource needs relative to an organization’s strategic plan and devising the steps necessary to meet those needs. • Estimating size and composition of future workforce • Helping organization acquire the right number • And right kind of people when they are needed .

replacement planning and succession planning) and external (advertisements. employment agencies. educational institutions.• It can be logically divided into 3 parts: 1. It involves assessing how many people will be required in the organization in the foreseeable future and what abilities they are required to posses in order to enable the organization to remain in operation Human resources are subject to subtle erosion. Management replace them from internal( skills inventory. voluntary applicants and referrals by employees) sources of supply 2. Forecasting manpower supply 1. Forecasting manpower demand 1. .

After estimating demand and supply. . Human resource actions 1. managers to take steps to balance the two. The Matching of projected human resource needs with projected availability of hr provides the basis for undertaking various actions to ensure that supply will equal demand at the time specified.3.

job description. selectiontest.Staffing • It involves a set of activities aimed at attracting and selecting individuals for positions that will facilitate the achievement of organizational goals – Basic steps are • Recruitment – Involves finding and attempting to attract job candidates who are suitable » Job analysis. application blank. and job specification are important tools • Selection – To find qualified people » Preliminary screening. . comprehensive interview etc.

Training and Development • Training is defined as the planned effort to improve the performance of the employee in his area of work. • Development programs are designed to educate employees beyond the requirements of their present position. to fit into the orgns . – Efforts to increase employee skills in their job – Given to new recruits and existing manpower and at all levels. to prepare them for promotions.

information and corrective action. . measuring . evaluating and recording employee performance against these expectations and providing the employee with feedback regarding their performance.Performance Appraisal • Involves defining the expectations for employee performance. – Major purpose.to influence employee performance and development in a positive way – As a control technique it requires standards.

• The major purpose of PA is to influence in a positive way. both employee performance and organizational development. .• It is the formal evaluation of an individual’s job performance. It involves giving feedback to the individual and includes constructive solutions for further improvement.

Objectives of Appraisals • • • • • • • Performance feedback Performance improvement Identification of potential Promotion decisions Compensation administration Workforce planning Validation of selection procedures. .

monthly) Continous monitoring( daily with emphasis on self control. Progress or periodic reviews(Quarterly.The Appraisal Process Actual performance Inputs Setting Verifiable Objectives that become standards Outputs Measuring performance against standards 1 Formal comprehensive review( annually) 2. Corrective actions for undesirable deviation from standards .

Performance Rating Methods • Can be either Behavior oriented or Result oriented • Result oriented appraisal implies the evaluation of an individual based on actual performance • Behavior oriented appraisal focuses on employee behavior – With behavior oriented appraisals 2 important means of assessment are – Graphic Rating Scales – Behaviorally Anchored Rating Scales ( BARS) .

Graphic Rating Scales • It requires the rater to rate employees on factors like quality and quantity of work. . It includes numerical as well as written descriptions. dependability. attendance etc. job knowledge. punctuality.

Identification of behavioral anchors by the manager and the employee for job dimension 3. – 3 steps in implementing BARS 1. Determination of relevant job dimensions by the manager and the employee 2. Determination of the scale values to be used and grouping of anchors for each scale value based on consensus. .Behaviorally Anchored Rating Scales ( BARS) • It concentrates on the behavioral traits demonstrated by employees instead of actual performance.

pay for time not worked & income supplements • A sound compensation program enhances the orgn’s ability to attract and retain employees . services. merit increases. – Monetary and non-monetary • Wages include basic pay.Compensation • Consists of wages paid directly to the employees for the amount of time worked or the number of units produced. or onuses • Benefits protection plans.

Objectives Societal Objectives Organizational Objectives Functional Objectives Personnel Personal Objectives Objectives .

Societal Objectives Manage HR in an ethical & socially responsible manner Ensure compliance with legal & ethical standards .

Organizational Objectives Bring organizational effectiveness Means to assist the organization with its primary objectives .

Functional Objectives  Level of service must be tailored to fit the organization  It should employ the skills & abilities of the workforce efficiently  It should provide well trained & well motivated employees .

Personal Objectives  Provide job satisfaction  Meet the self actualization needs  Stimulate every employee to achieve his potential  Maintain a quality of work life  Communicate HR polices to get opinions. suggestions. etc .

HRM should perform certain functions • There is correlation b/w objectives and functions • Some functions help realize specific objectives .Functions • In order to realize the objectives.

management relations Human resource planning Employee relations Selection Training and Development Appraisal Placement Assessment Appraisal Placement Assessment Training and development Appraisal Placement Compensation Assessment Organizational Objectives Functional Objectives Personal Objectives .HRM Objectives and function HRM Objectives Societal Objectives Supporting Functions Legal compliance Benefits Union.