Human Resource

Management

Dr. Deepakshi Jaiswal

Introduction to Human
Resource Management:
Meaning, Functions,
Significance
HRM Meaning

Human Resource Management is also a function

of management, concerned with hiring,
motivating and maintaining people in an
organization.
It focuses on people in the organization.
 Meaning
 HRM is a process of making the efficient and effective use of
human resources so that the set goals are achieved .
 Organizations does not only consist of building, machines or
inventories. It is people they manage and operate the
organization.
 HRM is an art of managing people at work in such a manner
that they give their best to the organization for achieving its
set goals.
 It is not confined to business establishment only, HRM is
applicable also to the non business organization, like
government department, education, health care etc.
 Definition
 Human Resource Management is concerned with the
people dimension in management. Since every
organization is made up of people, acquiring their
services, developing their skills, motivating them to
higher levels of performance and ensuring that they
continue to maintain their commitment to the
organization are essential to achieving organizational
objectives.
- David A. Decenzo and Stephen P. Robbins
Definition
 Human Resource Management is the
planning, organizing, directing and
controlling of the procurement,
development, compensation, integration,
maintenance and separation of human
resources to the end that individual,
organizational, and social objectives are
accomplished.
- Edwin B. Flippo
 Objectives of HRM
HRM is useful not only to organization, but the employees working therein,
and also the society at large also find it useful. The objectives can be as under:
1. Organizational Objectives:
 Acquiring right man for the right job at right time in right quantity,
developing through right kind of training, utilizing the selected workforce,
and maintaining the workforce are the organizational objectives of HRM.
Succession planning is an important issue to be taken up as a
contemporary organizational objective.
2. Functional Objectives:
 HRM performs so many functions for other departments. However, it must
see that the facilitation should not cost more than the benefit rendered.
 Contd…
3. Personal Objectives:
 In today’s world there is shortage of requisite talent. Employees are
encouraged by competitive firms to change the jobs. HRM has the
responsibility to acquire, develop, utilize, and maintain employees.
 This would be possible only when the HRM helps employees to achieve
their personal goals to get their commitment. Creating work-life balance
for the employees is a personal objective.
4. Societal Objectives:
 HRM must see that the legal, ethical, and social environmental issues are
properly attended to. Equal opportunity and equal pay for equal work are
the legal issues not to be violated. The results are clear when these issues
are not taken care of. To help the society through generating employment
opportunity, creating schools and dispensaries, helping women
empowerment are the social responsibility issues.
Scope of HRM
 Managerial functions
 Planning: Planning is the pre determined course of actions.
It is a process of determining the organizational goals and
formulation of policies and programmes for achieving them.
This function is very vital to set goals and objectives of an
organization. The policies and procedures are laid down to
achieve these goals. When it comes to planning the first
thing is to foresee vacancies, set the job requirements and
decide the recruitment sources. For every job group, a
demand and supply forecast is to be made, this require
planning.
 Contd…
 Organizing: The next major managerial function is to
develop and design the structure of the organization. It
fundamentally includes the following:
• Employees are grouped into positions or activities they will
be performing.
• Assigning different functions to different persons.
• Delegate authority as per the tasks and responsibilities
that are assigned.
 Staffing : This is a process by which managers select, train,
promote and retire their subordinates. This involves
deciding what type of people should be hired, recruiting
prospective employees, selecting employees, setting
performance standard, compensating employees,
evaluating performance, counselling employees, training
and development employees.
Contd..
 Directing: Managers to inspire and direct the employees
to achieve the goals. This is a great challenge to any HR
manager of an organization; he/she should have the
capability of finding employee needs and ways to satisfy
them. Motivation will be a continuous process here as
new needs may come forward as the old ones get
fulfilled.
 Controlling: The controlling function ends the cycle and
again prompts for planning. Here the HR Manager makes
an examination of outcome achieved with the standards
that were set in the planning stage to see if there are any
deviations from the set standards. Hence any deviation
can be corrected on the next cycle.
 Operative Functions
1. Procurement function: It involves procuring the right kind of
people in appropriate number to be placed in the organization.
The first operative function of personnel management is
procurement. It is concerned with procuring and employing
people who possess necessary skill, knowledge and aptitude.
Under it, you have job analysis, manpower planning,
recruitment, selection, placement, induction and internal
mobility.
2. Development: It is the process of improving, moulding,
changing and developing the skills, knowledge, creative ability,
aptitude (ability), attitude, values and commitment based on
present and future requirements both at the individual’s and
organization's level.
Contd…
3. Motivation and compensation: It is a process which
inspires people to give their best to the organization through
the use of intrinsic (achievement, recognition, responsibility)
and extrinsic rewards.
4. Maintenance: It aims at protecting and preserving the
physical and psychological health of employees through
various welfare measures.
5. Integration function: This tries to integrate (mix) the goals
of an organization with employee aspirations through
various employee-oriented programmes, like resolving
grievances promptly, introducing proper disciplinary
measures, empowering people to decide things
independently, encouraging a participative culture etc.
 IMPORTANCE / SIGINIFICANCE OF HRM
 Objective :- Human Resource Management helps a company
to achieve its objective from time to time by creating a
positive attitude among workers. Reducing wastage and
making maximum use of resources etc.
 Facilitates professional growth :- Due to proper Human
Resource policies employees are trained well and this makes
them ready for future promotions. Their talent can be
utilized not only in the company in which they are currently
working but also in other companies which the employees
may join in the future.
 Better relations between union and management :- Healthy
Human Resource Management practices can help the
organization to maintain co-ordinal relationship with the
unions. Union members start realizing that the company is
also interested in the workers and will not go against them
therefore chances of going on strike are greatly reduced.
 Contd…
 Helps an individual to work in a team/group :- Effective
Human Resource practices teach individuals team work and
adjustment. The individuals are now very comfortable while
working in team thus team work improves.
 Identifies person for the future :- Since employees are
constantly trained, they are ready to meet the job
requirements. The company is also able to identify potential
employees who can be promoted in the future for the top
level jobs. Thus, one of the advantages of HRM is preparing
people for the future.
 Allocating the jobs to the right person :- If proper
recruitment and selection methods are followed, the
company will be able to select the right people for the right
job. When this happens the number of people leaving the
job will reduce as they will be satisfied with their job leading
to decrease in labor turnover.