EVOLUTION OF HRM

Prof. Susen Varghese

The design of formal systems in an organization, to ensure the effective and efficient use of human talent, to accomplish organizational goals.

Human Resource Management

Major Functions
Human Resource Planning
Recruitment & Selection Performance Appraisal Training & Development Career Planning & Development Talent Retention Compensation

And many more.

The story till now.

Barter Birth of Organization Man is brick and mortar Can be Replaced Boss is after all the Boss Exploitation At The Peak Employee Revolts Birth of Trade Unions Personnel Management Enters Collective Bargaining Man is a Resource and that too the most valuable amongst the 4Ms Needs to be Retained Participative Management Human Resource Management Human Capital Investment

BARTER

ENTRY OF CURRENCY

ORGANIZATION IS BORN

INDUSTRIAL REVOLUTION

MAN IS BRICK AND MORTAR

BOSS IS BOSS

EMPLOYEE REVOLTS

ENTRY OF TRADE UNIONS-YEE WEAPON

ENTRY OF SHUT DOWNS YER WEAPON

ENTERS COLLECTIVE BARGAINING

PERSONNEL MANAGEMENT & ADMN

MAN IS THE MOST VALUABLE RESOURCE..

HUMAN RESOURCE MANAGEMENT

PARTICIPATIVE MANAGEMENT HR AS A STRATEGIC PARTNER

HUMAN CAPITAL INVESTMENT

Overall Impact ..
50s : Employees were recruited not to question

why but only to do.

60s: Terms like manpower, staff and personnel

came into being.

Late 70s: Realization that beyond a point,

productivity depended on people.

Today: Man is an Investment

Evolution Of HR in India
Period Development Status Emphasis Role

1920s1930s 1940s1960s

Beginning

Desk Job Admn & Welfare Intro to IR & Scattered attempt towards HR Strong industrial relations and disputes, Regulatory Human values, productivity through people

Clerical stroke: (disciplinary ,dismissal of workers) Personnel Tasks [leave, bonus, retirement etc] Managerial [housing, medical leave etc] Executive [Strategic Partner, Formulating policies, T&D programs, MDPs etc, managerial role & many more.

Struggling for Recognition

1970s1980s

Establishing Gradually

1990s

Promising

The Legal Twist. List Of Amending Acts And Adaptation Orders

The Indian Independence (Adaptation of Central Acts and Ordinances) Order, 1948. The Adaptation of Laws Order, 1950. The Part B States (Laws) Act, 1951 (3 of 1951). The Industrial Disputes (Amendment and Miscellaneous Provisions) Act, 1956 (36 of 1956).

The Legal Twist. List Of Amending Acts And Adaptation Orders

The Industrial Employment (Standing Orders) Amendment

Act, 1961 (16 of 1961) .

The Industrial Employment (Standing Orders) Amendment

Act, 1963 (39 of 1963).

The Central Labour Laws (Extension to Jammu and

Kashmir) Act, 1970 (51 of 1970).

The Industrial Employment (Standing Orders) Amendment

Act, 1982 (18 of 1982).

The Impacting Legal Twist

ID ActFactories ActMany other Acts The scope of the function of labour officer was widened during the second world war such facilities as housing, medical etc.

Labor officer <=> Welfare Officer Under the Industrial Disputes Act, 1946.
Formulating policies on human resource planning, recruitment and selection , training and development etc..

Welfare Officer <=> Personnel officer Under section 49 of Factories Act, 1948.

Formation of professional bodies

In 1948 - Indian Institute Of Personnel Management (IIPM) at

Kolkata .
In 1950 - The National Institute Of Labour Management (NILM) at

Mumbai.
In 1980 These two professional bodies merged together and

formed National Institute Of Personnel Management (NIPM) headquartered at Kolkata.

In 1990 Milestone was achieved by renaming of American

Society For Personnel Administration (ASPA) as the Society For Human Resource Management popularly known as SHRM.

Difference between HRM & PMIR

DIMENSION 1. Employment Contract PERSONNEL MANAGEMENT Careful delineation of written contracts HRM Aim to go beyond contract.

2. Rules

Importance of devising clear rules

Can do outlook, Impatience with rules

Business Need

3. Guide to Procedures Management Action 4. Behavior Referent Norms / Customs & Practices 5. Managerial Task 6. Key Relations Monitoring Labor Management

Values / Mission Nurturing Customer

Difference between HRM & PMIR

DIMENSION 7. Initiatives 8. Speed of decision PERSONNEL MANAGEMENT Piecemeal Slow Fast Transformational Leadership Direct Facilitation Integrated, Key Tasks HRM Integrated

9. Management Role Transactional 10. Communication 11. Prized Management Skills 12. Selection 13. Pay Indirect Negotiation Separate, Marginal Tasks

Job Evaluation (fixed Performance Related grades)

Difference between HRM & PMIR

DIMENSION 14. Conditions 15. Labor Management PERSONNEL HRM MANAGEMENT Separately Harmonization negotiated Collective Individual contracts bargaining contracts

16. Job Categories and Grades 17. Job Design 18. Conflict handling
19. Training & Development

Many Division of Labor Reach temporary truce

Few Teamwork Manage climate and culture

Controlled access to Learning companies courses

Difference between HRM & PMIR

DIMENSION
20. Focus of attention for interventions 21. Respect for employees

PERSONNEL MANAGEMENT Personnel procedures

HRM
Wide ranging cultural, structural and personnel strategies People are treated as assets to be used for the benefit of an organization, its employees and the society as a whole Mutuality of interests

Labor is treated as a tool which is expendable and replaceable

22. Shared interests

Interests of the organization are uppermost

Difference between HRM & PMIR

DIMENSION PERSONNEL MANAGEMENT HRM

23. Evolution

Precedes HRM

Latest in the evolution of subject

HR PAST AND PRESENT IN A NUTSHELL:

4/6/2012

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