LEARNING OBJECTIVES
1. Understand the relevance of Human Resource Management for the individual, the
organization & business.
2. Become familiar with basic Human Resource Management policies & processes like
selection, recruitment, performance appraisal, compensation, training & development
3. Learn current trends in HRM like organizational development, change management,
changing role of HR etc.
4. Understanding role of HR mainly from Line manager perspective
BOOKS TO REFER
Human Resource Management by Raymond A Noe
Human Resource Management By K Aswathapa
Human Resource Management – P. Subba Rao
Human Resource Management by D. K. Bhattacharya
Human Resource Management by Julie Beardwell &Tim Clayed
Managing Human Resource by George W Bohlender & Scott Snell
Human Resource Management by Derek T, Laura Hall & Stephen Taylor
Key Concepts in Human Resource Management by John Martin
WHAT IS HRM?
According to Leon Megginson, the term human resources can be defined as ,“the
total knowledge, skills, creative abilities, talents and aptitudes of an organization's
workforce, as well as the values, attitudes and beliefs of the individuals involved.”
According to P Subba Rao,“HRM is managing the functions of employing, developing
and compensating human resources resulting in creating and developing human
relations and utilization of human resources with a view to contribute
proportionately to the organizational, individual and social goals.”
DEFINITIONS
Human resource management can be defined as a strategic, integrated and coherent
approach to the employment, development and well-being of the people working in
organizations. It was defined by Boxall and Purcell (2003) as ‘all those activities associated
with the management of employment relationships in the firm’.
A later comprehensive definition was offered by Watson (2010): HRM is the managerial
utilisation of the efforts, knowledge, capabilities and committed behaviours which people
contribute to an authoritatively co-ordinated human enterprise as part of an employment
exchange (or more temporary contractual arrangement) to carry out work tasks in a way
which enables the enterprise to continue into the future.
HRM FUNCTIONS
Human
Resource
planning
Recruitment
and selection
Induction and
Onboarding
Training and
development
Compensation
and benefits
Performance
management
Employer
branding
Talent
Management
Human
resource
development
Corporate
Social
Responsibility
Industrial
relations and
labor welfare
Leadership
Development
Succession
planning
Change
management
Organization
development
OBJECTIVES OF HRM
To create and utilize an able and motivated workforce, to accomplish the basic
organizational goals.
To establish and maintain sound organizational structure and desirable working
relationships among all the members of the organization.
To create facilities and opportunities for individual or group development so as to
match it with the growth of the organization.
To maintain high employee morale by sustaining and improving various conditions
and facilities.
CONTD…
To strengthen and appreciate the human assets continuously by providing appropriate
training.
To identify and satisfy individual and group needs by providing adequate wages,
incentives, benefits and social security.
To provide fair, acceptable and efficient leadership.
To provide facilities and conditions of work and creation of favorable atmosphere for
maintaining stability of employment.
To provide an opportunity for expression and voice in management.
SIGNIFICANCE OF HRM
HRM is the effective use of an organization’s human resources to improve its
performance.
Human resources are the key differentiating resources of any organization.
HR provides the foundation for the organization’s competitive advantage by
effectively leveraging these resources.
HR … CHANGING PRIORITIES
Transformational
5-10%
Strategic role
Traditional
15-30%
Processes
Transactional
65-75%
Policies, payroll
HR … CHANGING PRIORITIES
Transformational
25-30%
Traditional
50-60%
Transactional
15-20%
Outsource Process redesign
IT enablement
TRANSFORMATIONAL ROLES OF HRM
Strategic Partner
Change
Management
Employee
development and
well-being
Cultural change
Knowledge
management
Organization
development
PEOPLE AS
COMPETITIVE
ADVANTAGE
DAVE ULRICH’S
“HUMAN
RESOURCE
CHAMPIONS’’
Old Myths New Realities
Anyone can do HR HR departments are not designed to provide
corporate therapy or as social or health happiness
retreats. HR professionals must create the practices
that make employees more competitive, not more
comfortable.
HR deals with the soft
side of business and is
therefore not
accountable
The impact of HR practices on business results can and
must be measured. HR professionals must learn how to
translate their work into financial performance.
HR focuses on costs,
which cannot be
controlled
HR practices must create value by increasing
intellectual capital within the firm. HR professionals
must add value, not reduce costs
HR’s job is to be the
policy police and the
health-and-happiness
patrol
The HR function does not own compliance, managers
do. HR practices do not exist to make employees
happy but to help them become committed. HR
professionals must help managers commit employees
and administer policies.
Old Myths New Realities
HR is full of fads Professionals must be see their current
work as par of an evolutionary chain and
explain their work with less jargon and
more authority
HR is staffed by nice people At times, HR practices should force
rigorous debates. HR professionals
should be confrontative and challenging
as well as supportive
HR is HR’s job HR work is as important to line
managers, as are finance, strategy and
other business domains. HR
professionals should join with managers
in championing HR issues.
Dave Ulrich’s
“Human Resource
Champions’’
Human Resource
Management
Human Resource
Department
Focus Implementation/applicatio
n of HR tools and
practices
Development of HR tools
and practices
Owner Line Management HR department leadership
Outcome Creation of value through
effective management of
competencies
Effective Human Resource
Management practice
HR IS NOT JUST HR’S JOB BYTHE WAY!!!
PEOPLE MANAGEMENT SHEET
Talent Management
Performance Management
Compensation and benefits
Employee Retention
Team Building
Management Practices