2. “ You can get capital and erect buildings , but it
takes people to build a business .”
-Thomas J. Watson
( The founder of IBM )
3. - What is HRM
- Nature of HRM
- Objectives of HRM
- Importance of HRM
- Functions Of HRM
- Organisation of HR department
- Models of HRM
- Evolution of HRM
- System approach to HRM
- Strategic HRM
- Traditional HR versus Strategic HR
- Skills for HR professionals
4. ‘ Employees are the most important
asset of the organization ’
• The quality and effectiveness of the organization is
determined by the quality of the people that are
employed.
• Success for most organizations depends on finding the
employees with the skills to successfully perform the tasks
required to attain the company’s strategic goals
5. HRM encompasses all management decisions and
activities that affect or influence the people of the
organisation .
It is the process of managing people in organisations in
a structured and thorough manner .
HRM is the organisational function , which can also be
performed by Line managers , that deals with issues
related to people like recruitment , compensation ,
performance appraisal , health , safety , training &
development , motivation etc .
6. According to American Management Association:
Human Resource Management is that field of
management which has to do with planning, organizing
and controlling various operative functions of
procuring, developing, maintaining and utilizing a
work force in order that
(a) the objectives for which the company is established
are attained as efficiently and economically as possible;
(b) the objectives of all levels of personnel are served to
the highest degree; and
(c) the objectives of the community are duly considered
and served.”
7. Pervasive
force
Action
Continuous oriented
function
Individu-
ally
Interdisc- oriented
iplinary
function
Nature People
Of HRM oriented
Auxillary
service
Future
oriented
Compre-
hensive
function
Integrati-ng Develo-
mechanism pment
oriented
8. Welfare Aspect
Personal Aspect
Industrial Relations
Aspect
10. Legal Compliances
Societal Benefits
Union Management Relations
Appraisal
Functional Placement
Assesment
Training & Development
Personal Appraisal & Placement
Compensation & Assessment
Human Resource Planning
Selection , T& D
Organisational Employee Relations
Appraisal & Placement
Assessment
11. 1- At the enterprise level :
- attract and retain the best people in the
organisation
- train people for challenging roles
- develop right attitude towards job
- develop skills and competencies
- promote team spirit
- develop loyalty and commitment
2 - At the society level :
- enhance standard of living
- generate employment opportunities
12. 3 – At the individual level :
- promotes team work and team spirit
- provide opportunities for growth
- increase productivity and profits
- develop diligence and commitment towards
work
- improve job satisfaction
4 – At the national level :
- enhance standard of living
- provide better employment
- efficient use of natural , physical and financial
resources
13. There are two types of functions of HRM as follows :
1- Managerial
2 – Operational
Managerial functions are as follows :
A – Planning
B – Organising
C – Directing
D - Controlling
14. Operative functions are as follows :
A – Procurement :
- Job Analysis
- HR Planning
- Recruitment
- Selection
- Placement
- Induction
- Internal mobility
B – Development :
- Training
- Executive development
- Career planning
- Succession planning
- Human resources development
strategies
15. C – Motivation And Compensation :
- Job design
- Work scheduling
- Motivation
- Job evaluation
- Performance and potential appraisal
- Compensation administration
- Incentives benefits and services
D – Maintenance :
- Health
- Safety
- Welfare
- Social Security
16. E – Integration :
- Grievances
- Discipline
- Teams and team work
- Collective bargaining
- Participation
- Empowerment
- Trade unions
- Employers’ association
- Industrial relations
17. F – Emerging Issues :
- Personal records
- Personal audit
- Personal research
- HR accounting
- Human Resource Information System ( HRIS )
- Job stress
- Counselling
- Mentoring
- International HR
18. HRM in Small Scale Unit :
Owner /
Manager
Production Sales Office
Accountant
manager Manager Manager
Personal
Assistant
19. Chairman / MD
Director Director Director Director
Director
Finance HRM Marketing R&D
Production
20. Director HR
Manager
Manager Admin Manager HRD Manager IR
Personnel
Training &
Appraisal
Development
PR Canteen Medical Welfare Transport Legal
Grievance Compen-
HRP Hiring Handling sation
21. - The Commodity Concept ( labour was regarded as commodity to be brought and sold )
- The Factor Of Production Concept ( labour is like any other factor of production )
- The Goodwill Concept ( welfare measures have positive impact on labours )
- The Paternalistic Concept ( fatherly and protective attitude towards employees )
- The Humanitarian Concept ( fulfill physical , social & psychological needs of
employees )
- The Human Resource Concept ( employees are most valuable assets of organisation )
- The Emerging Concept ( employees should be accepted as partners in the progress of
company)
22. Period Emphasis Status Roles
1920-30 Welfare management Clerical Welfare
Paternalistics practices administrator
Ploliceman
1940-60 Expanding the role to cover Administration Appraiser
labour welfare , industrial Advisor
relation and personnel function Mediator
Legal Advisor
Fire fighting
1970-80 Emphasis on human values, Developmental Change agent
aspirations , dignity , usefulness , Integrator
efficiency and effectiveness Trainer
Educator
1990-2000 Increemental productivity gains Proactive Developer
through human assets Growth oriented Counsellor
Mentor
Problem solver
Post 2000 Aggressive cost cutting in order Fight for survival Compete with the
24. Comprehensiveness
Credibility Communication
Change
Control Cost-
Commitment effectiveness
Competence Creativity
Coherence
25. 1. The Fombrum Model
Human resource
development
Organisational
Selection Appraisal
effectiveness
Rewards
26. 2. The Harvard Model
Stakeholder
interest
-Management
-Employee groups
-Government
-Community HRM policy Long term
-Unions Human
choices consequences
Resource
-Employee -Individual
Outcomes
influence well – being
-Commitment
-HR flow -
-Competence
Situational factors -Reward Organisational
-Congruence
-Workforce system effectiveness
-Cost –
characteristics -Work -Social well –
effectiveness
-Business strategy system being
-Management
philosophy
-Labour market
-Unions
-Laws & societal
values
27. 1. The Guest Model
Performa
Behavio- nce
ural Outcome
HRM
Outcom- s
Practices
HR es Positive
Hiring Financial
HRM Outcomes Motivat- Producti-
Training Outcome
Strateg- Commit- ion vity
Appraisal s
ies ment Co-ope- Innova-
Compens Profit
Quality ration tion-
ation ROI
Flexibility Organi- Quality
Industrial
sational Negative
relations
citizen- Absent-
ship eeism
Turnover
28. 1. The Warwick Model
Outer context
Socio-economic
Technical
Political-legal
Competitive
Inner Context
Structure
Politics/leadership
Task technology
Business outputs
Business Strategy HRM Context
Content Role
Objectives Definition
Product market Organisation
Strategy & tactics HR outputs
HRM Content
HR flows
Work system
Reward system
Employee relations
29. Benchmarks Personnel Management Human Resource
Management
Evolutionary Succeeded IR but Succeeded PM and ruled
preceded HRM for a long time . Started
during 1980s and carried
acceptance today
Emphasis Emphasis on mundane Treat human being as
activities like hiring , valued assets to be valued
remunerating, training & , used and preserved .
harmony
Outcome of people Value for money Added value
management
Reporting Regulators Investors and
stakeholders
30. Benchmarks Personnel Management Human Resource
Management
People management Focused on service Numerous small & tactical
activities delivery , not project projects , projects often
management annual events within
service delivery
Measurement Efficiency of HR activities Effectiveness of HR
, compliance outputs against business
plan
Assumptions about Cause & effect , simple & Dynamic system , core
environment , stable , people seen as a competencies , strategy-fit
organisations and people cost/ an expense , , people seen as assets ,
management behavioural psychology , hard & soft HRM ,
financial reward cognitive & humanistic
psychology , learning
organisations
31. SHRM is built around three important propositions :
1. The human resources are major source of competitive
advantage , people can make or break organisation .
2. Successful organisational performance depends on a close fit
between business and human resource strategy
3. Individual HR strategy should cohere by being linked to each
other to offer mutual support .
32. Points of distinction Traditional HR Strategic HR
Focus Employee relations Partnership with internal
and external customers
Role of HR Transactional change Transformational change
follower & respondent leader & initiator
Initiatives Slow , reactive fragmented, Fast, proactive &
short term integrated
Time horizon Short term Short, medium & long
Control Bureaucratic roles , Organic flexible
policies & procedures
Job Design Tight division of labour Broad , flexible
Key Investments Capital , products People , knowledge
Accountability Cost centre Investment centre
Responsibility for HR Staff specialists Line managers
33. A Model Of Strategic Human Resource Management
External
Environment Laws
Competition regulating
Government policy Outcomes
environment
Technology
Market trends Procurement Increased
Economic factors HR Strategy performanc
HR Planning Development e
Design of jobs &
work systems Performance Customer
Corpor- What workers Management satisfaction
ate Business do
Strategy Strategy What workers Compen- Employee
need sation satisfaction
How jobs
Internal interface with Labour Enhanced
Environment others Relations share
Culture holder
Structure values
Policies HRIS
Skills
34. “Human resource managers , nowdays , wear
many hats . They perform mainly three
different types of roles while meeting the
requirement of employees and customers
, namely administrative , operational and
strategic .”
- Mathis and Jackson , Ulrich
37. 3. Strategic Role –
The strategic role of HR management focuses
attention on how to enable ordinary employees
to turn out extra ordinary performance , taking
care of their ever-changing expectations .
The key areas of attention include effective
management of key resources ( employees
, technology , work process ) while delivering
cost effective , value enhancing solutions .
Change agent
Strategic partner
38. Matching process,
All managers Employees are integrating the
are resource viewed as assets organization’s
managers goals with
employees’ needs
How a company manages its workforce may be single
more important factor in sustained competitive success
38
39. Company Strategy
Attract an Effective Workforce
HRM planning
Job analysis
Forecasting
Recruiting
Selecting
Maintain an Effective Workforce
Develop an Effective Workforce
Wage and salary
Benefits Training
Labor relations Development
Terminations Appraisal
39
40. Focus on building human capital
1
Development of global
2
HR strategies IHRM
3
The using of information
technology
40
41. Business
Mastery
Personal
Credibility
HR Change
Mastery Mastery
42. Business Mastery – Business acumen
Customer orientation
Knowledge in all functional
areas
External relations
Personal Credibility – Competence
Sound academic credentials
Trust
Ethical conduct
Courage
43. HR Mastery – Staffing
Performance appraisal
Reward system
Communication
Organisation design
Change Mastery - Interpersonal skills
Problem solving skills
Reward system
Innovativeness & creativity
44.
45. References :
1. Managing Human Resources by Aswathapa
2. Human Resource Management by V.S.P. Rao