Personnel management

2. MEANING & DEFINITION
 Personnel management is defined as an administrative
specialization that focuses on hiring and developing
employees to become more valuable to the company.
 It is sometimes considered to be a sub-category of
human resources that only focuses on administration.
 Personnel management can be defined as obtaining,
using and maintaining a satisfied workforce.
 It is a significant part of management concerned with
employees at work and with their relationship within the
organization.

3. Nature of Personnel Management
 Personnel management includes the function of
employment, development and compensation- These
functions are performed primarily by the personnel
management in consultation with other departments.
 Personnel management exist to advice and assist the
line managers in personnel matters.
 It is based on human orientation. It tries to help the
workers to develop their potential fully to the concern.
 It also motivates the employees through it’s effective
incentive plans so that the employees provide fullest
co-operation.

4. Role of Personnel Manager
 Personnel manager provides assistance to top
management- The top management are the people who
decide and frame the primary policies of the concern.
 All kinds of policies related to personnel or workforce can
be framed out effectively by the personnel manager.
 He advices the line manager as a staff specialist-
Personnel manager acts like a staff advisor and assists the
line managers in dealing with various personnel matters.
 As a counselor, personnel manager attends problems and
grievances of employees and guides them. He tries to solve
them in best of his capacity.
 Personnel manager acts as a mediator- He is a linking pin
between management and workers.

5. Difference between Personnel
Management & HRM
 Personnel management focuses on personnel
administration, employee welfare and labor relation.
 Human resource management focuses on
acquisition, development, motivation and
maintenance of human resources in the
organization.

6. How is HR Different?
 Personnel managers have a limited job scope and thus
primarily perform record-keeping duties and functions
designed to maintain proper employment conditions.
 On the other hand, human resource management
integrates personnel functions, as well as various
activities designed to enhance employee and
organizational efficiency and productivity.
 Thus, HR managers are often in charge of running
safety programs, publicly representing the company
and ensuring legal compliance with applicable state
and federal laws.

7. BASIS OF DIFFERENCE
Personnel Management Human Resource
Management
 It is traditional approach of
managing people at
workplace and is concern of
personnel department.
 It is a routine function.
 Efficient management is
given priority.
 Function : Personnel
administration, labor relation
and employee welfare are
major functions of personnel
management.
 It is modern approach of
managing people at
workplace and is concern of
managers of all level (from
top to bottom).
 It is a strategic function.
 Human values and individual
needs are given priority.
 Function : Acquisition,
development, utilization and
maintenance of human
resource are major functions
of human resource
management.

8. BASIS OF DIFFERENCE
Personnel Management
Human Resource
Management
 It manages people in
accordance with
organization’s goal.
 It regards people as basic
input to make desired output.
 Jobs are designed on the basis
of division of labor.
 Organization’s interest is
valued the most.
 Communication is limited, or
even restricted.
 It determines human resource
needs and formulate policies by
matching individual’s needs
with organization’s needs.
 It regards people as strategic and
valuable resource to make
desired output
 Jobs are designed on the basis of
teamwork.
 Interest of organization and
interest of employee is
harmonized.
 Communication is open.

9. BASIS OF DIFFERENCE
Personnel Management
Human Resource
Management
 Benefits
1. Disciplined employees.
2. Increased production.
 Result
Organizational goal is achieved
and employers are satisfied.
 Benefits
1. Committed human resource.
2. Readiness to change.
3. Increased production.
4. Increased profit.
5. Quality of work life.
 Result
Organizational goal is achieved
and both employers and
employees are satisfied

10. THANK YOU