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Chapter 1
Introduction to Human Relations

1.1 Definition of Human Relations

Human relations is the skill or ability to work effectively through and with other people. In all
aspect of life, you will deal with other people. No matter what you do for a living or how well you do it,
your relationship with others is the key to your success or failure (Lamberton & Minor, 2010)
Human relations is the study of human problems arising from organizational and interpersonal
relations in industry. It is meant to help better interpersonal and intergroup adjustments.
Human relations : The understanding and enhancement of how individuals work together to
achieve success and fulfillment. (The American Heritage Dictionary of business Terms)
Human relations : The study of group behavior for the purpose of improving interpersonal
relationship, as among employees.
Human relations is the skill or ability to work effectively through and with other people. Human
relations includes a desire to understand others, their needs and weakness, and their talents and abilities.
For anyone in a workplace setting, human relations also involves an understanding of how people work
together in groups, satisfying both individual needs and group objectives. If an organization is to succeed,
the relationships among the people in that organization must be monitored and maintained.

1.2 A Brief History of Human Relations

1.2.1 Human Relations is a Multidisciplined Science
Popularly called organizational behavior and rooted in the behavioral sciences, the science of
human relations was develop in the late 1940s. It is based primary on psychology (which attempts to
determine why individuals behave the way they do) and sociology (which attempts to determine how
group dynamics affect organizational performance); social psychology , economics, and political science
have also contributed to an organizational behavior.
During the 1950s, research in human behavior was conducted in large organizations. By the late
1970s, organizational behavior was recognized as a discipline in its own right, with teachers, researchers,
and practitioners being trained in organizational behavior itself. Organizational behavior is a social science
that has built its knowledge base on a sound foundation of scientific theory and research. Human relations
takes a practical, applied approach. It attempts to anticipate and prevent problems before they occur and
to solve existing problems of interpersonal relations in organizations.
1.2.2 The Early years : Frederick Taylor and Robert Oven
In early America, most people worked on farms or were self-employed tailors, carpenters,
shoemakers, or blacksmiths. Then, during the Industrial Revolution people left the farms to work in
factories that were all privately owned. The corporation form of business did not become prominent until
much later. These early family-run businesses were concerned with profits, not employees, and managers
viewed people only as a source of production. They did not realize how workers’ needs affected
production. Since the labor supply was plentiful and the cost of labor law, they could easily replace
employees who had complaints. In this situation, most of the early owner-managers gave little thought to
the working conditions, health, or safety of their employees. Working conditions were very poor people
worked from dawn until dusk under intolerable conditions of disease, filth, danger, and scarcity of
resources. They had to work this way just to survive; there was no welfare system – you work or you
starved.
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Frederick Taylor Frederick Taylor, an engineer known as the “father of scientific management”,
focused on analyzing and redesigning jobs more efficiently in the late 1800s and early 1900s, which led to
the idea of mass production. Scientific managers focus on production, not people. They are not in touch
with human behavior, assuming that workers always acted rationally and were motivated simply by money;
later these were found to be false assumptions. Also Taylor failed to recognize the social needs of
employees and placed them in isolated jobs.
Robert Owen Robert Owen, a young Welsh industrialist and social theorist, in 1800s was
considered that first manager-entrepreneur to understand the need to improve the work environment
and the employee’s overall situation. In 1920, Owen was called “the real father of personnel
administration”. He believed that profit would be increased if employees worked shorter hours, were paid
adequately, and were provided with sufficient food and housing. He refused to employ children under the
age of 11. (In the early 1800s, children went to work fulltime at the age of 9.) Owen taught his employees
cleanliness temperance and improved their working conditions. Other entrepreneurs of this time period did
not follow his ideas. Compared with today’s conditions, Owen were primitive- but they were a beginning.
1.2.3 Elton Mayo and The Hawthrone Studies
From the mid-1920s to the early 1930s, Elton Mayo and his associates from Harvard University
conduct research at the Western Electric Hawthorne Plant near Chicago. The research conducted through
the Hawthorne Studies has become a landmark in the human relations field. In fact, Elton Mayo is called
the “father of human relations” As a consequence of these studies, several unexpected discoveries were
made in regard to the human relations in organizations:
1. The Hawthorne effect : refers to an increase in performance caused by the special attention
given to employee, rather than tangible changes in the work. During the research, Mayo changed the
lighting and ventilation. To his surprise, performance went up regardless of the working conditions.
Through interviews, Mayo realized that the control group during the research felt important because of all
the attention it got; therefore performance increased because of the special attention given to employees.
It wasn’t until Mayo discovered the Hawthorne effect than he extended his study. What was to last only a
few months lasted six years, with the knowledge of the result of the Hawthorne Studies, some managers
used human relations as a mean of manipulating employees, while other took the attitude that are usually,
but not always, more productive than unhappy workers. In this context, both approaches were
unsuccessful at improving performance.
2. Employees have many needs beyond those satisfied by money.
3. Informal work groups have a powerful influence within the organization. For example, work
group members can band together and decide the level of production, regardless of management’s
standards, and influence the group to produce at the level. The group pressures members who produce
more or less than the group’s established production rate to conform.
4. Supervisor-employee human relations affect the quality and quantity of employee output.
Employees who have positive relations with their boss are more productive than employee who do not like
their boss. Having good human relations does not mean that a manager has to be popular. No relationship
exits between popularity and the speed at which people are promoted.
5. Many employee needs are satisfied off the job. Managers do not always control the factors
that motivate employees.
6. Employee relations affect employee performance. Employees meet social needs through their
interactions with fellow employees.
1.2.4 The 1930s to the 1970s
During the depression of the 1930s, unions gained strength and in many cases literally forced
management to look more closely at the human side of the organization and meet employees’ need for
better working conditions, higher pay, and shorter hours.
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During the 1940s and 1950s, other major research projects were conducted in a number of
organizations. Some of research was conducted by the University of Michigan, which conducted studied in
leadership and motivation; Ohio State University, which also studied leadership and motivation.
During the 1960s, Douglas McGregor published Theory X and Theory Y, Eric Berne introduced
Transactional Analysis (TA) Sensitivity Training was popular in the 1960s.
1.2.5 The 1980s to the 1990s
In the 1980s, the U.S. rate of productivity than that of Japan. William Ouchi, who conducted
research to determine why Japan was more productive than the United States, discovered that Japanese
organizations were managed differently than U.S. organizations. After years of research and investigation,
Ouchi developed Theory Z integrates common business practices in the United states and Japan into one
middle – ground framework appropriate for use in the United states.
In the 1990s, the trend toward increased participation of employees as a means of improving
human relations and organizational performance continued. Edward Lawer suggested the use of high-
involvement management, which includes greater level of participation at the lowest level of the
organization. As a result, employees have more input into management decisions and how they perform
their jobs. The use of group and teams was popular in the 1990s.
1.2.6 Current and Future Challenges in the 21st Century
Some of the trend and challenges in the field of human relation in the 21st century:
1. Globalization, change, innovation, and speed. CEO rate globalization as a challenge to business
leadership in the 21st century. The trend toward globalization has clearly change the speed and the way we
do business today.
2. Technology. Technology has enable the innovation and speed we have now in the economy;
the rate of technology change will not slow down. Because technology is created by people, they have to
use it effectively to compete.
3. Diversity. Due to globalization, diversity becomes more important. You need to understand
how to work with people around the world.
4. Learning and knowledge. The key to success today is using knowledge effectively to continually
innovate in order to compete in the new global economy.
5. Ethics. Media coverage of Enron, WorldCom, and other business scandals has heightened
awareness of the need for ethical business practices, as well as new corporate governance requirements.
6. Crisis. In the wake of September 11, 2001, organizations have developed plans to prevent
and/or deal with crises that may occur. Safety and security issues have led to new human relations
behaviors.

1.3 The Importance of Human Relations skills

1.3.1 The Importance of Human Relations skills in every day life
1. For human to receive help and to achieve their goal;
2. For human to have physical and mental security since good human relations led to lead to each
others helping and protecting;
3. For human to receive love and acknowledgement starting from giving love and
acknowledgement to others;
4. For human to understand and live in harmony with the society they belong to. This will lead to
the decrease of conflicts that may occur when there are differences in ideas and actions.
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1.3.2 The Importance of Human Relations skills in work

1. Human rights. Today managers and employees have a greater awareness of rights of employees.
This awareness calls for more skillful relations among employees, using tact, trust, and diplomacy with
greater skill. The rights of all others involved in the dealings of an organization must be respected and
protected as well. In today’s workplace, the term “internal customer” is often used. This identifies a new
attitude toward employees as the “other customers” in a company. Companies must also protect the
human rights of traditional customers, managers, and even competitors.
2. The global marketplace. The United States seems to have fallen into disfavor in many countries
– even countries we have long considered to be our friends. Often, when anti-American stories are told,
they involve Americans using poor human relations skills when doing business with other cultures.
Improving interpersonal skills (the skills associated with getting along with others) can be a factor in
fighting the widespread anti-Americanism that sometimes seems to be growing out of control.
3. Emphasis on people as human resources. Two decades ago, many forecasters predicted that by
this time in history, strong computer skills would be the number one factor in the workplace. However,
now, perhaps more that ever, managers and cooperate planners are placing great emphasis on the
human factor. The two sets of behaviors now considered the most important for new job applicants are
communication skills and relations abilities. This trend will likely continue in the future.
4. Renewed emphasis on working group. Today’s employees tend to like working as teams and
being involved in making decisions as a group. Helping groups work well together in such endeavors (as
either a team member or leader) requires a great deal of human relations skill. Both managers and
employees needs to understand the dynamic of group interaction if such participation is to be effective.
5. Increasing diversity in the workplace. Few countries on earth contain the diversity of race,
religion, and culture that exits in the United States. The number of foreign-born Americans now is over 33
million, and is increasing daily. The U.S. gains an international migrant every 25 seconds. Add to this reality
the increasing number of woman entering the workplace. A deep understanding of the differences that
diversity brings is one of the most important skills in human relations.
1.3.3 Human Relations and You
The study of human relations can help you in several ways. Human relations skills can help you get
a new job, enjoy your work, be more productive at it, and stay there longer with better chances for
advancement. An understanding of yourself and others can help you be more productive in all areas of your
life.
You, the employee. Undeveloped interpersonal skills represent the single most important reason
for failure at a job. This is especially true in the early days and weeks on a new assignment. Making a good
impression on your superiors, your peers, and all other coworkers will set you on a good track. Developing
interpersonal skills is extremely important to the advancement of your career and will affect the ways in
which your fellow employees, supervisors, and customers view your overall performance.
You, the manager. A percentage of students who study in this class will one day become managers.
For a manager, no skill area is more important than human relations abilities. A manager with good human
relations skills will retain employees longer, be more productive, and provide employees with an enjoyable
environment. The most common reason for failure in the job of manager is faulty human relations skills.
Because interpersonal skills are so important, experts often suggest that new managers should put as much
effort into studying people as they put into developing technical skills.
You, the entrepreneur. In the 21st. century, an increasing number of today’s business students are
entering the exciting realm of entrepreneurship: owning their own businesses. When you are the owner
and operator of a business, your people skills-or human relations- are the most important factors in your
success. In an e-commerce business, though there is less face-to-face contact with customers and suppliers,
the ability to work with people and to fulfill their needs remains extremely crucial to success.
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In a larger sense, your knowledge of human relations helps the work you do-or the business you
own-provide fulfillment. Famed Russian author Fyodor Dostoyevsky wrote, “If it were desired to reduce a
man to nothingness, it would be necessary only to give his work a character of uselessness.” Many
entrepreneurs become business owners to escape the feeling of uselessness associated with their former
jobs. The entrepreneur is in the position of being able to control the human climate of the business he or
she owns and operates.

1.4 Human Relations and Scientific Method

1.4.1 The Steps in Scientific Method
The steps taken in the Scientific study of human behavior can be classified in the following
categories
1. Definition of the Problem. This begins with being aware that a problem exits and may
include both a statement of a hypothesis and a statement of the limitation or scope of the study.
2. Collection of Data. This step includes determining the research design appropriate to the
problem being state. The collection of data may involve conducting an experiment, surveying individuals
through written questionnaires or personal interviews, or simply observing and recording the behavior of
individuals in a given set of circumstances. For practical purposes, the researcher must decide which
method or combination of methods will render the most valid information. Often limitations on the
amount of time and money available to the researcher prohibit his using as many methods as he might like,
or other restrictions may limit the number of persons (the size of sample) from which he may gather
information.
3. Analysis of Data. This phase of the research involves the breaking down and comparison of the
information that has been collected in order to discover the relationships, similarities, gaps, or conflicting
elements in the information gathered.
4. Interpretation of Data. This step involves the synthesis or bringing together of the information
at hand so as either to develop a tentative solution or test the hypothesis.
5. Drawing Conclusions. In order to be valid the conclusions must be based only on the finding of
the research. In this step, as in the analysis and interpretation of data, it is important that the conclusions
and generalizations drawn by the researcher be free from his own bias or perceptions.
1.4.2 Collections of Data Methods
1.4.2.1 Experiment
Experiment is the step in the scientific method that arbitrates between competing models or
hypotheses. Experimentation is also used to test existing theories or new hypotheses in order to support
them or disprove them. An experiment or test can be carried out using the scientific method to answer a
question or investigate a problem. First an observation is made. Then a question is asked, or a problem
arises. Next, a hypothesis is formed. Then experiment is used to test that hypothesis. The results are
analyzed, a conclusion is drawn, sometimes a theory is formed, and results are communicated through
research papers.
Type of experiment
1. Controlled experiment : a controlled experiment generally compares the results obtained from
an experimental sample against a control sample, which is practically identical to the experimental sample
except for the one aspect whose effect is being tested (the independent variable). A good example would
be a drug trial. The sample or group receiving the drug would be the experimental one (treatment group);
and the one receiving the placebo would be the control one. In many laboratory experiment it is good
practice to have several replicate samples for the test being performed and have both a positive control
and negative control.
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2. Natural experiment or quasi-experiment : sometime control experiment are prohibitively

difficult or impossible. In this case researcher resort to natural experiment or quasi-experiment. Natural
experiments rely solely on observations of the variables of the system under study, rather than
manipulation of just one or a few variables as occurs in controlled experiments. To the degree possible,
they attempt to collect data for the system in such a way that contribution from all variables can be
determined, and where the effects of variables in certain variables remain approximately constant so that
the effects of other variables can be discerned. The degree to which this is possible depends on the
observed correlation between explanatory variables in the observed data. When these variables are not
well correlated, natural experiments can approach the power of controlled experiments. Usually, however,
there is some correlation between these variables, which reduces the reliability of natural because natural
experiments usually take place in uncontrolled environments, variables from undetected sources are
neither measured nor held constant, and these may produce illusory correlations in variables under study.
3. Field experiment : field experiment are so named in order to draw a contrast with laboratory
experiments. Often used in the social sciences, and especially in economic analyses of education and health
investigations, field experiments have the advantage that outcomes are observed in natural setting rather
than contrived laboratory environment. However, like natural experiment, field experiments suffer from
the possibility of contamination : experimental conditions can be controlled with more precision and
certainty in the lab.
1.4.2.2 Survey
Survey methodology is the field that studies the sampling of individuals from a population with a
view towards making statistical inferences about the population using the sample. Polls about public
opinion, such as political beliefs, are reported in the news media in democracies. Other types of survey are
used for scientific purposes. Surveys provide important information for all kind of research fields, e.g.,
marketing research, psychology, health professionals and sociology. A survey may focus on different topics
such as preferences (e.g., for a presidential candidate), behavior (smoking and drinking behavior), or factual
information (e.g., income), depending on its purpose. Since survey research is always based on a sample of
the population, the success of the research is dependent on the representativeness of the population of
concern.
1.4.2.3 Observation
Observation is either an activity of a living being, such as a human, consisting of receiving
knowledge of the outside world through the senses, or the recording of data using scientific instruments.
The term may also refer to any data collected during this activity. An observation can also be the way you
look at things or when you look at something.
One problem encountered throughout scientific fields is that the observation may affect the
process being observed, resulting in a different outcome than if the process was unobserved. This is called
the observed effect. For example, it is not normally possible to check the air pressure in an automobile tire
without letting out some of the air, thereby changing the pressure. However, in most fields of science it is
possible to reduce the effects of observation to insignificance by using better instruments.
1.4.2.4 Interview
An Interview is a conversation between two people (the interviewer and interviewee) where
questions are asked by the interviewer to obtain information from the interviewee.
Interview as a method for qualitative research : The qualitative research seeks to describe and the
meaning of central themes in the life world of subjects. The main in interviewing is to understand the
meaning of what the interviewee say.
Type of interviews
1. Informal, conversation interview : no predetermined questions are asked, in order to remain as
open and adaptable as possible to the interviewee’s nature and priorities; during the interview the
interviewer “goes with the flow”.
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2. General interview guide approach : intended to ensure that the same general areas of
information are collected from each interviewee; this provides more focus than the conversation approach,
but still allows a degree of freedom and adaptability in getting the information from the interviewee.
3. Standardized, open-ended interview : the same open-ended questions are asked to all
interviewees; this approach facilitates faster interviews that can be more easily analyzed and compare.
4. Closed, fixed-response interview : all interviewees are asked the same questions and asked to
choose answer from among the same set of alternatives. This format is useful for those not practiced in
interviewing.
1.4.2.5 Case study
A case study is an intensive analysis of an individual unit (e.g., a person, group, or event) stressing
development factors in context. The case study is common in social sciences and life sciences. Case study
may be descriptive or explanatory. The latter type is used to explore causation in order to find underlying
principles. They may be prospective (in which criteria are establish and cases fitting the criteria are included
as they become available) or retrospective (in which criteria are established for selecting cases from
historical records for inclusion in the study).
Thomas offers the following definition of case study : “Case studies are analyses of persons,
events, decisions, periods, projects, policies, institutions, or other systems that are studied holistically by
one or more methods. The case that is the subject of the inquiry will be an instance of a class of
phenomena that provides an analytical frame – an object- within which the study is conducted and which
the case illuminates and explicates.”
Rather than using sample and following a rigid protocol (strict set of rules) to examine limited
number of variables, case study methods involve an in-depth, longitudinal (over a long period of time)
examination of a single instance or event: a case. They provide a systematic way of looking at events ,
collecting data, analyzing information, and reporting the results. As a result the researcher may gain a
sharpened understanding of why the instance happened as it did, and what might become important to
look at more extensively in future research. Case studies lend themselves to both generating and testing
hypotheses.

1.5 Human Relations Guidelines

1. Be Optimistic. Football coach Lou Holtz has said that you choose to be optimistic (happy) or
pessimistic (sad). Happiness is nothing more than a poor memory for the bad things that happen to you.
We usually find what we’re looking for. If you look for, and emphasize, the positive, you will find it. Most
successful people are optimistic. Winston Churchill said that success is the ability to from failure without
losing your enthusiasm. Again, having a poor memory for failure leads to happiness. If you catch yourself
thinking or behaving like a pessimist, stop, and change to an optimistic thought or action. With time you
will need to catch yourself and change behavior less frequently.
2. Be Positive. Praise and encourage people. People generally don’t like to listen to others
complain. Have you ever noticed that people ask each other, “How is it going? ” but if one person starts
complaining about something, the other finds an excuse for not listening. People often avoid complainers,
and you should too. Associating with complainers will only depress you. Don’t go around criticizing (putting
people down), condemning, or spreading rumors. Do you like people to criticize you?
3. Be Genuinely Interested in Other People. Think about the bosses you have had. Who was your
favorite? Why? There is a good change that this boss was genuinely interested in you as a person, not
simply as a means of getting the job done. Think about your friends. One of the reasons you like them is
that they show a genuine interest in you. One of the five main reasons managers fail is the “me only”
syndrome. Managers who are preoccupied with themselves and too concerned with how much credit they
get are insensitive to others. People who feel as though you don’t care about them will not come through
for you. Do you like self-centered people?
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4. Smile and Develop a Sense of Humor. A smile shows interest and caring. It takes fewer muscles
to smile than it does to frown. The adage “Smile and the world smile with you; weep and you weep alone”
has a lot of truth to it. You have probably noticed that frowners are usually unhappy and pessimistic.
Develop a sense of humor. Relax, laugh, and enjoy yourself. Be willing to laugh at yourself. Likable
people do not take their jobs or themselves too seriously. Do you like people who always frown and never
laugh?
5. Call People by Name. A person’s name is the most important sound in any language. Calling
people by the name they prefer shows an interest in them and makes them feel important. If you’re not
good at remembering names, work at it. Like any skill, it take a conscious effort and some practice to
develop. One simple technique you can use to help you remember people’s names when you are
introduced is to call them by name two or three times while talking to them. Then call them by name the
next time you greet them. If you forget a person’s name, whenever possible, ask someone else what is it
before contacting the person. Remember that in some culture, however, it is not polite to call a person by
his or her first name. In such a culture, use last name, titles, or positions as expected.
6. Listen to People. We learn more by listening than we do by talking. To truly listen we must
honestly try to see things from the other person’s point of view. Show respect for the other person’ s
opinions. Don’t say, “You’re wrong,” even when the other person is wrong. Such statements only make
people defensive and cause arguments, which you should avoid. Saying you disagree has less of an
emotional connotation to it. However, when you are wrong, admit it quickly and emphatically. Admitting
you’re wrong is not a sign of weakness and it often interpreted as a strength. However, not admitting you
are wrong is often interpreted as a weakness.
Encourage others to talk about themselves. Ask them questions about themselves, rather than
telling them about yourself. This gives you the opportunity to listen and learn while making people feel
important. Listening also shows your interest in people. Do you like people who don’t listen to you?
7. Help Other. If you want to help yourself, you can do so only by helping others. It’s a basic law of
success. People who use people may be some what successful in the short run, but those being used
usually catch on. Often people who use other people are not successful in the long run. Open and honest
relationship in which people help each other meet their needs are usually the best ones. Help others, but
don’t pry when help is not welcomed. Do you like people who don’t help you when you need help?
8. Think Before You Act. Feel your emotions, but control your behavior. Try not to do and say
things you will regret later. Watch your language; don’t offend people. It is not always what you say but
how you say it that can have negative impact on human relations. Before you say and do things, think
about the possible consequences. Being right is not good enough if it hurts human relations. Conduct your
human relations in a positive way.
9. Create Win-Win Situations. Human relations is about how we behave and treat others. The goal
of human relations is to create win-win situations. The best way to get what you want is to help other
people get what they want and vice versa. Throughout the book you will given specific examples of how to
create win-win situations.

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