Managing people…

• Age-old issue
• When did we start discussing
about it?
HRM_Evolution • With industrial revolution…
Sriji E S • Before that, what was the case?
• When slaves were managed in
very hierarchical, authoritarian
ways this was rooted in
assumptions that the elites of the
time were absolutely superior, &
• Had the right (even the divine
right), to manage the workers that
they saw as inferior to them.

Before … Industrial Revolution… After Industrial Revolution

• Large scale Industrial work
• Small scale house hold Other work places
production • Controller of production:
Workplace
• Controller of production:
Household • Lost autonomy, discretion
• Valuable is individual outside
• Autonomy, Discretion on ‘When work, not household unpaid
and How to work’?
work
• Machines were brought in
• Technology made rapid
progress
• Jobs were fragmented
• Specialization increased speed
and efficiency
• Workers were dull, boring, doing
monotonous jobs
• Strict monitoring and drive system
• Foreman/supervisor: Behaved • Focus: Meet production targets
like a King(?), who mend
• Assumption: Workers need to be
people(?).
managed
 Scientific Management
• F W Taylor (Assumption: Money
motivated people, needs efficiency)
• Focus: Speed and efficiency
• Systematic analysis & breakdown* of
work, & make best combination
• Break every job down into small,
standardized, repetitive tasks that
any unskilled worker could do.
• *Who? : managers
• Employee fit (physically, mentally,
exclude over qualifiers)
• Training for employees, exactly as
specified by prior scientific analysis
• Differential piece rate system for
complying with supervisor’s
specification of detailed procedure
(incentive/high-piece rate)
Trade Unionism
• Assumption: Employees have
psychological needs
• In the name of speed, efficiency &
money, there was a tendency among
employers to exploit the workers.
• Workers joined through unions for
their welfare.
• Collective bargaining resolving issues
on working conditions, pay and
benefits, disciplinary actions etc.

Human Relations movement Human Resource Approach

• Reference: Hawthorne experiment • Rejected pet milk theory
• Assumption: Employees have psychological needs; social relationships are • Individuals differ: Each employee is a unique and highly complex
also important. individual with different wants needs and values
• Rising unionism: Wagner Act (Legal right to bargain collectively with • Slowly, trend towards treating employees as resources/assets emerged
employers over matters concerning wages, job security, benefits and
many other conditions at work)
• Human relations movement led to supervisory training programmes,
emphasizing support and concern for workers, programmes to
strengthen the bonds between labour and management, counseling
programmes etc.
Evolution of HRM in India IT_A new evolution of HRM in India
• Concept may be traced back to Arthashastra_Performance linked pay • The role of IT industry
• 17th century_Trade relations > Master-servant • ITES
• Formal industrial organizations_after 1850s > Awful conditions • The change they brought in!
• Textile Labour Association in Ahmedabad (1920) like initiatives.
• Attrition!
• Tata Steel in Jamshedpur
• Quality Standards!
• After independence in 1947, Public and private sectors > Various welfare
measures • Recession > 6th Pay
• 1970s and 1980s > Crisis or issues driven HRM • Second Career Internship Program
• Unions, Management training institutes and business schools > facilitate • Bereavement leave
adoption of modern management thoughts and principles.
• Work from home
• HRD