HUMAN RESOURCE

MANAGEMENT
Meera Mohan , Faculty Member,
MSB, Kochi
 HRM
• HRM
• Concept - is the process of bringing people and orgn
together so that the goals of each are met.

• It tries to secure the best from people by winning

their whole hearted co-operation.

• In short it is the art of procuring , developing and

maintaining competent workforce to achieve the
goals of an orgn.in an effective and efficient manner.
•
 HRM
• Features of HRM
• HRM is pervasive in nature. It is present in
all enterprises.
• Action oriented rather than record keeping .
The problems of employees are solved
through RATIONAL POLICIES.
• Individually oriented –helps the employees
to develop their potential fully.
 HRM
People oriented – it is about people at work ,
both as individuals and groups . Put people
on assigned jobs to produce good results.
Future oriented :Effective HRM helps an orgn
meet its goals in the future by providing
for motivated and competent employees.
Development oriented : HRM intends to
develop the full potential of employees.
 HRM
• INTEGRATING MECHANISM: Tries to
maintain cordial relations between people
working at various level in an organization.
• Comprehensive function : covers all types of
personnel ,from workers to top mgt.
• Auxiliary services : HR departments exists to
assist and advise the line or operating
managers to work more effectively.
 HRM
• Inter- disciplinary function : HRM is a
multidisciplinary activity , utilizes knowledge
and inputs from sociology , psychology ,
economics etc.
• Continuous function : cannot be practised
one hour each day or one day in a week ,
requires constant alertness and awareness
of human relations - it is a continuos
process.
 HRM
• Scope of HRM:
• Personnel aspect- concerned with manpower
planning - recruitment, selection , placement,
transfer, promotion, training and development, lay
off, retrenchment, remuneration, incentives
,productivity etc.
• Welfare Aspect – deals with working conditions ,
amenities such as canteens , creches, restrooms ,
transport ,medical assistance , education,
recreation , H &safety.
 HRM
• IR Aspect : covers union –mgt relations ,
joint consultations , collective bargaining ,
grievances and disciplinary procedures ,
settlements of disputes.
• Objectives of HRM :
• 1) to help the orgn meet its goal.
• 2) to employ the skills and abilities of the
workforce effectively.
 HRM
• 3) To provide the orgn with well trained and well
motivated work force – performance evaluated
and remunerated on the basis of their
contributions - motivated to exert their maximum
efforts.
• 4) to increase to the fullest the employee’s job
satisfaction and self actualisation- tries to stimulate
every employee to realize his potential – Suitable
programmes designed to improve the quality of
work life, (QWL)
 HRM
• To develop and maintain quality of work life-
makes employment in the orgn desirable,
personal and social.
• To communicate HR policies to all
employees.
• To be ethically and socially responsible to
the needs of the society –compliance with
ethical and legal standards.
 HRM
• Importance of HRM: Good HR practices help
to
• attract and retain talent
• train people for challenging roles
• develop skills and competencies
• Promote team spirit
• develop loyalty and commitment
• increase productivity and profits
 HRM
• Improve job satisfaction
• enhance standard of living
• generate employment opportunities
• HRM and COMPETITIVE ADVANTAGE
• Refers to the ability of an orgn to
formulate strategies to exploit rewarding
opportunities. Ie; maximising return on
investment.
 HRM
• Com. advantage occurs if customers perceive
that they receive value for their transaction
with the orgn.
• To achieve this orgn should tune its policies
in line with the changing consumer
requirements.
• The second principle of CA derives from
offering a product or services , which can’t be
copied or imitated by the competitor.
 HRM
• Examples for CA :
• Mercedez Benz- reliability , quality
• Maruti - affordability , proximity of service stations,
• In order to enjoy the CA, the firm should have a
competent and committed workforce.
• This team of workforce will deliver the goals if they
are involved in all activites and are encouraged to
develop goals which they have to achieve.
• .
 HRM
• STRATEGIC HRM : is the pattern of planned
Human Resource Devt. and activities
intended to enable an organization achieve
its goals.
• It means accepting the HR function as a
strategic partner in both the formulation of
the strategic as well as implementation of
these activities through HR activities .
 HRM
• Hence SHRM is the linking of HRM with the
goals and objectives with a view to improve
business performance and develop organizational
cultures that enable innovation and flexibility .
• HR has a great role to play in the execution of
strategies .For eg HDFC’s competitive strategy is
to differentiate itself from its competitors by
offering superior customer service at attractive
rates , fast processing etc.
 HRM
• TRADITIONAL HR STRATEGIC HR
• Focus Employee Relations Partnerships
• with internal &
• ext customers
• Initiatives slow , fragmented Fast,proactive
• integrated
• Key invts capital, products People, knowled
• ge
 HRM
• History of HRM :
• Industrial revolution : tech. made rapid
progress , jobs were fragmented ,
specialisation increased- left workers with
dull and monotonous jobs - workers
treated like glorified machine tools.
• Employers – keen to meet production
targets rather than satisfy workers demands.
 HRM
• SCIENTIFIC MGT :to improve efficiency and speed
F.W Taylor advocated scientific mgt .
• It is a systematic analysis and breakdown of work
into its smallest mechanical elements and
rearranging them into their most efficient
combination.
• Taylor argued that individuals selected to perform
the task should be perfectly matched , carefully
trained. A piece rate system was also introduced as
incentive.
 HRM
• TRADE UNIONISM: workers joined hand to
protect against exploitation.
• HR Movement : famous Hawthorne expts by
Elton Mayo at Harvard during 1930’s
• Employee productivity is affected not only
by job design and the way employees are
rewarded economically but also by certain
social and psychological factors as well .
 HRM
• Resulted in the introduction of supervisory
training programmes , support and concern
for workers etc.
• HRM APPROACH :” Happy cows gives more
milk “ – recognizing that employees are unique
in their own way , having their own needs .
What motivates one employee need not
motivate another.- treating employees as
resources or assets emerged.