Functions of HRM

FUNCTIONS OF HRM
 Managerial functions  Operative functions
 Planning  Procurement
 Organising  Development
 Directing  Compensation
 controlling  Integration
 maintenance
 Managerial functions
 Planning:
 Process of deciding the goals & formulating
policies & programmes to achieve the goals.
 Planning involves forecasting & research
 HRM involves forecasting needs for human
resources, predicting trends in labour market,
wages union demands etc.,
 Planning today avoids crisis tomorrow
 Involves deciding personnel goals, formulating
policies & programmes, budget
Managerial functions:
 Organising:
 Is the process of allocating tasks among
the members of the group, establishing
authority-responsibility relationships
among them.
 Organisation is the framework through
which management directs, controls &
coordinates the effort of people.
Managerial functions:
 Directing:
 Is the process of motivating,
activating,leading & supervising people.
 Directing includes all those activities by
which a manager influences the actions
of subordinates.
 Directing is the heart of the
management process.
Managerial functions:
 Controlling:
 It implies checking, verifying and regulating
to ensure that everything occurs in
conformity with the plans adopted and the
instructions.
 Involves auditing training programmes,
analysing labour turnover records, directing
morale surveys, conducting separation
interviews etc.,
Operative functions:
 Procurement Function: concerned with
securing & employing the right kind &
number of people required.
 Job analysis:
 Process of studying in detail the operations and
responsibilities involved in a job, & identify the
nature & level of human resources required
 Job descriptions & job specifications are
prepared with the help of job analysis report
Procurement functions
contd..,
 Human Resource Planning:
 It is the process of estimating the present &
future manpower requirements of the orgn.,
preparing inventory of present manpower &
formulating action programmes.
 Recruitment:
 It is the process of searching for required
personnel & stimulating them to apply
 Procurement functions
contd..,
 Selection:
 It implies judging the suitability of different
candidates for jobs & choosing the people
 Placement:
 Assigning suitable jobs to the selected candidates so
as to match employee qualifications with job
requirements
 Induction or Orientation:
 Involves familiarising the new employees with the
co., its work environment
 Operative functiions:
 Development functions:
 Process of improving the knowledge, skills,
aptitudes & values of employees to perform
effectively.
 Performance & potential Appraisal:
 Implies systematic evaluation of employees on their
performance
 Training:
 Process by which employees learn knowledge, skills
& attitudes
Development functions
contd.,
 Executive development:
 Process of developing managerial talent
through appropriate programmes
 Career planning & Development:
 Involves planning the career of employees
& implementing career plans so as to fulfill
the career aspirations of people.
 Operative functions:
 Compensation function: Providing equitable
& fair remuneration to employees for their
contribution.
 Job evaluation:
 Process of determining the worth of a job
 Wage & salary administration:
 Implies developing & operating a suitable wage &
salary programme. Surveys are conducted to
determine wage & salary structure for various jobs in
the orgn.,
Operative functions:
 Integration Function:
 Process of relating the goals of the
organisation with its members.
 Involves motivating employees through
various financial & non-financial incentives,
providing job satisfaction, handling
grievances thro grievance procedure,
employee counselling, improving QWL etc
Operative Functions
 Maintenance Function:
 Concerned with protecting & promoting the
physical & mental health of employees.
 For this purpose several types of fringe benefits
such as housing, medical aid,educational
facilities, conveyance facilities etc.,
 Social security measures like PF, pension,
gratuity, maternity benefits, disablement
allowance, group insurance etc also arranged.
Skills for HR professional:
 He needs to have technical, cognitive, and
interpersonal skills and processes to
accomplish his work.
 He needs to be good in communication, be
empathetic, have tolerance for ambiguities,
& be pleasant, confident.
 He should have an understanding of HR
polcies, principles, programmes & practices.
HR competency Model:
 Brings out requisites of HR executive

 Business Mastery:
 Business acumen

 Customer orientation

 Knowledge in all

 Functional areas

 External relations

 Personal Credibility
 Competence

 Sound academic credentials

 Trust

 Ethical conduct

 Courage
HR competency Model:
 HR Mastery
 Staffing

 Performance appraisal

 Reward systems

 Communication

 Organisation design

 Change Mastery
 Interpersonal skills

 Problem solving skills

 Innovativeness & creativity

 Skills for HR professional
 HR executive needs to be multi knowledgeable.
 He should have human approach to human
problems. His attitude towards the operative
workforce should be sympathetic in dealing
with problems.
 He should have a sense of social responsibility
so as to help his employees to discharge their
social obligations to the various segments.