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Module 1 - HRM
Module 1 - HRM
Module 1 - HRM
Meaning of Human Resources According to Leon C.Magginson, the term human resources can be thought of as, the total knowledge, skills, creative abilities, talents and aptitudes of an organisations workforce, as well as the value, attitudes and beliefs of the individuals involved.
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Human Resource management is the management of employees skills, of people Knowledge, abilities, talents, aptitudes, creative abilities etc. 2.Employee in personnel management is mostly 2. Employee in Human Resource management treated as an economic man as his is treated not only as economic man but also services are exchanged for salary/wages. as social and psychological man. Thus, the complete man is viewed under this approach. 3. Employee is viewed as a commodity or tool 3. Employee are treated as a resource. Or equipment which can be purchased and used. 4. Employees are treated as cost centre and 4. Employees are treated as profit centre and therefore management controls the cost of therefore, invests capital for human resource labour. development and future utility. 3 5. Employees are used mostly for organisational 5. Employees are used for the multiple mutual benefit. Benefit of the organisation,employees and
Functions of HRM
Human Resources management consists of several inter-related functions. These functions are common to all organizations. Basically the function of HRM may be divided into two categories. Managerial functions and Operating functions
Managerial functions
Planning Organizing Directing Controlling
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Operative Functions
The operative functions of Human Resources management can be discussed in the following: 1. Procurement Function
Job Analysis Human Resource Planning Recruitment Selections Placement Induction or Orientation
2.Development Function
Training Executive Development Performance and Potential Appraisal Career Planning and Development
3. Compensation Function: Job Evaluation Wage and Salary administration Bonus 4. Integration Function Collective bargaining Conflict resolution Employee counseling Providing Job satisfaction Workers participation in management Improving quality of work life Developing sound human relations etc. 5. Maintenance Function It is mainly concerned with promoting and protecting the physical and mental health of employees such as medical aids, educational facilities, conveyance facilities, provident fund, pension, gratuity, group insurance etc.
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Nature of HRM
Pervasive force Action Oriented Individually Oriented People Oriented Future Oriented Development Oriented Integrating Mechanism Comprehensive function Auxiliary service Inter disciplinary function Continuous function
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Objectives of HRM
To help the organisation reach its goals To employ the skills and abilities of the workforce efficiently To provide the organisation with well trained and well motivated employees To increase to the fullest the employees job satisfaction and self actualisation To develop and maintain a quality of work life To communicate HR policies to all employees To be ethically and socially responsive to the needs of society
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Objectives of HRM
Societal To be ethically and socially responsible to the needs and challenges of society while minimising the negative impact of such demands upon the organisation. Organisational To recognise the role of HRM in bringing about organisational effectiveness.
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Objectives of HRM
Functional To maintain the departments contribution at a level appropriate to the organisations needs. Personal To assist employees in achieving their personal goals, at least insofar as these goals enhance the individuals contribution to the organisation.
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Scope of HRM
The scope of HRM is very wide. The Indian Institute of Personnel management has specified the scope of HRM thus:
Personnel aspect: Manpower planning Recruitment Selection Placement Transfer Promotion Training and development Retrenchment Remuneration Incentives Productivity etc.
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Scope of HRM
Welfare aspect: Canteens Crches Rest and lunch rooms Housing Transport Medical assistance Education Health and safety
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Scope of HRM
Industrial relation aspect: Union-management relations Joint consultation Collective bargaining Grievances and Disciplinary procedures Settlement of dispute etc.
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History of HRM
The field of HRM as it currently exists, represents a crystallization of a variety of historical factors.
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2. Scientific management
To improve efficiency and speed F W Taylor advocated scientific management. Scientific management emphasizes that managers and industrial engineers should develop the best way to perform each job, people should be trained to perform each job in the best way and management and workers should cooperate so that the job is performed in the desired manner. Frederick W.Taylor is known as the Father of Scientific management Taylor stressed the importance of employee welfare as well as production efficiency. To boost up productivity, wage incentives based on performance (differential price rate system) were introduced. The emphasis was on maximum output with minimum effort through elimination of waste and inefficiency at the shop floor- level. 17
3. Trade unionism:
Workers joined hands to protect against the exploitative tendencies of employers and the prohibitive, unfair labour practices through unions. Unions tried to improve the lot of workers through collective bargaining, resolving the grievances of workers relating to working conditions, pay and benefits, disciplinary actions etc.
The human relation movement led to the wide scale implementation of behavioral science techniques in industry for the first time which included supervisory training programmes, emphasizing support and concern for workers , programmes to strengthen the bonds between labour and management and counseling programmes whereby employees were encouraged to discuss both work and personal problems with trained counsellors. The movement was also influenced by the growing strength of unions during late 1930s and 1940s. The rise of unionism during this period was due to the passage of Wagner act which gave workers the legal right to bargain collectively with employers over matters concerning, wages, job security, benefits and many other conditions of work.
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