WHAT IS HRM by dk2424

[dk2424]

WHAT IS HRM?
MEANING OF HRM
HRM is a management function that helps organisation to recruit, select, train, develop and manage its members. Simply stated, HRM is all about management of people in the organisation from Recruitment to Retirement. HRM refers to set of programs, functions, and activities designed and carried out in order to maximise both employee as well as organisational effectiveness.
Definition 1
“HRM is planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational and social objectives are accomplished.”
Definition 2
“HRM is concerned with the people dimensions in management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to higher levels of performance and ensuring that they continue to maintain their commitment to the organization are essential to achieving organizational objectives. This is true, regardless of the type of the organization – government, business, education, health, recreational, or social action.”

OBJECTIVES OF HRM
1. Organizational Objectives: To assist the organization to achieve its primary objectives, whether it is profit making or charity or social agenda.

2. Societal Objectives: To be responsive to the needs and challenges of the society while minimizing the negative impact, if any, of such demands upon the organization.

3. Functional Objectives: To maintain department’s contribution and level of services at a level appropriate to the organization’s needs.

4. Personal Objectives: To assist employees in achieving their personal goals, at least in so far as these goals enhance the individual’s contribution to the organization. This is necessary to maintain employee performance and satisfaction for the purpose of maintaining, retaining and motivating the employees in the organization.
SCOPE OF HRM
From Entry to Exit or Recruitment to Retirement of an employee in the organization

Following are the areas of operation of HRM:
1. Human Resource Planning
2. Job Analysis
3. Job Design
4. Recruitment & Selection
5. Orientation & Placement
6. Training & Development
7. Performance Appraisals
8. Job Evaluation
9. Employee and Executive Remuneration
10. Motivation
11. Communication
12. Welfare
13. Safety & Health
14. Industrial Relations

Based on the above activities, we can summarize the scope of HRM into following seven different categories:
1. Introduction to HRM
2. Employee Hiring
3. Employee and Executive Remuneration
4. Employee Motivation
5. Employee Maintenance
6. Industrial Relations
7. Prospects of HRM
Functions of Human Resources Management: There are two broad functions of H R M. They are
1. Managerial Functions 2. Operational Functions
Managerial Functions: Managerial functions of Personnel management include planning, organizing, directing, coordinating and controlling.
Planning: It is the charting out of programmers and changes in advance in the achievement of organizational goals. Hence, it involves planning of human resources requirements, recruitment, selection, training etc. It also involves forecasting of personnel needs, changing values, attitudes and behavior of their employees and their impact on the organization.
Organizing: In the words of J.C. Massie, an organization is a "structure and process by which co-operative groups of human beings allocated its tasks among its members, identifies relationships and integrates its activities towards a common objective." Given the complex relationships that exist between specialized departments and the general departments, many top managers seek the advice of personnel manager. In this manner, the organization establishes relationships among the employees so that they can together contribute to the achievement of organizational goals.
Directing: After planning and organizing comes the execution of the plan. The willing and effective co-operation of employees towards the achievement of organization’s goal has to be brought about by proper direction. Identifying and utilizing maximum potentials of people is possible through motivation and command. Direction, therefore, is an important managerial function in ensuring optimum employee contribution.
Coordinating: It is the task of matrixing various employees’ efforts to ensure successful goal achievement. The Personnel manager co-ordinates various managers at different levels as far as the personnel functions are concerned.
Controlling: After planning, organizing, directing and co-coordinating, the various activities, the performance is to be verified in order to know, at various points of time, whether the activities are performed as per plans and directions. It involves checking, verifying and comparing actual with the plans, identification of deviations if any and correcting the deviations. Auditing training programmers’, analyzing labor turnover, overseeing morale surveys, conducting exit interviews are some of the controlling functions of personnel management.
Operative Functions: The operative functions of H R M relate to employment, development, compensation and relations. All these are interacted by managerial functions. Also, they are to be performed in conjunction with management functions.


Human Resources Planning
Recruitment
EMPLOYMENT Selection
Induction
Placement

Performance Appraisal
Training
HUMAN RESOURCE Management Development
DEVELOPMENT Career Planning & Development
Organization Change &
Organization Development

Job Evaluation
COMPENSATION Wage & Salary Administration
MANAGEMENT Fringe Benefits


Motivation
Morale
HUMAN RELATIONS Job Satisfaction
Communication
Grievance & Disciplinary Procedures
Quality of Work Life & Quality Circles

ROLE OF HRM
1. Advisory Role: HRM advises management on the solutions to any problems affecting people, personnel policies and procedures.
(a) Personnel Policies: Organization Structure, Social Responsibility, Employment Terms & Conditions, Compensation, Career & Promotion, Training & Development and Industrial Relations.
(b) Personnel Procedures: Relating to manpower planning procedures, recruitment and selection procedures, and employment procedures, training procedures, management development procedures, performance appraisal procedures, compensation procedures, industrial relations procedures and health and safety procedures.

2. Functional Role: The personnel function formulates personnel policies in accordance with the company’s doctrine and management guidelines. It provides guidance to managers to help them ensure that agreed policies are implemented.

3. Service Role: Personnel function provides personnel services. These services constitute the main activities carried out by personnel department, like payroll, disciplinary actions, etc, and involve the implementation of the policies and procedures described above.

ROLE OF HR MANAGERS
1. Humanitarian Role: Reminding moral and ethical obligations to employees.
2. Counsellor: Consultations to employees about marital, health, mental, physical and career problems.
3. Mediator: Playing the role of a peacemaker during disputes, conflicts between individuals and groups or management.
4. Spokesman: To represent the company in Media and other forums because he has better overall picture of his company’s operations.
5. Problem Solver: Solving problems of overall human resource management and long-term organizational planning.
6. Change Agent: Introducing and implementing institutional changes and installing organizational development programs
7. Management of Manpower Resources: Broadly concerned with leadership both in the group and individual relationships and labour-management relations.

OBJECTIVES V/s FUNCTIONS OF HRM
HRM Objectives-

Social Objectives: Legal Compliance
Benefits Union Management Relations

Organizational Objectives: Human Resource Planning
Employee Relations
Recruitment & Selection
Training & Development
Performance Appraisals
Placement & Orientation
Employee Assessment

Functional Objectives: Performance Appraisals
Placement & Orientation
Employee Assessment

Personal Objectives: Training & Development
Performance Appraisals
Placement & Orientation
Compensation
Employee Assessment

 

[dk2424]

MANAGERIAL FUNCTIONS OF HRM
1. Planning: Research and plan about wage trends, labour market conditions, union demands and other personnel benefits. Forecasting manpower needs etc.
2. Organizing: Organizing manpower for the achievement of organizational goals and objectives.
3. Staffing: Recruitment & Selection
4. Directing: Issuance of orders and instructions, providing guidance and motivation to managers and employees.
5. Controlling: Regulating personnel activities and policies according to plans. Observations and comparisons of deviations

OPERATIONAL FUNCTIONS OF HRM
1. Procurement: Planning, Recruitment and Selection, Induction and Placement
2. Development: Training, Development, Career planning and counselling.
3. Compensation: Wage and Salary determination and administration
4. Integration: Integration of human resources with organization.
5. Maintenance: Sustaining and improving working conditions, retentions, employee communication
6. Separations: Managing separations caused by resignations, terminations, layoffs, death, medical sickness etc.


CHALLENGES OF HRM IN INDIAN ECONOMY

The job of HRM department in India has never been so challenging. Last decade has witnessed tectonic shift in Job market. From being an employer’s market, it has suddenly turned into employee’s market, especially in the most crucial segment, i.e. middle management. Globalisation and India’s growing stature in the world has seen demand for Indian managers soaring. From the state of plenty, there is a stage of scarcity of the right talent. The biggest challenge is to retain the talent one has so assiduously hunted and trained. The attrition rate has reached alarming proportions. It has reached such proportions that certain segments of Industry are maintaining bench strengths to fill in the sudden gaps due to resignations. In addition, there are following new issues:

1. Globalization: Growing internationalization of business and workforce has its impact on HRM in terms of problems of unfamiliar laws, languages, practices, attitudes, management styles, work ethics and more. HR managers have a challenge to deal with more and more heterogeneous functions and more involvement in employee’s personal life.

2. Corporate Re-organizations: Liberalisation has led to largescale reorganization of businesses in terms of expansions, mergers and acquisitions, joint ventures, take over’s, and internal restructuring of organizations. In circumstances as dynamic and as uncertain as these, it is a challenge to manage employees’ anxiety, uncertainties, insecurities and fears.

3. New Organizational Forms: Exposure to international business and practices has led to change in the organisational structure and HR policies of the local companies. Take for instance, the hierarchical structure of Indian companies. Suddenly, Indian companies have begun to adopt flat hierarchical management structure. But to implement and grout such fundamental changes in management philosophy of any company is never easy. The challenge for HRM is to cope with the implications of these new relations in place of well established hierarchical relationships that existed within the organizations for ages in the past.

4. Changing Demographics of Workforce: Changes in workforce are largely reflected by dual career couples, large chunk of young blood with contrasting ethos of work among old superannuating employees, growing number of women in workforce, working mothers, more educated and aware workers etc. Thus, changing demography of workforce has its own implications for HR managers and a true challenge to handle.

5. Changed Employee Expectations: With the changes in workforce demographics, employee expectations and attitudes have also transformed. Traditional allurements like job security, house, and remunerations are not much attractive today. Rather, employees are demanding empowerment and equality with management. Hence, it is a challenge for HRM to redesign the profile of workers, and discover new methods of hiring, training, remunerating and motivating employees.

6. New Industrial Relations Approach: In the changed industrial climate, even trade unions have realised that strikes and militancy have lost their relevance and not many workers are willing to join them and disrupt work. However, the problems faced by workforce now have different dimension for the management. They manifest in the form of increased attrition rate. Unsatisfied employees instead of approaching the management for resolution, often take up the new job. The challenge before the HRM is find ways and means to feel the pulse of employees and address the issues on proactive basis.

7. Renewed People Focus: “Man behind the machine is most important than the machine”. This is an old doctrine of the Armed Forces. However, this doctrine has begun to gain acceptance in the corporate world and thus all out efforts to grab the best talent at whatever cost.

8. Managing the Managers: Managing the managers is most difficult. Armed with inside information, they cannot be lured with rosy promises. They are in great demand too with growth in economy. These are the people who are most mobile, attrition rate being highest for the junior and middle management level. The challenge of HRM is how to manage this tribe?

9. Weaker Section’s Interests: Another challenge for HRM is to protect the interest of weaker sections of society. The dramatic increase of women workers, minorities and other backward communities in the workforce, coupled with weakening of trade unions, has resulted in the need for organizations to re-examine their policies, practices and values. In the name of global competition, productivity and quality, the interests of the society around should not be sacrificed. It is a challenge of today’s HR managers to see that these weaker sections are neither denied their rightful jobs nor are discriminated while in service.

10. Contribution to the Success of Organizations: The biggest challenge to an HR manager is to make all employees contribute to the success of the organization in an ethical and socially responsible way. Because society’s well being to a large extent depends on its organizations.

PERSONNEL VS HUMAN RESOURCES MANAGEMENT

Personnel Management: Personnel means persons employed. Personnel management is the management of people, skills employed.
Employee in personnel management is mostly treated as an economic man as his services are exchanged for wage / salary.
Employee is viewed as a commodity or tool or equipment which can be purchased.
Employees are treated as cost centers and therefore management controls the cost of labor.
Employees are used mostly for the organizational benefit.
Personnel function is treated as only an Auxiliary function.

Human Resources Management: Human Resources management is the management of employees’ knowledge, abilities, talents, aptitudes, creative abilities etc.
Employee in human resource management is treated not only as economic man but also as social and psychological man. Thus, the complete man is viewed under this approach.
Employee is treated as a resource.
Employees are treated as profit centers and therefore, invest capital for human resource development and future utility.
Employees are used for the multiple benefits of the organization, employees and their family members.
Human resources management is a Strategic Management function.

Job Analysis:
It is the study and collection of data relating to the operations and responsibilities of a specific job. It includes:
Collection of data and information and facts relating to the various aspects of jobs including men, machines and materials.
Drawing up of job description, job specification, job requirements and employee specification with which nature, levels and quantum human resources can be finalized.
Providing the guidelines, plans and the basis for job design and for all operative functions of H R M.
Before carrying out the human resource planning exercise, management should decide what is to be performed and how. The several tasks that are required to be carried out will have to be divided and allocated into manageable work units called jobs. Assigning tasks to jobs is commonly known as job design. The human resource requirements for a given volume of operations in an organization depend upon the content of the jobs and the behavior pattern and operation of control systems in an organization. Where multi-skilling is introduced, as in fabrication, idle time in each of the operations is eliminated so that with less number of people more output could be obtained.

Job design: The purpose of carrying out job analysis is to develop appropriate design for improved efficiency and productivity. Job analysis provides details of the tasks and activities to be carried out on a particular job as also the human characteristics required of inter-relatedness of the activities, combining them in manageable work units, using input-output analysis and matching them with required human skills and motivation in such way as to maximize productivity and human satisfaction

Job description: The data collected for job analysis provide the basis for preparing job description for each job. This functional description describes what the job entails. Although there is no standard format for a job description, it usually includes:
1. Job Title: --- a title of the job.
2. Job Summary: --- a brief statement of what the job entails.
3. Job Activities: --- a description of the tasks performed, resources used and the extent of supervision given or received.
4. Working Conditions and Physical Environment: --- heat, light, noise level, hazards are described.
5. Social Environment: --- Information on size of work group and interpersonal interactions required performing on the job.

 

[bindumalik3]

hea thanx 4 providing such valuable infomation. its really praiseworthy

 

[Sheba Mathew]

Hi, This is reallly useful information. Cud u please send me the full project on [email protected].

I have to submit a similar project covering all HRM activities and need guidance to prepare the same. I am sure this would be quite helpful to me and look forward to your assistance. Kindly advise.

 

[jamescord]

WHAT IS HRM?
MEANING OF HRM
HRM is a management function that helps organisation to recruit, select, train, develop and manage its members. Simply stated, HRM is all about management of people in the organisation from Recruitment to Retirement. HRM refers to set of programs, functions, and activities designed and carried out in order to maximise both employee as well as organisational effectiveness.
Definition 1
“HRM is planning, organizing, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational and social objectives are accomplished.”
Definition 2
“HRM is concerned with the people dimensions in management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to higher levels of performance and ensuring that they continue to maintain their commitment to the organization are essential to achieving organizational objectives. This is true, regardless of the type of the organization – government, business, education, health, recreational, or social action.”

OBJECTIVES OF HRM
1. Organizational Objectives: To assist the organization to achieve its primary objectives, whether it is profit making or charity or social agenda.

2. Societal Objectives: To be responsive to the needs and challenges of the society while minimizing the negative impact, if any, of such demands upon the organization.

3. Functional Objectives: To maintain department’s contribution and level of services at a level appropriate to the organization’s needs.

4. Personal Objectives: To assist employees in achieving their personal goals, at least in so far as these goals enhance the individual’s contribution to the organization. This is necessary to maintain employee performance and satisfaction for the purpose of maintaining, retaining and motivating the employees in the organization.
SCOPE OF HRM
From Entry to Exit or Recruitment to Retirement of an employee in the organization

Following are the areas of operation of HRM:
1. Human Resource Planning
2. Job Analysis
3. Job Design
4. Recruitment & Selection
5. Orientation & Placement
6. Training & Development
7. Performance Appraisals
8. Job Evaluation
9. Employee and Executive Remuneration
10. Motivation
11. Communication
12. Welfare
13. Safety & Health
14. Industrial Relations

Based on the above activities, we can summarize the scope of HRM into following seven different categories:
1. Introduction to HRM
2. Employee Hiring
3. Employee and Executive Remuneration
4. Employee Motivation
5. Employee Maintenance
6. Industrial Relations
7. Prospects of HRM
Functions of Human Resources Management: There are two broad functions of H R M. They are
1. Managerial Functions 2. Operational Functions
Managerial Functions: Managerial functions of Personnel management include planning, organizing, directing, coordinating and controlling.
Planning: It is the charting out of programmers and changes in advance in the achievement of organizational goals. Hence, it involves planning of human resources requirements, recruitment, selection, training etc. It also involves forecasting of personnel needs, changing values, attitudes and behavior of their employees and their impact on the organization.
Organizing: In the words of J.C. Massie, an organization is a "structure and process by which co-operative groups of human beings allocated its tasks among its members, identifies relationships and integrates its activities towards a common objective." Given the complex relationships that exist between specialized departments and the general departments, many top managers seek the advice of personnel manager. In this manner, the organization establishes relationships among the employees so that they can together contribute to the achievement of organizational goals.
Directing: After planning and organizing comes the execution of the plan. The willing and effective co-operation of employees towards the achievement of organization’s goal has to be brought about by proper direction. Identifying and utilizing maximum potentials of people is possible through motivation and command. Direction, therefore, is an important managerial function in ensuring optimum employee contribution.
Coordinating: It is the task of matrixing various employees’ efforts to ensure successful goal achievement. The Personnel manager co-ordinates various managers at different levels as far as the personnel functions are concerned.
Controlling: After planning, organizing, directing and co-coordinating, the various activities, the performance is to be verified in order to know, at various points of time, whether the activities are performed as per plans and directions. It involves checking, verifying and comparing actual with the plans, identification of deviations if any and correcting the deviations. Auditing training programmers’, analyzing labor turnover, overseeing morale surveys, conducting exit interviews are some of the controlling functions of personnel management.
Operative Functions: The operative functions of H R M relate to employment, development, compensation and relations. All these are interacted by managerial functions. Also, they are to be performed in conjunction with management functions.


Human Resources Planning
Recruitment
EMPLOYMENT Selection
Induction
Placement

Performance Appraisal
Training
HUMAN RESOURCE Management Development
DEVELOPMENT Career Planning & Development
Organization Change &
Organization Development

Job Evaluation
COMPENSATION Wage & Salary Administration
MANAGEMENT Fringe Benefits


Motivation
Morale
HUMAN RELATIONS Job Satisfaction
Communication
Grievance & Disciplinary Procedures
Quality of Work Life & Quality Circles

ROLE OF HRM
1. Advisory Role: HRM advises management on the solutions to any problems affecting people, personnel policies and procedures.
(a) Personnel Policies: Organization Structure, Social Responsibility, Employment Terms & Conditions, Compensation, Career & Promotion, Training & Development and Industrial Relations.
(b) Personnel Procedures: Relating to manpower planning procedures, recruitment and selection procedures, and employment procedures, training procedures, management development procedures, performance appraisal procedures, compensation procedures, industrial relations procedures and health and safety procedures.

2. Functional Role: The personnel function formulates personnel policies in accordance with the company’s doctrine and management guidelines. It provides guidance to managers to help them ensure that agreed policies are implemented.

3. Service Role: Personnel function provides personnel services. These services constitute the main activities carried out by personnel department, like payroll, disciplinary actions, etc, and involve the implementation of the policies and procedures described above.

ROLE OF HR MANAGERS
1. Humanitarian Role: Reminding moral and ethical obligations to employees.
2. Counsellor: Consultations to employees about marital, health, mental, physical and career problems.
3. Mediator: Playing the role of a peacemaker during disputes, conflicts between individuals and groups or management.
4. Spokesman: To represent the company in Media and other forums because he has better overall picture of his company’s operations.
5. Problem Solver: Solving problems of overall human resource management and long-term organizational planning.
6. Change Agent: Introducing and implementing institutional changes and installing organizational development programs
7. Management of Manpower Resources: Broadly concerned with leadership both in the group and individual relationships and labour-management relations.

OBJECTIVES V/s FUNCTIONS OF HRM
HRM Objectives-

Social Objectives: Legal Compliance
Benefits Union Management Relations

Organizational Objectives: Human Resource Planning
Employee Relations
Recruitment & Selection
Training & Development
Performance Appraisals
Placement & Orientation
Employee Assessment

Functional Objectives: Performance Appraisals
Placement & Orientation
Employee Assessment

Personal Objectives: Training & Development
Performance Appraisals
Placement & Orientation
Compensation
Employee Assessment

Hello friend,

please check attachment for Human Resource Management Functions in Developing Countries, so please download and check it.