Introduction to HRM Management

Learning Objectives Understand what is HRM/PM Scope, Feature’s, Objectives, Function’s of HRM What is Personnel Management Image & Qualities of a Personnel Manager HRD Department & HRD Policy Future of HRM

What should you expect from us.. Concept clearing with Examples. Case Studies Role Plays & Skit. HR Games. Q&A Session. Interview’s. “a complete interactive session”

What we expect from you.. Complete attention. Maximum participation. Share your information. Your point of view should be raised. Clear Doubts.

Reference: Matter, Case, Examples HRM (Kale Ahmed). HRM (Ashwathapa). HRM ( Barry Cushway). HRM ( P.Jyothi & D.N. Venkatesh) HRM 10e - Mathis and Jackson Video Interview Source University of California, BERKLEY --- Students Resources

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 of HRM/PM (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 of HRM/PM (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.”

Evolution of HRM Industrialization From 1833 Factory Laws and Inspectors 1890’s companies - Cadbury and Rowntree ‘Industrial Welfare’ (For H+ S Issues) • Continued throughout WWI & WWII – personnel departments and ‘welfare workers’ in munitions factories to train and educate to improve productivity • Under post war labour government growth of Companies, Trade Unions and collective negotiation

1970’s Personnel Management/ IR • A number of laws passed affecting the treatment of employees e.g. Equal Pay Act (1970); Sex Discrimination Act (1975) • Strike action • Key objectives were employee welfare, protection and influence • Use of social science research

Evolution of HR – 1990’s Emergence of academic and practitioner HR-orientated journals Surge of University course specializing in HRM Professional body received Royal Charter Status. Better educated workforces and technology

HR- A new philosophy Originated from US in 1980’s Looking for long term approach to people management Employees seen as companies most important resource to competitive advantage Mgt and employees have common goal to contribute to overall organizational success Numerous ‘examples of excellence’

HRM and its Evolution in INDIA It started in early 1980’s Mr. Udai Pareek & Mr. T.V Rao started the HRM movement in India.(Public Sector) E.g.:- BHEL, SBI. Initial only IR, latter modified to PM/IR Then all the PSU followed the HRM movement Parallel to this all the Private sector also joined this movement.

What does Human Resource Management cover? Co-ordination and responsibility for… Recruitment Team working Participation & Involvement Promotion Culture change Retention Development Support Equal Opportunities training Discipline Employee Disputes Competent and willing workforce Organizational Goals

But is HRM any different to Personnel Management?? Well, in theory, yes…. PM precedes HRM. HRM is broad term and includes PM. American society for Personnel Administration was later named as SHRM.

HRM It is the latest development in the evolution of Management of men. All round development of Employees. Integrated initiative. Decision making is fast. Performance based remuneration Individualist Direct negotiation from organization to employee All functions integrated into unified strategy Strategic Role Resource Maximization PERSONNEL It precedes HRM. Contractual Employment. Piecemeal initiative. Decision making is slow. Fixed Remuneration Collectivist Collective negotiation People mgt activities viewed as separate functions Administrative Role Cost Minimization

Features of HRM Managing People. People oriented process. Develops employees potentialities. Integral part. Continuous activity. Secures Co-operation. Future Oriented. Challenging function/activity.

Objectives of HRM 1. 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. 2. Organizational Objectives: To assist the organization to achieve its primary objectives, whether it is profit making or charity or social agenda.

Objectives of HRM 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.

HR Management Activities/Functions

Functions of HRM (match the following) (RIGHT) HRM Objectives Supporting HRM Functions Social Objectives (3) (a)            Legal Compliance (b)            Benefits (c)            Union Management Relations Organizational Objectives (7) (a)            Human Resource Planning (b)            Employee Relations (c)            Recruitment & Selection (d)            Training & Development (e)            Performance Appraisals (f)              Placement & Orientation (g)            Employee Assessment Functional Objectives (3) (a)            Performance Appraisals (b)            Placement & Orientation (c)            Employee Assessment Personal Objectives (5) (a)            Training & Development (b)            Performance Appraisals (c)            Placement & Orientation (d)            Compensation (e)            Employee Assessment c 1 2 d 3 b 4 a

Who Is an HR Manager? In the course carrying out their duties, every operating manager is, in essence, an HR manager. HR specialists design processes and systems that operating managers help implement.

Qualities of HR/Personnel manager Fairness & Firmness Tact & resourcefulness Sympathy & Consideration Knowledge of labour and other terms Broad social outlook Others Academic qualification

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.

Managerial Functions of HR Manager 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

Managerial Functions of HR Manager 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 HR Manager 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, lay offs, death, medical sickness etc.

Challenges of a HR Manager Challenges relating to Recruitment, Selection and Development of Manpower Challenges related to industrial relations. Challenges related to welfare facilities Challenges related to Manpower management. Challenges relating information collection, storage and ready availability when required.

Challenges of a HR Manager Challenges relating to research on personnel management. Challenges related to expansion, Modernization, and automation. Challenges related to collective bargaining. Challenges related to execution of personnel policies. Challenges related to trade union activities.

HUMAN RESOURCE DEVELOPMENT Meaning: Human Resource Development is a process to help people to acquire competencies and to increase their knowledge, skills and capabilities for better performance and higher productivity. Definition 1: “HRD is a process of enhancing the physical, mental and emotional capacities of individuals for productive work”   Definition 2: “HRD means to bring about the possibility of performance improvement and individual growth”

Features of HRD HRD is a System. HRD is a planned process. HRD is an inter-disciplinary process. HRD basically involves development of competencies.

Role & Responsibility of HRD Strengthens executive skills. Career planning. Effective use of Manpower. Practices two way communication. It is action oriented. Facilitates HRP(Human Resource Planning). It teaches employees to accept change. Create a a atmosphere of Mutual trust. Maintains transparency in administration. It encourages employees to show innovation.