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Introduction to HUMAN RESOURCE MANAGEMENT

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Presentation on theme: "Introduction to HUMAN RESOURCE MANAGEMENT"— Presentation transcript:

1 Introduction to HUMAN RESOURCE MANAGEMENT

2 According to Adi Godrej, “all corporate strengths are dependent on people.”
HRM is the function performed in organizations that facilitates the most effective use of people to achieve organizational and individual goals.”

3 What is Management The creation of a technical & human environment that supports optimum utilization of resources and competencies for achieving organizational goals.

4 Human Resource Management
The process of planning, organizing, directing (motivating), and controlling the procurement, development, compensation, integration, maintenance, and separation of organizational human resources to the end that organizational, individual, and societal needs are satisfied

5 What is Human Resource Management
The people’s dimension of management The management function which aims at ensuring the availability of a competent & committed workforce i.e. the right people at the right place & time. It helps recruit, select, train & develop members for an organization.

6 Human Resource Management
Human Resource Management includes all activities used to attract & retain employees and to ensure they perform at a high level in meeting organizational goals. These activities are made up of 1. Recruitment & selection. 2. Training and development. 3. Performance appraisal and feedback. 4. Pay and benefits. 5. Labor relations.

7 HR Planning HR Planning includes all activities managers do to forecast current and future HR needs. Must be done prior to recruitment and selection Demand forecasts made by managers estimate the number & qualifications the firm will need. Supply forecasts estimate the availability and qualifications of current workers and those in the labor market

8 Process Competence building HR Planning Managing corporate Culture
Recruitment & Selection Leadership & Teambuilding Compensation / remuneration / Wages & Salary admn. Performance Management

9 The Functions HR Planning Job Anaysis & Design Recruitment & Selection
Induction & Placement Training & Development Performance Appraisal Job Evalutation Remuneration Communication Negotiation with Trade Unions Industrial Relations Motivation Welfare Safety Health Employee Procurement Employee Development, motivation & maintenance

10 Functions of HR MANAGERIAL FUNCTIONS Planning Organizing Directing
Controlling OPERATIVE FUNCTIONS Staffing Development Compensation Motivation Maintenance Integration

11 Operative functions of HR
Job analysis, HRP, Recruitment, Selection, Placement, Internal Mobility STAFFING Competency profiling, Training and development, Performance & potential management, Career management, 360 degree feedback DEVELOPMENT Job design, Work scheduling, Job evaluation, Compensation administration, and benefits COMPENSATION & MOTIVATION

12 Operative functions of HR (contd.)
Health, Safety, Welfare, Social security MAINTENANCE Employment relations, Grievance, Discipline, Trade unions, Participation, Collective bargaining INTEGRATION

13 HRM Components Component should be consistent with the others, organization structure, and strategy. Recruitment: develop a pool of qualified applicants. Selection: determine relative qualifications & potential for a job. Training & Development: ongoing process to develop worker’s abilities and skills. Performance appraisal & feedback: provides information about how to train, motivate, and reward workers. Managers can evaluate and then give feedback to enhance worker performance

14 HRM Components Pay and Benefits: high performing employees should be rewarded with raises, bonuses. Increased pay provides additional incentive. Benefits, such as health insurance, reward membership in firm. Labor relations: managers need an effective relationship with labor unions that represent workers. Unions help establish pay, and working conditions.

15 Recruitment External recruiting: managers look outside the firm for people who have not worked at the firm before. Managers advertise in newspapers, hold open houses, recruit at universities, and on the Internet. External recruitment is difficult since many new jobs have specific skill needs. A multi-prong approach to external recruiting works best. Internal Recruiting: positions filled within the firm. Internal recruiting has several benefits: Workers know the firm’s culture, may not have new ideas. Managers likely already know the candidates. Internal advancement can motivate employees.

16 The 4 aspects of HRM Personnel aspect – Recruitment, Selection, Transfer, Promotion etc. Development aspect – Training, Career Planning, quality of work life , employee participation schemes. Welfare aspect – Housing, Lunch room, Health and Safety, Transport, education etc. Industrial relations aspect – Union Management relations, Negotiation, Grievance handling etc.

17 HRM Environment - External
Technology Economic Political & legal Union Social & cultural Professionalism

18 HRM Environment - Internal
Policies Organisational Conflict Mission

19 Emerging role or HRM Value of Human Resource Competitive advantage
Human Resource Accounting – It is measurement of the cost and value of people for an organization

20 Challenges of HRM Individuals differ from one another
Customization of stimulation and motivation Demanding personnel

21 Challenges to HR Professionals
Worker productivity Quality improvement The changing attitudes of workforce The impact of the government Quality of work-life Technology and Training

22 Importance of human resources management
1. There are different functional areas of management like production management, marketing management, financial management, material management; all these are to be performed by human resources. Hence all managers have to manage the human resources of their respective departments to get effective result through and with the people.

23 Importance of human resources management
2.) Proper human resources management enables an organisation to maintain a balance between jobs available and job seekers according to qualifications and needs and to provide suitable and most productive employment. (3) It helps employees to know their strengths and weaknesses and thus enables them to improve their performance and that of the organisation.

24 Importance of human resources management
4). It helps in generating valid data about employees for personnel functions like training, development, placement, promotion etc. 5). Sound human resources management enables an organisation to create right attitude among the employees through effective motivation

25 Scope of HRM Human Resources Management (HRM) is a management function that helps managers’ recruit, select, train and develops members for an organisation. Obviously, HRM is concerned with the people’s dimension in organisations

26 Scope of HRM Specifically, the following constitute the core of HRM:
1. Organisations are not mere bricks, mortar, machineries or inventories. They are people. It is the people who staff and manage organisations. 2. HRM involves the application of management functions and principles. The functions and principles are applied to acquisitioning, developing, maintaining, and remunerating employees in organisations.

27 Scope of HRM 3. Decisions relating to employees must be integrated. Decisions on different aspects of employees must be consistent with other human resource (HR) decisions. 4. Decisions made must influence the effectiveness of an organisation. Effectiveness of an organisation must result in betterment of services to customers in the form of high-quality products supplied at reasonable costs.


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