1. HUMAN RESOURCE MANAGEMENT
UNIT I
Periods:12

2. PERCEPTIVE IN HUMAN RESOURCE MANAGEMENT
- Evolution of human resource management
– The importance of the human factor
– Objectives of human resource management
– Role of human resource manager
– Human resource policies
– Computer applications in human resource management
– Human resource accounting and audit.

3. Human Resource Management
4Ms
Human (living) and non-human (non-living)
Human that make use of non-human resources. So people are most important.
Right people for right job
HR appreciates other resources depreciate

4. Meaning and Definitions Human Resources
1. Michael J.Jucius has defined human resources as “a whole consisting of inter-related, inter-dependent and interacting physiological, psychological, sociological and ethical components”

5. 2. From the national point of view, human resources are knowledge, skills, creative abilities, talents and attitudes obtained in the population; whereas from the view- point of the individual enterprises, they represent the total of the inherent abilities, acquired knowledge and skills as exemplified in the talents and aptitude of its employees. -Leon.C.Megginson

6. 3. Human resources are human capital and are categorised into intellectual capital, social capital and emotional capital.
Intellectual capital consists of specialised knowledge, tacit knowledge and skills, cognitive complexity and learning capacity.
Social capital is made up of network of relationships, sociability and trustworthiness.
Emotional capital consists of self-confidence, ambition and courage, risk-bearing ability and resilience.
- Sumantra Ghosal

7. Human Resource Management
1. “Personnel management is the planning, organising, directing and controlling of the procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organisational and social objectives are accomplished”.
-Flippo

8. 2. HRM is defined as the part of management which is concerned with people at work and with their relationship within an enterprise. Its aim is to bring together and develop into an effective organisation of the men and women who make up an enterprise and having regard for the well-being of the individuals and of working groups, to enable them to make their best contribution to its success. -National Institute of Personnel Management (NIPM)

9. 3. HRM is concerned with the people dimension in management
3. HRM is concerned with the people dimension in management. Since every organisation 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 organisation are essential to achieving organisational objectives. This is true, regardless of the type of organisation – government, business, education, health, recreation or social action.
- Decenzo and Robbins

10. DIFFERENCE BETWEEN PERSONNEL MANAGEMENT AND HUMAN RESOURCE MANAGEMENT
3 main differences,
HRM emphasizes not just on rule and contract but beyond them
HRM focuses on strategy
It focuses on individualization of employee relations

11. DIMENSION PM HRM Employment contract written Beyond it Rules Devising
Do outlook
Guide to mgt action
Procedures
Business need
Behaviour referent
norms
Values/mission
Mgrl. task
monitoring
nurturing
Key relations
Labour mgt
customers
initiatives
piecemeal
Integrated
Speed of decision
slow
Fast
Mgt role
transactional
Transformational
Skill acquisition
T&D
Learning orgn.
communication
indirect
Direct
Reward mgt.
Std job evaluation
Performance related
Prized mgt skills
negotiation
Facilitation

12. OBJECTIVES OF HRM
The primary objective - to ensure the availability of right people for right jobs
Sub objectives are,
To provide competent and motivated employees to achieve goal
To utilise human resources effectively
To increase employee’s job satisfaction and self actualisation
To develop and maintain QWL
To maintain ethical policies and behaviour
To maintain cordial relations between employees and management
To reconcile individual/group goals with organisational goals

13. HRM Objectives Supporting functions 1. Social objectives
Legal compliance
Benefits
Union-mgt relations
2. Orgnl. Objectives
HR Planning
Employee relations
Selection
T&D
Appraisal
Placement
Assessment
3. Function objectives
5,6,7 of above
4. Personal objectives
4,5,6,7 and compensation

14. Performance appraisal
SCOPE OF HRM
ACQUISITION
HR planning
Recruitment
Selection
Placement
CONTROL
HR audit,
HR accounting
HRIS
HRM
MAINTENANCE
Remuneration
Motivation
Health & safety
Social security
Industrial relations
Performance appraisal
DEVELOPMENT
Training
Career development
Internal mobility

15. NIPM specified the scope of HRM as,
The labour or personnel aspect (man power planning, recruitment, selection, placement, transfer, promotion, T&D, lay-off and retrenchment, remuneration, incentives, productivity)
Welfare aspect (working conditions, amenities – canteen, creches, rest and luch rooms, housing, transport, medical assistance, education, health and safety, recreation facilities)
Industrial relations aspect (union management relations, joint consultaion, collective bargaining, grievance and disciplenary action, settlement of disputs)

16. FUNCTIONS OF HRM
1. MANAGERIAL FUNCTIONS
2. OPERATIVE FUNCTIONS

17. Planning
1. MANAGERIAL
FUNCTIONS
Organising
Directing
Controlling

18. Job analysis, HR planning, recruitment, selection, placement,
induction, transfer, promotion,
separation
PA, Trg., Exe Devt.,
career planning and devt.
Procurement
OPERATIVE
FUNCTIONS
Job evaluation, wage and salary
Admn., bonus and incentives,
payroll
Development
Motivation, JS,greivance
redressal, collective bargaining,
Conflict Mgt., emp participation,
discipline
Compensation
Integration
Maintenance
Health, safety, social security,
Welfare schemes, personnel
records, research and audit

19. EVOLUTION OF HRM Mgt. of people in the orgns.–v.old
Industrial revolutions in 1850s in Europe and USA
Arthashastra – 320 BC.
Beginning of 20th century. With labour welfare in factories since1920s

20. ERAs Trade union movement era Social responsibility era
Scientific management era
Human relations era
Behavioural science era
Systems approach era
Contingency approach era

21. Period
Devt. status
Outlook
Emphasis
Status s
Beginning
Pragmatism of capitalists
Statuory, welfare, paternalism
Clerical
40s-60s
Struggling for recognition
Technical, legalistic
Introduction of techniques
Administrative
70s-80s
Impressing with sophistication
Professional, legalistic, impersonal
Regulatory conformance, standards on functions
Managerial
1990s
Promising
philosophical
Human values, productivity thru people
executive

22. ENVIRONMENT OF HRM Affects HR activities
Two types: internal and external environments
INTERNAL ENVIRONEMENT
Unions
Organisational culture and conflict
Professional bodies

23. EXTERNAL ENVIRONMENT
Economic
Political : legislature, executive, judiciary
Technological
Demographic

24. Strategic HRM
A strategic look at HR functions in line with the business functions of an organisation.
1. analyse the opportunities and threats in the external environement
2. formulate strategies using SWOT
3. Implement
4. evaluate and control activities to ensure the achievement of objectives.

25. HUMAN RESOURCE POLICIES
Policy is a plan of action
It is a statement of intention committing the management to a general course of action
Expresses the philosophy and principles
Different from principle or objective
Objective : it is the intention of the company to provide a safe plan and a healthy working condition

26. But policy statement is very specific.
Eg: to institute every practical method for engineering safety into our process and equipment, to provide protective clothing where necessary, to train employees in safe operating procedures.
But not to spell out procedure. The procedure is a method for carrying out a policy.

27. Policy of hiring people
Policy on terms and conditions of employment
Policy on medical, housing, transport, uniform, allowances, training and development , IR

28. Formulating policies 5 sources Past practice Practices in rival coys
Attitudes and philosophy of founders and top mgt.
Attitudes and philosophy of MM,LM.
Knowledge and experience gained

29. Stable, but not rigid.
Reflect the goals and values of the organisation. Not isolated one.

30. Principles
Policy is a guideline and principle is the truth based on research. Principles guide to formulate policies, programmes, procedures and practices.

31. HR principles are,
Principle of individual devt.
Principle of scientific selection
Principle of free flow of commn.
Principle of participation
5. Principle of fair remuneration
6. Principle of incentive
7. Principle of dignity of labour
8. Principle of labour mgt cooperation
9. Principle of team spirit
10. Principle of contribution to national prosperity

32. HR COMPETENCY MODEL BUSINESS MASTERY Business acumen
Customer orientation
Knowledge
External relations
PERSONAL CREDIBILITY
Competence
Credentials
Trust
Ethical conduct
courage
HR MASTERY
Staffing PA
Reward sys
Commn.
Orgn. design
CHANGE MASTERY
IP skills
Problem solving
Reward sys
innovation

33. Skills of a HR manager technical, cognitive and interpersonal skills
commn, empathy, tolerance, pleasant, confident, love
Know HR policies, practice
Multi-knowledgeable ,
Play strategic role

34. HRM MODELS Provide analytical framework Legitimise HRM practices
Provide characterisation of HRM
Serve as heuristic device

35. 4 HRM MODELS
Fombrun model
Harvard model
Guest model
Warwick model

36. 1. Fombrun model Not considered environmental factors HRD Appraisal OE
Selection
Reward

37. Harvard model