Human Resource Management:

Human Resource Management (HRM) is the function within an organization that focuses on recruitment of, management of, and providing direction for the people who work in the organization. HRM can also be performed by line managers. HRM is the organizational function that deals with issues related to people such as compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation,

communication, administration, and training. HRM is also a strategic and comprehensive approach to managing people and the workplace culture and environment. Effective HRM enables employees to contribute effectively and productively to the overall company direction and the accomplishment of the organization's goals and objectives. HRM is moving away from traditional personnel, administration, and transactional roles, which are increasingly outsourced. HRM is now expected to add value to the strategic utilization of employees and that employee programs impact the business in measurable ways. The new role of HRM involves strategic direction and HRM metrics and measurements to demonstrate value.

The Importance of Human Resources Management:

Organizational Psychology holds that successful organizations do not owe their success solely to market realities and sustainable competitive advantages. Actually, there is a lot more. Successful companies are those that consider their human capital as their most important asset. Facts and figures are the quantitative elements of successful management, yet the

qualitative, i.e. the cognitive aspects, are those that actually make or break an organization. Human Resources Management (HRM) is the strategic management of the employees, who individually and collectively contribute to the achievement of the strategic objectives of the organization. Assuming that the employees of an organization are individuals with own mental maps and perceptions, own goals and own personalities and as such they cannot be perceived as a whole, HRM holds that the organization should be able to employ both individual and group psychology in order to commit employees to the achievement of organizational goals. Aiming to enable the organization to achieve its strategic goals by attracting, retaining and developing employees, HRM functions as the link between the organization and the employees. A company should first become aware of the needs of its employees, and at a later stage, understand and evaluate these needs in order to make its employees perceive their job as a part of their personal life, and not as a routine obligation. To that end, HRM is very crucial for the whole function of an organization because it assists the organization to create loyal employees, who are ready to offer their best. The HRM activities in modern organizations are typically performed in communication with the General Management in an effort to provide a variety of views when a decision must be taken. In that way, decision making is not subject to the individual perceptions of the HR or the General Manager, but it becomes the outcome of strategic consensus. The main goals / responsibilities of HRM are: To retain low employee turnover rate by inspiring people to work for the company To attract new employees

 To contribute to employee development To achieve these goals, Human Resources Management trains and motivates the employees by communicating ethical policies and socially responsible behavior to them. In doing so, it plays a significant role in clarifying the organization's problems and providing solutions, while making employees working more efficiently. On the other hand, challenges do not cease for the HRM. Modern organizations can survive in the dynamic, competitive environment of today only if they capitalize on the full potential of each employee. Unfortunately, many companies have not understood the importance of the human capital in successful operations. The recruitment and selection of the best employees is a very difficult obligation. Even companies that are voted in the top-ten places to work at, often endure long periods of hard work to realize that human element is all an organization should care about. New challenges arise even now for the organization, and it is certain that new challenges will never cease to emerge. Therefore, the use of proper Human Resources techniques is a really powerful way for organizations to overcome these challenges, and to improve not only their quantitative goals but also their organizational culture, and their qualitative, cognitive aspects.

Importance of HRM for Organizational Success:

The practice of HRM must be viewed through the prism of overall strategic goals for the organization instead of a standalone tint that takes a unit based or a micro approach. The idea here is to adopt a holistic perspective towards HRM that ensures that there are no piecemeal strategies and the HRM policy enmeshes itself fully with those of the organizational goals. For instance, if the training needs of the employees are simply met with perfunctory

trainings on omnibus topics, the firm stands to lose not only from the time that the employees spend in training but also a loss of direction. Hence, the organization that takes its HRM policies seriously will ensure that training is based on focused and topical methods. In conclusion, the practice of HRM needs to be integrated with the overall strategy to ensure effective use of people and provide better returns to the organizations in terms of ROI (Return on Investment) for every rupee or dollar spent on them. Unless the HRM practice is designed in this way, the firms stand to lose from not utilizing people fully. And this does not bode well for the success of the organization. The efficient designing of these processes apart from other things depends upon the degree of correspondence of each of these. This means that each

The Process of Human Resource Management:

Each organization works towards the realization of one vision. The same is achieved by formulation of certain strategies and execution of the same, which is done by the HR department. At the base of this strategy formulation lie various processes and the effectiveness of the former lies in the meticulous design of these processes. But what exactly are and entails these processes? Lets read further and explore. The following are the various HR processes: 1. Human resource planning (Recruitment, Selecting, Hiring, Training, Induction, Orientation, Evaluation, Promotion and Layoff). 2. Employee remuneration and Benefits Administration 3. Performance Management. 4. Employee Relations.

process is subservient to other. You start from Human resource Planning and there is a continual value addition at each step. To exemplify, the PMS (performance Management System) of an organization like Info sys would different from an organization like Wall mart. Lets study each process separately. Employee Remuneration and Benefits Administration: The process involves deciding upon salaries and wages, Incentives, Fringe Benefits and Perquisites etc. Money is the prime motivator in any job and therefore the importance of this process. Performing employees seek raises, better salaries and bonuses. Performance Management: It is meant to help the organization train, motivate and reward workers. It is also meant to ensure that the organizational goals are met with efficiency. The process not only includes the employees but can also be for a department, product, service or customer process; all towards enhancing or adding value to them. Nowadays there is an automated performance management system (PMS) that carries all the information to help managers evaluate the performance of the employees and assess them accordingly on their training and development needs. Employee Relations: Employee retention is a nuisance with organizations especially in industries that are hugely competitive in nature. Though there are myriad factors that motivate an individual to stick to or leave an organization, but certainly few are under our control. Employee relations include Labor Law and Relations, Working

Environment, Employee heath and safety, Employee- Employee conflict management, Employee- Employee Conflict Management, Quality of Work Life, Workers Compensation, Employee Wellness and assistance programs,

Counseling for occupational stress. All these are critical to employee retention apart from the money which is only a hygiene factor.

Human Resource Planning:

Human Resource planning can be defined as a process by which an organization ensures that it has the right number and kinds of people, at the right place, at the right time, capable of effectively and efficiently completing those tasks that will help the organization achieve its overall objectives or in other words HRP can be defined as planning for the future personnel needs of an organization, taking into account both internal activities and factors in the external environment. Need and Importance of HRP Human resource Planning translates the organization objectives and plans into the number of workers needed to meet these objectives. The need and importance of HRP is as follows: HRP helps in determining the future manpower requirements and avoids problems like over staffing or understaffing in the organization. HRP helps in tackling with the factors like competition, technology, government policies etc. that generates changes in the job content, skill requirements and number and types of personnel required. Now a days there is a demand of exceptional intellectual skills while the existing staff becomes redundant, the HR manager has to attract and retain qualified and skilled personnel and also required to deal with issues like career development, succession planning for which he takes the help of HRP. A proper and realistic human resource plan is needed to ensure equal employment and promotional appointments to the candidates fro weaker sections, physically handicapped and socially and politically oppressed citizens. HRP provides valuable and timely information

for various designing and execution of personnel functions like recruitment, selection, transfers, promotions, layoffs, training and development and performance appraisal. It helps the organization to anticipate imbalance in human resources, which in turn will facilitate reduction in personal costs. HRP facilitates planning for future needs which will help in better planning of assignments to develop managers and to ensure the organization has a steady supply of experienced and skilled employees. Factors affecting Human Resource Planning HRP is a dynamic and on going process. The process of updating is not very simple, since HRP is influenced by many factors, which are as follows: The type of organization determines the production process and number and type of staff needed. The human resource needs of an organization depend on the strategic plan adopted by it. For e.g. the growth of a business calls for hiring of additional labor, while mergers will need a plan for layoffs. Organization operates under different political, social environment and has to carefully formulate the HR policies and so the HR manager has to evolve suitable mechanism to deal with uncertainties through career developments, succession planning, retirement schemes etc. HRP also depends on the time periods and accordingly the short and long-term plans are adopted. And this time span is based on the degree of environmental uncertainties. The type and quality of information used in making forecasting is an important factor influencing HRP. Accurate and timely human resource information system helps in getting better quality personnel. HRP is required to ensure that suitable candidates should be appointed at the right kind of job. So these are some of the factors that affect the human resource planning. Limitations of Human Resource Planning

It is very difficult to ascertain future manpower requirements of an organization, as future is always uncertain. It is more relevant to the countries that face the problem of scarcity of human resources. It is a time consuming and costlier process. It is beneficial in the organizations that adopt a professional approach and at the same time are conscious about the changing environment. HRP is beneficial where adequate skilled manpower is available. . HRP is also made difficult in the organizations that have a very high labor turnover.

Recruitment:
Recruitment is the process of finding possible candidates for a job or a function. Recruitment is an essential step in staffing. Virtually every company has to perform this function. The primary objectives of

recruitment is to find and attract the best qualified applicants to fill vacancies. However, before that can be done, those involved in the recruiting process must clearly understand the position to be filled. The methods and procedure used to acquire an understanding about jobs are called job analysis. Advertising is commonly part of the recruiting process and can occur through several means; through newspapers, through professional publications, using advertisements placed in windows, through a job center, through campus interviews, etc.

Selection:
A series of steps that starts with screening and ends with a hiring decisions. The process used to identify and hire individuals or groups of individuals to fill vacancies within an organization. Often based on an initial job analysis, the ultimate goal of personnel selection is to ensure an adequate return on

the investment to make sure the productivity of the new hire warrants the cost spent on recruiting and training that hire. Interviews occur throughout the selection process, but each includes three basis steps: 1. Interviewers must acquaint themselves with the job analysis. 2. They must analyze the information on the application. 3. They need to ask questions that will add to information on the application. Both Recruitment and Selection deal with all those activities associated with attracting candidates, work assessment and the design of selection criteria through to the actual selection activity. It is the attempt to provide a more strategic, systematic and objective approach to ensure more effective selection against subsequent job performance indices. An important theme is fairness in selection particularly in relation to equality of opportunity. Recruitment is a positive process where more and more candidates are encouraged to apply. Selection is a negative process where unsuitable candidates are rejected. Recruitment is concerned with tapping the sources of human resources where as selection is concerned with selecting the most suitable candidate through various interviews and tests. Recruitment does not result in contract of service where as selection results in a contract of service between the employer and the selected employee. Stages in Recruitment and Selection Stage1, Determination of job roles: The organization must determine the job roles for a particular job. This shall include the type of work, the number of processes, the protocols that have to be followed and whether there are

any targets associated with the job. This is called job analysis or job description. Stage2, Determination of required attributes: In order to determine the required attributes, a number of plans are followed. One of them is Rodgers 7 point plan, competency profiles are utilized. Stage3, Finding and attracting applicant: Labor market analysis must take place in order to attract new applicants for the job. A number of recruitment sources like advertising with newspapers, advertising with recruitment agencies and consultancies, job centers, campus interviews, etc should be taken up. Stage4, Choosing the right people: Even a large recruitment process is futile when the right persons capable of executing the job in the right manner are not selected. Selection of candidates must take place under a good framework using appropriate selection techniques.

Training and development:

In the field of human resource management, training and development is the field which is concerned with organizational activity aimed at bettering the performance of individuals and groups in organizational settings. It has been known by several names, including human resource development, and learning and development. Harrison observes that the name was endlessly debated by the Chartered Institute of Personnel and Development during its review of professional standards in 1999/2000. "Employee Development" was seen as too evocative of the master-slave relationship between employer and employee for those who refer to their employees as "partners" or "associates" to be comfortable with. "Human Resource Development" was rejected by

academics, who objected to the idea that people were "resources" an idea that they felt to be demeaning to the individual. Eventually, the CIPD settled upon "Learning and Development", although that was itself not free from problems, "learning" being an over general and ambiguous name. Moreover, the field is still widely known by the other names. Training and development (T&D) encompasses three main activities: training, education, and development. Garavan, Costine, and Heraty, of the Irish Institute of Training and Development, note that these ideas are often considered to be synonymous. However, to practitioners, they encompass three separate, although interrelated, activities:

Training: This activity is both focused upon, and evaluated against, the job that an individual currently holds.

Education: This activity focuses upon the jobs that an individual may potentially hold in the future, and is evaluated against those jobs.

Development: This activity focuses upon the activities that the organization employing the individual, or that the individual is part of, may partake in the future, and is almost impossible to evaluate.

The "stakeholders" in training and development are categorized into several classes. The sponsors of training and development are senior managers. The clients of training and development are business planners. Line managers are responsible for coaching, resources, and performance. The participants are those who actually undergo the processes. The facilitators are Human Resource Management staff. And the providers are specialists in the field. Each of these groups has its own agenda and motivations, which sometimes conflict with the agendas and motivations of the others. The conflicts are the best part of career consequences are those that take place between employees and their bosses. The number one reason people

leave their jobs is conflict with their bosses. And yet, as author, workplace relationship authority, and executive coach, Dr. John Hoover points out, "Tempting as it is, nobody ever enhanced his or her career by making the boss look stupid." Training an employee to get along well with authority and with people who entertain diverse points of view is one of the best guarantees of long-term success. Talent, knowledge, and skill alone won't compensate for a sour relationship with a superior, peer, or customer.

Compensation & Benefits:

Though usually not ranked the most important, compensation is an important factor in job quality. Non-profit organizations have some obvious challenges when it comes to providing competitive salary and benefits to attract and keep the best staff. Organizations can, and should, market their strengths because people are also looking for jobs that make a difference, offer interesting and varied challenges and have positive working relationships. However, we'll never be able to escape the fact that compensation is important - and a deciding factor for people when they consider a job. The HR Council is currently developing new content to add to this section of the HR Toolkit to help non-profit organizations manage their employee pay and benefits.

Compensation and Benefits Role:

The compensation and benefits processes introduce the transparency into Human Resources and rewarding employees for the achieved performance. The compensation and benefits provides the managers with the compensation tools to build a difference among employees as the high performance corporate culture can be built in the organization.

The compensation and benefits department monitors the external job market and optimizes the personnel expenses budget of the organization. The compensation and benefits defines the compensation strategy, sets the transparent and simple compensation policy and defines the general rules for the extraordinary payments, bonus schemes applied in the organization and introduces general other compensation policies like the Relocation Policy, Short-Term Assignment Policies, Benefit Car Policies and other.

Compensation and Benefits Responsibilities:

The compensation and benefits department is usually responsible for the transparency in the compensation practices in the organization and keeping the internal fairness of the total cash. The compensation and benefits has to supervise the development of new compensation components and keeping the general rules for the design of the compensation component. The compensation and benefits department is responsible for the personnel expenses budget of the organization. The compensation and benefits department sets the standards for the individual salary increase, the mass salary review and the rules for the bonus payout as the organization keeps the financial stability and the planned personnel expenses budget is kept. The compensation and benefits department has special processes to monitor the external job market as it can set the right compensation policy, which is compliant with the approved compensation strategy. The compensation and benefits department is responsible for the extensive monitoring of the market and designing the new compensation components inspired by the HR Best Practices in the compensation area. The compensation and benefits department is always closely attached to the development of the new compensation components, which support the

performance and effectivity of the organization. It co-operates with the different business units and it aligns their requests into the general rules for the compensation components, which are transparent and fair. The compensation and benefits designs new adjustments to the compensation strategy and the compensation policy as the organization does not lose its competitive advantage on the job market.

Employee and retirement benefits:

We know that only about half of the people who work in non-profit organizations have access to employee benefit plans such as life or disability insurance, dental plans or supplementary medical plans. Less than half (about 45%) have access to employer pension plans. If we are to recruit and retain the most committed and knowledgeable people in the sector, we will have to find ways and means to improve access to employee benefit plans and retirement plans, especially as the competition for talent becomes more intense. There are few, if any, studies in Canada that have clearly identified the barriers to accessing these plans. The three reports below have been prepared to build a body of knowledge around non-profit organizations and employee benefits and retirement plans.

Salary surveys:
Surveys collecting information about employee compensation, including salary and benefits, are commonly called "salary surveys". Salary surveys, in conjunction with other tools, can provide useful information to attract, support and retain employees within the context of an overall human resources and organizational plan. When designed and used properly, salary

surveys can provide useful benchmarking information for comparing salaries and benefits. Many organizations want to use salary surveys to set the compensation levels for their organizations. Unfortunately, it's not always as easy as reading a survey and using the information. Below you'll find important information about how to assess salary surveys and get the most out of the information they present.

Workplace Safety and Employee Safety:

Most employees have the expectation that their workplace will offer a safe environment in which to do work. Some workplaces are safer than others just as some occupations offer more safety than others. Workplace safety ranks high on the list of goals for most workplaces. Employers care about employee safety. Lean more about how to create workplace safety and employee safety. When Tragedy Strikes: Eleven Tips for Your Workplace Response A national tragedy or a personal tragedy has a huge impact at work. And, workplaces can help people successfully weather the tragedy. They can ease the passage people experience during tragedy. They can help people deal with the helplessness and grief they experience during tragedy. They can provide a support system to help prop people up. Find our more about the workplace response to tragedy. Workplace Violence: It Can Happen Here A very real, clear and present danger lurks just beyond the consciousness of most people who work together eight to ten hours a day, five to seven days a week. It is the potential for violent actions to occur in your workplace. Here's workplace violence examined.

Conclusion:
Human Resource Management focuses on matching the needs of the business with the needs and development of employees. Tarmac depends on its people because their skills contribute to achieving its business objectives. Within Tarmac, every employee has a valuable role to play. The emphasis is on helping individuals to work together. Workforce planning is part of this strategic process, which looks at the long-term needs across the organisation. Personal development plans enable every individual to grow both professionally and personally within the business. They also help Tarmac to create a distinct and important competitive advantage through selecting and developing highly motivated and skilled staff who are able to perform at high levels.

References:
1. Human Resource Management
http://humanresources.about.com/od/glossaryh/f/hr_management.htm

2. The Importance of Human Resources Management

http://voices.yahoo.com/the-importance-human-resources-management-hrm-in2687128.html

3. Importance of HRM for Organizational Success

http://www.managementstudyguide.com/importance-of-hrm.htm

4. The Process of Human Resource Management

http://www.managementstudyguide.com/processes-in-human-resource-management.htm

5. Human Resource Planning

http://wiki.answers.com/Q/What_is_human_resource_planning

6. Recruitment and Selection

http://helpwithassignment.blogspot.com/2011/04/recruitment-selection-strategies-at.html

7. Training and development

Wikipedia, the free encyclopedia

8. Compensation & Benefits

http://hrcouncil.ca/hr-toolkit/planning-compensation.cfm

9. Compensation and Benefits Role and Responsibilities

http://www.simplehrguide.com/compensation-and-benefits.html

11. Workplace Safety and Employee Safety

http://humanresources.about.com/od/safetyworkplacesafety/Safety_Workplace_Safety_a nd_Employee_Safety.htm

12. Conclusion
http://businesscasestudies.co.uk/tarmac/developing-a-human-resourcestrategy/conclusion.html