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Human resource are the most valuable and unique asset of an organization. A business organization
cannot achive its goals unless it has quality and efficient people to work. The scarcity of talented
resource and the growing expectation of the modern day worker have further increased the
complexity of the human resource function. Even though specific human resource function/activities
are the responsibility of the human resource department, the actual management of human
resource is the responsibility of all the manages in an organization.
Meaning of HRM
Human Resource Management (HRM) can be defined as the set of programs, functions, and
activities designed and performed in order to maximize both employee as well as organizational
effectiveness. It is a management function that helps organization in recruiting, selecting, training,
developing and managing its members. HRM is concern with the management of people in the
organization from Recruitment to Retirement.
DEFINITION OF HRM
1. According to Flippo, human resource management is the
planning , organizing , directing
and controlling of the procurement, development, compensation, integration, maintenance, and
separation of human resource to the end that individual, organizational and social objectives are
accomplished.
2. The National Institute of Personnel Management (NIPM) of India has defined human
resource/personnel management as that 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
organization 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.
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According to decenzo and Robbins, HRM is concerned with the people dimension in
management. Since every organization is made up of people, acquiring their services,
developing their skills, motivating them to higher level 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 organization-government,
business, education, health, recreation, or social action.
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. Human Resource
Management can also be performed by line managers.
FEATURES OF HUMAN RESOURCES MANAGEMENT
In short, HRM is an art of managing people at work in such a manner that they give their best to the
organization for achieving its set goals. HRM is a process of making the efficient and effective use of
human resources so that the set goals are achieved.
It is a part of management process -: Management of human resource is an integral part of the managerial process.
Management at all levels and in all the department plans, develops and controls a skilled workforce to perform the
managerial task. It is the responsibility of HRM to place right person at right department.
It is an art and a science: The art and science of HRM is indeed very complex. HRM is both the art of managing people
by recourse to creative and innovative approaches; it is a science as well because personnel manager apply scientific
methods of goal settings, selecting the personnel & training and development.
It is a continuous process: HRM is not a one-time process. It is a continuous process. It has to continuously change and
adjust according to the changes in the environment, changes in the expectations of the staff, etc. HRM has to give
continuous training and development to the staff due to changes in technology.
HRM is a service function: HRM is not a profit centre. It serves all other functional departments. But the basic
responsibility always lies with the line managers. HRM is a staff function a facilitator. The HR Manager has line authority
only within his own department, but has staff authority as far as other departments are concerned.
5. It is a Universal Function -: HRM has universal application. The applicability of HRM is common to all the organization
irrespective of nature & Size. Examples -: such as schools, colleges, hospital, religious organizations, etc.HRM brings
people to work together to achieve group objectives.
6. Interdisciplinary and fast changing: HRM deals with welfare, manpower, personnel management, and keeps close
association with employee and industrial relations. It is multi- disciplinary activity utilizing knowledge and inputs from
psychology, sociology, economics, etc. It is changing itself in accordance with the changing environment. It has travelled
from exploitation of workers to treating them as equal partners in the task.
7. Focus on results: HRM is performance oriented. It has its focus on results, rather than on rules. It encourages people to
give their 100%. It tries to secure the best from people by winning the whole hearted cooperation. It is a process of
bringing people and organization together so that the goals of each are met. It is commitment oriented.
8. People-centred: HRM is about people at work both as individuals and a group. It tries to help employees to develop their
potential fully. It comprises people-related functions like hiring, training and development, performance appraisal, working
environment, etc. HRM has the responsibility of building human capital. People are vital for achieving organizational
goals. Organizational performance depends on the quality of people and employees.
9. Human relations philosophy: HRM is a philosophy and the basic assumption is that employees are human beings and
not a factor of production like land, labour or capital. HRM recognizes individuality and individual differences. Every
manager to be successful must possess social skills to manage people with differing needs.
10. An integrated concept: HRM in its scope includes Personnel aspect, Welfare aspect and Industrial relations aspect in
itself. It is also integrated as it concern with not only acquisition, but also development, utilization, and maintenance.
a) Acquisition of human resources: This function includes Human Resource Planning, Recruitment,
Selection, Placement and Induction of staff.
b) Development of human resources: This function includes Training and Development and Career
development. The knowledge, skills, attitudes and social behavious of the staff are developed.
c) Motivation of human resources: This function includes giving recognition and rewards to the staff. it
also includes Performance Appraisal and handling the problems of staff.
d) Maintenance of human resources: This function includes providing the best working conditions for
employees. It also looks after the health and safety of the staff.