4. What is Human Resource
Management?
Human Resource Management is the process of
recruiting, selecting, inducting employees, providing
orientation, imparting training and development,
appraising the performance of employees, deciding
compensation and providing benefits, motivating
employees, maintaining proper relations with employees
and their trade unions, ensuring employees safety,
welfare and healthy measures in compliance with labour
laws of the land and finally following the Orders /
Judgements of the concern High Court and Supreme
Court, if any.
6. What is Human Resource Management?
Human Resource Management deals with the management functions like
planning, organizing, directing and controlling
• It deals with procurement of human resource , training & development and
maintenance of human resource.
• It helps to achieve individual, organizational and social objectives
Human Resource Management is a multidisciplinary subject.
•It includes the study of management, psychology, communication,
economics and sociology.
•It also deals with building team spirit and team work.
•It is a continuous process.
8. Historical Milestones In HRM Development
George Elton Mayo
Mayo is known as the founder of the
Human Relations Movement, and is
known for his research including the
Hawthorne Studies (The "Hawthorne
effect" refers to improvements in worker
productivity or quality that results from
the mere fact that workers are being
studied or observed
Father of Human Resource Management
9. Historical Milestones In HRM Development
Frederick Taylor, known as
the father of scientific
management, played a
significant role in the
development of the
personnel function in the
early 1900s
10. Historical Milestones In HRM Development
• 1890-1910 Frederick Taylor develops his ideas on scientific management. Taylor advocates scientific selection of workers
based on qualifications and also argues for incentive-based compensation systems to motivate employees.
• 1910-1930 Many companies establish departments devoted to maintaining the welfare of workers. The discipline of
industrial psychology begins to develop. Industrial psychology, along with the advent of World War I, leads to
advancements in employment testing and selection.
• 1930-1945 The interpretation of the Hawthorne Studies' begins to have an impact on management thought and practice.
Greater emphasis is placed on the social and informal aspects of the workplace affecting worker productivity. Increasing
the job satisfaction of workers is cited as a means to increase their productivity.
• 1945-1965 In the U.S., a tremendous surge in union membership between 1935 and 1950 leads to a greater emphasis on
collective bargaining and labor relations within personnel management. Compensation and benefits administration also
increase in importance as unions negotiate paid vacations, paid holidays, and insurance coverage.
• 1965-1985 The Civil Rights movement in the U.S. reaches its apex with passage of the Civil Rights Act of 1964. The
personnel function is dramatically affected by Title VII of the Civil Rights Act , which prohibits discrimination on the basis
of race, color, sex, religion, and national origin. In the years following the passage of the CRA, equal employment
opportunity and affirmative action become key human resource management responsibilities.
• 1985-present Three trends dramatically impact HRM. The first is the increasing diversity of the labor force, in terms of age,
gender, race, and ethnicity. HRM concerns evolve from EEO and affirmative action to "managing diversity." A second trend
is the globalization of business and the accompanying technological revolution. These factors have led to dramatic
changes in transportation, communication, and labor markets. The third trend, which is related to the first two, is the
focus on HRM as a "strategic" function. HRM concerns and concepts must be integrated into the overall strategic planning
of the firm in order to cope with rapid change, intense competition, and pressure for increased efficiency.
11. What is the importance of Human resource?
Behind production of every product or service there is an human mind, effort and
man hours (working hours). No product or service can be produced without help of
human being. Human being is fundamental resource for making or construction of
anything. Every organization desire is to have skilled and competent people to make
their organization competent and best.
Among the five Ms of Management, i.e., men, money, machines, materials, and
methods, HRM deals about the first M, which is men. It is believed that in the five Ms,
"men" is not so easy to manage. "every man is different from other" and they are
totally different from the other Ms in the sense that men possess the power to
manipulate the other Ms. Whereas, the other Ms are either lifeless or abstract and as
such, do not have the power to think and decide what is good for them.
12. Difference between Personnel Management
and Human Resource Management
• Personnel management is the seed and root for Human resources management. To say in simple words
Human resource management is evolved from the Personnel management.
• Main principle of the Personnel Management was to extract work from an employee for the
remuneration paid to them. Employees during the Personnel management era were not given high
priority in decision making process and weren't much allowed to interact with management.
• Personnel management was more confined to the factories and the main focus of the Personal manager
was to see that everything was in compliance with the labour laws or not but not much emphasis made
on the morale of employees.
• Employees were just treated as tools, obligation to the organisation but not as the asset of the
organisation, besides they were seen as cost & expenditure to company rather than capital and
investment.
• Personnel officers mostly used be disciplinary oriented instead of flexible and interactive with
employees. Nurturing of employees was not priority by the personnel managers and employees
perspective was ignored which means personnel managers rather than understanding situation they
used to be punitive if any error was committed by employee.
14. Difference between HRD and HRM
• Both are very important concepts of management specifically related with human resources of
organisation. Human resource management and human resource development can be
differentiated on the following grounds:
• The human resource management is mainly maintenance oriented whereas human resource
development is development oriented.
• Organisation structure in case of human resources management is independent whereas human
resource development creates a structure, which is inter-dependent and inter-related.
• Human resource management mainly aims to improve the efficiency of the employees whereas
aims at the development of the employees as well as organisation as a whole.
• Responsibility of human resource development is given to the personnel/human resource
management department and specifically to personnel manager whereas responsibility of HRD is
given to all managers at various levels of the organisation.
• HRM motivates the employees by giving them monetary incentives or rewards whereas human
resource development stresses on motivating people by satisfying higher-order needs.