Unit- I
Human Resource
Management
Unit- I Topics to be covered ….

Introduction of HRM, Nature, scope, objectives, importance,
Evolution of the concept of HRM, Basic HRM Functions,
Changing Role of HR functions, HRM practices in INDIA.
Difference between Personnel Management and HRM, Role of
an HR Manager, Challenges of HR Manager, Essential skills for
an HR Manager

HRM in a dynamic environment: Present day scenario,
Evolution of HR into Strategic HRM
Introduction to HRM

Human Resource Management (HRM) is an operation in companies
designed to maximize employee performance in order to meet the
employer's strategic goals and objectives. More precisely, HRM
focuses on management of people within companies, emphasizing
on policies and systems.

In short, HRM is the process of recruiting, selecting employees,
providing proper orientation and induction, imparting proper
training and developing skills.
Introduction to HRM
According to Leon C. Megginson from the national
point of view Human Resources as, “the knowledge,
skills, creative abilities, talents and aptitudes
obtained in the population; whereas from the view
point of the individual enterprise, they represent the
total of inherent abilities, acquired knowledge and
skills as exemplified in the talents and aptitudes of
its employees.”
HRM and 3P’s
People
Processes
Performance
Nature of HRM
Pervasive force
Action oriented
Individually
oriented
People oriented
Future oriented
Development
oriented
Integrating
mechanism
Comprehensive
function
Auxiliary
services
Interdisciplinary
function
Continuous
function
Scope of HRM
Personnel
aspect
Welfare aspect
Industrial
relation aspect
Objectives of HRM
To help
organization
reach its
goals
To employ
the skills and
abilities of
the
workforce
efficiently
To provide
the
organization
with well
trained and
well
motivated
employees
To increase
to the fullest
the
employees
job
satisfaction
and self
actualization
To maintain
a quality of
work life
To
communicat
e HR policies
to all
employees
To be
ethically and
socially
responsive
to the needs
of society
Importance of HRM
Attract and retain employees
Train people for challenging roles
Develop skills and competencies
Promote team spirit
Good HR practices
help
Develop loyalty and commitment
Increase productivity and profit
Improve job satisfaction
Enhanced standard of living
Generate employment opportunities
Evolution of HRM
1.
Industrial revolution era
2.
Trade union movement era
3.
Social responsibility era
4.
Scientific management era
5.
Human relations era
6.
Behavioural science era
7.
Systems and contingency approach era
8.
Human resource management era
https://www.youtube.com/watch?v=nGM9MLoWLIQ
Functions of HRM
Changing role of HR
High
Value →Impact/C ontribution to the Bus ines s
Strategic HR
Human
Resource
Management
Personnel
Management
• Business partner
• Administrative
• Administrative
Labor
Manager
focus
• Compliance
• Traditional Mind-
added activities
focus with
• Proactive
enlarged scope of
• Multidisciplinary
activitie s
• Suppo rt function
• Less reactive &
set
Welfare
Officer
• Focus on value -
• Limited scope of
more p roactive
activity
1890 - 1913
2nd IndustrialR evolution
1914- 1939
1945 - 1979
World Wars
1980- 1990
G lobalization
2000 till now
Role of HR Professionals
Administrative Roles
Operational Roles
Strategic Role
• Policy maker
• Recruiter
• Change agent
• Administrative
• Trainer, motivator
• Strategic partner
expert
• Coordinator
• Advisor
• Mediator
• Housekeeper
• Employee
• Counsellor
• Welfare officer
• Legal consultant
champion
The Changing Role of HR
HR needs to realign its service delivery model to add more
strategic value to the organization
Strategic
15%
Strategic
60%
Transactional/
Operational
85%
Transactional/
Operational
40%
% of available resources
Need to expand focus beyond its traditional & transactional role.
Dave Ulrich – Role of HR
Dave Ulrich identifies four distinct roles
of HR professional that may add value
to a business and create sustainable
competitive advantage.
Four Roles for HR
• Administrative E xpert
• Employee Champion
• Change Agent
• Strategic Partner
The Roles of HR
Future /Strategic Focus
Strategic Partner
P
R
O
C
E
S
S
E
S
Aligning HR & Business Strategy
Active Role in setting strategic direction
Change Agent
Managing Transformation&
Change
Effecting Transformation & Change
Administrative Expert
Employee C hampion
Managing The
Firm’s HR Infras tructure
Managing Employees ’
Contribution
Process Optimization & Efficiency
Motivated & Competent Personnel
Day-To-D ay/O pe rational Focus
P
E
O
P
L
E
HRM practices in INDIA
Providing security to employees
Selective hiring: Hiring the right people
Self-managed and effective teams
Fair and performance-based compensation
Training in relevant skills
Creating a flat and egalitarian organization
Making information easily accessible to those who need it
Difference between Personnel
Management and HRM
Challenges of HR Manager
1. Recruitment and Selection
2. Emotional and Physical Stability of Employees
3. Balance Between Management and Employees
4. Training, Development and Compensation
5. Performance Appraisal
6. Dealing with Trade Union.
Challenges of Human resource management
1. Change Management
6. Staffing: Recruitment and
2. Leadership Development
7. Succession planning
3. HR Effectiveness Measurement
8. Learning and development
4. Organizational effectiveness
9. Staffing: Retention
5. Compensation
10. Benefits costs: Health &
6. Aavailability of skilled local labor
welfare
Essential skills for an HR Manager
• Communication Skill
• Training and developmental
Essential skills for an HR
Manager
Skills
• Budgeting skills
• Decision-making skills
• Organizational skills
• Confidentiality skills
HRM in a dynamic environment: Present
External Factor
day scenario
• Technological factor
• Economic challenge
• Political and social factor
• Employees demand
• Workforce diversity
Internal factor
• Mission
• Policies
• Organizational culture
• Organization structure
• HR system
Thank you !!!
Any Question?