Human Resource Management Table of Contents Table of Contents............................................................................................................. 1 Human Resource Management........................................................................................2 Traditional vs Modern Human Resource Management.....................................................2 Definitional Comparison................................................................................................3 Comparison in terms of Scope, Approach, Nature and Application...............................3 Conclusion.................................................................................................................... 5 References.......................................................................................................................6 Page 1 Human Resource Management “The management of people in an organization from a macro perspective” It is defined as the management of people in the form of a collective relationship between management and employees. This approach focuses on the objectives and outcomes of the Human Resource Management function. What this means is that the HR function in contemporary organizations is concerned with the notions of people enabling, people development and a focus on making the “employment relationship” fulfilling for both the management and employees. Traditional vs Modern Human Resource Management The major difference between “Traditional Human Resource Management” and “Modern Human Resource Management” is that; the Traditional Approach is the Personnel Management whereas the Modern Approach is the Human Resource Management toward managing people in an enterprise. Definitional Comparison Traditional HRM It is a predominantly administrative record-keeping function that aims to establish and maintain equitable terms and conditions of employment. Modern HRM It integrates the traditional personnel management functions to corporate goals and strategies, and performs additional people centered organizational developmental activities. Comparison in terms of Scope, Approach, Nature and Application Traditional Human Resource Management Modern Human Resource Management 1. Narrow Scope Scope 1. Broader Scope 2. It include functional activities 2. It includes all these activities plus such as; Organizational Developmental Manpower planning, activities such as; Recruitment, Leadership, Job analysis, Motivation, Job Evaluation, Developing Payroll Organizational Culture, Administration, Communication of Performance Shared Values. Etc. Appraisals, Labor Law 3. These approaches remains Compliance, integrated to the company’s core Training strategy, vision, and seek to Administration. Etc. optimize the use of human resource for the fulfillment of organizational goals. 4. The strategic and philosophical context of human resource management makes it more purposeful, relevant, and more effective compared to the personnel management (traditional approach). Approach 1. It gives importance to; Norms Customs Established practices 2. It concerns itself 1. It gives importance; Values Mission with 2. It remains impatient with rules and establishing: regulations, and tends to relax them Rules based on business needs and Policies exigencies. Procedures Contracts 3. It aims to go by the spirit of the It strives to monitor and contract rather than the letter of the enforce compliance to such contract. regulations, with careful delineation of written contract. 4. HRM philosophy holds; Improved Performance as 3. Traditional Management holds; the driver of Employee Employee Satisfaction Satisfaction as the key to Devise strategies such keeping Employees as; Motivated - Work Challenges Institute - Team Work Compensation - Creativity to Improve Bonuses Motivation Rewards Work Simplification Initiatives as Possible Motivators 1. It remains aloof from organizational activities functions. Nature Applicatio n core and 2. It takes an immediate approach to bring changes in corporate goals or strategies. 1. It remains integrated with corporate strategy and takes a proactive approach to align the workforce toward achievement of corporate goals. 2. It has a more comprehensive and proactive performance management system that aims to correct performance rather than make a report card of past performance. 1. It is an independent staff function of an organization, with little involvement from line managers, and no linkage to the organizations core process. 1. It carries out much of the human resource management tasks; it involves the line management and operations staff heavily. 2. It endeavors to reconcile the goals and views of the workforce with management interest by institutional means. 2. It gives greater thrust on dealing with each employee independently and gives more importance to customer-focused developmental activities and facilitating individual employees rather than bargaining or negotiating with trade unions. Conclusion Finally, in our discussion, we find that Traditional Human Resource Management lays down rigid job description with many grades and a fixed promotion policy usually based on seniority and performance appraisal ratings. Whereas Modern Human Resource Management has relatively fewer grades and ranks, with broadly defined job responsibilities providing much scope for applying creativity and initiative, and plenty of career paths, with skills, talent and commitment the key drivers of career advancement. References Tripathi, P. C. (2002). Human Resources Development, Sultan Chand & Sons, New Delhi http://www.brighthub.com/office/project-management/articles/75775.aspx Gomez, Meija (1998). Human Resource Planning, Pearson Education Canada. http://www.brighthub.com/office/project-management/articles/75466.aspx Armstrong, Michael (2006). A Handbook of Human Resource Management Practice (10th ed.). London: Kogan Page. ISBN 0-7494-4631-5. Legge, Karen (2004). Human Resource Management: Rhetorics and Realities (Anniversary ed.). Basingstoke: Palgrave Macmillan. ISBN 1-403-93600-5. Tripathi. P. C. (2002). Human Resources Development, Sultan Chand & Sons. http://voices.yahoo.com/human-resource-management-3604331.html?cat=72