- HUMAN RESOURCE MANAGEMENT
- NATURE AND SCOPE OF HRM
- FUNCTIONS OF HRM
- DR SHASHI AGGARWAL
1.
NATURE AND SCOPE OF HRM
•
MEANING
1.
HUMAN RESOURCE MANAGEMENT MAY BE DEFINED AS SET OF POLICIES,PRACTISES AND
PROGRAMMES DESIGNED TO MAXIMIZE BOTH PERSONAL AND ORGANIZATIONAL GOALS.
2.
HUMAN RESOURCE MANAGEMENT IS THAT ASPECT OF MANAGEMENT WHICH DEALS WITH PLANNING
ORGANIZATION,DIRECTING AN CONTROLLING THE PERSONNEL FUNCTION OF AN ENTERPRISE
3.
THE PURPOSE OF THESE FUNCTION IS TO ASSIST IN ACHIEVEMENT OF BOTH
ORGANIZATIONAL AND INDIVIDUAL AND SOCIETAL GOALS
4.
HUMAN RESOURCE MANAGEMENT IS THAT PART OF MANAGEMENT PROCESS WHICH DEVELOPS
AND MANAGING THE HUMAN ELEMENTS OF THE ENTERPRISE CONSIDERING THEIR
RESOURCEFULNESS IN TERMS OF TOTAL KNOWLEDGE,SKILLS,CREATIVE ABILITIES, TALENTS
,APTITUDE AND POTENTIALITIES FOR EFFECTIVELY CONTRIBUTING TO THE ORGANIZATIONAL
OBJECTIVES
• DEFINITION
•
DESSLER,” HUMAN RESOURCE MANAGEMENT IS THE PROCESS OF
ACQUIRING,TRAINING,APPRAISING ,AND COMPENSATING EMPLOYEES AND ATTENDING TO
THEIR LABOUR RELATIONS,HEALTH,SAFETY AND FAIRNESS CONCERNS.
•
HRM IS REALLY EMPLOYEE MANAGEMENT WITH EMPHASIS ON THOSE EMPLOYEES AS ASSETS
OF THE BUSINESS
•
EMPLOYEES ARE SOMETIMES REFERRED TO
AS HUMAN CAPITAL
•
NATURE OF HUMAN RESOURCE MANAGEMENT
- INHERENT PART OF MGMT :INTEGRAL PART OF THE JOB OF THE MANAGER. EVERY
MANAGER IS CONCERNED WITH THE PERFORMANCE OF PERSONNEL FUNCTION AND EVERY
MANAGER POSSESS HUMAN RELATIONS SKILLS TO GET MAXIMUM COOPERATION OF THE
WORKERS
- PERVASIVE FUNCTION : PERFORMED BY ALL MANAGERS AT VARIOUS LEVELS IN THE
ORGANIZATION. EVERY MANAGERS FROM MANAGING DIRECTOR TO THE FOREMAN IS
REQUIRED TO PERFORM THE PERSONNEL FUNCTION ON CONTINUOUS BASIS
- BASIC TO ALL FUNCTIONAL AREAS :EVERY MANAGER FROM TOP TO BOTTOM WORKING
IN ANY DEPARTMENT HAS TO PERFORM THE PERSONNEL FUNCTION
- PEOPLE CENTERED :PEOPLE CENTERED AND IS RELEVANT IN ALL TYPES OF
ORGANIZATIONS. CONCERNED WITH ALL CATEGORIES OF PERSONNEL FROM TOP TO
BOTTOM. IT DEALS WITH BLUE COLLAR WORKERS, WHITE COLLAR WORKERS,
MANAGERIAL AND NON MANAGERIAL AND PROFESSIONAL
- PERSONNEL ACTIVITIES OR FUNCTIONS :PERSONNEL MANAGEMENT INVOLVES
SEVERAL FUNCTIONS CONCERNED WITH THE MANAGEMENT OF PEOPLE AT WORK. A
SEPARATE DEPARTMENT PERSONNEL DEPARTMENT IS CREATED
- CONTINUOUS PROCESS : IT MUST BE PERFORMED CONTINUOUSLY IF THE ORGANIZATIONAL
OBJECTIVES ARE TO BE ACHIEVED SMOOTHLY
- BASED ON HUMAN RELATIONS : IS CONCERNED WITH MOTIVATION OF HUMAN
RESOURCES. MANAGEMENT OF HUMAN BEING IS MOST COMPLEX. EVERY PERSON HAS
DIFFERENT NEEDS, PERCEPTIONS AND EXPECTATIONS.
- MULTI-DISCIPLINARY APPROACH : EFFECTIVE MANAGEMENT OF HUMAN RESOURCES
INVOLVES APPLICATION OF KNOWLEDGE DRAWN FROM SEVERAL DISCIPLINES LIKE
SOCIOLOGY,ANTHROPOLOGY.PSYCHOLOGY,ECONOMICS ETC
- SERVICE FUNCTION :CONTRIBUTES TO THE SUCCESS AND GROWTH OF THE
ORGANIZATION BY ADVISING THE OPERATING DEPARTMENTS AND TOP MANAGEMENT ON
PERSONNEL MATTERS.
•
SCOPE
1.
MANPOWER PLANNING : AIMS AT ASCERTAINING THE MANPOWER NEEDS OF
THE ORGANIZATION BOTH IN RIGHT NUMBER AND OF THE RIGHT KIND. IT FURTHER AIMS AT
THE CONTINUOUS SUPPLY OF THE RIGHT KIND OF PERSONNEL TO FILL VARIOUS POSITIONS
IN THE ORGANIZATION
2.
RECRUITMENT ,SELECTION AND PLACEMENT: RECRUITMENT IS THE PROCESS OF IDENTIFICATION OF
DIFFERENT SOURCE OF PERSONNEL. SELECTION INVOLVE A SERIES OF STEPS BY WHICH
CANDIDATES ARE SCREENED FOR CHOOSING THE MOST SUITABLE PERSONS FOR VACANT POST
3.
TRAINING AND DEVELOPMENT : TRAINING IS AN ORGANIZED ACTIVITY FOR
INCREASING KNOWLEDGE AND SKILL OF PEOPLE FOR A DEFINITE PURPOSE. THE AIM OF THE
TRAINING IS TO BRING ABOUT IMPROVEMENT IN THE PERFORMANCE OF THE WORKERS, AN
ORGANIZATION WORKS FOR THE DEVELOPMENT OF THE EMPLOYEES IN ORDER TO ENHANCE THEIR EFFICIENCY IN THEIR WORK
4.
APPRAISAL OF PERFORMANCE: PERFORM ACE APPRAISAL IS A FORMAL PROGRAMME IN AN ORGANIZATION WHICH IS
CONCERNED WITH NOT ONLY THE CONTRIBUTION OF
MEMBERS WHO FORM PART OF THE ORGANIZATION BUT AIMS AT SPOTTING THE
INDIVIDUAL. PERFORMANCE APPRAISAL CAN BE DONE THROUGH TRADITIONAL AND MODERN
METHODS
5.
MOTIVATION OF WORKFORCE: MOTIVATION IS AN IMPORTANT FUNCTION WHICH
EVERY MANAGERS PERFORMS FOR ACTUATING THE PEOPLE TO WORK FOR THE ACCOMPLISHMENT
OF THE OBJECTIVES. IN ORDER TO MOTIVATE THE WORKERS TO WORK FOR THE ORGANIZATIONAL
GOALS, THE MANAGERS MUST DETERMINE THE MOTIVES OR NEEDS OF THE WORKERS AND
PROVIDE AN ENVIRONMENT IN WHICH APPROPRIATE INCENTIVES ARE AVAILABLE.
6.
REMUNERATION OF EMPLOYEES : COMPENSATION OF EMPLOYEE FOR THEIR SERVICES IS AN IMPORTANT
RESPONSIBILITY OF HUMAN RESOURCE MANAGEMENT. WORKERS MUST BE REMUNERATED
ADEQUATELY FOR THEIR SERVICES, COMPENSATION REFERS TO WIDE RANGE OF FINANCIAL
AND NON FINANCIAL REWARDS TO EMPLOYEES FOR THEIR SERVICES RENDERED TO THE
ORGANIZATION.
7.
SOCIAL SECURITY AND WELFARE OF EMPLOYEES :
8.
REVIEW AND AUDIT OF PERSONNEL POLICIES,PROCEDURES AND PRACTISES OF THE
ORGANIZATION
•
SCOPE
§ INDIAN INSTITUTE OF PERSONNEL MANAGEMENT : HAS
LAID DOWN THE SCOPE OF PERSONNEL MANAGEMENT
1.
WELFARE CONCEPT : CONCERNED WITH WORKING CONDITIONS AND AMENITIES SUCH AS
CANTEENS,CRECHE,HOUSING AND PERSONAL PROBLEMS OF WORKERS,SCHOOLS AND RECREATION
2.
LABOUR OR PERSONNEL ASPECT CONCERNED WITH
RECRUITMENT,PLACEMENT,REMUNERATION,PROMOTION,INCENTIVES,PRODUCTIVITY ETC
3.
INDUSTRIAL RELATION : CONCERNED WITH TRADE UNION NEGOTIATION,SETTLEMENT OF
INDUSTRIAL DISPUTES,JOINT CONSULTATION AND COLLECTIVE BARGAINING ETC
v
FUNCTIONS OF HUMAN RESOURCE MANAGEMENT
•
HUMAN RESOURCE/PERSONNEL DEPARTMENT IS ESTABLISHED UNDER THE CHARGE OF HUMAN
RESOURCE/PERSONNEL MANAGER. HE IS LINE AUTHORITY TO GET ORDERS EXECUTED WITH
HIS OWN DEPARTMENT BUT HE IS STAFF OFFICER IN RELATION TO OTHER DEPARTMENTS.
•
FUNCTIONS OF HUMAN RESOURCE MANAGER:-
1.
MANAGERIAL
2.
OPERATIVE
3.
ADVISORY
• MANAGERIAL FUNCTIONS
1.
PLANNING: TO GET THINGS DONE THROUGH SUBORDINATES, A MANAGER MUST PLAN A
HEAD.PLANNING IS NECESSARY TO DETERMINE THE GOALS OF THE ORGANIZATION AND LAYS
DOWN POLICIES AND PROCEDURES TO REACH THE GOALS.PLANNING MEANS DETERMINATION OF
PERSONNEL PROGRAMS LIKE FORECASTING MAN POWER REQUIREMENTS,JOB DESCRIPTIONS AND
DETERMINATIONS OF THE SOURCE OF RECRUITMENT'S.
2.
ORGANIZING:-:- GROUPING OF PERSONEEL ACTIVITIES,ASSIGNMENT OF DIFFERENT
FUNCTIONS TO DIFFERENT INDIVIDUALS ,DELEGATION OF AUTHORITY AND COORDINATION OF
AUTHORITIES
3.
DIRECTING:-TO GUIDE AND MOTIVATE THROUGH CAREER PLANNING,SALARY
ADMINISTRATION,ENSURING EMPLOYEE MORALE ETC
4.
CONTROLLING:-IS CONCERNED WITH THE REGULATIONS OF ACTIVITIES IN ACCORDANCE
WITH PLANS. HELPS THE PERSONNEL MANAGER TO EVALUATE AND CONTROL THE PERFORMANCE
OF THE PERSONNEL DEPARTMENT IN TERMS OF VARIOUS OPERATIVE FUNCTIONS.
• OPERATIVES FUNCTIONS
•
SPECIFICALLY GIVEN TO PERSONNEL DEPARTMENT.
1.
EMPLOYMENT:- EMPLOYMENT OF PROPER KIND AND NUMBER OF PERSONS NECESSARY TO
ACHIEVE THE OBJECTIVES OF THE ORGANIZATION. IT COVERS
RECRUITMENT,SELECTION,PLACEMENT
2.
DEVELOPMENT:-FOLLOW UP OF THE EMPLOYMENT FUNCTION. IT IS THE DUTY OF
MANAGEMENT TO TRAIN EACH EMPLOYEE PROPERLY TO DEVELOP TECHNICAL SKILL FOR THE
JOBS FOR WHICH HAS BEEN EMPLOYED AND ALSO TO DEVELOP HIM FOR THE HIGHER JOBS
3.
COMPENSATION:-CONCERNED WITH DETERMINATION OF ADEQUATE AND EQUITABLE
REMUNERATION OF THE EMPLOYEES IN THE ORGANIZATION FOR THE CONTRIBUTIONS TO
ORGANIZATIONAL GOALS.
4.
MAINTENANCE:-PROVISION OF GOOD WORKING CONDITIONS . BECAUSE WORKING
CONDITIONS CERTAINLY INFLUENCE THE MOTIVATION AND MORALE OF THE EMPLOYEES.
THESE MEASURES ARE HEALTH,SAFETY AND COMFORT OF WORKFORCE.
5.
MOTIVATION: FINANCIAL AND NON FINANCIAL INCENTIVES TO MOTIVATES THE EMPLOYEES
6.
PERSONNEL RECORD:-MAINTAIN THE RECORD OF EMPLOYEES WORKING IN THE ENTERPRISE
7.
INDUSTRIAL RELATIONS:MAINTAINING INDUSTRIAL PEACE,GRIEVANCE SYSTEM AND ALSO
PROVIDE HELP IN COLLECTIVE BARGAINING,JOINT CONSULTATION AND SETTLEMENT OF
INDUSTRIAL DISPUTES.
8.
SEPARATION :THE ORGANIZATION IS RESPONSIBLE FOR MEETING CERTAIN REQUIRMENTS
OF DUE PROCESS IN SEPARATION AS WELL AS THAT RETURNED PERSON IS IN GOOD SHAPE
AS POSSIBLE. THE PERSONNEL MANAGER HAS TO ENSURE T RELEASE OF RETIREMENT
BENEFITS TO THE RETIRING PERSONNEL IN TIME
•
OPERATIVE FUNCTIONS
1.
EMERGING ISSUES
2.
PERSONNEL RECORDS
3.
HR AUDIT
4.
HR RESEARCH
5.
HR ACCOUNTING
6.
HR INFORMATION SYSTEM
7.
INTERNATIONAL HRM
Ø
ADVISORY FUNCTIONS
1.
OFFER HIS ADVICE TO :-
2.
TOP MANAGEMENT:-FORMULATION AND EVALUATION OF PERSONNEL PROGRAMMES,POLICIES
AND PROCEDURES
3.
DEPARTMENTAL HEAD:-OFFERS ADVICE TO THE HEADS OF VARIOUS DEPARTMENTS ON
MATTERS SUCH AS MANPOWER PLANNING,JOB ANALYSIS AND DESIGN,RECRUITMENT AND
SELECTION,PLACEMENT,TRAINING,PERFORMANCE APPRAISALS.
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