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Nature and Scope

of HRM

Prof.Sujeesha Rao
 Introduction
 Meaning & Definition of HRM
 Scope of HRM
 Differences between PM & HRM
 The Nature of employment relationship
 HRM-Functions & Objectives
 Evolution of HRM in India
 Why Study HRM?

Prof.Sujeesha Rao
Introduction
 Challenges faced by organizations
 Global competitiveness – implications on HR
 Work force diversity
 Ethical issues
 Advances in technology and communication
 Sensitive approach to environment
 Shift in employees need for meaningful work

Prof.Sujeesha Rao
What is HRM?
•HRM is concerned with the people’s dimension
in the organization
•Facilitating the competencies and retention of
skilled force
• Developing management systems that
promote commitment
• Developing practices that foster team work
• Making employees feel valued and rewarded.

Prof.Sujeesha Rao
Definition
•HRM refers to acquisition, retention, motivation and
maintenance of Human Resources in an organization.

•HRM is the planning, organising, directing & controlling


of the procurement, development, compensation
integration, maintenance and separation of human
resources to the end that individual, organizational and
social objectives are accomplished.

Prof.Sujeesha Rao
Scope of HRM
Prospects
of HRM
Nature of
HRM  Very Vast
 Covers all major
activities in the
Industrial working life of a
Relations Employee
Hiring worker
HRM
-from time an
individual enters
Employee Employee
into an
Maintenance &
Executive
organization until
Remuner
ation
he or she leaves
Employee
Motivation comes under the
purview of HRM
Differences between PM &
HRM Dimension Personnel Management Human Resources Management

1. Employment Contract Careful delineation of written Aim to go beyond contract


contracts
2. Rules Importance of guiding clear rules Can do outlook, impatience with
rule
3. Behaviour referent Norms/customs/practices Values/mission

4. Managerial task Monitoring Nurturing

5. Management Role Transactional Transformational leadership

6. Communication Indirect Direct

7. Conflict handling Reach temporary truce Manage climate & culture

8. T&D Controlled access to courses Learning organization

9. Focus of attention for Personnel procedures Wide ranging cultural, structural


interventions & personnel strategies
10. Shared interests Interests of the org. are Mutuality of interests
uppermost
Prof.Sujeesha Rao
The Nature of the Employment
Relationship

Prof.Sujeesha Rao
Functions
Functions of HRM include:
• Facilitating the retention of skilled and competent
employees
• Building the competencies by facilitating continuous
learning and development
• Developing practices that foster team work and
flexibility
• Making the employees feel that they are valued and
rewarded for their contribution
• Developing management practices that endanger high
commitment
• Facilitating management of work force diversity and
availability of equal opportunities to all.
Prof.Sujeesha Rao
Functions of HR

MANAGERIAL OPERATIVE
FUNCTIONS FUNCTIONS
Planning Staffing
Development
Organising
Compensation
Directing
Motivation
Controlling Maintenance
Integration
Emerging Issues
Prof.Sujeesha Rao
Operative functions of HR

STAFFING Job analysis, HRP, Recruitment,


Selection, Placement, Induction,
Internal Mobility

Competency profiling, Training and


DEVELOPMENT development, Performance &
potential management, Career
management, 360 degree feedback

Job design, Work scheduling, Job


COMPENSATION evaluation, Compensation
& MOTIVATION administration, Incentives and
benefits
Prof.Sujeesha Rao
Operative functions of HR (contd.)

Health, Safety, Welfare,


MAINTENANCE Social security

Employment relations, Grievance,


INTEGRATION Discipline, Trade unions,
Participation, Collective
bargaining

EMERGING HRIS, HR audit, HR scorecard,


International HRM, Workforce
ISSUES
Diversity
Prof.Sujeesha Rao
Objectives of HRM
 Societal objectives
To be ethically & socially responsible to the needs of
the society while minimizing the negative impact of
such demands upon the organization
 Organizational objectives
To recognize the role of HRM in bringing about
organizational effectiveness
 Functional objectives
To maintain the department’s contribution at a level
appropriate to the organization’s needs
 Personal objectives
To assist employees in achieving their personal
goals in a manner that their personal goals enhance
the individual’s contribution to the organization
Prof.Sujeesha Rao
HRM and 3 P’s
• People – core strength of an organization
Any resource can be replaced but not HR
• Processes – evolve over a period of time
IT enabled environment facilitates engineering
effortlessly
• Performance – the pillars of performance are
people and IT
Organizational performance in terms of value
creation and return on investment

Prof.Sujeesha Rao
Evolution of HRM in India
 Welfare (1920s-1930s)

 Administration (1930s-
1940s)

 Employee relations (1940-


1960s)

 Functional expertise (1970s-


1980s)

 Business partner / player


(1990s)
Prof.Sujeesha Rao
Why Study HRM?
 Taking a look at people is a rewarding
experience
 People possess skills, abilities and aptitudes
that offer competitive advantage to any firm
 No computer can substitute human brain, no
machines can run without human intervention
& no organization can exist if it cannot serve
people’s needs.
 HRM is a study about the people in the
organization-how they are hired, trained,
compensated, motivated & maintained.
Prof.Sujeesha Rao
THANK YOU

Prof.Sujeesha Rao