concept, nature and scope of human management

8/3/2019 Concept, Nature and Scope of Human Management

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Concept, Nature and Scope ofHuman Management

Prof. T.LATHA [email protected]

Prof. T.LATHA CHAKRAVARTHI,[email protected]


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Human Resource Management (HRM) isconcerned with the people inmanagement. HRM is the term

increasingly used to refer to thephilosophy, policies, procedures and

practices relating to the managementof people within organizations.


What is HRM?


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Strategic Human Resource Management

People management that contributes toorganizational effectiveness.


Within Firms

Across Firms

and increasingly


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According to Dale Yoder: the management of human resourcesis viewed as a system in which participants seeks to attainboth individual and group goals.

According to National Institute of Personnel Management of

India, Personnel management (or human resourcemanagement) is that part of management which is concernedwith people at work and with their relationships within theorganization. It seeks to bring men and women who make up

an enterprise, enabling each to make his own best

contribution to its success both as an individual and as amember of a working group.


Definition of HRM


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T

he following constitute the core of HRM:1. Organizations are not mere bricks, mortar, machineriesor inventories. They are people. It is the people who

staff and manage organizations.2. HRM involves the application of management functions

and principles which are applied to acquisitioning,developing, maintaining and remunerating employees inorganization.

3. Decisions relating to employees must be integrated andconsistent with other human resource decision.

4. Decisions made must influence the effectiveness of anorganization.

5. HRM functions are not confined to businessestablishments only.


Nature of HRM


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All major activities in the working life of a worker, from the time ofhis/her entry into an organization and until they leave comeunder HRM.

1. Introduction to HRM,

2. Employee hiring,

3. Employee and Executive remuneration,

4. Employee motivation,

5. Employee maintenance,

6. Industrial relations,7. Prospects of HRM.


Scope of HRM


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Scope of HRM


HRM

Nature

of HRMEmployee

Hiring

Employee

& Executive

Remuneration

Employee

Motivation

Industrial

Relations

Prospects

Of

HRM

Employee

Maintenance


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Importance of Effective Human Resource Management in

Business

Range of HRM


SuccessorPlanning

Selection

Employment

Mutual Relationsamong

Departments

Career Path

PerformancePlanning &

Measurement

TrainingNeeds

Salary

Job Evaluation &Standards

IncentivesDismissal

HumanResource

Management


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HRM differs from PM (Personnel Management) both in scope andorientation.


Difference between HRM and PM

Dimensions

1. Employee Contract

2. Rules3. Guide to management

action

4. Managerial task

5. Key relations

6. Initiatives

7. Speed of decision

8. Conflict handling

HRM

Go beyond contract

Can be overlookedBusiness needs (canchange)

Nurturing

Customer

Integrated

Fast

Manage climate andculture

PM

Within framework

StringentProcedures

Monitoring

Labour management

Piecemeal

Slow

Reach temporary truce


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Difference between HRM and PM

Dimensions

9. Management role

10. Communication

11. Prized management

skills12. Pay

13. Labour management

14. Job categories &grades

15. Job design

16. Training & develop.

HRM

Transformationalleadership

Direct

Facilitation

Performance oriented

Individual contracts

Few

Team work

Learning companies

PM

Transactional

Indirect

Negotiation

Fixed grades

Collective bargaining

Many

Division of labour

Controlled access


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Objectives


Functions & Objectives of HRM


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The basic objective: To ensure the availability of a competentand willing work force to an organization. The other specific

objectives are:

1. Societal Objectives:Ethically and socially responsible to the needs and challenges

of society while minimizing the negative impact of suchdemands upon the organization.

2. Organizational Objectives:To bring about organizational effectiveness.

3. Functional Objectives:To balance the departments contributions to that of the

organizations needs.4. Personal Objectives:To assist employees in achieving their personal goals, so that

they help in organizational goals.



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Objectives & Functions of HRM

HRM Objectives

1. Societal Objec.

2. Organizational Objec.

3. Functional Objec.

Supporting Functions

1. Legal compliance

2. Benefits

3. Union-management relations

1. Human resource planning

2. Employee relations3. Selection

4. Training and development

5. Appraisal

6. Placement

7. Assessment1. Appraisal

2. Placement

3. Assessment


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Objectives & Functions of HRM

HRM Objectives

4. Personal Objec.

Supporting Functions

1. Training and development

2. Appraisal

3. Placement

4. Compensation

5. Assessment


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Owner/ Manager

ProductionManager

SalesManager

OfficeManager

Accountant

PersonnelAssistant


HRM in a Small-scale Unit


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HR Organizational Chart (Large Company)



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Policies:

A policy is a plan of action. It is a statement of intention committingthe management to a general course of action. The policystatement may often contain an expression of philosophy andprinciples as well.

Principle:

It is the fundamental truth established by research, investigationand analysis. Many personnel principles have been establishedthrough practice, experience and observation. Principles areuniversal truths generally applicable to all organizations.Policies vary from organizations to organizations. Principlesguide managers in formulating policies, programmes, proceduresand practices.


Personnel Policies and Principles


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HRM-Challenges and recent trends in Indian industries.

The major challenges of HRM are:

(1) Outsourcing HR activities.(2) BPO and Call Centers.(3) To balance work-life.(4) To make HR activities ethical.

(5) To manage diversity.(6) Attitude towards unions.(7) Globalization.(8) Organizational restructuring.(9) Changing demographics of work-force.(10) Changed employee expectations.



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Functions of HR


MANAGERIALFUNCTIONS

Planning

Organizing

Staffing

Leading

Controlling

Motivating

OPERATIVEFUNCTIONS

Staffing

Development

Compensation

Motivation

MaintenanceIntegration

Emerging Issues


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Managerial functions of HR


PLANNING HR, requirements, recruitment, selection,training etc.

ORGANISING

Structure and a process by which a co-operative group of human beings allocatesits task among its members, identifiesrelationships and integrates its activitiestowards a common objective.

DIRECTINGMotivating, commanding, leading andactivating people.

CONTROLLINGChecking, verifying and comparing of theactuals with the plans, identifying andcorrecting the deviations.


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Operative functions of HR


STAFFING Job analysis, HRP, Recruitment,Selection, Placement, Induction,Internal Mobility

DEVELOPMENT

Competency profiling,T

raining anddevelopment, Performance &potential management, Careermanagement, 360 degree feedback

COMPENSATION &MOTIVATION

Job design, Work scheduling, Jobevaluation, Compensationadministration, Incentives andbenefits


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Operative functions of HR (contd.)


MAINTENANCE Health, Safety, Welfare,Social security

INTEGRATIONEmployment relations, Grievance,Discipline, Trade unions,Participation, Collectivebargaining

EMERGING ISSUES HRIS, HR audit, HR scorecard,International HRM, WorkforceDiversity


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HR Managers Duties

1. A line function- both in house and related services areas.

2. A coordinative function- coordinate personnel activity (also

known as functional authority)

3. Staff function (assist & advise) line managers job.

HRM Specialties

Recruiters, HRD specialists, Job analysis, compensation

managers, training specialists, industrial relations specialist,

employee welfare officers



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Caring and Trust:

The bottom line in

Human Relations today.



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Herb Kelleher of Southwest Airlines

He doesnt put making a profit first or put customers first so who comesfirst?


On Boss Day, (1994) his employees took out a fullpage ad in USA Today that read:

Thanks, Herb

For remembering our names.

For supporting t

h

e Ronald McDonald House. Forhelping load baggage on Thanksgiving.

For giving everyone a kiss (and we mean everyone).

For listening.

For running the only profitable major airline.

For singing at ourholiday party.

For singing only once a year.

For letting us wear shorts and sneakers to work. For golfing at the LUV Classic with only one club.

For outtalking Sam Donaldson.

For riding your Harley Davidson in Southwest

Headquarters.

For being a friend, not just a boss.

Happy Boss Day from each one of your 16,000 employees.


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Larry Ellison


People stay at Oracle because they are well paid

and fear recrimination.


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To lead yourself, use you head.

To lead others, use your heart.


concept, nature and scope of human management

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