HUMAN RESOURCE MANAGEMENT

Organizations are made up of people and functions through people. Without people
organizations cannot exist. Among the various factors of production like money, material,
men and machines in an organization, human resource is considered to be the most important
factor. This is because the efficient use of other physical resources like land and capital is
dependent on how the human factor is used on various operations. Except men, all other
resources depreciate with time. Man is the most valuable resource which appreciates with
time if a right environment is given to him and hence turned as “Human Resource”. Human
Resource consist of those groups of people who are ready to provide their service for the
benefit of the organization
According to Michael J. Jucius, “Human resources are a whole consisting of inter-related,
inter-dependent, and interacting physiological, psychological, sociological and ethical
components”.
Human Resources always remain central to the organization as dynamic and effective people
can construct dynamic enterprises. Only efficient workers are capable and have inspiration of
turning dreams to reality. Organizational objectives can only be accomplished through the
talented people. Therefore, in order to remain competitive in the dynamic environment, it
should be the constant endeavor of organization to energies, assist and train their workers to
maintain utmost efficiency.
Human resource is both exclusive as well as important. It is obvious that an organization
would try to obtain and make the best use of this resource. Human Resource Management,
the task concerned with managing the people resource is the most crucial and challenging
task of the organization. It was previously referred to as personnel management
It can be defined as acquiring the right talent training and developing hem and motivating
them to sustain in the workforce to effectively attain the objectives of the organization. One
of the aims of this process is to bridge the gap between the organization and its people. This
purpose is to make an individual deliver his best and lending a supportive arm to the
organization.

Nature of HRM:
Universal nature:
HRM practices are prevalent in each and every organization whether it is public
or private, government and non-government, educational or corporate, i.e., in almost every
area. Its existence is not only limited to the personnel functions; rather it is pervasive at all
the functional areas, i.e., marketing, finance, production, etc.
Action-Oriented:
The focus of HRM is on action rather than on keeping records, written procedures
or rules. The issues of employees at the workplace are resolved with the help of rational
policies
Focused on people Dimension:
HRM is basically focused on developing people at work both individual and
group level. It seek to correlate the capabilities of employees with the requirement of the job.
It constantly tries to motivate people for better performance and higher productivity.
Growth-oriented:
The main concern of HRM is to develop capabilities of the employees and
maintain the reward system according to their expectations. The reward system should
constantly motivate the employees to achieve the standard performance.
Challenging Functions:
People are complex and dynamic in nature. Hence, management of human
resource in the organization demands very close supervision of the employees. It is very
critical task to control and coordinate employees because of the human factor. HR manager
needs to be very careful while controlling and dealing with them without hurting their
sentiments.
Supplementary service:
HR also plays a supportive role by assisting and advising
operational/functional managers. As specialist advisors, they supervise and guide other
managers to achieve their personnel tasks in a more effective manner.
Multi-disciplinary Function:
HRM is crucial to an organization and so is the constitution of its concept. It
derives ideas, concepts, practices and principles from various soft disciplines such as
sociology, anthropology, economics psychology, etc. Understanding of these disciplines is
essential because like these disciplines HRM also relates and deals with human beings.
Ongoing process:
The function of HRM cannot be restricted to a particular time and date. It is
present in every department. Therefore, it is continuous in nature and is practiced every
second, hour, day and year in the organization.

EVOLUTION OF HRM:
The human resource management profession continues to evolve. Originally conceived to handle
personnel hiring and payment, the function now aligns closely with a company's strategic plan. To
get the respect the department deserves, human resource managers need to respond to the
challenges of lacking power, maintaining a delicate balance between management and employees,
and handling the workforce in difficult circumstances.

Labour Relations
Beginning in the 1900s during the Industrial Revolution, a company’s managers tended to treat
people as interchangeable. When disputes arose, mediators intervened to solve problems. Today,
this function involves negotiating and administering collective-bargaining agreements with unions
as well as providing training, support and advice to managers and supervisors on labour issues.

Industrial Relations

After Word War I, in the 1920s, workers’ rights and formal rights emerged. This field concentrates
on developing scientific knowledge, solving problems and dealing with ethical issues. Today, as fewer
unions exist, most companies do not have an industrial relations function.

Personnel Administration

After World War II, in the 1940s, personnel administration focused on efficiency
improvements. During the 1960s, this function evolved to ensure legal compliance. It also
included recruiting, hiring, training and assessing workers. Failure to comply with regulations
put companies at risk. Personnel administrative tasks focused on completing paperwork to
prevent this.

Human Resources

In the 1980s, human resource management included the application of new theories related
to change management, motivation and team building. During this period, many companies
experienced mergers and acquisitions. This led to increased attention on optimizing the
workforce. Additionally, the use of computers led to the rise of automated procedures and
Web-based HR systems.
Organizational Capability

According to management expert Dave Ulrich, successful human resource management

aligns HR and business strategy. Currently, HR departments focus less on the transactional
operations of personnel administration and pay more attention to recruiting the right
employees, training and developing the workforce and managing performance. Ulrich’s four-
quadrant model places administrative experts in the lower-left quadrant. Employee relations
experts appear in the lower-right quadrant. These two lower quadrants reflect a day-to-day
operational focus in the organization. In the upper-left quadrant, the HR department functions
as a strategic partner with the rest of the business to develop and maintain an organizational
culture and capability. In the upper-right quadrant, organizational design and workforce
planning experts work with business managers. These top two quadrants describe strategic
planning and how the HR department influences the rest of the company.

Types of Human Resources Management:

Recruitment and Selection

Human resource management jobs include professional recruiters who fill vacancies within
an organization. They follow internal hiring policies and comply with all state and federal
laws prohibiting discriminatory hiring practices. These human resources professionals may
write job advertisements, screen resumes, interview candidates and make hiring
recommendations to managers. Examples include recruiter, staffing specialist and recruitment
manager.

In order to increase efficiency in hiring and retention and to ensure consistency and compliance in
the recruitment and selection process, it is recommended the following steps be followed (also
 refer to Staff Recruitment and Selection Hiring Checklist). Details for each step include the
minimum recommended best practice to attract a talented and diverse applicant pool:

 Step 1: Identify Vacancy and Evaluate Need

 Step 2: Develop Position Description

 Step 3: Develop Recruitment Plan

 Step 4: Select Search Committee

 Step 5: Post Position and Implement Recruitment Plan

 Step 6: Review Applicants and Develop Short List

 Step 7: Conduct Interviews

 Step 8: Select Hire

 Step 9: Finalize Recruitment

Compensation and Benefits

Compensation and benefit specialists are an example of another type of human resources job.
They ensure that employees are paid correctly. They also work to provide employees with
benefits such as health insurance, dental and vision coverage, life insurance and short-term
disability coverage. Professionals in this area may conduct salary surveys, analyse industry
salary data, prepare and distribute compensation reports to employees and negotiate benefits
packages with outside vendors.

When most people hear the term compensation they think about "what a person is paid".
Although this is true, it is only one aspect of a complex topic. Compensation includes not only
salary, but also the direct and indirect rewards and benefits the employee is provided with in
return for their contribution to the organization.

To determine compensation, organizations should develop a compensation and rewards program.

This type of program outlines an equitable process for compensating employees. A well-structured
program with a good balance of wages, benefits and rewards will support an organization to
remain competitive in today's labour market and ensure sustainability in the future.

Health and Safety

Health and safety professionals work to prevent workplace accidents and occupational
illnesses. They offer safety programs, implementing health and safety policies, and ensuring
compliance with state and federal occupational safety regulations. Jobs in this human
resources area include safety coordinator, safety manager, employee wellness program
coordinator and director of employee wellness.

Labour and Employee Relations

The Employee and Labour Relations function of the Human Resources Department is
commonly associated with matters such as investigations, counselling and disciplinary
actions, but that certainly is not its primary mission. This critical HR component operates as
a nexus between staff and management, bridging gaps that oftentimes seem insurmountable
to either party. Through various forms of intervention, including problem-solving,
mediation, training and counselling, Labour Relations offers balanced advocacy to
management and individual employees to protect their respective rights and facilitate a
more harmonious work environment.

The Labour Relations Office provides assistance and advice to UCM managers and
supervisors in the following areas:
 Performance Management

 Layoff Planning

 Discipline & Dismissal

 Contract interpretation and administration (Union contracts and relevant personnel policies)

 Complaint/Grievance processing (represented and non-represented staff)

 Represents management in employee disputes/grievance proceedings

 Mediates/negotiates resolution of complaints with employee representatives

 Responds to union information requests

Training and Development

The term talent development is becoming increasingly popular in several organizations, as

companies are now moving from the traditional term training and development. Talent development
encompasses a variety of components such as training, career development, career management,
and organizational development, and training and development. It is expected that during the 21st
century more companies will begin to use more integrated terms such as talent development
Human regards training and development as a function concerned with organizational activity aimed
at bettering the job performance of individuals and groups in organizational settings. Training and
development can be described as "an educational process which involves the sharpening of skills,
concepts, changing of attitude and gaining more knowledge to enhance the performance of
employees". The field has gone by several names, including "Human Resource Development",
"Human Capital Development" and "Learning and Development"

The name of the discipline has been debated, with the Chartered Institute of Personnel and
Development in 2000 arguing that "human resource development" is too evocative of the master-
slave relationship between employer and employee for those who refer to their employees as
"partners" or "associates" to feel comfortable with. Eventually, the CIPD settled upon "learning and
development", although that was itself not free from problems, "learning" being an over-general
and ambiguous name, and most organizations referring to it as "training and development"

Risk Management

Risk management is a business approach used to minimize organizational risk. In human

resources, risk management involves analysing each area and identifying the potential for
harm. For example, a risk management professional might examine an organization's hiring
practices and determine if any are potentially discriminatory and could lead to a lawsuit. Risks
identified during this process include the potential for abuse, property loss, physical injury
and damage to a company's reputation. Jobs available in this area include risk management
specialist and manager of risk management.

Managers and Directors

Human resources managers and directors oversee the work of other human resources
professionals. Managers may serve as a liaison between employees and management,
participate in company strategy sessions and make recommendations for new hiring and
compensation policies. A human resources director has knowledge of all aspects of human
resource management. Directors develop departmental goals and assist staff in meeting those
goals. This job requires excellent conflict resolution and mediation skills, as a human
resources director may need to resolve controversial or sensitive issues

TRANING AND DEVELOPMENT

The term talent development is becoming increasingly popular in several organizations, as

companies are now moving from the traditional term training and development. Talent development
encompasses a variety of components such as training, career development, career management,
and organizational development, and training and development. It is expected that during the 21st
century more companies will begin to use more integrated terms such as talent development
Human regards training and development as a function concerned with organizational activity aimed
at bettering the job performance of individuals and groups in organizational settings. Training and
development can be described as "an educational process which involves the sharpening of skills,
concepts, changing of attitude and gaining more knowledge to enhance the performance of
employees". The field has gone by several names, including "Human Resource Development",
"Human Capital Development" and "Learning and Development"

The name of the discipline has been debated, with the Chartered Institute of Personnel and
Development in 2000 arguing that "human resource development" is too evocative of the master-
slave relationship between employer and employee for those who refer to their employees as
"partners" or "associates" to feel comfortable with. Eventually, the CIPD settled upon "learning and
development", although that was itself not free from problems, "learning" being an over-general
and ambiguous name, and most organizations referring to it as "training and development"

The "stakeholders" in training and development are categorized into several classes. The
sponsors of training and development are senior managers. The clients of training and
development are business planners. Line managers are responsible for coaching, resources,
and performance. The participants are those who actually undergo the processes. The
facilitators are Human Resource Management staff. And the providers are specialists in the
field. Each of these groups has its own agenda and motivations, which sometimes conflict
with the agendas and motivations of the others.

The conflicts that are the best part of career consequences are those that take place between
employees and their bosses. The number one reason people leave their jobs is conflict with
their bosses. And yet, as author, workplace relationship authority, and executive coach, Dr.
John Hoover points out, "Tempting as it is, nobody ever enhanced his or her career by making
the boss look stupid." Training an employee to get along well with authority and with people
who entertain diverse points of view is one of the best guarantees of long-term success. Talent,
knowledge, and skill alone won't compensate for a sour relationship with a superior, peer, or
customer.
Many training and development approaches available for organisations are proposed
including: on-the-job training, mentoring, apprenticeship, simulation, web-based learning,
instructor-led classroom training, programmed self-instruction, case studies/role playing,
systematic job rotations and transfers. etc.

roles in the field include executive and supervisory/management development, new-

employee orientation, professional-skills training, technical/job training, customer-service
training, sales-and-marketing training, and health-and-safety training. Job titles may include
vice-president of organizational effectiveness, training manager or director, management
development specialist, blended-learning designer, training-needs analyst, chief learning
officer, and individual career-development advisor.

Talent development is the process of changing an organization, its employees,

its stakeholders, and groups of people within it, using planned and unplanned learning, in
order to achieve and maintain a competitive advantage for the organization. Rothwell notes
that the name may well be a term in search of a meaning, like so much in management, and
suggests that it be thought of as selective attention paid to the top 10% of employees, either
by potential or performance.

While talent development is reserved for the top management it is becoming increasingly
clear that career development is necessary for the retention of any employee, no matter what
their level in the company. Research has shown that some type of career path is necessary
for job satisfaction and hence job retention. Perhaps organizations need to include this area
in their overview of employee satisfaction.

The term talent development is becoming increasingly popular in several organizations, as

companies are now moving from the traditional term training and development. Talent
development encompasses a variety of components such as training, career development,
career management, and organizational development, and training and development. It is
expected that during the 21st century more companies will begin to use more integrated terms
such as talent development.

Training and development encompasses three main activities: training, education, and
development.
 Training:

This activity is both focused upon, and evaluated against, the job that an individual currently
holds.

 Education:

This activity focuses upon the jobs that an individual may potentially hold in the future, and
is evaluated against those jobs.

 Development:

This activity focuses upon the activities that the organization employing the individual, or
that the individual is part of, may partake in the future, and is almost impossible to evaluate.

 Increased productivity

 Less supervision

 Job satisfaction

 Skills Development

INCREASED PRODUCTIVITY:

Increasing productivity is a major goal for many business people, as the more productive their
workforce is, the more money they can bring into their businesses. While this concept may seem
simple, to fully understand what it means to increase productivity, you must go past a literal
definition and develop a stronger understanding of the concept as a whole and learn how you can
achieve this goal

Most simply, increased productivity means that your workers are putting out products more quickly
or completing services at a more rapid rate than before. In most businesses, the more products that
workers produce or services they complete, the more money comes in to the business, making
increased productivity a high priority for many business owners.
To translate productivity into numerical terms, business owners can use a simple formula. The
numerical measure of productivity equals the number of units sold or made divided by the amount
of time it takes to make or sell these items. For example, if an employer charts productivity and finds
that his workers produced 1,000 items in 10 hours, he can determine, through use of the formula,
that his current productivity rate is 100 units per hour. This productivity measure is for the company
as a whole. To determine individual employee productivity, he would have to divide this number by
the number of employees.

LESS SUPERVISION:

Supervision is the act or function of overseeing something or somebody.

A person who performs supervision is a "supervisor", but does not always have the formal
title of supervisor. A person who is getting supervision is the "supervisee".

Generally, supervision contains elements of providing knowledge, helping to organize tasks,

enhance motivation, and monitoring activity and results; the amount of each element is
varying in different contexts.

In academia, supervision is aiding and guiding of a postgraduate research student, graduate

student, or undergraduate student, in their research project; offering both moral support and
scientific insight and guidance. The supervisor is often a senior scientist or scholar, and in
some countries called doctoral advisor.

JOB SATISFACTION:

Job satisfaction or employee satisfaction has been defined in many different ways. Some believe it
is simply how content an individual is with his or her job, in other words, whether or not they like
the job or individual aspects or facets of jobs, such as nature of work or supervision. Others believe
it is not as simplistic as this definition suggests and instead that
multidimensional psychological responses to one's job are involved. Researchers have also noted
that job satisfaction measures vary in the extent to which they measure feelings about the job
(affective job satisfaction). or cognitions about the job (cognitive job satisfaction).
The concept of job satisfaction has been developed in many ways by many different researchers and
practitioners. One of the most widely used definitions in organizational research is that of Locke
(1976), who defines job satisfaction as "a pleasurable or positive emotional state resulting from the
appraisal of one's job or job experiences" (p. 1304). Others have defined it as simply how content an
individual is with his or her job; whether he or she likes the job or not. It is assessed at both the
global level (whether or not the individual is satisfied with the job overall), or at the facet level
(whether or not the individual is satisfied with different aspects of the job). Spector (1997) lists 14
common facets: Appreciation, Communication, Co-workers, Fringe benefits, Job conditions, Nature
of the work, Organization, Personal growth, Policies and procedures, Promotion opportunities,
Recognition, Security, and Supervision

SKILLS DEVELOPMENT:

The Skills Development Act 97 of 1998 is a law enacted in South Africa in 1998.

This Act was promulgated by government in 1998, in the midst of high levels of unemployment, low
levels of investment in the South African labour market, pronounced disparities in income
distribution, inequality of opportunity as a result of apartheid and poverty. (Brendan and Down,
2000). Through this Act, the government aimed to address two main priorities, i.e. the need to
improve skills and increase productivity in order to compete successfully in the global economy, and
the need to reverse apartheid imbalances and to create a more inclusive and cohesive society.