CHAPTER ONE
OVERVIEW OF HUMAN RESOURCE
MANAGEMENT
1.1 Definition
Human Resource Management (HRM): is the a) planning, b) organizing, c) directing,
and d) controlling of the procurement, development, compensation, integration,
maintenance and separation of human resources to the end that individual, organizational,
and social objectives are accomplished. (Edwin B. Flippo)
Human resource management is defined as a strategic and coherent approach to the
management of an organization’s most valued assets – the people working there who
individually and collectively contribute to the achievement of its objectives.
In sum, Human Resource Management
Focuses on people aspect of management
Is a management function that helps managers recruit, select, train and develop members for the
organization.
Emphasizes the need to think strategically about people as a key resource.
Is a proactive rather than reactive approach
Implies that HR policies and programs should be integrated into the business strategy and also
contribute to it.
Its activities/functions are integrated/interrelated.
In HRM activities, top management involvement is important/critical.
Objectives of HRM at different levels
Societal Objectives
To be ethically and socially responsible to the needs and challenges of a society
while minimizing negative impact of such demands on the organization.
Organizational Objectives
To recognize that HRM exists to contribute to organizational effectiveness by
attracting, retaining, and perpetuating the workforce.
Functional (Departmental) 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, as these goals enhance
the individual’s contribution to the organization.
Personal objectives of employees can be met if workers are to be maintained,
retained and motivated. Otherwise, employee performance and satisfaction
may decline, and employees may leave the organization.
Nature of HRM
HRM is concerned with the people dimension of an organization.
It is pervasive activity in any type of industry.
HR is the most important element in an organization since people
make the decisions concerning all other organizational resources.
The HR is special kind of resource, and if it is improperly managed,
effectiveness declines more quickly than with other resources.
Importance of HRM function
HRM is critical for the survival of an organization.
HRM supplies the required HR for all other functional areas.
HRM ensures effective utilization of HR through proper
recruitment, selection, placement, training, compensation and
performance appraisal.
HRM plays a role in attracting and retaining qualified
workforce that can best contribute to organizational effectiveness.
The Major Functions/Activities of HRM
HRM functions are the set of activities performed in utilizing
human resources for better achievement of organizational
objectives. The following are the major elements.
a) Job Analysis
Detail study or analysis of tasks, duties, and responsibilities as well as
identification of the KASs to perform the tasks successfully
b) Human Resources Planning/Employment Planning
HRP is the process of systematically reviewing human resources
requirements to ensure that the required number of employees with
the required skills are available when they are needed.
c) Recruitment
Recruitment is the process of attracting pool of candidates in sufficient
numbers and encouraging them to apply for jobs within the organization.
d) Selection
Selection is the process of choosing from a group of applicants the
individuals “best” suited for a particular position. The purpose of selection
is to identify and employ qualified individuals for specific position/s.
e) Placement
Refers to assigning individuals to suitable jobs.
f) Orientation/induction/socialization
It is the formal process of familiarizing new employees with the
organization, their jobs and their work unit. Through orientation, the
employees will acquire the knowledge, skills and attitude that make them
successful members of the organization.
g) Training and Development
Training and development aim to increase employee’s ability to
contribute to organizational effectiveness.
Training is designed to maintain or improve performance and skills in
the present job, whereas, development is a program designed to
develop skills necessary for present and future work activities.
h) Compensation Administration
Refers to the administration of every type of reward that employees
receive in return for their services.
i) Performance evaluation
It is a formal system of periodic review and evaluation of an
individual’s job performance.
j) Safety and health
Safety involves protection of employees from injuries caused by work
related accidents.
Health refers to the employees’ freedom from illness and their general
physical and mental wellbeing. These aspects of the job are important
because employees who work in a safe environment and enjoy good
health are more likely to be productive and yield long run benefits to
the organization.
k) Promotion, transfer, demotion, and separation
These reflect an employee’s value to the organization. High performers
may be promoted or transferred to help them develop their skills while
low performers may be demoted, transferred to less important positions,
L) Human Resources Research
HRR is a systematic gathering, recording, analyzing and interpretation
of data for guiding human resource management decisions.
m) Employee and labor relations, collective bargaining
and discipline
Concerned with the nature of relationship that must be developed
between employees (labor) and management, the procedures followed
during negotiations before signing a contract between labor and
management, and the different measures taken to enhance employee
disciplines within an organization.
Four Major Categories of HR Activities
The Acquisition The Development
of of
Human Resources Human Resources
The Rewarding The Maintenance
of of
Human Resources Human Resources
THE PHILOSOPHY OF HRM
Mutual goal: The organization needs individuals for fulfillment of its goals and
individual needs to develop and grow.
Mutual respect: Which brings out the importance of respect by stating that
“Give respect and take respect”.
Mutual rewards: HRM believes in the mutual reward system. Organization’s
reward is development and growth. Individual’s rewards are in the form of
financial and non-financial incentives and benefits.
Mutual Responsibilities: The individuals and the organization are responsible
mutually. This sense of responsibility will lead to effective utilization of
teamwork and leads to excellent growth.
Human Resource Policies, Procedures and Programs
HR Policies
HR policy is a set of general statements that act as a reference point for
HR managers in their dealings with employees. They constitute general
guides to actions and should not include detailed statements.
Purposes of HR Policies
To reassure employees that they will be treated fairly and objectively.
To help managers make quick and consistent decisions.
To give managers confidence to resolve problems and defend their
decisions.
Specifically,
Policies make delegation possible
Policies enhance uniformity
Policies enhance better control
Policies serve as standards of efficiency
Policies enhance the confidence of employees
Policies help as coordinating devices
Policies enhance faster decisions
HR Procedures
HR procedures detail the exact manner in which a certain activity
must be accomplished with a view to implement a certain HR policy.
While HR policies are broad and general, HR procedures tend to
be less general and more specific in establishing the course of action
and sequence of activities necessary to implement the HR policies.
HR policies are derived from organizational values, philosophies,
concepts and principles. However, HR procedures are derived
from the HR policies.
HR Programs
HR programs are sets of goals, policies, procedures, rules,
steps to be taken, resources to be employed, and other
elements necessary to carry out a given course of action.
Program of action should be prepared for implementing
policies and procedures.
THANK YOU!!!
END OF THE
FIRST
CHAPTER!!!