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Introduction to

HRMChapter-1

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Chapter Outline

A brief History

Strategic Importance of HRM

HRM and Organizational Effectiveness Objectives of the HRM Function

Who perform HRM Activities

HR department Operations

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A Brief History

History of HRM can be traced to England.

Where masons, carpenters, leather

workers and other craftspeople organizedthemselves into guilds.

They used their unity to improve their work

conditions.

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Indian Scenario and HRM

In the 50s,

There were strong belief that employees were

recruited not to question why but only to do-and-die.

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In the 60s,

Terms like manpower, staff and personnel came

to be used and instead of controlling the

employees ,it became more and more

acceptable to manage personnel as studies

revealed that productivity of the workers could be

improved if they were organized for the work.

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In the 70s,

People realized that beyond a point ,productivity

depended on people.

Worker started demanding whatever they

expected from the employers over and above

their salaries.

Personnel came to be calledHuman

Resources

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At the same time,

Experts observed that there were some strategic

challenges of current times such as accelerating

rates of change in all aspects of business

Increasing competition

Globalization

Technological change Changing work culture and so on.

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Now we are visualizing the possibility of a

global village.

But , are we prepared for ensuing

challenge?

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Hierarchy, Status, authority, responsibility

and accountability are structural concepts.

But in the Indiancontext,emotions,feelings,empathetic

perceptions, impressions and the affective

components have influenced people more

than anything else.

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On 0ther hand Mangers feel they only

should Think and let workers do.

The idea that boss is always right stillpersists.

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A good HRM environment ensures

harmony between the boss and the

subordinates. However, a healthy corporatephilosophy ensuring uniform policies at all

levels of an organization is necessary for

good HRM.

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In the 21st centaury,

The HRM strategies in India has to focus on

better individual-organization interface and

greater emphasis on organizational effectiveness

than on personal success.

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Therefore,

We can conclude that HRM is more crucial today

for the success of any organization than ever

before.

Since then Workers must no longer be seen as

liability, but as a key resource which needs to be

carefully nurtured and constantly developedthrough Training and Development (T & D),

transformational learning and so on..

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Strategic Importance of HRM

HRM Strategies are integrated within heorganization, HRM plays a major role in clarifyingthe firms human resource problems and develops

solutions to them. It is oriented towards action, the individual,

worldwide interdependence, and the future.

The main responsibility for managing human

resources in a traditional arrangement rests withspecialists in a division ( large companies) orteam.

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Traditional HRM and Strategic HRMcharacteristics

Responsibility

for human Resources

and Management

Objective

Role of HRM area

Time Focus

Traditional HRM

Specialists

Better Performance

Responds to needs

Short-term results

Strategic HRM

Line managers

Improvedunderstanding and

strategic use of

human assets

Lead,Inspire,Underst

and

Short, intermediate,

long term

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HRM and OrganizationalEffectiveness

Three Crucial elements are needed for

firms to be effective:

Mission and Strategy Organizational Structure, and

HRM

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Objectives of the HRM Function

Helping the organization reach its goals

Employing the skills ad abilities of the workforce efficiently.

Providing the organization with well-trained and well-motivated employees.

Increasing the fullest the employees job satisfaction and self-actualization. Developing and maintaining a quality of worklife that makes employment in the organization desirable.

Communicating HRM policies to all employees.

Helping to maintain ethical policies and socially responsible

behavior. Managing change to the mutual advantage of

individuals,groups,the enterprise, and the public.

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To be a strategic business contributor, HR

management must enhance organizational

performance, expend human capital andbe cost effective. Why?

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