The Human Resource

FrameworkChapter - 1

“When managers take up human resource (HR) activities as part of their jobs, they look out for ways

to facilitate the contribution people make towards achieving an organization’s strategies and

plans.”

Importance of HR efforts can be understood by the fact that

people are the common element in every organization; they create the strategies and

innovations for which organizations are known for.

“Assets make things possible, people make things happen.”

Slogan at a Union Carbide Plant.

HR efforts are used to further the firm’s competitive advantage

as they support the company’s strategies, in ways that are

ethically and socially responsible.

HR activities contribute to the bottom-line success of

organizations but on the way they are faced with various

challenges.

Central challenges

BETTER ORGANIZATIONS

Global competitive challenges Unemployment

challenges

Social responsibility

challenges

Medical, food, housing

challenges

Population-growth

challenges

Workforce diversity

challenges

Ethical challenges Unknown

challenges

The Central Challenges to Organizations

The more effective and efficient our organizations are, the more easily

our society can meet these challenges and opportunities.

goods or services that society

EFFECTIVE : Producing the right

deems appropriate.

amount of resources needed to

EFFICIENT : Using the minimum

produce its goods and services.

When organizations can serve more customers using fewer

resources, they result in improvement in industrial

productivity.

organization’s outputs to its inputs.

PRODUCTIVITY : Ratio of an

Organizations enjoy increased

find ways to use fewer resources

productivity when they are able to

to produce its output.

HR actions contribute to improved productivity directly

by finding better and more efficient ways to meet objectives and indirectly by improving the

quality of work life for employees.

The Purpose of Human Resource Management

is to improve the productive contributions of people to the organization in ways that are

strategically, ethically, and socially responsible.

The Objectives of Human Resource Management

Four objectives are common to HR management which guide HR

functions in practice.

Organizational Objective:HR management is not an end in

itself; it is only a means of assisting managers with their

human resource issues.The HR department exists to help managers achieve the

objectives of the organization.

Functional Objective:Resources are wasted when HR

management is more or less sophisticated than the organization demands.

Societal Objective:To be ethically and socially

responsive to the needs and challenges of society while

minimizing the negative impact of such demands on the

organization.

Personal Objective:Assisting employees achieving their personal goals that may enhance contribution to the

organization. It helps in maintaining, retaining, and

motivating employees.

Every HR decision may not contribute to these objectives but they serve as a check on

decisions. They help in analyzing the reasons behind various

activities of the department.

1.HR Planning2.Recruitment3.Selection4.Orientation /

Training5.Placement

6.Development

7.Appraisal8.Compensation9.Employee

Relations10.Assessment

Human Resource Management Activities

Societal Objectives

1. Legal Compliance2. Benefits3. Union-management

relations

Management Objectives & Supporting Activities

Organizational Objectives

1. HR Planning2. Employee Relations3. Selection4. Training &

Development5. Appraisal6. Placement7. Assessment

Management Objectives & Supporting Activities

Functional Objectives

1. Appraisal2. Placement3. Assessment

Management Objectives & Supporting Activities

Personal Objectives

1. Training & Development

2. Appraisal3. Placement4. Compensation5. Assessment

Management Objectives & Supporting Activities

Line AuthorityStaff Authority

Functional AuthorityDual Responsibility

Management Objectives & Supporting Activities

HRM Model and Subsystems

ObjectivesSocietal

OrganizationalFunctionalPersonal

IFrameworks

AndChallenges

III

Development

And

Evaluation

IVCompensationAnd

Protection

IIPreparation

And

Selection

VEmployee Relations AndAssessment

Viewpoints of Human Resource Management

•Strategic Approach•Human Resource Approach•Management Approach•System Approach•Proactive Approach

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