Unit 1

Definition of HRM?

HRM refers to the systematic process of acquiring people, developing people, motivating people, retaining people, and utilising the people effectively to achieve the organizational and individual goals.

Definition of HRM according to Edwin B Flippo?

HRM is planning, organising, directing, and controlling of procurement, development, compensation, integration, maintenance and separation of human resources.

Characteristics of HRM?

• People oriented.

• Continuous process.

• Universal function.

• Both science and art.

• Development oriented.

• Strategic in nature.

Objectives of HRM?

• Societal Objective.

• Organizational Objective.

• Functional Objective.

• Personal Objective.

Importance of HRM?

• Ensure right person for right job.

• Improves productivity.

• Reduces employee turnover.

• Maintaining industrial harmony.

• Builds employer brand.

• Handles organizational change.

Functions of HRM:

• Managerial function:

  • Manpower / Human resource planning.

  • Organizing.

  • Directing.

  • Controlling.

• Operative Function:

  • Procurement function.

  • Development.

  • Compensation Benefits.

  • Integration.

  • Maintenance.

  • Separation.

• Advisory Function:

• Strategic Function:

  • Strategic workforce planning.

  • Change management.

  • Talent analytics.

  • Employer Branding.

Evolution of HR practices and its features?

• Labour welfare stage : 1900 - 1930

• Personnel management stage : 1930 - 1960

• HRM Stage : 1960 - 1990

• Strategic HRM Stage : 1990 - 2010

• Digital or People analytics HR : 2010 - 2026

Roles of HR Manager?

• Staffing.

• Training and Development.

• Compensation and Benefits.

• Employee relations and welfare.

• Compliance and Legal role.

• Strategic and Change role.

Skills of HR Manager?

• Communication skills.

• Interpersonal skills.

• Decision-making skills.

• Conflict resolution skills.

• Leadership skills.

• Negotiation skills.

• Analytical skills.

• Problem solving skills.

• Ethical skills.

• Strategic thinking skills.

Definition of Strategic HRM?

Strategic HRM is nothing but aligning HR practices with organisational strategy to achieve the long term goals.

It is the process of designing HR systems that helps an organization to achieve strategic objectives.

Features of Strategic HRM?

• Long-term focus.

• Business alignment.

• Competitive advantage.

• Proactive approach.

• Performance orientation.

Importance of Strategic HRM?

• Improves productivity.

• Supports organizational growth.

• Reduces employee turnover.

• Builds competitive advantage.

• Helps in change management.

Definition of HR Policies?

HR Policies are the formal guidelines, rules, principles, and procedures created by an organization to manage employee related matters systematically and fairly.

Need for HR Policies?

• Ensures uniform treatment.

• Reduces bias and favouritism.

• Improves discipline.

• Supports legal compliance.

• Helps in decision making.

• Protects the organization.

• Improves employee confidence.

Types of HR Policies?

• Recruitment policy.

• Compensation policy.

• Leave policy.

• Training and Development policy.

• Promotion policy.

• Transfer policy.

• Performance appraisal policy.

• Discipline policy.

• Grievances policy.

• Health and Safety policy.

Definition of Human Resource Planning?

Human Resource Planning ensures that the right number of people with the right skills are available at the right time and in the right job.

HRP is the process of forecasting an organization’s future human resource requirements and deciding how to meet those ends.

Elements of HRP?

• Demand forecasting.

• Supply forecasting.

Objectives of HRP?

• Ensures adequate workforce.

• Prevents shortage of employees.

• Avoid surplus workforce.

• Proper utilization of talents.

• Support expansion plans.

• Facilitate training and development.

• Reduce recruitment cost.

• Improves Productivity.

Importance of HRP?

• Helps in organizational growth.

• Adapts to technological changes.

• Manages employee turnover.

• Improves employee motivation.

• Supports strategy planning.

• Controls labour cost.

• Improves competitive advantage.

Process of HRP?

• Analysing organizational objectives.

• Assess current human resources.

• Forecast future HR demands.

• Forecast HR supply.

• Identify the gap.

• Develop HR action plans.

• Implementation.

• Monitoring and control.

Definition of Digital HR Solutions?

Digital HR Solutions refers to the use of software, analytics, artificial intelligence, and automation to manage HR activities efficiently.