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Introduction to HRM
by Sajid Asghar Rana
April 14, , 2013 PIQC Pakistan Institute of Quality Control
Lahore
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Personnel Management
A traditional way of working with out much involvement of work force in decision making. A short term management approach which is more of a tactical in nature.

Human Resource Management

A pro-active way of management with a strategic focus, relying upon variety of communication channels and preparing the individuals to take responsibilities for their own decisions and actions.

Personnel Management Vs HRM A Debate

The personnel management tends to be tactical in its approach; the focus of the HRM is more of strategic. The personnel approach tends to be short term; the HRM approach is proactive and think long term whilst developing policies on major new initiatives.
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Personnel Management Vs HRM A Debate Cont

While taking issues the personnel approach tends to be rather piecemeal; the HRM approach to the same issues is to place them within a clearly defined integrated framework which has been worked out to benefit the organization and to which the HR Manager and other staff has contributed.
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Personnel Management Vs HRM A Debate Cont

Personnel Management tends to rely on traditional forms of communication; the HRM tends to use a variety of communication channels.

Personnel Management Vs HRM A Debate Cont

Personnel management tends to operate in organization where there are traditional ways of working and where there is not much involvement of the work face in decision making; HRM emphasizes on the importance of the involvement of every one in decision making e.g. work teams and quality circles.
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Personnel Management Vs HRM A Debate Cont

Personnel management tends to work in traditionally unionized organizations; HRM tends to encourage single status agreements and de-emphasizes the role of trade unions.

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Personnel Management Vs HRM A Debate Cont Personnel management tends to use traditional pay systems; HRM emphasizes the needs to manage performance and motivate people by the use of various payment systems which are integrated with the organizations objectives.

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Personnel Management Vs HRM A Debate Cont Personnel management approach tends to operate from a pluralistic point of view; the HRM approach tends to operate from a unitary perspective emphasizing on the need for every one in the organization to work towards common goals, so unions are not encouraged since they are not seen to be necessary.
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Personnel Management Vs HRM A Debate Cont Personnel managements focus is on getting the same conditions for groups; HR Managers focus on individual contract, payment and reward system. Personnel Managers may some time take coercive measures to tackle individuals with problems; HR Mangers feel individuals should be prepared to take responsibility for their own decisions and actions.
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Personnel Management Vs HRM A Debate Cont Personnel management is concerned with the operational tasks and hence forth ensure supply of workforce who could physically endure the work patterns; HRM is demand driven and has more emphasizes on forecasting, planning and monitoring. HRM also ensures the right number of people (Not Necessarily employees), with the right skills and the right attitude, or in the right place at the right time.
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Personnel Management Vs HRM A Debate Cont

Personnel managers want a system that is unilaterally imposed and rigid rules and procedures are devised to encourage this; HR Managers tend to say that people have a right to proper treatment at work and efficient management with fewer controls will achieve this.
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Personnel Management Vs HRM A Debate Cont Personnel management tends to regulate activities; HRM tends to devolve activities whereby line managers concentrating mainly on planning, monitoring and evaluating, instead of developing policies. The personnel management approach tends to reflect the status quo and resist change; HRM tends to encourage change and increase flexibility in ways of working.
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The Management Process

Planning Organizing Staffing Leading Controlling

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Management Process
Planning
Goals and standards Rules and procedures Plans and forecasting.

Organizing
Tasks Departments Delegating Authority and communication Coordinating
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Management Process
Staffing
Hiring Recruiting Selecting Performance standards Compensation Evaluating performance Counseling Training and developing
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Management Process
Leading
Getting the job done Morale Motivation

Controlling
Setting standards Comparing actual performance to standards Corrective action

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What is

HR
Highly Ridiculous Handi Roti High Risk Hot Rod Human Rights Human Relations Human Resources

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HR History & Evolution

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HRM
Human Resource Management is the process of acquiring, training, appraising, and compensating employees and attending to their labor relations, health and safety, and fairness concerns.

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Indicators of effective - HRM

Turnover Rate. Absenteeism / Sick Leaves. Training Budget. Occupational Safety, Health & Environment. No. of Litigation Cases in Labor Courts. Motivational Level. No. of Industrial Accidents.

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Strategic Human Resource Management

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Strategic Human Resource Management

Objectives at National level

Create Opportunities. Cure Diseases. Curb Inflation. Feed the Hungry. Compete Internationally.
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Strategic Human Resource Management

Objectives at National level

Lower Unemployment Revive The Economics of living Establish Good Governance Develop Visionary Leadership Build a Nation With a Meaningful Prospects & Positive State of Mind
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Strategic Human Resource Management

Objectives at Organization Level
Organizational Design Competency based Capacity Building Act as an Enabler of Change Catalyst Build High Performance work Culture Manage Work Force Diversity Mange People and Organizations Productivity Empower the power Create Acuity, Groups and Teams

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Strategic Human Resource Management

A vertical as well as horizontal function, staff as well as line. Development of HR strategies out of the organizational vision, mission staying in line with the ultimate business strategies. Development of smart goals / objectives. Maintaining the requisite level of HRD, by staying in line with the organizational growth and development.
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Functions Of Human Resource Management

Strategic Human Resource Management Selection and Recruitment System Performance Appraisal System Training and Development Compensation Management Labor Laws & Industrial Relations Environment , Occupational Health &Safety Human Resource Information System
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HRs Evolving Role

Protector and Screener

Change Agent Strategic Partner

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HR is all about managing people OR Its about managing the people side of a BUSINESS
If you want to manage people effectively, help them by making sure the org chart leaves as little as possible to the imagination. It should paint a crystalclear picture of reporting relationships and make it patently obvious who is responsible for what results. Jack Welch, Winning, Pg 115

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HRM Its All About Results

For many years it has been said that capital is the bottleneck for a developing industry. I dont think this any longer holds true. I think its the work force and a companys inability to recruit and maintain a good work force that does constitute the bottleneck. F. K. Foulkes.
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