People and Organizations: Principles and Practice in Global Context (Human Resource Management

People and Organizations: Principles and Practice in Global Context (Human Resource Management)

Definition of HRM

Human resource management (HRM) is the governance of an organization’s employees. HRM is sometimes referred to simply as human resources (HR). A company’s human resources department is responsible for creating, implementing and or overseeing policies governing employee behavior and the behavior of the company toward its employees.

Human resources are the people who work for the organization; human resource management is really employee management with an emphasis on those employees as assets of the business.  In this context, employees are sometimes referred to as human capital. As with other business assets, the goal is to make effective use of employees, reducing risk and maximizing return on investment (ROI).

Difference between HRM and Personal Management

According to some consultants, there is no difference between the two. The terms can be used interchangeably. Personnel management is more administrative in nature, dealing with payroll, complying with employment law, and handling related tasks. personnel management typically seeks to motivate employees with such things as compensation, bonuses, rewards, and the simplification of work responsibilities. Human resources is responsible for managing a workforce as one of the primary resources that contributes to the success of an organization. Human resources incorporate and develop personnel management tasks, while seeking to create and develop teams of workers for the benefit of the organization. The goal of human resources is to enable employees to work to a maximum level of efficiency. Human resource management holds that improved performance leads to employee satisfaction.

Few main rolls of HRM

People in an organization carry out many important work activities. The role of human resource management in organizations is to organize people so that they can effectively perform these activities.

Recruitment and Selection

Recruitment is the process of captivating, screening, and selecting potential and qualified candidates based on objective criteria for a particular job. The goal of this process is to attract the qualified applicants and to encourage the unqualified applicants to opt themselves out.

Before starting the process of recruitment, the companies must execute proper staffing plans and should grade the number of employees they are going to need. Forecasting of the employees should depend upon the annual budget of the organization and short-term and long-term goals of the organization.

Human Resource Development (training & development)

HR is responsible for ensuring that employees receive the appropriate training (whether in-house or off-site) to adequately perform their jobs.  Thus, employees will be equipped to help achieve desired departmental and company goals and objectives.  HR Specialist also assists with change management and performance management needs of the organization.

Total Rewards (compensation & benefits)

The HR benefits team is responsible for acquiring and administering an attractive compensation and benefits package for new hires. This might include: a competitive salary range, medical and dental insurance, choice of life insurance, tuition reimbursement, and more. The HR recruiter should promote and offer an attractive rewards package to those candidates who meet the selection criteria at some point during the interview process.

Policy Formulation

Human Resources keep new hires and current employees abreast of the policies and procedures of the organization. This might include the distribution of employee handbook, code of conduct manual, and performance appraisals guidelines.

Employee and Labor Relations

The employee relations team seeks to align the employees’ needs and rights with the needs of the organization.  Things such as: union and non-union issues, discrimination issues, and sexual harassment claims are matters that should be handled by the labor relations department.

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Reference

Ø  http://www.differencebetween.net/business/difference-between-hrm-and-personnel-management/

Ø  http://www.whatishumanresource.com/human-resource-management

Ø  http://open.lib.umn.edu/humanresourcemanagement/chapter/1-1-what-is-human-resources/