development of hrm concept

8/4/2019 Development of Hrm Concept

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Functions of HRM

Managerialfunctions

Planning

Organising

Directing &Actuating

Controlling.

Operative functions

Procurement

HRD

Compensation

Maintenance

Separation

Human relations

Effectiveness ofHRM


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Organisational significanceof HRM

Effective utilisation of HR to motivatethem & to change their attitude towork & the organisation.

To develop personnel to meet thedemands of the work effectively.

To ensure proper recruitment & to

retain personnel in the organisationso that the right people are available.


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Social significance ofHRM

Maintaining balance between jobs & jobseekers, taking into account jobrequirements,job seekers ability & aptitude.

Providing most productive employment fromwhich socio-psychological satisfaction can bederived.

Utilising human capabilities effectively &matching it with good rewards.

Eliminating wasteful organisational & individualpractices.


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Professional significance ofHRM

Developing people on continuousbasis to meet challenges of their

jobs. Maintaining the dignity of

personnel at the work place.

Providing proper physical & socialenvironment at the work place tomake work safe & enjoyable.


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In Past

In 50s Employees were recruited not to question WHY but only To do.

In 60s Terms like manpower, staff and personnel came to used.

In Late 70s People realized that beyond a point, productivity depended on people.


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Evolution Of HR in India

Period Development status Emphasis Role

1920s-1930s Beginning Welfare clerical stroke disciplinary,dismissal of workers]

1940s-1960s Struggling forRecognition Introduction to HRtechniques and IR Administrative[leave, bonus, retirementetc]

1970s-1980s Strong industrialrelations anddisputes,Regulatory

Managerial

[housing, medical leaveetc]

1990s Promising Human values,productivity throughpeople

Executive

[formulating policies, T&Dprograms, MDPs etc] andmanagerial role


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Continued

The first Factories Act was adopted in 1881. TheFactory Commission was appointed in 1885. TheFactories Act, 1948 (Amended On 1987).

In 1929 Royal commission of labour in India.

In 1931 J.H. Whitely recommended the

abolition ofJOBBER SYSTEM andthe appointment of labour

officers in industrial enterprises.


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Two professional bodies were found

In 1948 - Indian Institute Of Personal Management (IIPM) atKolkata .

In 1950 - The National Institute Of Labour Management (NILM) at

Mumbai.

In 1980 These two professional bodies merged together andformed National Institute Of Personnel Management(NIPM) headquartered at Kolkata.

In 1990 Milestone was achieved by renaming of AmericanSociety For Personnel Administration (ASPA) asthe Society For Human Resource Management

(SHRM).


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LIST OF AMENDING ACTS AND

ADAPTATION ORDERS

The Indian Independence (Adaptation of Central Acts and

Ordinances) Order, 1948.

The Adaptation of Laws Order, 1950.

The Part B States (Laws) Act, 1951 (3 of 1951).

The Industrial Disputes (Amendment and Miscellaneous

Provisions) Act, 1956 (36 of 1956).


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Continue D

The Industrial Employment (Standing Orders) AmendmentAct, 1961 (16 of 1961) .

The Industrial Employment (Standing Orders) Amendment

Act, 1963 (39 of 1963).

The Central Labour Laws (Extension to Jammu and Kashmir)Act, 1970 (51 of 1970).

The Industrial Employment (Standing Orders) AmendmentAct, 1982 (18 of 1982).


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HR PAST AND PRESENT:

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8/

25/

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DEVELOPMENT OF HRM CONCEPT

HRM CONCEPTS

US MODEL THE UK MODEL

MatchingModel

Harvard

ModelDavid Guest John Storey


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THE US MODEL

1. THE MATCHING MODEL: the human resourcesystem and organisation structure shouldmatch with organisational strategy.

2. THE HARVARD MODEL:

HRM is based on central philosophy and

strategic vision HRM involves all management decisions and

action that affect the nature of the relationshipbetween the organisation and its employees.

A longer term perspective in managing peopleand consideration of people as potential assetsrather than variable costs.

Mutual interests.


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Michigan Matching Model ofHRM


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THE CRITICISMS

MATCHING MODEL: The concept of FIT has been

criticised on a number of fronts:

A number of writers have commented thatbusiness strategy dictates HR strategy. Businessstrategy is formulated in a rational way, by thetop down approach.

A perfect match between business strategy andHr strategy might not be to the advantage of theorganisation as a whole.

It ignores the complex nature of human beingsand the possibility that workers and their unionsmight influence strategic planning.


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Situational factors

Stakeholder interests

HRM policy choices

HR outcomes

Long-term consequences

Harvard


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The Harvard model of HRM

(1984)


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Classifies inputs and outcomes at both

organizational and societal level.

Absence of a coherent theoretical basisfor measuring the relationship between

HR inputs, outcomes and performance.

Harvard


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THE UK MODEL1. DAVID GUEST : has taken the Harvard Model and

developed it further by defining 4 policy goals:

Strategic Integration

High Commitment

High Quality

Flexibility

2. JOHN STOREY ; suggests four aspects which constitutethe meaningful version of HRM

HRM is constellation of beliefs & assumption

The central involvement of line managers

A strategic thrust informing decisions about peoplemanagement

Reliance upon a set of levers to shave theemployment relationship


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Reflects view that a core set of integrated

HRM practices can achieve superior

individual and organizational

performance.

HRM differs from personnel management.

Guest


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Guest


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The Guest model of HRM


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Extends the Harvard framework.

Maps the connections between the outer

and inner contexts and explores howHRM adapts to changes in context.

Warwick


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The Warwick model of HRM


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Demonstrates the differences between

the personnel and industrials and the

HRM paradigm by creating an ideal type.

Characterizes HRM as an amalgam of

description, prescription, and logical

deduction.

Storey


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The Storey model of HRM


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Storey


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HR and Technology

HR professionals need to stay current ondevelopments in technology.

Information monitoring, disseminating andcollaborating.

HR professionals need to adapt technologies toenhance functions such as recruiting.

HR professionals need to acknowledgeemployees expectations about technologyavailability.

HR professionals need to be aware of effect oftechnology on employees lives.

development of hrm concept

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