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Human Resource Management (BEBA55A) UNIT-1
Jawahar Science College, Block-14, Neyveli. Page 4 of 18
5. Identifies person for the future:-
Since employees are constantly trained, they are ready to meet the job requirements. The
company is also able to identify potential employees who can be promoted in the future for the
top level jobs. Thus one of the advantages of HRM is preparing people for the future.
6. Allocating the jobs to the right person:-
If proper recruitment and selection methods are followed, the company will be able to select
the right people for the right job. When this happens the number of people leaving the job will
reduce as the will be satisfied with their job leading to decrease in labour turnover.
7. Improves the economy:-
Effective HR practices lead to higher profits and better performance by companies due to this
the company achieves a chance to enter into new business and start new ventured thus industrial
development increases and the economy improves.
SCOPE OF HRM
The major HRM activities include HR planning, job analysis, job design, employee hiring,
employee and executive remuneration, employee motivation, employee maintenance,
industrial relations and prospects of HRM.
The scope of Human Resources Management extends to:
o All the decisions, strategies, factors, principles, operations, practices, functions,
activities and methods related to the management of people as employees in any type
of organization.
o All the dimensions related to people in their employment relationships, and all the
dynamics that flow from it.
The scope of HRM is really vast. All major activities on the working life of a worker – from
the time of his or her entry into an organization until he or she leaves it comes under the purview
of HRM. American Society for Training and Development (ASTD) conducted fairly an
exhaustive study in this field and identified nine broad areas of activities of HRM.
o Human Resource Planning
o Design of the Organization and Job
o Selection and Staffing
Human Resource Management (BEBA55A) UNIT-1
Jawahar Science College, Block-14, Neyveli. Page 5 of 18
o Training and Development
o Organizational Development
o Compensation and Benefits
o Employee Assistance
o Union/Labour Relations
o Personnel Research and Information System
a) Human Resource Planning:
The objective of HR Planning is to ensure that the organization has the right types of persons
at the right time at the right place. It prepares human resources inventory with a view to assess
present and future needs, availability and possible shortages in human resource.
HR Planning forecast demand and supplies and identify sources of selection. HR Planning
develops strategies both long-term and short-term, to meet the man-power requirement.
b) Design of Organization and Job:
This is the task of laying down organization structure, authority, relationship and
responsibilities. This will also mean definition of work contents for each position in the
organization. This is done by ―job description‖. Another important step is ―Job specification.
Job specification identifies the attributes of persons who will be most suitable for each job
which is defined by job description.
c) Selection and Staffing:
This is the process of recruitment and selection of staff. This involves matching people and their
expectations with which the job specifications and career path available within the organization.
d) Training and Development:
This involves an organized attempt to find out training needs of the individuals to meet the
knowledge and skill which is needed not only to perform current job but also to fulfil the future
needs of the organization.
e) Organizational Development:
This is an important aspect whereby ―Synergetic effect‖ is generated in an organization i.e.
healthy interpersonal and inter-group relationship within the organization.
Human Resource Management (BEBA55A) UNIT-1
Jawahar Science College, Block-14, Neyveli. Page 6 of 18
f) Compensation and Benefits:
This is the area of wages and salaries administration where wages and compensations are fixed
scientifically to meet fairness and equity criteria. In addition labour welfare measures are
involved which include benefits and services.
g) Employee Assistance:
Each employee is unique in character, personality, expectation and temperament. By and large
each one of them faces problems every day. Some are personal some are official. In their case
he or she remains worried. Such worries must be removed to make him or her more productive
and happy.
h) Union-Labour Relations: Healthy Industrial and Labour relations are very important for
enhancing peace and productivity in an organization. This is one of the areas of HRM. i)
Personnel Research and Information System: Knowledge on behavioural science and industrial
psychology throws better insight into the workers expectations, aspirations and behaviour.
Advancement of technology of product and production methods have created working
environment which are much different from the past. Globalization of economy has increased
competition many fold. Science of ergonomics gives better ideas of doing a work more
conveniently by an employee. Thus, continuous research in HR areas is an unavoidable
requirement. It must also take special care for improving exchange of information through
effective communication systems on a continuous basis especially on moral and motivation.
Objectives of HRM
The primary objective of HRM is to ensure the availability of competent and willing workforce
to an organization.
The specific objectives include the following:
1. Human capital: assisting the organization in obtaining the right number and types of
employees to fulfil its strategic and operational goals.
2. Developing organizational climate: helping to create a climate in which employees are
encouraged to develop and utilize their skills to the fullest and to employ the skills and
abilities of the workforce efficiently.
3. Helping to maintain performance standards and increase productivity through effective
job design: providing adequate orientation, training and development; providing
performance related feedback; and ensuring effective two-way communication.

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BEBA55A -UNIT I_2.pdf

  • 1. Human Resource Management (BEBA55A) UNIT-1 Jawahar Science College, Block-14, Neyveli. Page 4 of 18 5. Identifies person for the future:- Since employees are constantly trained, they are ready to meet the job requirements. The company is also able to identify potential employees who can be promoted in the future for the top level jobs. Thus one of the advantages of HRM is preparing people for the future. 6. Allocating the jobs to the right person:- If proper recruitment and selection methods are followed, the company will be able to select the right people for the right job. When this happens the number of people leaving the job will reduce as the will be satisfied with their job leading to decrease in labour turnover. 7. Improves the economy:- Effective HR practices lead to higher profits and better performance by companies due to this the company achieves a chance to enter into new business and start new ventured thus industrial development increases and the economy improves. SCOPE OF HRM The major HRM activities include HR planning, job analysis, job design, employee hiring, employee and executive remuneration, employee motivation, employee maintenance, industrial relations and prospects of HRM. The scope of Human Resources Management extends to: o All the decisions, strategies, factors, principles, operations, practices, functions, activities and methods related to the management of people as employees in any type of organization. o All the dimensions related to people in their employment relationships, and all the dynamics that flow from it. The scope of HRM is really vast. All major activities on the working life of a worker – from the time of his or her entry into an organization until he or she leaves it comes under the purview of HRM. American Society for Training and Development (ASTD) conducted fairly an exhaustive study in this field and identified nine broad areas of activities of HRM. o Human Resource Planning o Design of the Organization and Job o Selection and Staffing
  • 2. Human Resource Management (BEBA55A) UNIT-1 Jawahar Science College, Block-14, Neyveli. Page 5 of 18 o Training and Development o Organizational Development o Compensation and Benefits o Employee Assistance o Union/Labour Relations o Personnel Research and Information System a) Human Resource Planning: The objective of HR Planning is to ensure that the organization has the right types of persons at the right time at the right place. It prepares human resources inventory with a view to assess present and future needs, availability and possible shortages in human resource. HR Planning forecast demand and supplies and identify sources of selection. HR Planning develops strategies both long-term and short-term, to meet the man-power requirement. b) Design of Organization and Job: This is the task of laying down organization structure, authority, relationship and responsibilities. This will also mean definition of work contents for each position in the organization. This is done by ―job description‖. Another important step is ―Job specification. Job specification identifies the attributes of persons who will be most suitable for each job which is defined by job description. c) Selection and Staffing: This is the process of recruitment and selection of staff. This involves matching people and their expectations with which the job specifications and career path available within the organization. d) Training and Development: This involves an organized attempt to find out training needs of the individuals to meet the knowledge and skill which is needed not only to perform current job but also to fulfil the future needs of the organization. e) Organizational Development: This is an important aspect whereby ―Synergetic effect‖ is generated in an organization i.e. healthy interpersonal and inter-group relationship within the organization.
  • 3. Human Resource Management (BEBA55A) UNIT-1 Jawahar Science College, Block-14, Neyveli. Page 6 of 18 f) Compensation and Benefits: This is the area of wages and salaries administration where wages and compensations are fixed scientifically to meet fairness and equity criteria. In addition labour welfare measures are involved which include benefits and services. g) Employee Assistance: Each employee is unique in character, personality, expectation and temperament. By and large each one of them faces problems every day. Some are personal some are official. In their case he or she remains worried. Such worries must be removed to make him or her more productive and happy. h) Union-Labour Relations: Healthy Industrial and Labour relations are very important for enhancing peace and productivity in an organization. This is one of the areas of HRM. i) Personnel Research and Information System: Knowledge on behavioural science and industrial psychology throws better insight into the workers expectations, aspirations and behaviour. Advancement of technology of product and production methods have created working environment which are much different from the past. Globalization of economy has increased competition many fold. Science of ergonomics gives better ideas of doing a work more conveniently by an employee. Thus, continuous research in HR areas is an unavoidable requirement. It must also take special care for improving exchange of information through effective communication systems on a continuous basis especially on moral and motivation. Objectives of HRM The primary objective of HRM is to ensure the availability of competent and willing workforce to an organization. The specific objectives include the following: 1. Human capital: assisting the organization in obtaining the right number and types of employees to fulfil its strategic and operational goals. 2. Developing organizational climate: helping to create a climate in which employees are encouraged to develop and utilize their skills to the fullest and to employ the skills and abilities of the workforce efficiently. 3. Helping to maintain performance standards and increase productivity through effective job design: providing adequate orientation, training and development; providing performance related feedback; and ensuring effective two-way communication.