This document discusses human resource management in a changing environment. It defines HRM as making productive use of human resources to benefit both organizations and individuals. The scope of HRM is vast and includes activities like planning, recruitment, training, performance reviews, compensation, and industrial relations. Factors like globalization, technology, and workforce diversity are changing the role of HR from administrative to more strategic. An HRIS uses technology to store and analyze HR information. The environment affecting HRM includes internal factors like organizational culture and external factors like economic conditions, laws, and sociocultural influences.

1. 1
HUMAN
RESOURCE
MANAGEMENT
IN
CHANGING
ENVIRONMENT

3. Whatishumanresourcemanagement?
Definition of HRM:
 Human resource management is to make the most
productive use of human resource to the greatest
benefits of the organization and individuals.
Organization: profits and social commitments.
Individuals: development and achievement.
 Human Resource Management is a process, which
consists of four main activities, namely, acquisition,
development, motivation, as well as maintenance of
human resources.

4. Scope
 The scope of HRM is indeed vast.
 Activities included are –
1. HR Planning
2. Job analysis and design
3. Recruitment and selection
4. Orientation and placement
5. Training and development
6. Performance appraisal

5. 7. Employee and executive remuneration
8. Motivation and communication
9.Welfare
10. Safety and health
11. Industrial relations

6. HRM
Nature of HRM Prospect of HRM
Employee
Remuneration
Employee
Motivation
Employee
Maintenance
Industrial
Relations

7. Changingroleofhr
 In the ‘90s the role of HR was primarily accepted to be that
of a support and an administrative one. The HR
professionals focussed on activities and deliverables and
not have them involved in strategic business activities.
 Globalization has forced companies to grow at a faster
pace, grow business across the globe.
 These changes have had varying effects on all resources,
most so on the "human" type. Some studies have shown
that mergers and acquisitions which have failed have been
primarily because of the failure in managing the human
resources; either having key employees separating, or
teams not able to integrate and work together as planned.
 Hence, the twenty-first century has brought about the
thought of seeking the involvement of HR professionals at
the strategic planning level.

8. HumanResourceInformationSystem(HRIS)
 A computer system used to acquire, store,
manipulate, analyze, retrieve, and distribute
information related to an organization’s human
resources.
 An HRIS can:
 -support strategic decision making
 -help the organization avoid lawsuits
 -provide data for evaluating programs or policies
 -support day-to-day HR decisions

9. Implicationsofe-HRMforHRMPractices

10. FactorsaffectingenvironmentofHRM
 What is Environment?
 Environment refers to “totality of all factors which
influence both the organisation and personnel sub-
system”
Internal Factors
Mission
Policies
Organisational culture
Organisational structure
HR system
External Factors
Technological factors
Economic factors
Political factors
Socio -culture factors
Local factors
Local and Governmental issues
Unions
Employers’ demands
Workforce diversity

11. Technologicalfactor
 Galbraith has defined technology as “systematic
application of organised knowledge to practical
tasks.”
 With New technology job become more intellectual
or upgraded.
 New technology dislocates workers unless they
become well equipped to work on new machines
 Employees who make use of new technology, job
will be challenging and rewarding
 Use of technology along with upgrading jobs,
human relations get affected
 Job holders become highly professionalized and
knowledgeable

12. Economic
 All the economic indicators are important but major
effects put by
 Suppliers
 Competitors
 Customers
 Economic growth
 Industrial labour
 Commitment to industry
 Protective legislation
 Economic and social status of employee
 unioninsm

13. Socio-culturalfactor
 Place, culture creates type of people who become
members of an org.
 Culture itself build attitude with individual
 Time orientation of people has roots in culture (past,
present and future)
 Culture shapes the individual behaviour with inputs
such as, ethics (work ethics), achievement needs,
effort-reward expectations etc.
 Culture makes people confine themselves to certain
occupations and regions

14. Political,legalandgovernment
 Total political envir. Constitute with
 Legislature ( law making body)
 Executive (law implementing body)
 Judiciary body ( keep watch on both)
 As mgt. can not manage people unilaterally , it has to be
abide by rules and regulations imposed by govt. from time
to time
 Trade union act,1926
 The payment of wages act, 1936
 The minimum wages act, 1948
 The payment of bonus act, 1948
 Payment of gratuity act, 1972

15. Workforcediversity
 Organisations are becoming cosmopolitan
 Change in demographic environment
Young Old
oInexperienced
oImpulsive
oImpatient
oUnethical/ not always ethically
conscious
oSelfish
omanipulative
oDifficult
oTraditional
oGo by the rule book
oWorkaholic
oInflexible
oPrefer safe, steady work envir.
Less risky activities
 Women at work
 Level of formal education
Always challenge and question the mgt.’s decisions and want voice in
co.’s affairs affecting their interest

16. Internalforces
Mission
Policies
Organisational
culture
Organisational
structure
HR system

17. Conclusion
 The changing business scenario, mainly driven by factors like
globalization, mergers and acquisitions, technology, outsourcing, and
workforce demographics, is influencing all functional areas within an
organization, including HR.
 Earlier HR has been playing an administrative role and was seen by the
management as a support function. This support function had a cost
implication and the question being raised is "what is the return on this
cost?"
 In the event of HR continuing to do what it had been doing, they would
also be faced with a situation of whether to outsource their work, the
consequence of which would be the department being shut down.
 If the HR can come back with an appropriate answer that delivers value
for the cost incurred, then they would not only find a place in the
company, but also move on to being involved in the business of the
organization.