The document provides an introduction to human resource management. It discusses key points such as the definition of HRM, the history and evolution of HRM approaches, functions of HRM including strategic and operational functions, emerging roles of HRM, and challenges faced by HR professionals. Organizational structure and its relationship to HRM is also examined, including differences between formal and informal organizations as well as line and staff functions. The roles of HR executives are outlined.

1. INTRODUCTION TO
HUMAN RESOURCE
MANAGEMENT

2. •According to Adi Godrej,
“all corporate strengths are
dependent on people.”

3. Human Resource Management
• ‘The real sources of competitive leverage are
the culture and capabilities of your organization
that derive from how you manage your people.’

4. Points to Ponder
• Definition and Concept of HRM
• History of HRM
• Functions of HRM
• HR Policies and Procedures
• Emerging Role of HRM
• Role of HR Executives
• Challenges to HR Professionals
• Strategic HRM

5. Human Resource Management
• “HRM is the function performed in
organizations that facilitates the most
effective use of people to achieve
organizational and individual goals.”
– Ivancevich and Glueck

6. History of HRM - 1
• Scientific Management Approach (mid 1900s) –
–
–
–
–
–
Study of motion and fatigue
‘one-best-way’ to accomplish the task
Piece-rate system
Welfare programmes
Failed to bring behavioural changes and increase in
productivity
• Human Relations Approach (1930-40)
– Effect of social and psychological factors
– Relations and respect  High Productivity

7. History of HRM - 2
• Human Resources Approach (1970s)
– Principles
• Employees are assets
• Policies, programmes and practices - help in work and
personal development
• Conducive environment

8. Challenges of HRM
• Individuals differ from
one another
• Customization of
stimulation and
motivation
• Demanding personnel

9. Functions of HRM - 1
Managerial
Planning
Organizing
Staffing
Directing
Controlling

10. Functions of HRM - 2
Operational
Employment
HR Development
Compensation Mgt
Employee Relations
HR Planning
Performance
Appraisal
Job Evaluation
Recruitment
Training
Wage and Salary Admn
Selection
Management
Development
Incentives
Placement
Career Planning and
Development
Bonus
Induction
Fringe Benefits

11. Emerging role or HRM
• Value of Human Resource
• Competitive advantage
• Human Resource
Accounting – It is
measurement of the cost
and value of people for an
organization

12. ROLE OF HR EXECUTIVES
• Service provider
• Executive
• Facilitator
• Consultant
• Auditor

13. Challenges to HR Professionals
•
•
•
•
•
•
Worker productivity
Quality improvement
The changing attitudes of workforce
The impact of the government
Quality of work-life
Technology and Training

14. Organizational
Structure & HRM

15. Why structure ???
 What structure signifies?
 No directions
 Leads to confusion
 Chaos
 Why???????????

16. MAIN POINTS OF CHAPTER
 Organizational Structure and Human
Resource Management
 Formal and Informal Organizations
 Tall and Flat Organizational Structures
 Responsibility, Authority and Accountability
 Line and Staff Functions
 Human Resource Management and other
Organizational Functions

17. Mechanistic Vs organic
organization
 Rigid structure
 Employees are tied
by rules &
regulations
 High degree of
centralization
 Suitable for
operating in static
environment
 Decision-making is
done by superiors
 Ex:Public sector in
the pre-reforms era
 Flexible structure
 Employees are not
tied by rules &
regulations
 Decentralized style
of management
 Suitable for
operating in dynamic
environment
 Decision-making is
done by junior level
employees also
 Ex: Marico`s Saffola

18. Formal
organization
President
Vice
President
Division
Managers
Division
Managers
Vice
President
Division
Managers
Department
Managers
Department
Managers
Department
Managers
Division
Managers
Division
Managers
Informal
organization
Chess group
Vice
President
Division
Managers
Division
Managers
Division
Managers
Division
Managers
Department
Managers
Department
Managers
Department
Managers
Department
Managers
Department
Managers
Department
Managers
Informal organization
Bowling team

19. Tall Vs Flat structure
CMD
COO
ED
GM
GM
ED
GM
CM
ED
PM
PM
PM
PM
CM
Manager
Team
Lead
Team
Lead
Team
Lead
Manager
Officer
Team
Member
Officer
TALL
STRUCTURE
Executive
Executive
Team
Member
Team
Member
FLAT
STRUCTURE
Team
Member

20. RESPONSIBILITY, AUTHORITY &
ACCOUNTABILITY
 Responsibility:
It is the obligation of a manager to carry out the
duties assigned to him.
 Authority:
It refers to the right to give orders and
the power to exact obedience from others in
the process of discharging responsibility.
 Accountability:
The employee's answerability on using
the authority in discharging the responsibility
is termed accountability.

21. LINE AND STAFF
FUNCTIONS
 Departments or
employees of a
firm that perform
core activities
 Contributes directly
to the business of
the firm
 Ex: Manufacturing
and Marketing
departments
 Departments or
employees of a
firm that perform a
support function
 Contributes
indirectly to the
business of the
firm
 Ex: HR and Finance
departments

22. Line & Staff Relationship
TradiTional concepT
TradiTional concepT
Service orienTed firm
Service orienTed firm
Which are line and STaff funcTionS
Which are line and STaff funcTionS
BoTh needS To SupporT each oTher
BoTh needS To SupporT each oTher

23. Line staff conflict
Different perception
Different perception
HR professional to bring change
HR professional to bring change
Understand market & organization
Be empathetic
Build trust and transparency
Win – win approach

24. The Role of Human Resources
Department
As a specialist
As a specialist
As a facilitator
As a facilitator
As a change agent
As a change agent
As a controller
As a controller

25. HUMAN RESOURCE
MANAGEMENT AND OTHER
ORGANIZATIONAL FUNCTIONS
Product & HR
Product & HR
Production & HR
Production & HR
Marketing & HR
Marketing & HR
Management Techniques & HR
Management Techniques & HR
Organization structure & HR
Organization structure & HR

26. summary
Organizational Structure and Human
Resource Management
Formal and Informal Organizations
Tall and Flat Organizational
Structures
Responsibility, Authority and
Accountability
Line and Staff Functions
Human Resource Management and
other Organizational Functions

27. Think before others think

28. Human
Resource
Planning

29. Point to ponder
 Definition of Human Resource
Planning
 Objectives of Human Resource
Planning
 The Process of Human Resource
Planning
 Managing the Forecasted
Demand/Surplus
 Growing Importance of Human
Resource Planning

30. Opening case
• HRP??? NO, Thank you
• A reputed south Indian university appointed 218
people on temporary basis and paid them Rs 750/month
later increased to 1575/month.
• University already had surplus of these employees
eating away 22% of budget allocation
• 33% of temporary staff already working for 10 years
– No laid down procedure for recruitment or appointment, go to vice
chancellor and get your name scribbled on it and your are taken in

31. • They then realised the guilt of violating Equal
Remuneration Act and supressing human rights
• What to do with this 218 temoparay staff...??
• University can dismiss services of 33% as there have been
breaks in their services. Will they take it?????
• While 67% of temporary staff, university can not
terminate them, as there were no breaks
• University decides to regularize their services, with 50
available vacancies
• This would cost the university an exra expenditure of Rs
30 lakh/year. And 1.2 crore for rest remaining...

32. Human Resource
planning
Right number
Right number
Right Skills
Right Skills
Right Time
Right Time
Right Cost
Right Cost

33. HRP defined
• Process of anticipating
and making provision for
the movement of people
into, within, and out of an
organization

34. Objectives of HRP
Right Time
Right Time
• To maintain
Right number
Right number
• To forecast
Right Skills
Right Skills
Right Cost
Right Cost
• To optimize
• To utilize

35. HRP at different
planning levels
 Corporate – level planning
 Intermediate – level planning
 Operations planning
 Planning short-term activities

36. Organizational plans
Organizational plans
and objectives
and objectives
Identify future human
Identify future human
resource requirements
resource requirements
HUMAN RESOURCE
HUMAN RESOURCE
PLANNING MODEL
PLANNING MODEL
Compare with the
Compare with the
current HR inventory
current HR inventory
Determine the numbers,
Determine the numbers,
levels & criticality of vacancies
levels & criticality of vacancies
Analyze the cost & time involved
Analyze the cost & time involved
in managing the demand
in managing the demand
Choose the resources &
Choose the resources &
methods of recruitment
methods of recruitment
Determine the redundant
Determine the redundant
numbers
numbers
Analyze the cost & time
Analyze the cost & time
required for managing surplus
required for managing surplus
Redeploy
Redeploy
Retrench
Retrench

37. Assessing current human
resources and making
inventory
• Job analysis
• HR inventory – HRIS
• Generate a fairly accurate
picture existing situation

38. Forecasting
• Compare future needs with
current availabity
• Analyze companies change
plan
• Forecasting methods used
are Time Series Analysis,
Regression Analysis and
Productivity Ratios

39. Matching the inventory with
future requirements
• If the current inventory
exceeds the future
requirements
• Natural attrition cannot bring
down resource to match
• What to consider then????

40. MANAGING THE FORECASTED
DEMAND / SURPLUS
Managing future demand
Managing future demand
Managing Future Surplus
Managing Future Surplus

41. Dealing With Surplus
Manpower
Retrenchment
Retrenchment
outplacement
outplacement
layoffs
layoffs
Leave of absence without pay
Leave of absence without pay
Loaning
Loaning

42. Work Sharing
Work Sharing
Reduced work hours
Reduced work hours
Early/voluntary retirement
Early/voluntary retirement
attrition
attrition

43. Growing importance
of HRP

44. Thank you