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HUMANRESOURCE
MANAGEMENT
FUNCTIONS OF HRM
A.AlbertRavi,AssistantProfessor
DepartmentofCommerce
St.Joseph’sCollegeofArtsandScience(Autonomous)
Cuddalore
TREYresearch
FUNCTIONS OF HRM.
2
The functions of HRM can be broadly classified into
two categories:- A. Managerial Functions B.
Operative Functions
TREYresearch
Fivebasic(Managerial)functionsofHumanResourceManagement
1.PLANNING
2. ORGANISING
3. STAFFING
4.DIRECTING
5.CONTROLLING.
3
Some of the managerial functions of HRM are:
TREYresearch
MANAGERIAL FUNCTIONS....
1. PLANNING
Planning is the first and basic function of the management
and everything depends upon planning as it is a process of thinking
about things before they happen and to make preparations in-advance to
deal with them.
Therefore HR Mangers should be aware of when is right time to do
things, when things should be done and when things should not be done
in order to achieve goals and objectives of the organization.
4
TREYresearch
MANAGERIAL FUNCTIONS....
PLANNING-HR
HR Mangers should plan the following properly in order to achieve goals and
objectives of the organization:
 Establishing goals and objectives to be
achieved through the employees so as to achieve the
organizational mission
 Developing rules and procedures which has to be
followed by the employees in order to avoid any sort
of discrimination among the employees in any of their
functions
 Determining plans and forecasting techniques as a
part of Human resource planning to avoid any
shortfall of workforce
 HR outsourcing: as that of make or buy decision in
operations management, human resource manager should
be able to make decisions with regard to HR activities which
are to be executed by the management itself or to be
outsourced when there is advantage of expertise to bring in
and cost-saving for organization.
• Thus, planning provides the basis for
effective and most economical action in
the future. It leads to integrated action and
reduces considerably the probability of
unanticipated crisis.
• It also leads to the use of effective and
efficient methods and helps in
accomplishing the desired goals of the
enterprise through better control and
coordination.
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TREYresearch
2.Organising
MANAGERIAL FUNCTIONS.......
6
Organising involves the establishment of an
organisation structure through determination
and grouping the activities, the assignment of
activities to the specified individuals and
departments
And defining their role, establishing
relationships, the delegation of authority to
carry out the responsibilities and provision of
coordination of men and work.
TREYresearch
ORGANISING-HR
HR managers should be well aware of organizing everything related to human resource and organisation as
organizing is the process of making and arranging everything in the proper manner in order to avoid any
confusion and conflicts. They need to organise such as:
 Giving each member a specific tasks to finish overall
objectives of the job given to an employee.
 Establishing departments and divisions according to
the nature of jobs and works in order to improve the
efficiency, expertise and speedup the work.
 Delegating authority to the members for a good
cause and to make employees more responsible
towards their job and organisation is a part of
employee development.
 Establishing channels of authority and
communication
 Creating a system to coordinate the works of the
members so as to make the employees to work
properly and not to cause any conflict in the
allocation of the work to the employees.
• Thus, The HR manager is expected
to procure the resources necessary
to carry out the HR programme,
design an appropriate system to
carry out such a programme and
also establish lines of authority and
communication between the various
people working with or receiving
benefits from the HR programmes.
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3.StaffingMANAGERIAL FUNCTIONS
Staffing is a process of manning the organisation and
keeping it manned.
TREYresearch
STAFFING-HR
 Determining the type of people to be hired should be
emphasised as they are the fundamental resource
and investment for any organisation.
 Recruiting prospective employees and selecting the
best ones from them is one of the primary functions
of human resource management.
 Compensating the employees is one of the core
functions of the human resource management.
Among all the motivating factors money is the very
important primary motivating factor for any
employee.
 Setting performance standards, measuring and
evaluating the employees: A performance
appraisal is meant to help employees realise their
strengths and shortcomings and receive a
compensation accordingly.
 Counselling the employees
 HR Metrics: Application of formulas for measuring and
calculating core HR issues so as to draw exact HR results
and current scenario of organisation. The very purpose
of HR metrics is to indicate current position and
performance of the organisation.
9
Staffing is one of the key functions of human resource management as staffing is the process of
employing right people, providing suitable training and placing them in the right job by paying them
accordingly and satisfactorily.
So, the HR manager is required to recruit,
select, train, place, compensate, promote
and retire the personnel of the
organisation at the appropriate time in a
manner most conducive for
accomplishing the objectives of the
enterprise. The HR department itself is all
about staffing.
4.Directing: It refers to theprocessof instructing,
guiding,counseling, motivating and leading people in the
organisation toachieve its objectives.
MANAGERIAL FUNCTIONS
TREYresearch
Directing-HR
Directing is a knowledge, discipline and formal way of communicating to others that what
you are expecting from them to do for you or to an organization. Directing involves:
 Getting work done through subordinates so as
to meet the organisation's goals and objectives.
 Ensuring effective two-way communication for
the exchange of information with the
subordinates in order to effectively communicate
the goals and objectives of the organisation.
 Motivating subordinates to strive for better
performance by way of providing employee
recognition, rewards, intrinsic benefits, paid
vacations, increments in salary, gifts, any social
security benefits to employees and their family
members.
 Maintaining the group morale by way of fair
treatment among employees, being ethical and
generous towards employees, management being
loyal to its employees and giving priority to
employee concerns.
• So, the HR manager have right
directing capabilities, it gives
clarity for employees what
they are expected to perform,
removes confusion in
employees and gives clarity of
what results are expected by
the management from
employees.
11
5.Controlling
MANAGERIAL FUNCTIONS
Controlling consists
in verifying whether
everything occurs in
conformity with the
plan adopted, the
instructions issued and
the principles laid
down.
In this way,
controlling is a
measuring and
TREYresearch
CONTROLLING-HR
HR managers should have the knowledge of controlling all HR related matters, as they should
be able to think and decide what should be done and what should not be done. For
controlling the HR should do :
 Establishment of standard performance so as to
measure the actual performance of the
employees by conducting performance
evaluation for appraisals
 Measurement of actual performance with the
established performance standards of
employees for finding out gaps in employee
performance.
 Comparison of actual performance with the
standard one to find the deviation for initiation
of corrective actions, if there are any deviations.
 Corrective actions includes: giving proper and
suitable training , withholding of increments,
Demotion , suspension and discharge from job
etc.,
• Thus, we can say that
through direct observation,
supervision report, records,
audits and so on, the HR
manager ensures that the
enterprise is carrying out the
HR programme on the
desired lines and, if
necessary, takes corrective 13
TREYresearch
II.OPERATIVEFUNCTIONS
Operative functions are performed by the human resource manager
continuously and regularly. Its nature is like a routine type.
Add a footer 14
TREYresearch
OperativeFunctions 1. PROCUREMENT - HR
The first important function of HRM is securing and employing the right type of personnel
according to the needs or requirements of the organization. Procurement includes:
 Job analysis is a systematic process of gathering
all the data & information pertaining to the job for
preparing of job specification and job description.
 Job design is the process of deciding on the
content of a job in terms of its duties and
responsibilities.
 Human resource planning (HRP) may be
defined as strategy for acquisition, utilization,
improvement and preservation of the human
resources of an enterprise.
 Recruitment and Selection: Recruiting is the
process of inviting qualified job seekers by using
different platforms . Subsequently, selection of
right person form the pool of candidates by
administering various selection tests like
preliminarily screening, written tests, oral tests and
interviews etc.
Induction & Orientation: Induction is
aimed at introducing the job and
organization to the recruit and him or her
to the organization.
 Orientation is the planned introduction
of new employees to their jobs,
coworkers, and the organization so as to
alien an employee with their job role.
Socialization is a process of making
employees to mingle up with everyone for
team-spirit
Transfer, Promotion , Separation etc.,
15
TREYresearch
OperativeFunctions 2. DEVELOPMENT - HR
Development process is improving the skills and knowledge, creativity, ability, intellectual
ability, capacities of employees. It Includes:
Career planning and Career
development; process of establishing
personal career objectives by employees and
acting in a manner intended to bring them
about.
Employee training and development - It
ensures continuous skill development of
employees working in organisation and
habituates process of learning for developing
knowledge to work.
Executive development ; developing the
skills and competencies of those that (will)
have executive positions in organisations.
Performance Appraisal: Measurement of
actual performance with the
established performance standards of
employees for finding out gaps in
employee performance as to provide
training and development.
Overall development of
organisation: Though human resource
department is one of the departments in
organization, but it is linked to overall
development of organisation as
employees are center for final output and
organisation's performance.
16
TREYresearch
OperativeFunctions 3. COMPENSATION - HR
It means providing adequate, equitable, regular and fair remuneration to the employees.
According to the services rendered by the employees, remuneration should be given. It
Includes:
Job evaluation; analyzing and assessing
various jobs systematically to ascertain
their relative worth in an organization.
 Performance Appraisal of employees, as
to take decisions with regard to
compensating and rewarding employees.
Wages or salary administration as
prescribed by the labour laws.
Employee rewards, perks and
benefits payments according to the
employment and labour laws.
Employee benefits are categorised into
statutory or mandatory and voluntary
benefits.
Bonus and Incentives
Payroll maintenance
17
TREYresearch
OperativeFunctions 4. COMPENSATION - HR
HRM has to perform one more important function that is integration of individual
employee interest and business organization interest. Integration function includes:
Motivating employees stimulate the
desire and energy in employees to be
continuously interested in a job and
committed it, role, or subject, and to exert
persistent effort in attaining a goal.
 Job rotation is the technique in which
employee is moved between two or more
jobs in a systematic and planned manner
to enhance job satisfaction.
Industrial relations is the process of
management dealing with one or more
unions with a view to negotiate and
subsequently administer collective
bargaining agreement or labour contract.
 Employee rewards, perks and
benefits payments according to the employment
and labour laws. Employee benefits are
categorised into statutory or mandatory and
voluntary benefits.
 Employee Discipline: Discipline is the force that
prompts employees to observe rules, regulations,
standards and procedures deemed necessary for
an organization.
 Grievance Redressal is a formal communication
between an employee and the management
designed for the settlement of a grievance of
employees.
 Dispute settlement
 Collective bargaining
 Resolving conflicts among employees
 Prevention and dealing with sexual harassment 18
TREYresearch
OperativeFunctions 4. MAINTENANCE - HR
HRM maintains the employees in the organization and has to utilize them at the
optimum level and also take the care of safety and health of the employees. It includes:
Employee well-being; Providing good
working conditions at workplace is the
fundamental duty of Human Resource
Management department.
It is also the duty of Human Resource
Management to provide welfare measures
like Pure water drinking facilities,
restrooms, lunchroom in an organisation
Social security for employees: Providing
and contributing Employee Provident
fund, Payment of Bonus, compensation,
payment of gratuity, maternity benefit,
paternity benefit and employee insurance.
Maintaining HR records in accordance
with employment laws and
oranisational needs.
Human Resource information
system tracks employees and all
information about them. It is usually
done in a database or, more often, in a
series of inter-related databases.
Personal Research
Personal Audit
19
TREYresearch
Conclusion…..
Since every organization is made up
of people, acquiring their services,
developing their skills, motivating
them to higher levels of performance
and ensuring that they continue to
maintain their commitment to the
organization are essential to achieving
organizational objectives. This is true,
regardless of the type of organization
— government, business, education,
health, recreation, or social action.
• Whilst it is not easy to ensure
that all the functions of
human resource management
are interdependent,
interrelated and depend upon
the specific situation. Most
functions are carried out as
one single activity of
management.
• . 20
HRM is a social process involving responsibility for economic planning and supervising
activities of an enterprise keeping the ‘human factor’in forefront of all activities.
TREYresearch
Add a footer 21

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SJCTNC-Functions of Human Resource Management( CM512Q)

  • 2. TREYresearch FUNCTIONS OF HRM. 2 The functions of HRM can be broadly classified into two categories:- A. Managerial Functions B. Operative Functions
  • 4. TREYresearch MANAGERIAL FUNCTIONS.... 1. PLANNING Planning is the first and basic function of the management and everything depends upon planning as it is a process of thinking about things before they happen and to make preparations in-advance to deal with them. Therefore HR Mangers should be aware of when is right time to do things, when things should be done and when things should not be done in order to achieve goals and objectives of the organization. 4
  • 5. TREYresearch MANAGERIAL FUNCTIONS.... PLANNING-HR HR Mangers should plan the following properly in order to achieve goals and objectives of the organization:  Establishing goals and objectives to be achieved through the employees so as to achieve the organizational mission  Developing rules and procedures which has to be followed by the employees in order to avoid any sort of discrimination among the employees in any of their functions  Determining plans and forecasting techniques as a part of Human resource planning to avoid any shortfall of workforce  HR outsourcing: as that of make or buy decision in operations management, human resource manager should be able to make decisions with regard to HR activities which are to be executed by the management itself or to be outsourced when there is advantage of expertise to bring in and cost-saving for organization. • Thus, planning provides the basis for effective and most economical action in the future. It leads to integrated action and reduces considerably the probability of unanticipated crisis. • It also leads to the use of effective and efficient methods and helps in accomplishing the desired goals of the enterprise through better control and coordination. Add a footer 5
  • 6. TREYresearch 2.Organising MANAGERIAL FUNCTIONS....... 6 Organising involves the establishment of an organisation structure through determination and grouping the activities, the assignment of activities to the specified individuals and departments And defining their role, establishing relationships, the delegation of authority to carry out the responsibilities and provision of coordination of men and work.
  • 7. TREYresearch ORGANISING-HR HR managers should be well aware of organizing everything related to human resource and organisation as organizing is the process of making and arranging everything in the proper manner in order to avoid any confusion and conflicts. They need to organise such as:  Giving each member a specific tasks to finish overall objectives of the job given to an employee.  Establishing departments and divisions according to the nature of jobs and works in order to improve the efficiency, expertise and speedup the work.  Delegating authority to the members for a good cause and to make employees more responsible towards their job and organisation is a part of employee development.  Establishing channels of authority and communication  Creating a system to coordinate the works of the members so as to make the employees to work properly and not to cause any conflict in the allocation of the work to the employees. • Thus, The HR manager is expected to procure the resources necessary to carry out the HR programme, design an appropriate system to carry out such a programme and also establish lines of authority and communication between the various people working with or receiving benefits from the HR programmes. Add a footer 7
  • 8. 3.StaffingMANAGERIAL FUNCTIONS Staffing is a process of manning the organisation and keeping it manned.
  • 9. TREYresearch STAFFING-HR  Determining the type of people to be hired should be emphasised as they are the fundamental resource and investment for any organisation.  Recruiting prospective employees and selecting the best ones from them is one of the primary functions of human resource management.  Compensating the employees is one of the core functions of the human resource management. Among all the motivating factors money is the very important primary motivating factor for any employee.  Setting performance standards, measuring and evaluating the employees: A performance appraisal is meant to help employees realise their strengths and shortcomings and receive a compensation accordingly.  Counselling the employees  HR Metrics: Application of formulas for measuring and calculating core HR issues so as to draw exact HR results and current scenario of organisation. The very purpose of HR metrics is to indicate current position and performance of the organisation. 9 Staffing is one of the key functions of human resource management as staffing is the process of employing right people, providing suitable training and placing them in the right job by paying them accordingly and satisfactorily. So, the HR manager is required to recruit, select, train, place, compensate, promote and retire the personnel of the organisation at the appropriate time in a manner most conducive for accomplishing the objectives of the enterprise. The HR department itself is all about staffing.
  • 10. 4.Directing: It refers to theprocessof instructing, guiding,counseling, motivating and leading people in the organisation toachieve its objectives. MANAGERIAL FUNCTIONS
  • 11. TREYresearch Directing-HR Directing is a knowledge, discipline and formal way of communicating to others that what you are expecting from them to do for you or to an organization. Directing involves:  Getting work done through subordinates so as to meet the organisation's goals and objectives.  Ensuring effective two-way communication for the exchange of information with the subordinates in order to effectively communicate the goals and objectives of the organisation.  Motivating subordinates to strive for better performance by way of providing employee recognition, rewards, intrinsic benefits, paid vacations, increments in salary, gifts, any social security benefits to employees and their family members.  Maintaining the group morale by way of fair treatment among employees, being ethical and generous towards employees, management being loyal to its employees and giving priority to employee concerns. • So, the HR manager have right directing capabilities, it gives clarity for employees what they are expected to perform, removes confusion in employees and gives clarity of what results are expected by the management from employees. 11
  • 12. 5.Controlling MANAGERIAL FUNCTIONS Controlling consists in verifying whether everything occurs in conformity with the plan adopted, the instructions issued and the principles laid down. In this way, controlling is a measuring and
  • 13. TREYresearch CONTROLLING-HR HR managers should have the knowledge of controlling all HR related matters, as they should be able to think and decide what should be done and what should not be done. For controlling the HR should do :  Establishment of standard performance so as to measure the actual performance of the employees by conducting performance evaluation for appraisals  Measurement of actual performance with the established performance standards of employees for finding out gaps in employee performance.  Comparison of actual performance with the standard one to find the deviation for initiation of corrective actions, if there are any deviations.  Corrective actions includes: giving proper and suitable training , withholding of increments, Demotion , suspension and discharge from job etc., • Thus, we can say that through direct observation, supervision report, records, audits and so on, the HR manager ensures that the enterprise is carrying out the HR programme on the desired lines and, if necessary, takes corrective 13
  • 14. TREYresearch II.OPERATIVEFUNCTIONS Operative functions are performed by the human resource manager continuously and regularly. Its nature is like a routine type. Add a footer 14
  • 15. TREYresearch OperativeFunctions 1. PROCUREMENT - HR The first important function of HRM is securing and employing the right type of personnel according to the needs or requirements of the organization. Procurement includes:  Job analysis is a systematic process of gathering all the data & information pertaining to the job for preparing of job specification and job description.  Job design is the process of deciding on the content of a job in terms of its duties and responsibilities.  Human resource planning (HRP) may be defined as strategy for acquisition, utilization, improvement and preservation of the human resources of an enterprise.  Recruitment and Selection: Recruiting is the process of inviting qualified job seekers by using different platforms . Subsequently, selection of right person form the pool of candidates by administering various selection tests like preliminarily screening, written tests, oral tests and interviews etc. Induction & Orientation: Induction is aimed at introducing the job and organization to the recruit and him or her to the organization.  Orientation is the planned introduction of new employees to their jobs, coworkers, and the organization so as to alien an employee with their job role. Socialization is a process of making employees to mingle up with everyone for team-spirit Transfer, Promotion , Separation etc., 15
  • 16. TREYresearch OperativeFunctions 2. DEVELOPMENT - HR Development process is improving the skills and knowledge, creativity, ability, intellectual ability, capacities of employees. It Includes: Career planning and Career development; process of establishing personal career objectives by employees and acting in a manner intended to bring them about. Employee training and development - It ensures continuous skill development of employees working in organisation and habituates process of learning for developing knowledge to work. Executive development ; developing the skills and competencies of those that (will) have executive positions in organisations. Performance Appraisal: Measurement of actual performance with the established performance standards of employees for finding out gaps in employee performance as to provide training and development. Overall development of organisation: Though human resource department is one of the departments in organization, but it is linked to overall development of organisation as employees are center for final output and organisation's performance. 16
  • 17. TREYresearch OperativeFunctions 3. COMPENSATION - HR It means providing adequate, equitable, regular and fair remuneration to the employees. According to the services rendered by the employees, remuneration should be given. It Includes: Job evaluation; analyzing and assessing various jobs systematically to ascertain their relative worth in an organization.  Performance Appraisal of employees, as to take decisions with regard to compensating and rewarding employees. Wages or salary administration as prescribed by the labour laws. Employee rewards, perks and benefits payments according to the employment and labour laws. Employee benefits are categorised into statutory or mandatory and voluntary benefits. Bonus and Incentives Payroll maintenance 17
  • 18. TREYresearch OperativeFunctions 4. COMPENSATION - HR HRM has to perform one more important function that is integration of individual employee interest and business organization interest. Integration function includes: Motivating employees stimulate the desire and energy in employees to be continuously interested in a job and committed it, role, or subject, and to exert persistent effort in attaining a goal.  Job rotation is the technique in which employee is moved between two or more jobs in a systematic and planned manner to enhance job satisfaction. Industrial relations is the process of management dealing with one or more unions with a view to negotiate and subsequently administer collective bargaining agreement or labour contract.  Employee rewards, perks and benefits payments according to the employment and labour laws. Employee benefits are categorised into statutory or mandatory and voluntary benefits.  Employee Discipline: Discipline is the force that prompts employees to observe rules, regulations, standards and procedures deemed necessary for an organization.  Grievance Redressal is a formal communication between an employee and the management designed for the settlement of a grievance of employees.  Dispute settlement  Collective bargaining  Resolving conflicts among employees  Prevention and dealing with sexual harassment 18
  • 19. TREYresearch OperativeFunctions 4. MAINTENANCE - HR HRM maintains the employees in the organization and has to utilize them at the optimum level and also take the care of safety and health of the employees. It includes: Employee well-being; Providing good working conditions at workplace is the fundamental duty of Human Resource Management department. It is also the duty of Human Resource Management to provide welfare measures like Pure water drinking facilities, restrooms, lunchroom in an organisation Social security for employees: Providing and contributing Employee Provident fund, Payment of Bonus, compensation, payment of gratuity, maternity benefit, paternity benefit and employee insurance. Maintaining HR records in accordance with employment laws and oranisational needs. Human Resource information system tracks employees and all information about them. It is usually done in a database or, more often, in a series of inter-related databases. Personal Research Personal Audit 19
  • 20. TREYresearch Conclusion….. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to higher levels of performance and ensuring that they continue to maintain their commitment to the organization are essential to achieving organizational objectives. This is true, regardless of the type of organization — government, business, education, health, recreation, or social action. • Whilst it is not easy to ensure that all the functions of human resource management are interdependent, interrelated and depend upon the specific situation. Most functions are carried out as one single activity of management. • . 20 HRM is a social process involving responsibility for economic planning and supervising activities of an enterprise keeping the ‘human factor’in forefront of all activities.