1. What is involved in Human Resource
Management?
SOFT AND HARD HRM

2. Human resource management (HRM, or simply HR)
is the management of an organization's workforce,
or human resources. It is responsible for the attraction
, selection, training, assessment, and rewarding of
employees and ensuring compliance with employment
and labour laws.

3. Hard HR Management Soft HR Management
Treats employees simply as a resource of the
business (like machinery & buildings)
Strong link with corporate business planning –
what resources do we need, how do we get them
and how much will they cost
Treats employees as the most important resource
in the business and a source of competitive
advantage
Employees are treated as individuals and their
needs are planned accordingly
Focus of HRM: identify workforce needs of the
business and recruit & manage accordingly
(hiring, moving and firing)
Focus of HRM: concentrate on the needs of
employees – their roles, rewards, motivation etc
Key features Key features
Short-term changes in employee numbers
(recruitment, redundancy)
Strategic focus on longer-term workforce
planning
Minimal communication, from the top down Strong and regular two-way communication
Pay – enough to recruit and retain enough staff
(e.g. minimum wage)
Competitive pay structure, with suitable
performance-related rewards (e.g. profit share,
share options)
Little empowerment or delegation Employees are empowered and encouraged to
seek delegation and take responsibility
Appraisal systems focused on making
judgements (good and bad) about staff
Appraisal systems focused on identifying and
addressing training and other employee
development needs
Taller organisational structures Flatter organisational structures
Suits autocratic leadership style Suits democratic leadership style

4. HARD Human Resource
Management
SOFT Human Resource
Management
Time Scale HRM seen as a short-term policy:
employees are hired and fired as
necessary
Takes a long term view of using the
workforce are efficiently as possible to
achieve long term corporate
objectives.
Key Features 1.Employees are Paid As Little as
Possible
2.Employees have limited control over
their working life.
3.Communication mainly downward in
direction.
4.Judgmental Appraisals used
1.Managers consult regularly and fully
with employees.
2.Managers often give control of their
working life to employees through
delegation, empowerment and
delaying.
3.Emphasis on training and
development
4.Employees promoted from within
wherever possible – reflecting the
long-term aim to develop the
workforce.
5.Developmental appraisals given.
Motivational
Techniques
used:
Mainly motivated by Pay, with limited
use of delegation and team working.
Delegation, empowerment. Extensive
use of techniques designed to give
employees more power.

5. Hard vs Soft? The Debate
Which approach do you think works best and why? (use
knowledge of motivation)
Does the approach used depend on anything?
Which approach allows the business to achieve HRM
objectives. (think back to last lesson)

6. • Which of the two approaches is better? The answer is – it
depends!
• The “hard” approach to HR might be expected to result in a more cost-effective
workforce where decision-making is quicker and focused on senior managers.
However, such an approach pays relatively little attention to the needs of
employees and a business adopting a genuinely “hard” approach might expect
to suffer from higher absenteeism and staff turnover and less successful
recruitment.
• The “soft” approach will certainly appeal to the “touchy-feely” amongst us who
like to see people being treated nicely!
• And you can also make a good business case for an approach which rewards
employee performance and motivates staff more effectively. However, the
danger of taking too “soft” an approach is that when all the employee benefits
are added up, the cost of the workforce leaves a business at a competitive
disadvantage.

7. • Which of the two approaches is better? The answer is – it
depends!
• The “hard” approach to HR might be expected to result in a more cost-effective
workforce where decision-making is quicker and focused on senior managers.
However, such an approach pays relatively little attention to the needs of
employees and a business adopting a genuinely “hard” approach might expect
to suffer from higher absenteeism and staff turnover and less successful
recruitment.
• The “soft” approach will certainly appeal to the “touchy-feely” amongst us who
like to see people being treated nicely!
• And you can also make a good business case for an approach which rewards
employee performance and motivates staff more effectively. However, the
danger of taking too “soft” an approach is that when all the employee benefits
are added up, the cost of the workforce leaves a business at a competitive
disadvantage.