Human resource management is a complicated area as it deals with human beings involving a variety of tasks and activities. A wide range of issues covering manpower planning, recruitment, personnel, profession, human resource accounting, training and development, human relations in the organization, etc., are dealt with by the human resource management wing of management1.
The concept of human resource management is nowadays used as a synonym of personnel management when no particular connotation is implied. This concept is merely a guideless substitution for a range of other possibilities-including, ’employee relations; ‘people management, and the like. To keep the human power happy and content is the most important objective of every management. In order to meet this objective, management must design and implement a set of policies, procedures, and practices. However, as time passes, the set of demands and expectations of employees change making the old set of policies, procedures, and practices obsolete. This is yet another challenge in personnel management. This happens because the working organizations and working relationships and expectations of employees are dynamic and hence changes. The ‘know-why’ of personnel management is to know the reasons, why the behavior pattern of employees changes as time passes. What are the factors influencing such changes in behavior and how much such factors affect such relations and expectations? The ‘know-how’ of personnel management is to know, how the manager should change his style of leadership, method of direction, and existing organizational philosophy, policies, practices, and procedures to meet the new challenges and meet the expectations of the employees without diluting the objectives of the organizations. Factors influencing working relationship can be broadly classified under the following heads:
- Environmental factors
- Organizational factors
- Human factors
Environmental factors deal with external influences such as social, political, economic, primary group, customs, traditions values, and culture. Organizational factors are organizational culture, traditions, values, philosophy, policies, practices, procedure, career prospects, market standing, profitability, competitiveness, professionalism in management, effective communication, etc. On the part of employees, human factors involve personality morale and motivation, which in turn, depends on meeting physiological and psychological needs satisfying his own expectations in career achievement and job satisfaction. From an organizational point of view, human factors also involve competence in knowledge and skill, interest in the job, and commitment to organizational objectives. When these three aspects viz. competence, commitment, and interest are found in an employee we call him “Empowered”. This term is of recent origin. We shall be discussing this term more in detail later in this book. Empowerment of employees is the ultimate objective of the management to develop the organization. Empowerment is the process of developing “ordinary employees to give out extraordinary performance”. People are the “real capital” of an organization. The survival and success of an organization depend primarily on the empowerment of the employees. Human resources, these days are, therefore, called “human capital “. Development of human resources involves many steps right from locating the right people, training and development motivating them by satisfying various kinds of their needs, creating involvement and interest by giving them meaningful and challenging jobs, and improving commitment by inculcating a sense of belongingness. Thus we find the scope of Personnel Management is very wide. This is the reason why this subject is now popularly known as Human Resources Management (HRM).
Importance of HRM:
Management and other employees directly involved in the organization form “Human ware”. Materials, machines, money infrastructure, and organization together form “Orgoware”. Knowledge, skill, technology, etc. are covered by “Infoware”. Human ware becomes most important of all because it has a dual role to play. As employees, human beings directly at as one of the resources. Human being indirectly influences the effective utilization of “Orgoware”, as being responsible for their manipulation. “Infoware” again heavily depends on human beings because knowledge and skill are acquired, assimilated, improved, and applied by human beings. Thus even when maintaining a separate entity, all other resources are being influenced by this single resource, the human ware. Thus we are justified in saying that human resource is most important of all other resources. This is perhaps the reason why Mary Parker Follet defined management as the “process of getting work done through other people” is the main reason for the success of Japanese management. Globalization and liberalization of the economy have once again highlighted the importance of HRM. This is so because the survival and success of an organization depend on the “competitive advantage” of the organization. Competitive advantage is obtained and sustained through the knowledge and skill of its people. A technological breakthrough and continuous up-gradation of technology are possible through the empowerment of employees. Improvement means a greater level of interest in the job and a strong commitment to the organization. Empowerment is the highest state of morale and motivation in an organization. This provides synergism. This, once again, focus our attention on the importance of human resources management. Acquiring, developing, and maintaining a “critical mass” of competent and committed employees guarantee the survival and success of an organization. Employees are, therefore, the most important of all resources.
For Citing this article use:
- Thiagarajan, M. (2010) ‘A study on employees perception on human resource management in selected it companies in Chennai’. http://hdl.handle.net/10603/54303
- 1. B.L. Mathur, Masterpieces of management Thoughts-2, 1994, p.12.