Human Resources (HR)

• Human Resources (HR) are people who work for and contribute to an organization.
• HR makes up the company's workforce.

Core HR Sections

• Recruitment
• Compensation and Benefits
• Employee Relations
• Training and Development
• Workforce Safety
• Legal Relations/Compliance

HR Sections (extra functions)

• Administration
• Facilities/Security
• Organizational Development
• Corporate Social Responsibility/Environment, Social and Governance
• Canteen, Clinic

Hierarchy of HR Titles:

• Senior Level Jobs: HR Director, Chief Human Resources Officer (CHRO), HR Generalist, General HR Manager, HR Branch Manager, Assistant HR Manager.
• Middle Level Jobs: Senior Executive HR, HR Supervisor, HR Specialist, Employee Relations Manager, Executive HR, Associate Executive HR, HR Administrator, Assistant HR Administrator, HR Technical Supervisor.
• Lower Level Jobs: Strategic Partner, Compensation HR Analyst, Employment Manager, HR Mentor, Recruiter, Senior HR Associates, HR Analysts, Staff Coordinator, HR Associate, HR Assistant, HR Trainee.

HR Management (HRM)

• HRM refers to the process of acquiring, training, appraising, and compensating employees.
• HRM involves attending to labor relations, health and safety, and fairness concerns.
• HRM focuses on the present needs of the organization and its members.

Main Activities of HRM

• Acquisition includes recruitment strategies, candidate evaluation, and making informed hiring decisions to bring in the right talent.
• Development includes training programs, career development initiatives, mentoring, and continuous learning opportunities.
• Motivation involves creating a positive work environment, recognizing employee contributions, and implementing strategies to increase employee engagement and job satisfaction.
• Maintenance of Human Resources includes managing employee relations, ensuring fair compensation and benefits, addressing workplace concerns, and creating a safe and inclusive workplace culture.

Two Major Functions of HRM

• Basic Functions include Planning, Organizing, Staffing, Leading, and Controlling.
• Operative Functions include Employment, Employee Development, Compensation, Working Conditions and Welfare, Motivation, Employee Relations/Industrial Relations, Personnel Record Keeping, and Separation.

Basic Functions of HRM

• Planning: Establishing goals and standards, developing rules and procedures, and developing plans and forecasts.
• Organizing: Giving each subordinate a specific task, establishing departments, delegating authority to subordinates, establishing channels of authority and communication, and coordinating the work of subordinates.
• Staffing: Determining what type of people should be hired, recruiting prospective employees, selecting employees, setting performance standards, compensating employees, evaluating performance, counseling employees, and training and developing employees.
• Leading: Getting others to get the job done, maintaining morale, and motivating subordinates.
• Controlling: Setting standards such as sales quotas, quality standards, or production levels, checking to see how actual performance compares with these standards, and taking corrective action as needed.

Operative Functions of HRM

• Employment involves procuring and employing individuals with suitable knowledge, skills, experience, and aptitude to perform various jobs including Job analysis and design, HR planning, Recruitment, Selection and Placement, and On-boarding / Induction.
• HR Development involves improving, molding, and changing the knowledge and ability of an employee including Training, Management development, Career planning and development, and Performance appraisal.
• Compensation includes all the rewards that an employee receives during his or her job for his or her contributions to the organization. Including Job evaluation, Wage and salary administration, Incentives, and Fringe benefits / De Minimis benefits.
• Maintenance – Working Conditions and Welfare: Process of providing employees the working conditions so that they may like their work and workplace and maintain their efficiency, including provision of cafeteria, rest rooms, counseling, group insurance, education for children of employees, recreational facilities, etc.
• Motivation: Process of integrating people into a work situation in a way that encourages them to perform/deliver to the best of their ability. Includes Understanding needs, Designing motivation techniques (Financial, Non-financial), and Monitoring.
• Employee Relations/ Maintaining Good Industrial Relations: Concerned with collective bargaining, joint consultation, and settlement of disputes, if the need arises and associated with various committees on discipline, labor welfare, safety, grievance, etc.
• Record Keeping/Personnel Records: Keeps full records of their training, achievements, employment movement, etc.
• Separation: Ensures the release of retirement benefits to the retiring personnel in time including types of Separation: Retirement, Resignation, Layoff, Retrenchment, and Dismissal.

Features of HRM

• HRM is inherent to management to draw the best out of employees by selecting, training, motivating, and appraising them.
• It is a pervasive function that every person in the organization from top to lower level is required to perform continuously.
• Personnel functions - includes various functions concerned with managing people from manpower planning, recruitment, selection, placement, training, and appraisal to compensation of employees.
• Based on Human Relations - human beings cannot be dealt with mechanically as if they are physical resources and using Human relations skills to deal with the people at work.
• HRM is basic to all functional areas and permeates all the functional areas of management, such as production management, financial management, and marketing management.
• HRM is a continuous process and it is not a one-step function.

What Surround HR Management

• HRM interacts with both the External and Internal Environment.
• External environment includes Legal Considerations, Labor Market, Society, and Political Parties.
• Internal environment includes Marketing, Operations, Finance, Staffing, Performance Management, Employee and Labor Relations, Compensation, and Safety and Health.
• Several areas have an impact on HR, including Technology, the Economy, Customers, Competition, Shareholders, Unions, and Unanticipated Events.

HR Development (HRD)

• HRD refers to the process of developing the knowledge, skills, abilities, and attitudes of employees within an organization to enhance their performance and contribute to the organization's overall growth and success.
• HRD focuses on the future needs of the organization and its members.

Features and Functions of HRD

• Training and Development focuses on structured learning interventions such as workshops, seminars, and e-learning courses to build specific skills and knowledge needed to perform the jobs effectively.
• Performance Management involves setting performance goals, providing regular feedback, and creating systems to monitor and enhance employee performance. Effective performance management can lead to higher engagement and overall performance.
• Career Development ensures that people with the proper qualifications and experiences are available when needed. Individual careers and organizational needs are not separate and distinct. Organizations should assist employees in career planning so the needs of both can be satisfied.
• Succession Planning focuses on identifying and preparing future leaders to ensure smooth transitions and maintaining organizational stability.
• Talent Management involves identifying key talents, providing them with growth opportunities, and ensuring they remain engaged and committed to the organization.
• Organizational Development focuses on planned and systematic attempts to change the organization (corporate culture), typically to a more behavioral environment. OD applies to an entire system, such as a company or a plant.
• Employee Engagement involves strategies that boost employee satisfaction and commitment to create a culture of transparency, belongingness, loyalty, and respect across organizational hierarchy levels.
• Knowledge Management focuses on creating, identifying, and managing knowledge and structuring it for effective and efficient usage by employees and teams to enhance the learning and performance in the organization.

HRD vs HRM

• HRD specifically focuses on the development and growth of employees through training, career planning, and performance enhancement initiatives while HRM covers a wide range of functions that span the entire employee lifecycle, including recruitment, selection, compensation, and employee relations.
• HRD emphasizes creating a learning culture and supporting employees' professional development. HRM, on the other hand, has a more strategic focus, aligning human resources with organizational goals, ensuring compliance with policies and regulations, and managing the overall workforce.
• HRD aims to enhance individual performance as HRM targets efficient resource utilization.
• HRD is proactive and long-term investment/focus, with HRM being reactive and short-term focus.
• HRD results in skilled, motivated employees as HRM gives an efficient workforce.
• Human Resource MANAGEMENT is about WHOM and HOW to employ for the best outcome.
• Human Resource DEVELOPMENT is about making the employee the BEST ASSET for the best outcome.