KIET SCHOOL OF MANAGEMENT

Introduction to Human Resource Management

Unit-I

HUMAN RESOURCE MANGEMENT

Tanushree Sanwal
MBA
MBA Department
II Sem
 Introduction to HRM (CO1..)

• During early ages it was about industrial revolution and machines

• Ever since the genesis of civilization on earth, man has been playing
a dominant role in almost every change, development and growth,
either individually or by forming groups.
• Business is about making money; and having employees (human
resources) is about getting work done for the business.
• The concept of “human resource management” implies that
employees are resources of the organization.
 Concept of HRM
• HRM is concerned with the people’s dimension in the organization
• Facilitating the competencies and retention of skilled force
• Developing management systems that promote commitment
• Developing practices that foster team work
• Making employees feel valued and rewarded.
 Definition of HRM

• HRM defined as-

• “HRM is management function concerned with hiring , motivating

and maintaining people in an organization. It focuses on people in
organization” (Aswathappa, 2008, p.5)
• In the words of Mr. NR Narayana Murthy, Chairman Emeritus,
Infosys, "You must treat your employees with respect and dignity
because in the most automated factory in the world, you need the
power of human mind. That is what brings in innovation. If you want
high quality minds to work for you, then you must protect the respect
and dignity."
 HRM Activities

 HR Planning
 Job Analysis and Design
 Recruitment and Selection
 Training and Development
 Remuneration
 Welfare
 Safe and Healthy Work Environment
 Industrial relations
 Characteristics of HRM

1. It helps management in the preparation adoption and

continuing evolution of personnel programmes and policies.
2. It supplies skilled workers through scientific selection process
3. It ensures maximum benefit out of the expenditure on
training and development and appreciates the human assets.
4. It prepares workers according to the changing needs of
industry and environment.
5. It motivates workers and upgrades them so as to enable them
to accomplish the organisation goals.
6. Through innovation and experimentation in the fields of
personnel, it helps in reducing casts and helps in increasing
productivity.
 Objectives of HRM

 Human capital
 Developing organizational climate
 Helping to maintain performance
 Helping to establish and maintain a harmonious employer/employee
relationship
 Helping to create and maintain a safe and healthy work environment
 Developing programs
 To provide organization with well-trained and well-motivated
employees
 Importance of HRM to Managers
 Good human resource practice can help in attracting and retaining
the best people in the organisation.
 Developing the necessary skills and right attitudes among the
employees through training, development, performance appraisal,
etc.
 Securing willing cooperation of employees through motivation,
participation, grievance handling, etc.
 Effective utilisation of available human resources.
 Maximizing Profit and Productivity
 Ensuring that enterprise will have in future a team of competent and
dedicated employees.
 Scope of HRM
The scope of HRM is very wide:
 Personnel aspect-This is concerned with manpower planning,
recruitment, selection, placement, transfer, promotion, training and
development, layoff and retrenchment, remuneration, incentives,
productivity etc.
 Welfare aspect-It deals with working conditions and amenities such as
canteens, creches, rest and lunch rooms, housing, transport, medical
assistance, education, health and safety, recreation facilities, etc.
 Industrial relations aspect-This covers union-management relations,
joint consultation, collective bargaining, grievance and disciplinary
procedures, settlement of disputes, etc.
 Recap

• In this topic, We learned about HRM and its importance to

mangers'.
• We also learned about Objectives of HRM.
 Daily Quiz
 Human resource management emphasis
a. Development of people
b. Punishment of people
c. Adoption of people
d. None of these
 Human resource management is amalgam of
a. Job analysis, recruitment and selection
b. Social behaviour and business ethics
c. Organisational behaviour, , personal management and industrial
relation
d. Employer and employees
 Daily Quiz

 Which of the following statement is/are correct?

a. HRM is a strategic management functions

b. Under HRM employee is treated as resource
c. HRM is the management of skills, talent and abilities
d. HRM lacks the organisation to achieve its goals
 Basic managerial functions of HRM area.

a. Planning, organising, staffing

b. b. Planning, organising and co-ordinating
c. c. Planning, organising, directing and controlling
d. d. None of these
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details
https://www.youtube.com/watch?v=SNVZmI99pTM
https://www.youtube.com/watch?v=K3vZXphIXWM
 KIET School of Management

Line and staff aspects of human resource

management, HR manager Duties and
Responsibilities

Session: 2

HUMAN RESOURCE
MANAGEMENT
Tanushree Sanwal
MBA
MBA Department
II Sem
 Prerequisite

• Basic knowledge of HRM and its Scope.

 Topic Objective
Topic Topic Objective
No.
1 To study the Line and staff aspects of human resource
management
2 To study the Human resource manager’s duties.
 Topic Mapping
S.No. Topic Course
Outcome
1 Line and staff aspects of human resource C01
management
2 Human resource manager’s duties. Co1
 AUTHORITY- CO1

• Authority is the right to make decisions, to direct the work of others, and
to give orders.
• Authority refers to the rights inherent in a managerial position to give
orders and expect the orders to be obeyed.
• Authority was a major tenet of the early management writers, the glue
that held the organization together.
• It was to be delegated downward to lower-level managers.
 Organization of HR Department

• Line Authority
• Staff Authority
• Functional Authority
• Line Manager
• Staff Manager
 Organization of HR Department

• Line Authority
• Staff Authority
• Functional Authority
• Line Manager
• Staff Manager
 LINE MANAGER HR DUTIES

• Placing the right person in the right job

• orienting new employees in the organization
• Training employees for jobs that are new to them
• Improving the job performance of each person
• Gaining cooperation and developing smooth working relationships
• Interpreting the company s policies and procedures
• Controlling labor costs
• Developing the abilities of each person
• Protecting employees health and physical condition
 LINE AUTHORITY

• Line authority entitles a manager to direct the work of an employee. It is

the employer-employee authority relationship that extends from top to
bottom.
• A line manager directs the work of employees and makes certain
decisions without consulting anyone.
 Staff managers Duty

• Staff managers have staff authority.

• A manager's function is classified as line or staff based on the
organization's objectives.
• As organizations get larger and more complex, line managers find that
they do not have the time, expertise, or resources to get their jobs done
effectively.
• They create staff authority functions to support, assist, advice, and
generally reduce some of the informational burdens they have.
 Responsibilities of Staff Managers

• An individual who normally acts in an advisory or staff capacity,

working with other managers to help them deal with human resource
matters.
• One general trend is that HR personnel are servicing an increasing
number of employees.
• The human resource manager is primarily responsible for coordinating
the management of human resources to help the organization achieve its
goals.
• There is a shared responsibility between line managers and human
resource professionals.
 Responsibilities of Staff Managers

• An individual who normally acts in an advisory or staff capacity,

working with other managers to help them deal with human resource
matters.
• One general trend is that HR personnel are servicing an increasing
number of employees.
• The human resource manager is primarily responsible for coordinating
the management of human resources to help the organization achieve its
goals.
• There is a shared responsibility between line managers and human
resource professionals.
HR Managers Duties
 Recap

• In this topic, We learned about Line and Staff mangers Duties

• We also learned about Duties of HR manger
 Daily Quiz
 The following is also known as Military organisation
A) Line organisation
(B) Functional organisation
(C) Line and staff organisation
(D) None of the above

 In which of the following organisation structure, each specialist is supposed to

give his functional advice to all other foremen and workers
(A) Line organisation
(B) Functional organisation
(C) Line and staff organisation
(D) All of the above
 Daily Quiz
 Line managers find that they do not have the time, expertise, or
resources to get their jobs done effectively.
A. True
B. False
 Following are the line mangers Duties
a) Placing the right person in the right job
b) orienting new employees in the organization
c) Training employees for jobs that are new to them
d) All of the above
 HR mangers duty is to be a ________ expert
A. Finance B. Marketing C. Change Expert
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details
https://www.youtube.com/watch?v=oYO9MZv8jQI
https://www.youtube.com/watch?v=s4JYhIAt8iE
 KIET School of Management

Changing roles of HR managers

Session: 3

HUMAN RESOURCE
MANAGEMENT
Tanushree Sanwal
MBA
MBA Department
II Sem
 Prerequisite

• Basic knowledge of HRM

• Scope of HRM
 Topic Objective
Topic Topic Objective
No.
1 To study the changing roles of HRM

2 To study the HR proficiencies

 Topic Mapping
S.No. Topic Course
Outcome
1 changing roles of HRM CO1
2 HR proficiencies CO1
Changing roles of HR-CO1
Changing roles of HR
 Changing roles of HR
High Performance Work Systems (HPWS) :
 A high-performance work systems is an integrated set of human
resource management policies and practices that together produce
superior employee performance. These include following practices :
Employment security;
 Selection & hiring Extensive training
 Self-managed teams and decentralized decision making
 Reduced status distinctions between managers and workers
Information sharing Contingent (pay-for-performance) rewards
Transformational leadership (for instance, in terms of inspirational
motivation)
 Measurement of management practices Emphasis on high-quality
work.
Managing Challenges Affecting a Human
Resource Manager
 Human Resource Manager Proficiencies

• Business proficiencies reflect HR professionals’ new strategic role.

For ex; to assist top management team in formulating strategies, the
HR Manager needs to be familiar with strategic planning,
marketing, production, and finance.
• HR managers also require leadership proficiencies.
• The competitive landscape is changing rapidly, the HR manager
needs learning proficiencies.
• HR managers also require leadership proficiencies. For ex: they
• need the ability to work with and lead management groups, and to
drive the changes required – for instance, to implement new world-
class employee screening and training systems (Assessment Centres
etc.)
• Finally, because the competitive landscape is changing rapidly, the
HR manager needs learning proficiencies.
 Recap

•In this topic ,we learned about Changing role of HRM

• We have also learned the importance of HR proficiencies
 Daily Quiz
 Challenges faced by Human resource management includes
a. Technological changes, workforce diversity, globalisation
b. Productivity, career planning
c. Compensation management
d. Downsizing and voluntary retirement scheme

 The four roles given by Ulrich Are ________________

 ________an integrated set of human resource management policies and
practices that together produce superior employee performance.

 Which proficiencies reflect reflect HR professionals’ new strategic role.

a) Business
b) Leadership
c) Learning
 Daily Quiz
 HR managers must have the ability to stay abreast of and apply all the new
technologies reflects which proficiency
(A) Leadership
(B) Business
(C) Learning
(D) All of the above

 Globalization has affected HRM

A. True
B. False
 _____role of HR support for change activities in the change effort area and
ensuring the capacity for the changes.
a) Employee Champion
b) Change Agent
c) Strategic Partner
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details

https://www.youtube.com/watch?v=WESuW-bjTW0
https://www.youtube.com/watch?v=Xen9919L5z0
 KIET School of Management

Strategic Human Resource Management

Session -4

HUMAN RESOURCE
MANAGEMENT
Tanushree Sanwal
MBA
MBA Department
II Sem
 Prerequisite

• Knowledge of Strategy and basic HRM

 Topic Objective
Topic Topic Objective
No.
1 To study about Strategic Human Resource Management
 Topic Mapping
S.No. Topic Course
Outcome
1 Strategic Human Resource Management CO1
 The Meaning of “Strategy”-CO1
•A critical factor that affects Firm Performance
• A factor that contributes to Competitive Advantage in markets
• Having a long-term focus
• Plans that involve the top executives and/or board of directors of the
firm
• A general framework that provides a perspective for selecting specific
policies and procedures
•What is Strategic Management?
• Strategic Management is a process for analyzing a company's
competitive situation, developing the company's strategic goals, and
devising a plan of action and allocation of resources that will help a
company achieve its goals.
 Strategic Human Resource Management
• Strategic HRM is the process of defining how the organization’s goals
will be achieved through people by means of HR strategies and
integrated HR policies and practices.

• Strategic human resource management is the pattern of planned human

resource deployments and activities intended to enable an organization
to achieve its goals.
 REAL TIME EXAMPLES OF SHRM

• A Google bicycle overlooks the Mountainview campus. Google invests in its

people by providing a healthy, fun way to get around the campus
• The company boasts tons of employee perks and amazing facilities. This
includes a seven-acre sports complex, multiple wellness centers, roller hockey
rinks, horseshoe pits, and subsidized massages for all.
• Cadbury was founded in 1824 and created a worker village along with R&D
factories. The village offered staff and their families a place to not only work but
to live. Their people are their main priority and they have built a positive work
atmosphere that allows for life and work balance.
• At Nissan each employee is hired based on their drive and talent and then
encouraged to improve their skills further to be better than the rest.
 Importance of Strategic Human Resource
Management
• The primary goal of strategic human resource management is to solve
business objectives or obstacles that may not occur within the direct
purview of HRM.
• Cross cultural issues and interaction
• Internationalization
• Changing ownership due to increased M & A
• Rapidly changing business environments
• Technological advancements
 Barriers to Strategic Human Resource
Management
 Short term mentality
 Strategic inability
 Lack of appreciation
 Failure understands the role
 Difficulty in quantifying outcomes
 Wrong perception of human assets
 Resistance
 Recap

•In this topic ,we learned about SHRM, importance ,objectives and
challenges
 Daily Quiz
 The primary source of competitive advantage in SHRM is
A) people
B) pattern
C) technology
D) Process
 Which of the following is not a component of SHRM?
a. Process
b. Pattern
c. Procedure
d. People
 SHRM develop an organizational culture that fosters-
a. innovation
b. flexibility
c. competitive advantage
d. All of the above
 Daily Quiz
 SHRM is the linkage between the human resource strategy and
_______________
a) Organizational Goal
b) corporate-level strategies
c) Organizational Policies
d) All of the above

 Which of the following is closely associated with strategic human resource

management?
 a. Efficient utilisation of human resources
 b. Attracting the best human resources
 c. Providing the best possible training
 d. All of the above
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details

https://www.youtube.com/watch?v=jWdovBCWTF0
 KIET School of Management

Steps in HRM and Types of Strategy

Session 5

HUMAN RESOURCE
MANAGEMENT
Tanushree Sanwal
MBA
MBA Department
II Sem
 Prerequisite

• Knowledge of SHRM
• Linkage of Strategy to business
 Topic Objective
Topic Topic Objective
No.
1 To study about Steps and levelsof SHRM

2 To understand the types of Strategy.

 Topic Mapping
S.No Topic Co
1 Steps and Levels of SHRM CO1

2 Types of Strategy C01

LEVELS OF STRATEGY-SRM
SHRM Process
 GROWTH LEVEL STRATEGY

• A growth strategy is an organization's plan for overcoming current

and future challenges to realize its goals for expansion. Examples of
growth strategy goals include increasing market share and revenue,
acquiring assets, and improving the organization's products or
services.
• Four types of Growth Strategy are-
• Market Expansion or Development
• Product Expansion Strategy
• Growth Through Diversification
 BUSINESS LEVEL STRATEGY

• Business-level strategy: an integrated and coordinated set of

commitments and actions the firm uses to gain a competitive
advantage by exploiting core competencies in specific product
markets.
• Basis of choosing a business level strategy by determining how well
a company can compete –
• What customer need will be satisfied?
• Who is to be satisfied?
• How will the need be satisfied?
 TYPES OF STRATEGIES

• Vertical integration.-Vertical integration allows the firm to enlarge

its scope of operations within the same overall industry. It takes
place when one firm acquires another that is involved either in an
earlier stage of the production process (backward or upstream) or a
later stage of the production process (forward or downstream).
• Diversification-A firm can expand its operations by launching new
products or new lines of busi­ness. It can enter new markets as well.
• Divestiture-A business strategy wherein a company's division or
unit is separated and made into an independent company
• Liquidation-The Liquidation Strategy is the most unpleasant
strategy adopted by the organization that includes selling off its
assets and the final closure or winding up of the business operations.
 Recap

• In this topic, We learned about SHRM process

• We also learned about Types of Strategy
 Daily Quiz

 _____________describes a company’s overall direction towards growth by

managing business and product lines.
A. Functional Strategy
B. Corporate Strategy
C. Business Strategy
D. None of the above
 One of the components of corporate level strategy is:
a. growth strategy'
b. portfolio strategy
c. parenting strategy
d. all of the above
 Daily Quiz
 The concern of SHRM extends upto
A) Capital
B) Product
C) Knowledge
D) All of the above
 HR Strategy should be a/an ______________ of business strategy
A) Guideline
B) Integral Part
C) substitute
D) Imitation
 Business strategy falls in the in the realm of corporate strategy.
A. True
B. False
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details

https://www.youtube.com/watch?v=bJPgjd8z1O8
 KIET School of Management

Strategic Challenges to HR

Session: 6

HUMAN RESOURCE
MANAGEMENT
Tanushree Sanwal
MBA
MBA Department
II Sem
 Prerequisite

• Basic knowledge of SHRM

 Topic Objective
Topic Topic Objective
No.
1 To study the Strategic Challenges to HR

2 To study the two types of Fit in SHRM

 Topic Mapping
S.No. Topic Course
Outcome
1 Strategic human resource CO1
challenge
2 Strategic Fit CO1
 Strategic human resource challenge-CO1

• 1. Increase the quality of leadership and management

• 2. Manage the changing business needs for talent and skills
• 3. Define a forward-looking workforce strategy
• 4. Foster innovation throughout the organization
• 5. Use data analytics to improve HR-related decisions
 Types of Strategic Fit

 Vertical Fit- managed by directing human resources toward the

primary initiatives of the organization.
Vertical fit is the main idea of HRS, and is linked to a contingency
based approach and hence creating an overall fit of the various
management strategies (including HRS) in the long term goal.
 Horizontal fit - Horizontal fit is achieved by efficiently allocating
the resources.
The horizontal fit is bothered as to how the processes and activities
planned by the HR department and their management of the resources
available to them, are applied within the organization and complements
the vertical fit.
 Recap

•In this topic ,we learned about Challenges in SHRM

• We have also learned the two types of Strategic Fit
 Daily Quiz

 What are the challenges of SHRM?

 __________________ is achieved by efficiently allocating the resources.
a. Vertical Fit b. Horizontal Fit c. Strategic Fit d. None

 Congruence of the HR system with other organisational characteristics

such as firm strategy implies
A. Vertical Fit
B. Horizontal Fit
 quality of leadership and management is a challenge to SHRM
A.True
B.False
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details

https://www.startuphrtoolkit.com/challenges-of-hrm/
 KIET School of Management

HR SCORECARD

Session -7

HUMAN RESOURCE
MANAGEMENT
Tanushree Sanwal
MBA
MBA Department
II Sem
 Prerequisite

• Knowledge of SHRM
 Topic Objective
Topic Topic Objective
No.
1 To study about HR SCORECARD

2 To study Competitive Analysis in HR

 Topic Mapping
S.No. Topic Course
Outcome
1 HR Scorecard and Competitive Analysis in HR CO1
 HR Scorecard-CO1
 The HR (human resources) scorecard matches business strategy
against HR deliverables and objectives to provide a statistical basis
by which HR efficiency and contribution to strategy implementation
can be measured.
 IT expert David Norton and Harvard Business School professor
Robert Kaplan created the original Balanced Scorecard – the
management tool that led to theHR Scorecard. The Balanced
Scorecard came into circulation around 1993.
 The HR Scorecard was developed by academicians Brian Becker,
Mark Huselid and Dave Ulrich and was unveiled to the world year
in 2001.
HR Scorecard-CO1
 Objectives of HR Score Card
-CO1
 As such, the HR scorecard is a management tool which allows a
business to:
 Manage HR as a strategic asset and a source of competitive
advantage.
 Quantitatively demonstrate HR’s contribution to the firm’s financial
results and bottom-line profitability
 Create and measure the degree of alignment between the strategy of
the business and its HR architecture development of HR
 DEVELOPMENT OF SCORECARD

 The development of an HR Scorecard must be done with three

perspectives in mind as follows:
 A financial perspective
 A customer perspective
 An internal perspective
 PROCESS OF HR SCORECARD

 Identify the critical deliverables for Human Resources.

 Identify HR’s customers (for the deliverables).
 Define HR activities that provide the critical deliverables (such as
high-talent staffing or a retention initiative).
 Conduct a cost-benefit analyses of activities that provide
deliverables.
 Competitor Analysis in HR

 Competitive advantage in HR refers to the quality of the employees

who can not be copied, unlike company's systems and processes.
 Companies with better employees have the competitive advantage.
 Successful companies of the USA for their sustained advantage tend
to rely not on technology, patents, or strategic position, but on the
way they manage their workforce.
 HR can use data to analyze turnover rates and determine where
problems may lie.
 HR can provide insight into the going market rates for talent.
 Competitor Analysis in HR

 HR can also design employee development pathways that take into

account the strategic and long-term needs of the organization.
 HR can analyze which employees are high performers and alert the
management.
 Recap

•In this topic ,we learned about HR Score Card

• We have also learned about HR competititor Anlaysis
 Daily Quiz

 Managers use a(n) _____ to measure the HR function’s effectiveness and

efficiency in producing employee behaviors the company needs to achieve
its strategic goals.
(A) metric
(B) HR Scorecard
(C). benchmark
(D) high performance work system
 What is the process of HR Scorecard?

 The three perspectives of HR Scorecard?

 A. True
B. False
 Daily Quiz
 Strategic planning partner with line managers and executives within an
organization.
A. Counselling
B. HR Planning
C. Organisational development
D. The HR scorecard
 Conducting a cost benefit analysis is a important step in
(a) SHRM
(b) HRM
(c) HR Scorecard
(d) None
 In many organizations HR still struggles to find a place at the leadership
table.
A. True
B. False
 Faculty Video Links, YouTube & NPTEL
Video Links and Online Courses Details

https://www.youtube.com/watch?v=YygzkDwH1M0
https://www.youtube.com/watch?v=SIPcT92E18w
 MCQs
1.__________________is the practice of attracting, developing,
rewarding, and retaining employees for the benefit of both the
employees as individuals and the organization as a whole.
A. Strategic human resource management
B. employee knowledge
C. company information
D. none of the above
2. The final stage in strategic management is ________________
A. strategy evaluation and control
B. Skill management
C. organisational profitability
D. Both (a) + (b)
 MCQs
3. _____________________is a process that systematically surveys
and interprets relevant data
to identify external opportunities and threats
A. Environmental scanning
B. Job rotation
C. Orientation training
D. none of the above
4. 5P’s of SHRM includes Philosophy, Practices, programs, Policies
and ________
A. Pattern
B. Post
C. Processes
D. none of the above
 MCQs
6. Human resource management emphasis
A. a. Development of people
B. b. Punishment of people
C. c. Adoption of people
D. d. None of these
7. Operative functions of HRM includes
E. a. Procurement, development, compensation & motivation
F. b. Maintenance
G. c. Integration and emerging trends
H. d. All of these
8. Which of the following statement is/are correct?
I. a. HRM is a strategic management functions
J. b. Under HRM employee is treated as resource
K. c. HRM is the management of skills, talent and abilities
L. d. HRM lacks the organisation to achieve its goals
 MCQs
9. The basic managerial skill(s) is (are)
A. To supervise
B. To motivate
C. To stimulate
D. All of these

10. Strategic Human Resource management is

E. proactive
F. reactive
G. both
H. None of these
 Weekly Assignment

Q.1 Explain the concept of HRM

Q.2 Describe the emerging challenges of HRM in india.
Q.3 Explain the HR proficiencies.
Q.4 Write down the concept of SHRM.
 Old Question Papers

.
 Old Question Papers

.
 Expected Questions for University Exam

 Define HRM.
 Discuss the scope of HRM and objectives of HRM
 Discuss the line and staff function of HRM.
 Explain the strategic Human resource management .
 Summary
• This Unit tells us about that Human Resource Management is the
management function that helps the managers to plan, recruit, select,
train, develop, remunerate and maintain members for an
organization.The scope of HRM is very large.
• SHRM or Strategic human resource management is a branch of
Human resource management or HRM. It is a fairly new field,
which has emerged out of the parent discipline of human resource
management.
 References

• Edwin B. Flippo, Personnel Management, Tata McGraw Hill

• V.S.P. Rao, Human Resource Management, Excel
• RS Dwivedi, HRD in Indian Companies, Mc Millan
• C.B. Memoria, Personnel Management, Himalaya
• Additional Texts:
• Gary Dessler& Biju Varkkey, Human Resource Management,
Pearson.

Thank You