LESSON 2
FUNCTIONS OF
HUMAN RESOURCE MANAGEMENT
CONTENTS
2.0 Aims and Objectives
2.1 Introduction
2.2 Functions of HRM
2.3 Classification of Function
2.3.1 Managerial Function
2.3.2 Operative Function
2.4 Amalgamation of HRM Functions
2.4.1 Organisational Behaviour
2.4.2 Personnel Management
2.4.3 Industrial Relations and Labour Legislations
2.5 Emerging HRM Functions
2.6 Difference Between Personnel Management and Human
Resource Management
2.7 Role of HRM in Strategic Management
2.7.1 Strategy Formulation
2.8 Let us Sum UP
2.9 Lesson End Activity
2.10 Key Words
2.11 Questions for Discussion
2.12 References
2.0 AIMS AND OBJECTIVES
After reading this lesson you should be able to:
Understand the functions of Human Resource
Management (HRM),
Appreciate new dimensions of emerging functions of
HRM,
Comprehend the differences between Personnel
Management (PM) and HRM and
Know the specific role of HRM in Strategic Management.
2.1 INTRODUCTION
The primary objective of HRM is to ensure the availability of
right people for right jobs to achieve the organisational goals
effectively. There are various sub-objectives as well, which are
discussed in this lesson.
Human Resource
Management
14
2.2 FUNCTIONS OF HRM
The different functions of HRM are:
a) Helping the organization to attain its goals effectively,
efficiently and economically by recruiting competent
and motivated employees.
b) Utilizing the available human resources effectively.
c) Increasing employee’s job satisfaction and self–
actualization.
d) Maintaining the Quality Work Life (QWL).
e) Maintaining ethical policies and behaviour inside and
outside the organization.
f) Establishing and maintaining cordial relationship
between employees and management and
g) Integrating individual and group goals with
organizational goals.
The objectives and functions of HRM can be tabulated as
follows:
HRM Objectives Functions
1 Societal objectives a) Legal compliance
b) Benefits
c) Smooth union management relations
2 Organizational
objectives a) Human Resource planning
b) Employee relations
c) Selection
d) Training and development
e) Appraisal
f) Placement
g) Assessment
3 Functional objectives a) Appraisal
b) Placement
c) Assessment
4 Personal objectives a) Training and development
b) Appraisal
c) Placement
d) Compensation
e) Assessment
The above classification was given by William B. Werther, Jr
and Davis in their book, ‘Human Resource and Personnel
Management’.
Functions of
Human Resource
Management
The functions of HRM is very wide and many fold. It could be
mapped in the following way:
Figure 2.1 Functions of HRM
2.3 CLASSIFICATION OF FUNCTIONS
