Difference Between Hrm And Hrd Pdf
On the other hand, human resource management has a wider scope and considers employees as the asset to the organization. It promotes mutuality in terms of goals, responsibility, reward etc. That will help in enhancing the economic performance and high level of human resource development. In early centuries, when Human Resource Management (HRM) was not prevalent, then the staffing and payroll of the employees were taken care of, by the Personnel Management (PM). It is popularly known as Traditional Personnel Management. Human Resource Management have emerged as an extension over the Traditional Personnel Management. So, in this article, we are going to throw light on the meaning and differences between Personnel Management and Human Resource Management.
HRM vs HRD Human resources are an essential section of any organization, company or institute. Recognizing this importance, separate branches geared. The main difference between personnel management and human resource management is that the former is the traditional approach the latter represents the modern.
Content: Personnel Management Vs Human Resource Management. Comparison Chart Basis for Comparison Personnel Management Human Resource Management Meaning The aspect of management that is concerned with the work force and their relationship with the entity is known as Personnel Management.
The branch of management that focuses on the most effective use of the manpower of an entity, to achieve the organizational goals is known as Human Resource Management. Approach Traditional Modern Treatment of manpower Machines or Tools Asset Type of function Routine function Strategic function Basis of Pay Job Evaluation Performance Evaluation Management Role Transactional Transformational Communication Indirect Direct Labor Management Collective Bargaining Contracts Individual Contracts Initiatives Piecemeal Integrated Management Actions Procedure Business needs Decision Making Slow Fast Job Design Division of Labor Groups/Teams Focus Primarily on mundane activities like employee hiring, remunerating, training, and harmony. Treat manpower of the organization as valued assets, to be valued, used and preserved. Definition of Personnel Management Personnel Management is a part of management that deals with the recruitment, hiring, staffing, development, and compensation of the workforce and their relation with the organization to achieve the organizational objectives. The primary functions of the personnel management are divided into two categories:. Operative Functions: The activities that are concerned with procurement, development, compensation, job evaluation, employee welfare, utilization, maintenance and collective bargaining. Managerial Function: Planning, Organizing, Directing, Motivation, Control, and Coordination are the basic managerial activities performed by Personnel Management.
Difference Between Pm And Hrm
From the last two decades, as the development of technology has taken place and the humans are replaced by machines. Similarly, this branch of management has also been superseded by Human Resource Management. Definition of Human Resource Management Human Resource Management is that specialized and organized branch of management which is concerned with the acquisition, maintenance, development, utilization and coordination of people at work, in such a manner that they will give their best to the enterprise. It refers to a systematic function of planning for the human resource needs and demands, selection, training, compensation, and performance appraisal, to meet those requirements. Functions of HRM Human Resource Management is a continuous process of ensuring the availability of eligible and willing workforce i.e.
Putting the right man at the right job. In a nutshell, it is an art of utilizing the human resources of an organization, in the most efficient and effective way.
HRM covers a broad spectrum of activities which includes:. Employment. Recruitment and Selection. Training and Development. Employee Services. Salary and Wages. Industrial Relations.
Health and safety. Education. Working conditions. Appraisal and Assessment.
Key Differences Between Personnel Management and Human Resource Management The following are the major differences between Personnel Management and Human Resource Management:. The part of management that deals with the workforce within the enterprise is known as Personnel Management. The branch of management, which focuses on the best possible use of the enterprise’s manpower is known as Human Resource Management. Personnel Management treats workers as tools or machines whereas Human Resource Management treats it as an important asset of the organization.
Human Resource Management is the advanced version of Personnel Management. Decision Making is slow in Personnel Management, but the same is comparatively fast in Human Resource Management. In Personnel Management there is a piecemeal distribution of initiatives. However, integrated distribution of initiatives is there in Human Resource Management. In Personnel Management, the basis of job design is the division of work while, in the case of Human Resource Management, employees are divided into groups or teams for performing any task. In PM, the negotiations are based on collective bargaining with the union leader. Conversely, in HRM, there is no need for collective bargaining as individual contracts exist with each employee.
In PM, the pay is based on job evaluation. Unlike HRM, where the basis of pay is performance evaluation. Personnel management primarily focuses on ordinary activities, such as employee hiring, remunerating, training, and harmony. On the contrary, human resource management focuses on treating employees as valued assets, which are to be valued, used and preserved. Conclusion Human Resource Management has come up with an extension over Personnel Management, which eradicated the shortcomings of the Personnel Management.
It is quite essential in this era of intense competition where every organization have to put their manpower and their needs first. Nowadays, it is very challenging to retain and maintain good employees for a long time as they are fully aware of their rights and any organization cannot treat them like machines. So, HRM has been evolved to unite the organization with their employees for the attainment of a common goal.
On the other extreme, Human Resource Development (HRD) is a wing of HRM that keeps focusing on the growth and development part of the organisation’s manpower. There are many people, to whom HRM and HRD convey the same meaning, but this is not true. We have compiled an article here, to make you understand the differences between HRM and HRD. Content: HRM Vs HRD.
Comparison Chart Basis for Comparison HRM HRD Meaning Human Resource Management refers to the application of principles of management to manage the people working in the organization. Human Resource Development means a continuous development function that intends to improve the performance of people working in the organization. Management function. Subset of Human Resource Management. Function Reactive Proactive Objective To improve the performance of the employees. To develop the skills, knowledge and competency of employees.
Process Routine Ongoing Dependency Independent It is a subsystem. Concerned with People only Development of the entire organization. Definition of HRM Human Resource Management, shortly known as HRM refers to a systematic branch of management that is concerned with managing people at work so that they can give best results to the organisation. It is the application of management principles to the people working in the organisation. It aims at improving the performance and productivity of the organisation by finding out the effectiveness of its human capital.
Therefore, HRM is an art of placing the right person at the right job, to ensure the best possible use of organisation’s manpower. The process involves an array of activities that begins with the recruitment, selection, orientation, & induction, training & development, performance appraisal, incentives & compensation, motivation, maintaining workplace safety, health & welfare policies, managing relationship with the organisation, managing change.
Definition of HRD The term Human Resource Development or HRD refers to the development of people working in an organisation. It is a part of HRM; that aims at improving skills, knowledge, competencies, attitude and behaviour of employees of the organisation. The purpose of the HRD is to empower and strengthen the abilities of the employees so that their performance will get better than before. Human Resource Development involves providing such opportunities to the employees that will prove beneficial in their all around development. Such opportunities include training & development, career development, performance management, talent management, coaching & mentoring, key employee identification, succession planning and so on. Nowadays, there are many organisations work for the human resource development of employees from the day they join the enterprise, and the process continues, until the end of their employment term. Key Differences Between HRM and HRD The significant differences between HRM and HRD are discussed in the following points:.
Human Resource Management refers to the application of principles of management to manage the people working in the organisation. Human Resource Development means a continuous development function that intends to improve the performance of people working in the organisation. HRM is a function of management. Conversely, HRD falls under the umbrella of HRM.
HRM is a reactive function as it attempts to fulfil the demands that arise while HRD is a proactive function, that meets the changing demands of the human resource in the organisation and anticipates it. HRM is a routine process and a function of administration. On the other hand, HRD is an ongoing process.
The basic objective of HRM is to improve the efficiency of employees. In contrast to HRD, which aims at developing the skill, knowledge and competency of workers and the entire organisation.
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HRD is an organizationally oriented process; that is a subsystem of a big system. As opposed to HRM where there are separate roles to play, which makes it an independent function. Human Resource Management is concerned with people only.
Unlike Human Resource Development, that focus on the development of the entire organisation. Conclusion HRM differs with HRD in a sense that HRM is associated with management of human resources while HRD is related to the development of employees. Human Resource Management is a bigger concept than Human Resource Development. The former encompasses a range of organisational activities like planning, staffing, developing, monitoring, maintaining, managing relationship and evaluating whereas the latter covers in itself the development part i.e. Training, learning, career development, talent management, performance appraisal, employee engagement and empowerment.