Difference Between Personnel Management And Human

Resource Management
Human resource management is thenew version of personnel management. There is no any watertight
difference between human resource managementand personnel management. However, there are some
differences in the following matters.

1. Personnel management is a traditional approach of managing peoplein the organization. Human resource
management is a modern approach ofmanaging people and their strengths in the organization.

2. Personnel management focuses on personnel administration, employee welfare and labor relation. Human
resource management focuses on acquisition, development, motivation and maintenance of human resources
in the organization.

3. Personnel management assumes people as a input for achieving desired output. Human resource
management assumes people as an important and valuable resource for achieving desired output.

4. Under personnel management, personnel function is undertaken for employee's satisfaction. Under human
resource management, administrative function is undertaken for goal achievement.

5. Under personnel management, job design is done on the basis of division of labor. Underhuman resource
management, job design function is done on the basis of group work/team work.

6. Under personnel management, employees are provided with less training anddevelopment opportunities.
Under human

resource

management,

employees

are

provided

with

more training and development opportunities.

7. In personnel management, decisions are made by the top management as per the rules and regulation of
the organization. In human resource management, decisions are made collectively after considering
employee's participation, authority, decentralization, competitive environment etc.

8. Personnel management focuses on increased production and satisfied employees.Human resource

management focuses on effectiveness, culture, productivity and employee's participation.

9. Personnel management is concerned with personnel manager. Human resource management is concerned
with all level of managers from top to bottom.

10. Personnel management is a routine function. Human resource management is a strategic function.

Personnel Management Defined

Peter works for a company in personnel management. Personnel management is an administrative function of an
organization that exists to provide the personnel needed for organizational activities and to manage the general
employee-employer relationship. Let's see how Peter does it.
Peter engages in planning and job analysis to determine his organization's current and future labor needs. He
recruits employees with knowledge, skills and abilities that the organization needs. Peter and his coworkers will also
help develop current employees through employee appraisal and training. He'll help ensure a safe and healthy
workplace by making sure the organization complies with all occupational health and safety regulations.
He also helps develop a compensation system, including pay and fringe benefits. Peter also helps develop policies
that ensure his organization complies with federal and state employment laws. Finally, Peter and the personnel
department are often the primary intermediaries between employees and the organization. They manage many
aspects of the employee-employer relationship, such as handling employee grievances.

Human Resource Management Defined

Helen works in human resource management (HRM). Human resource management also involves the
management of people in an organization. The job of human resource management is to ensure that the
organization has the human capital it needs to accomplish its goals. 'Human capital' is a fancy way of describing
employees with a certain set of knowledge, skills and abilities that can be used by an organization in a productive
way. Let's take a quick look at what Helen and other people in human resource management do.
Helen ensures that the company is appropriately staffed, which includes job analysis, planning, recruiting and
selection. Helen and her fellow resource managers also develop training and education programs to keep
employees up-to-date on the skills and knowledge they need. Human resource management develops
compensation plans just like personnel management.
Helen also makes sure that the company maintains a safe and healthy work environment. She develops personnel
policies that ensure compliance with various employment and labor laws. Employee relations are another key
responsibility. If employees have general questions or concerns about the organization, they go to Helen and the
human resources department.

The Difference?
You may be scratching your head at this point and asking yourself just what the heck the difference is between
personnel management and human resource management? Both seem to be involved in the exact activities,
although some of the terminology might be a little bit different. You may be surprised to find out that some
commentators and critics ask the same question.
In fact, some argue that human resource management is just a new name with more cache and an attempt to
rebrand personnel departments to gain more respect for their role in the organization from upper management.
Other commentators note that there are important qualitative differences between personnel management and
human resource management. According to these commentators, it's a difference in the way the activities are
approached.

Traditional personnel management often focuses on managing a workforce from an administrative standpoint. The
function is to ensure people are hired, orientated, paid on time and have their complaints and needs addressed. On
the other hand, HRM treats employees as a resource much like a factory, a machine or cash. HRM's jobs include
developing this human capital to achieve the organization's goals, which makes HRM more 'people-centric.'

HRM is useful not only to organization, but the employees working

therein, and also the society at large also find it useful. The
objectives can be as under:
1. Organizational Objectives:
HRM is a means to achieve efficiency and effectiveness. It serves other
functional areas, so as to help them to attain efficiency in their operations and
attainment of goals to attain efficiency.

Image Courtesy : kartographers.com/images/lms.png

Acquiring right man for the right job at right time in right quantity, developing
through right kind of training, utilizing the selected workforce, and
maintaining the workforce are the organizational objectives of HRM.
Succession planning is an important issue to be taken up as a contemporary
organizational objective.
2. Functional Objectives:
HRM performs so many functions for other departments. However, it must
see that the facilitation should not cost more than the benefit rendered.
3. Personal Objectives:
In todays world there is shortage of requisite talent. Employees are
encouraged by competitive firms to change the jobs. HRM has the
responsibility to acquire, develop, utilize, and maintain employees.
This would be possible only when the HRM helps employees to achieve their
personal goals to get their commitment. Creating work-life balance for the
employees is a personal objective.

4. Societal Objectives:
HRM must see that the legal, ethical, and social environmental issues are
properly attended to. Equal opportunity and equal pay for equal work are the
legal issues not to be violated. To take care of farmers (whose land has been
acquired for the factory) and tribals (who are displaced by industries and
mining companies) are the ethical issues.
The results are clear when these issues are not taken care of. To help the
society through generating employment opportunity, creating schools and
dispensaries, helping women empowerment are the social responsibility
issues.
The objectives of HRM may be as follows:
1. To create and utilize an able and motivated workforce, to accomplish the basic organizational goals.
2. To establish and maintain sound organizational structure and desirable working relationships among all the members of the organization.
3. To secure the integration of individual or groups within the organization by co-ordination of the individual and group goals with those of the
organization.
4. To create facilities and opportunities for individual or group development so as to match it with the growth of the organization.
5. To attain an effective utilization of human resources in the achievement of organizational goals.
6. To identify and satisfy individual and group needs by providing adequate and equitable wages, incentives, employee benefits and social security and
measures for challenging work, prestige, recognition, security, status.
7. To maintain high employees morale and sound human relations by sustaining and improving the various conditions and facilities.
8. To strengthen and appreciate the human assets continuously by providing training and development programs.
9. To consider and contribute to the minimization of socio-economic evils such as unemployment, under-employment, inequalities in the distribution of
income and wealth and to improve the welfare of the society by providing employment opportunities to women and disadvantaged sections of the
society.
10. To provide an opportunity for expression and voice management.
11. To provide fair, acceptable and efficient leadership.
12. To provide facilities and conditions of work and creation of favorable atmosphere for maintaining stability of employment.

more at http://www.citeman.com/245-objectives-of-human-resource-management.html#ixzz3DPTSwzEG

New directions in the roles and responsibilities of the HRM function

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Cited by (Scopus, 9)

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Author(s):
Michael J. Morley (University of Limerick, Limerick, Ireland)
Patrick Gunnigle (University of Limerick, Limerick, Ireland)
Michelle O'Sullivan (University of Limerick, Limerick, Ireland)
David G. Collings (Sheffield University Management School, University of
Sheffield, Sheffield, UK)
Citation:
Michael J. Morley, Patrick Gunnigle, Michelle O'Sullivan, David G. Collings,
(2006) "New directions in the roles and responsibilities of the HRM
function", Personnel Review, Vol. 35 Iss: 6, pp.609 - 617
Downloads:
The fulltext of this document has been downloaded 8941 times since 2006
Abstract:
Purpose The purpose of this paper is to introduce the special issue,
which brings together five papers exploring the changing anatomy of HRM
at organisational level. Design/methodology/approach This
overarching paper briefly contextualises the theme and introduces the five
selected empirical papers. Findings The findings in this paper vary
according to the core theme of each of the five contributions. The first
paper highlights whether the mix of distributed HR activities between the
HR department and internal/external agents may be understood to be less
a product of contextual influences and more a matter of corporate choice.
The second paper establishes that role dissonance is a very real issue for
middle managers with HR responsibilities. The third paper unearths the
complexities and challenges involved in changing existing HRM
procedures and practices in a postmerger scenario. The fourth paper
provides an understanding of the management of human resource supply
chains and outlines five, empirically derived, generic models of HR

outsourcing. The final paper finds that human resource IT diffusion and
takeup is primarily fuelled by interpersonal communication and network
interactions among potential adopters. Originality/value Combined, the
papers offer insights on the changing anatomy of the HRM function against
the backdrop of a dynamic contemporary organisational landscape and
showcase crossnational research on the theme.
Keywords:
Human resource management, Human resource strategies
Type:
Research paper
Publisher:
Emerald Group Publishing Limited

Importance of Human Resource Management

An organisation cannot build a good team of working professionals without good Human Resources. The key functions of the
Human Resources Management (HRM) team include recruiting people, training them, performance appraisals, motivating employees
as well as workplace communication, workplace safety, and much more. The beneficial effects of these functions are discussed
here:
Recruitment and Training
This is one of the major responsibilities of the human resource team. The HR managers come up with plans and strategies for hiring
the right kind of people. They design the criteria which is best suited for a specific job description. Their other tasks related to
recruitment include formulating the obligations of an employee and the scope of tasks assigned to him or her. Based on these two
factors, the contract of an employee with the company is prepared. When needed, they also provide training to the employees
according to the requirements of the organisation. Thus, the staff members get the opportunity to sharpen their existing skills or
develop specialised skills which in turn, will help them to take up some new roles.
Performance Appraisals
HRM encourages the people working in an organisation, to work according to their potential and gives them suggestions that can
help them to bring about improvement in it. The team communicates with the staff individually from time to time and provides all
the necessary information regarding their performances and also defines their respective roles. This is beneficial as it enables them
to form an outline of their anticipated goals in much clearer terms and thereby, helps them execute the goals with best possible
efforts. Performance appraisals, when taken on a regular basis, motivate the employees.
Maintaining Work Atmosphere
This is a vital aspect of HRM because the performance of an individual in an organisation is largely driven by the work atmosphere
or work culture that prevails at the workplace. A good working condition is one of the benefits that the employees can expect from
an efficient human resource team. A safe, clean and healthy environment can bring out the best in an employee. A friendly
atmosphere gives the staff members job satisfaction as well.
Managing Disputes
In an organisation, there are several issues on which disputes may arise between the employees and the employers. You can say
conflicts are almost inevitable. In such a scenario, it is the human resource department which acts as a consultant and mediator to

sort out those issues in an effective manner. They first hear the grievances of the employees. Then they come up with suitable
solutions to sort them out. In other words, they take timely action and prevent things from going out of hands.
Developing Public Relations
The responsibility of establishing good public relations lies with the HRM to a great extent. They organise business meetings,
seminars and various official gatherings on behalf of the company in order to build up relationships with other business sectors.
Sometimes, the HR department plays an active role in preparing the business and marketing plans for the organisation too.
Any organisation, without a proper setup for HRM is bound to suffer from serious problems while managing its regular activities. For
this reason, today, companies must put a lot of effort and energy into setting up a strong and effective HRM.

By Admin

Ten Reasons Why the Human Resources

Department Is Important
by Ruth Mayhew, Demand Media

For small businesses and large conglomerates alike, the human resources or
personnel function can be helpful for much more than simply processing payroll or
handling the open enrollment season once a year. Human resources plays an
essential role in developing a company's strategy as well as handling the employeecentered activities of an organization.
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Human Capital Value

Having an in-house human resources function is important. An in-house human
resources staff or a human resources expert on staff can increase the understanding
of how important human capital is to the company's bottom line. For small
businesses, in particular, human capital is critical because so many smaller firms
have employees who perform cross-functional duties. With a smaller workforce, if
just one person leaves, it leaves the company with a huge gap to fill and a potential
threat to the company's profitability.

Budget Control
Human resources curbs excessive spending through developing methods for
trimming workforce management costs, which includes negotiating better rates for
benefits such as health care coverage. In addition, human resources ensures
competitive and realistic wage-setting based on studying the labor market,
employment trends and salary analysis based on job functions. As some small
businesses have budget constraints, this human resources function is especially
helpful.
Related Reading: How to Apply for Food Stamps With the Department of Human
Resources

Conflict Resolution
Workplace conflict is inevitable, given the diversity of personalities, work styles,
backgrounds and levels of experience among employees. A human resources
manager or a staff person specially trained to handle employee relations matters
can identify and resolve conflict between two employees or a manager and
employee and restore positive working relationships.

Training and Development

Human resources conducts needs assessments for the organization's current
workforce to determine the type of skills training and employee development
necessary for improving skills and qualifications. Companies in the beginning or
growth phases can benefit from identifying training needs for existing staff. It's
much less expensive than the cost to hire additional staff or more qualified
candidates. In addition, it's a strategy that also can reduce turnover and improve
employee retention.

Employee Satisfaction
Human resources specialists usually are charged with the responsibility of
determining the level of employee satisfaction -- often an ambiguous measurement
at best. With carefully designed employee surveys, focus groups and an exit

interview strategy, human resources determines what underlies employee

dissatisfaction and addresses those issues to motivate employees.

Cost Savings
The cost to hire new or replacement workers, including training and ramp-up time,
can be exorbitant for employers, especially small businesses. With a wellconstructed recruitment and selection process, the human resources function can
minimize expenses regarding advertising job postings, training new employees and
enrolling new employees in benefits plans.

Performance Improvement
Human resources develops performance management systems. Without a human
resources staff person to construct a plan that measures performance, employees
can wind in jobs that aren't suitable for their skills and expertise. Additionally,
employees whose performance falls below the employer's expectations can
continue on the payroll, thereby creating wasted money on low-performing
employees.

Sustaining Business
Through succession planning that human resources develops, the company
identifies employees with the promise and requisite capabilities to eventually
transition into leadership roles with the company. This is an important function as
it can guarantee the organization's stability and future success.

Corporate Image
Businesses want to be known as the "employer of choice." Employers of choice are
the companies that receive recognition for the way they treat employees; they are
the companies for whom people want to work. Becoming an employer of choice
means human resources balances recruiting the most qualified applicants, selecting
the most suitable candidates and retaining the most talented employees.

Steadfast Principles
Human resources ensures the workforce embraces the company's philosophy and
business principles. From the perspective of a small business, creating a cohesive
work environment is imperative. The first opportunity human resources has to
accomplish this is through wise hiring decisions that identify desirable professional
traits, as well as orientation and on-boarding programs.
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References (2)
Resources (1)
About the Author
Ruth Mayhew began writing in 1985. Her work appears in "The MultiGenerational Workforce in the Health Care Industry" and "Human Resources
Managers Appraisal Schemes." Mayhew earned senior professional human
resources certification from the Human Resources Certification Institute and holds
a Master of Arts in sociology from the University of Missouri-Kansas City.

Five Basic Functions of

Human Resource
Management
Posted on November 15th, 2013
Human Resource Management (HRM) is all about balancing
the organizations people and processes to best achieve the
goals and the strategies of the organization, as well as the
goals and the needs of employees. The main role an HR
manager has to fulfill is integrating business operations and
strategies across a wide array of culture, products, and ideas,
while effectively delegating work among human resource
specialists and line management.
Apart from being concerned with local issues of employees,
HR must also consider these five basic functions and effects of
workforce diversity, legal restriction, performance
management, training and professional development of the
organization.

1. Recruitment
A great deal of attention and resources is required to attract,
hire and retain an experienced, committed and wellmotivated workforce. This is perhaps one of the most basic
HR functions. There are several elements to this task such as
developing a job description, advertising the job postings,

screening applicants, conducting interviews, making offers

and negotiating salaries and benefits. Companies that
value their people put a serious amount of
investment in recruiting and staffing services. As the
right set of talented employees can not only raise the
companies profile but also help it achieve profitability and
keep it running effectively and successfully.

2. Training and
Development
The HR department is responsible for providing on-the-job as
well as refresher training for all employees (newly hired and
existing) alike. This is the second most important function
and lack of training opportunities only increases frustration
levels among employees. So, training systems must be
streamlined across all locations in order to make
communication and sharing of resources a convenient task.
Measurement and monitoring is another vital aspect of
training in order to foster adoption of their new skills.

3. Professional
Development
Effective HR departments allow and encourage the employees
with opportunities for growth,leadership training and
education, which in turn contribute to the success of the
company. Sponsoring for career advancement seminars,
training, corporate social responsibilities and trade shows will

make employees feel important and cared for by the team and
organization.

4. Benefits and
Compensation
A company is more likely to be successful, if it adapts new
ways of providing benefits to employees. Some nontraditional benefits that can attract and retain new skilled
employees are:

Flexible working hours or workdays,

Extended vacation time,
Paternity leave or childcare
Medical/dental insurance,
Corporate gym membership discounts
Continuing education/skills development
Award & recognition programs

5. Ensuring Legal
Compliance
Compliance with labor, tax and employment laws is a vital
part of safeguarding the organizations continued existence.
HR has to be aware of all the mandate laws and policies
regarding employment practices, working conditions, tax
allowances, required working hours, overtime, break times,
minimum wage, and discrimination policies as

noncompliance can affect productivity and ultimately,

profitability of the company.

Types of Human Resource Planning

By Jim Franklin, eHow Contributor

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To attract and retain the right employees, there are different types of human resource planning.

To achieve organizational goals, human resource planning must use employee recruiting,
development and retention. It must also analyze the current workforce and consider how it aligns
with future employment needs. Attracting, training and retaining quality employees allows
human resources to use different types of planning to meet future workforce requirements.

Other People Are Reading

Steps in the Human Resource Planning Process

Types of Manpower Planning

1. Workforce Forecasting
o

To satisfy the organization's strategic objectives, human resources needs to

consider what kind of workforce will be needed in the future. Workforce
forecasting is a major component of human resource planning, and involves
analyzing its current workforce and comparing it to future requirements to
discover what gaps and surpluses exist.

Recruiting
o

Achieving strategic objectives through the human resource element involves

attracting and recruiting quality employees. Benefits, compensation,
organizational structure and employee growth or advancement are key elements
for finding and hiring good employees. Planning the recruiting process with these
elements in mind will assist with future employee selection.

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Development
o

Development, or training, is a type of human resource planning that focuses on

how it can improve the current and future workforce. Training and development
programs improve both specific work-related skills and more general skills like
customer service or sales training. Training and retraining programs can also
focus on reducing current and future liability issues related to workplace safety.

Retaining
o

Planning for the retention of employees can be an arduous task, as it is difficult to

prevent employees from looking at other employment opportunities. Human
resources can help to reduce this likelihood by planning retention programs that
focus on employee recognition, rewards, advancement or growth, a work-life
balance and employee benefits.

Read more : http://www.ehow.com/list_6537673_types-human-resource-planning.html

Job Analysis is a process to identify and determine in detail the particular job duties and
requirements and the relative importance of these duties for a given job. Job Analysis is a
process where judgements are made about data collected on a job.

The Job; not the person An important concept of Job Analysis is that the analysis is
conducted of the Job, not the person. While Job Analysis data may be collected from
incumbents through interviews or questionnaires, the product of the analysis is a
description or specifications of the job, not a description of the person.

Purpose of Job Analysis

The purpose of Job Analysis is to establish and document the 'job relatedness' of employment
procedures such as training, selection, compensation, and performance appraisal.

Determining Training Needs

Job Analysis can be used in training/"needs assessment" to identify or develop:

training content

assessment tests to measure effectiveness of training

equipment to be used in delivering the training
methods of training (i.e., small group, computer-based, video, classroom...)

Compensation
Job Analysis can be used in compensation to identify or determine:

skill levels
compensable job factors
work environment (e.g., hazards; attention; physical effort)
responsibilities (e.g., fiscal; supervisory)
required level of education (indirectly related to salary level)

Selection Procedures
Job Analysis can be used in selection procedures to identify or develop:

job duties that should be included in advertisements of vacant positions;

appropriate salary level for the position to help determine what salary should be offered
to a candidate;
minimum requirements (education and/or experience) for screening applicants;
interview questions;
selection tests/instruments (e.g., written tests; oral tests; job simulations);
applicant appraisal/evaluation forms;
orientation materials for applicants/new hires

Performance Review
Job Analysis can be used in performance review to identify or develop:

goals and objectives

performance standards
evaluation criteria
length of probationary periods
duties to be evaluated

Methods of Job Analysis

Several methods exist that may be used individually or in combination. These include:

review of job classification systems

incumbent interviews
supervisor interviews
expert panels
structured questionnaires
task inventories
check lists
open-ended questionnaires
observation

incumbent work logs

A typical method of Job Analysis would be to give the incumbent a simple questionnaire
to identify job duties, responsibilities, equipment used, work relationships, and work
environment. The completed questionnaire would then be used to assist the Job
Analyst who would then conduct an interview of the incumbent(s). A draft of the
identified job duties, responsibilities, equipment, relationships, and work environment
would be reviewed with the supervisor for accuracy. The Job Analyst would then
prepare a job description and/or job specifications.
The method that you may use in Job Analysis will depend on practical concerns such as
type of job, number of jobs, number of incumbents, and location of jobs.

What Aspects of a Job Are Analyzed?

Job Analysis should collect information on the following areas:

Duties and Tasks The basic unit of a job is the performance of specific tasks and
duties. Information to be collected about these items may include: frequency, duration,
effort, skill, complexity, equipment, standards, etc.
Environment This may have a significant impact on the physical requirements to be
able to perform a job. The work environment may include unpleasant conditions such as
offensive odors and temperature extremes. There may also be definite risks to the
incumbent such as noxious fumes, radioactive substances, hostile and aggressive
people, and dangerous explosives.
Tools and Equipment Some duties and tasks are performed using specific equipment
and tools. Equipment may include protective clothing. These items need to be specified
in a Job Analysis.
Relationships Supervision given and received. Relationships with internal or external
people.
Requirements The knowledges, skills, and abilities (KSA's) required to perform the job.
While an incumbent may have higher KSA's than those required for the job, a Job
Analysis typically only states the minimum requirements to perform the job.

Copyright 1998, 1999 hr-guide.com All Rights Reserved.

Send questions or comments to hrmaster @hr-guide.com

Job descriptions are written statements that describe the:

duties,
responsibilities,
most important contributions and outcomes needed from a position,
required qualifications of candidates, and
reporting relationship and coworkers of a particular job.

Job descriptions are based on objective information obtained through job analysis, an
understanding of the competencies and skills required to accomplish needed tasks, and the needs
of the organization to produce work.
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They clearly identify and spell out the responsibilities of a specific job. Job descriptions also
include information about working conditions, tools, equipment used, knowledge and skills
needed, and relationships with other positions.
The best job descriptions are living, breathing documents that are updated as responsibilities
change. They do not limit employees, but rather, cause them to stretch their experience, grow
their skills, and develop their ability to contribute within their organization.