Module 1 HRM vs. Personnel Management

Pangasinan State University

Prof. Josefina B. Bitonio,DPASummer 2012

Prof. Josefina B. Bitonio,DPASummer 2012

DM 212 and ME 212 Human Resource Development &

ManagementModule 1 Definition of HRM vs.

Personnel Management

DM 212 and ME 212 Human Resource Development &

ManagementModule 1 Definition of HRM vs.

Personnel Management

Module I

Objectives:

• to Introduce the concept of human resources management (HRM);

• to learn the various schools of management;• to review the key names in management theories; and• to compare and contrast HRM with personnel

management in terms of these features: scope, hours of work, place of work, types of services/function, goals, technology, strategies and philosophy

Definition of HRM vs. Personnel Management

HRM

HRM is a broad concept from employee selection, training and development programs, career development, promotion, performance review and union – management interface and other activities.

Peterson and Tracy (1981) emphasized that HRM is an “emerging dynamic field in terms of both the staff functional and day-to-day utilization of human resources throughout the organization”.

Stressing the processes involved in managing human resources in an organization, Concepcion (1988) explain that -

HRM is an “art and science of acquiring, motivating, maintaining and developing people in their jobs in light of their personal, professional and technical knowledge, skills, potentialities, needs and values and in synchronization with the organization philosophy, resources and culture for the maximum achievement of individuals, organization and society’s goals”.

W. French (1990) refers to HRM as that which embodies the “philosophy, policies, procedures, and practices related to the management at people within the organization.”

It implies

• HRM can be viewed from a process-system perspective. From a process point of view, the concept includes all those process affecting and involving all employees o the organization including human resources planning, job design and information, staffing, training and development performance appraisal, compensation, and organization development.

• However, these processes have to be interrelated with each other through systems. Thus, the study of HRM involves a network of interrelated processes through systems which have to be planned, developed, and implemented by all levels of management and the rank and files. These are directed towards the achievement of organizational goals and objectives

These processes have to be interrelated with each other through systems. Thus, the study of HRM involves a network of interrelated processes through systems which have to be planned, developed, and implemented by all levels of management and the rank and files. These are directed towards the achievement of organizational goals and objectives

S – SpecificM – MeasurableA – AchievableR – RealisticT – Time-BoundE – Emotionally IntelligentR – Resources Specific

Source: Shobhit Tayal:2009 Slideshare

GOAL should be “SMARTER” than others:

Time is something that we can never take back. Why is time management so important? Time never rewinds like videotape. We can get more money but we cannot get more time!

• Time is rare.• Time cannot be stored.• Time is required for everything.• Time Management reduces effort.

Source: Shobhit Tayal, Slideshare

History of Various Schools of Management

Each perspective of management grew out of hospitable cultural context, what appear to be a naïve procedure may at another time have been useful solution to a perceived problem.

Source: UP ISSI:2006

Perspective IStructural System

Perspective IIInformation System

Perspective IIIHuman System

1900 Weber Taylor Gilbreth

Roelthlisberger

1940 Blackett Cock and French Churchman and Ackoff

Coch and French (Univ of Michigan Group)

1950 Woodward March & Simon (Ohio State Group) McGregor Argyris, Maier Herzberg, Likert

1960 Etzioni Seiler

Forrester Emshoff

Vroom Blake And Mouton Reddin Fiedler

1970 Integrated Systems Approach

Key Names in Management Theory

Perspective I: The Structural Design View of Management

1. Operations Research – mathematically quantifiable parameters (Churchman - 6 phases, and

Forrester’s system Dynamics - )

Perspective II: Information flow

2. Output and Input model (Emshoff)

Elderly tend to die before the

young

Is it blacks, whites and orientals die earlier

OUTPUT MODEL

Input data:DietSanitationWork habits

Causal and antecedent factors

Emshoff states that input –oriented research is needed for behavioral systems rather than output oriented

The fact that Emshoff and Forrester are concerned with the human variables clearly manifests that the newer perspective theorists are aware of the human component.

The fact that Emshoff and Forrester are concerned with the human variables clearly manifests that the newer perspective theorists are aware of the human component.

• Hawthorne Plant of Western Electric Co.• HAWTHORNE EFFETC (by behavioral scientists: Elton Mayo,

and Fritz Roethlisberger of Harvard Business School

Perspective III: Human Perspective

Levels of IlluminationLevels of Illumination

Bright sunlight Darker Full Moon

• A group of female relay assemblers was set apart and observed closely. Each time the intensity of light was changed, the production rate went up until it was physically impossible to see.• The workers knew that the researchers were interested in their performance but did not really think about the implications of differing level of illuminations

Gold fish bowl • Increase performance resulting from the workers knowledge that they were being observed with interest, treated as important and that their inputs were taken into consideration

• Workers attitudes, morale, group effects

• People oriented supervisory styles “nice guys” coming from the HR training (“warm feeling training”) or “charm school” consists primarily of company picnics, getting the wives together, and company sponsored athletics

• The post World War II studies done at the University of Michigan and Ohio state University indicated that “people oriented” leadership. From this school emanated human relations training which was designed

to make “nice guys” coming from the HR training (“warm feeling training”) or “charm school” consists primarily of company picnics, getting the wives together, and company sponsored athletics

Organizational and Development School

Multi – Dimensional Theorists – Motivation Theories)

A third multi-dimensional theorists is Fred Fiedler. His leadership style theory, based on over 20 studies, identifies three dimensions:

a. Position power of leader (strong or weak)b. Leader-member relationships (favorable &

unfavorable)c. Definition of job ( clearly and vaguely

defined)

Multi – Dimensional Theorists -

Finally Lawrence and Lorsch Certain organizational functions e.g. marketing, production, R &

D should be more or less tied with one another. However, the relative independence of these operations should vary, depending on the nature of the industry and environment

Multi-dimensional are here to stay. Coupled with situational approach to organizational design, leadership styles and OD appear to be the current directions for the study of organizations. Examine each situation to determine the most appropriate directions allows much more flexibility in the study and development of organizations

Both influence

each other to promote their needs

and well being

Stressing the processes involved in managing human resources in an organization, Concepcion (1988) explain that

HRM is an “art and science of acquiring, motivating, maintaining and developing people in their jobs in light of their personal, professional and technical knowledge, skills, potentialities, needs and values and in synchronization with the organization philosophy, resources and culture for the maximum achievement of individuals, organization and society’s goals”.

Sugiharto, SH.MM (2009) outlined the management of Human Resource in an Organization

Human Resource Management’s Outline

Acquisition

Development

Motivation

Maintenance

Source: Sugiharto, SH.MM 2009

HRM Roles

Administrative Functions


HRM Activities

Recruitment & Staffing

Equal Employment Opportunity

Planning- Analysis of the HR

Employee Relations

Equal Employment Opportunity

Remuneration

HR Development


Without the active involvement and participation of the employees, the organization cannot grow and develop to meet its goals. All these are critical in understanding HRM.

vs.

PersonnelManagement

HRM

• HRM differs in terms of perspective• French (1990) stresses that personnel

management has a strong functional focus in that it is concerned with the administration of specific employee-related functions such as hiring, training, compensation, and disciplinary action. It does not view these functions as interrelated

• it views all personnel functions as interrelated and emphasizes a more dynamic, action-oriented perspective of organization / personnel processes.

• In other words, HRM which combines individual and organization goal takes on a more developmental, flexible and participatory stance. Because of its concern for the growth and development of the individual. – It provides opportunities and mechanisms for things to happen. It is

proactive in the sense that the involvement and participation of the employees in all management processes is harnessed and developed.

– It is innovative in the sense that it does not stop at making changes and introducing innovations in all personnel functions to facilitate and promote change and development for both organization and employees.

Comparison Between Personnel Management and Human Resources Management

FACTORS PERSONNEL MANAGEMENT

HUMAN RESOURCES MANAGEMENT

1. Scope : people involved

mostly rank and file all people working for and with the organization including the Board, top management consultants or resource persons, middle management, rank and file

2. Hours of work full-time work full-time, part-time, flex time 3.Place of work formal setting: office,

factory / plantformal and informal settings



4.Types of service / function

few and simple: personnel information, recruitment and screening social activities, management-labor relationship

Varied and complex: job organization and information: job analysis, job design and job evaluation; acquisition of human resources: human resources planning, recruitment, screening, selection and placement, maintenance: orientation, motivation, assessment and evaluation, compensation administration, movement analysis, benefits, participation and services programs, management- labor relations.

5.Department head or officer-in charge

administrative officer or chief executive officer

Separate Human Resources Department manned by human resources specialist



6.Department staff: qualifications

lawyer, records clerk behavioral scientist, social science researcher

7.Level reporting lower level of line of managers

higher level of general manager or chief executive officer

8.Goals accomplishment of organization goals being emphasized

accomplishment of organization and individual goals

9.Technology mechanistic: reactive, structural, inflexible, technical, control oriented and organization-oriented

Developmental: proactive, socio-technical orientation, flexible, participatory, creative and innovative



10. Strategies Personally subjective based on management’ needs and values: compartmentalized approach

Objective and scientific based on individual and organization culture, total systems approach

11.Philosophy Traditional work orientation with priorities on organization and management welfare mainly for profit people: an expense and a factor or production

Human with emphasis on respect for individual and society’s well-being: people: an investment and a resource

Summary• A personnel has a strong functional focus. It is concerned with the

administration of specific employee-related functions such a hiring, training and disciplinary actions which are not viewed as interrelated.

• Human resources management views all personnel functions as interrelated and takes an encompassing view. It is development flexible and participatory in the sense that it is more concerned with the growth and development of the individual employee; provides more opportunities and innovations in all personnel functions.

• Human resources management views all personnel functions as interrelated and takes an encompassing view. It is development flexible and participatory in the sense that it is more concerned with the growth and development of the individual employee; provides more opportunities and innovations in all personnel functions.

Integrating Theory and practices

A number of government agencies do not have HRM plans and programs based on the needs and expectations of individual employees. In fact , some agencies have strategic plans which do not spell out approaches to the development of human resources of the organization. Identified strategies have focused more on achieving the goals of the organization rather than on attaining both the goals of the organization and employees. In this regard, employees are not seen as an investment and a resource for the organization’s productivity and efficiency.

Reference:

• Perla Legaspi- Human Resource Development Open University, University of the Philippines 2002• Wendell French. (1990). Human Resources Management. 2nd

edition, New Jersey: Houghton Mifflin Co., 1990, Chapter 1, pp.5-25.

• Richard Peterson and lane Tracy. Systematic management of Human Resources. Massachusetts: Addition-Wesley Publishing Co., 1981 . Chapter1, pp. 3-18.

• Conception Martires. (1988), Human Resource Management Principles and Practices. Quezon City Kalayaan Press Marketing, Inc. Chapter 1, pp. 3-9.

• UP ISSI Managers Course 2006• Shobhit Tayal et al: 2009 Personal Success Strategies.

Slideshare

Education

Module 1 HRM vs. Personnel Management