Meaning of Human Resource Management
What do you understand of Human Resource Management?
Human Resource Management is a practice of recruiting, hiring, deploying and managing an company’s employees. HRM is also called to simply as Human Resource (HR).
A company HR department is responsible for creating, putting into effect and overseeing policies governing workers and the relationship of the organization with the employees.
Human resources describes the people who make up the workforce of an organization, industry, business sector, or economy. “Human capital” is sometimes used synonymously with “human resources”, although human capital typically refers to a narrower effect (i.e., the knowledge the individuals embody and economic growth).
Likewise, other terms sometimes used include manpower, labour, personnel, associates or simply people.
A human-resources department (HR department) of an organization performs human resource management, overseeing various aspects of employment, such as compliance with labor law and employment standards, administration of employee benefits, organizing of employees files with the required documents for future reference, and some aspects of recruitment and employee off boarding.
Case Study – HRM
You have just been hired to work in the human resource department of a small company. You heard about the job through a conference you attended, put on by Society for Human Resource Management.
Jennifer is the owner of the company had been doing everything related to human resource management (HRM).
You can tell to owner is a bit critical about paying a good salary for something she was able to juggle all on her own. On your first day, you meet the ten employees and spend several hours with the company owner, hoping to get handle on which human resource processes are already set up.
Shortly after the meeting begins, you see she has completely different perspective of what HRM is, an you realize that it will your job to educate her on the value of a human resource manager.
You look at it as a personal challenge – both to educate her and also show her the value of this role in the organization. First, you tell that HRM is strategic process having to do with the staffing, compensation, retention, training and employment law and policies side of the business.
In other words, your job as a Human Resource (HR) manager will be not only to write policy and procedures and to hire people (the administrative role) but also use strategic plans to ensure the right people are hired and trained for the right job at the right time.
For example, you ask her if she knows what the revenue will be in six month, and Jennifer answers, “Of Course. We except it to increase by 20 percent.
You ask, “Have you thought about how many people you will need due to this increase?”
Jeniffier looks a bit sheepish and says, “No, I guess I have not gotten that far.”
Then you ask her about the training programs the company offers, the software used to allow employees to access pay information online, and the compensation policies.
She responds, “it looks like we have some work to do. I did not know that human resources involved all of that.”
You smile at her and start discussing some of the specifics of the business, so you can get started right away writing the strategic human resource management plan.
So, Above we have discussed about Define HR Meaning or Define Human Resource Management with the help of case study we can understand that what is the importance of HRM in any business organization.