Free HRM Course-Definitions of HRM

Definitions of HRM

There are two different definitions. The first definition of HRM is that “It is the process of managing people in organizations in a structured and thorough manner.” This covers the fields of staffing (hiring people), retention of people, pay and perks setting and management, performance management, change management and taking care of exits from the company to round off the activities. This is the traditional definition of HRM which leads some experts to define it as a modem version of the Personnel Management function that was used earlier.

The second definition of HRM encompasses “The management of people in organizations from a macro perspective, i.e. managing people in the form of a collective relationship between management and employees.” This approach focuses on the objectives and outcomes of the HRM functions. It means that the HR function in contemporary organizations is concerned with the notions of people enabling, people development and a focus on making the “employment relationship” fulfilling for both the management and employees.

In simple words, Human resource management is management function that helps manager to recruit, select, train and develop organization members. Or HRM is a process of making the efficient and effective use of human resources so that the set goals are achieved.

In general terms, Human Resource Management is “concerned with the people dimension in management. Since every organization is made up of people, acquiring their services, developing their skills, motivating them to high levels of performance and ensuring that they continue to maintain their commitment to the organization are essential for achieving organizational objectives. This is true regardless of the type of organization government business, Education, Health, regression or social action.”
(Decenzo David A. & Stephen Robbins P., Human Resources Management, John Wiley & Soans Inc. New York, 1994.)

In the words of Dunn and Stephens, “The HRM is the process of attracting, holding and motivating all manager line and staff.”
(Dunn, J.D and Stephens, EC Management of people, Me Graw Hill Book Company, New York, 1972, P.10.)

The National Institute of Personnel Management (NIPM) of India has defined human resource as “that part of management which is concerned with people at work and with their relationship within an enterprise. Its aim is to bring together and develop into an effective organization of the men and women who make up an enterprise and having regard for the well-being of the individuals and of working groups, to enable them to make their best contribution to its success.”


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