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Revision: Introduction to Human Resource Management Business Studies ISC (Commerce) Class 12 CISCE

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Definitions [3]

Define the term Human Resource Management.

According to Dale Yoder, Human Resource Management is “the effective process of planning and directing the application, development, and utilisation of human resources in employment”.

Definition: Management

According to Lawrence Appley, “Management is the development of people, not the direction of things".

Definition: Human Resource Management
  • Human Resource Management may be defined "As that field of management which has to do with planning, organising and controlling the functions of procuring, developing, maintaining and utilising the labour force, such that the – (a) objectives for which the company is established are attained economically and effectively, (b) objectives of all levels of human resources are served to the highest possible degree, and (c) objectives of society are duly considered and served". - Michael J. Jucious.
  • Human Resource Management is "The planning, organising, directing and controlling of the procurement, development, compensation, integration, maintenance and reproduction of human resources to the end that individual, organisational and societal objectives are accomplished". - Edwin B. Flippo.
  •  "Human Resource Management is the recruitment, selection, development, utilization, compensation and motivation of human resources of the organisation". - French Wendell.
  • "Human Resource Management is a responsibility of all those who manage people as well as being a description of the work of those who are employed as specialists. It is that part of management which is concerned with people at work and with their relationships within an enterprise". - Scott

Key Points

Key Points: Concept of human Resource Management
  • Human resources refer to the knowledge, skills, abilities, talents, and attitudes of people working in an organisation.
  • Human Resource Management deals with managing people and their relationships within the organisation.
  • Human resources are considered the most important asset and source of strength for achieving organisational goals.
  • HRM treats employees as assets and focuses on developing commitment, performance, and adaptability to change.
  • HRM includes activities such as staffing, development, maintenance, and effective utilisation of the workforce.
Key Points: Importance of HRM
  • Human Resource Management helps organisations achieve their goals through the effective use of human resources.
  • It improves employees’ skills, motivation, and overall work performance.
  • Human Resource Management promotes better work-life and healthy relationships at the workplace.
  • It contributes to social and national development by creating employment and improving productivity.
  • Human Resource Management acts as a central function that influences all departments in an organisation.
Key Points: Human Resources as a Competitive Advantage
  • Globalisation has increased competition among firms at the national and international levels.
  • Human resources can be developed into a competitive advantage through better skills, knowledge, and motivation.
  • Employees are the most valuable assets because they make physical and financial resources productive.
  • HR professionals play a key role in acquiring, developing, and retaining talented employees.
  • Human Resource Management strengthens human capital and helps organisations face future challenges.
Key Points: Characteristics of Human Resource Management
  • Human Resource Management is people-oriented and focuses on managing employees as individuals and groups.
  • It is a comprehensive function that covers all levels of employees in an organisation.
  • HRM is a staff function that advises and supports line managers in managing people.
  • It is a pervasive function, present in all organisations and at all levels of management.
  • Human Resource Management is a continuous process that requires constant attention.
  • HRM is development-oriented, aiming to improve employees’ skills, performance, and satisfaction.
  • It is both a science and an art, as it uses principles as well as human judgment in dealing with people.
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