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Human Resource Management (HRM) Definition Meaning
Human Resource Management (HRM) Definition Meaning

April 13, 2022

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Human Resource Management more commonly known as HR has been defined in many different ways but at the heart of every definition is the human capital - the employee. HRM is defined as the effective management of people in an organisation or company so that they may contribute to the company's or organization's business success.. HRM systems and policies are designed to maximize employee performance to achieve strategic objectives.

Human Resource Management is defined by Edwin Flippo as “planning, organizing, directing, controlling of procurement, development, compensation, integration, maintenance and separation of human resources to the end that individual, organizational and social objectives are achieved.”

Some of the most basic roles of HRM are - recruitment strategiesrecruitment, training, motivation, leave policies, other workplace policies, employee-related legal compliances, organisational culture, monitoring, salary structure etc to name a few.

HRM - Human Resource Management Meaning, Nature & its Origin

HR has its origins in the industrial revolution, 18th century Europe. The Industrial Revolution got a large number of labourers who moved from farming into mills, factories and mines. An unexpected rise in the workforce necessitated representation and planning.. This need facilitated the organisation of trade unions to represent the interests of the working people. Employers had to decide whether to accept the unions' demands at a cost to themselves or endure the loss of productivity. The skilled workers were thought to be the first to successfully negotiate their circumstances through this method. Skilled personnel were difficult to replace and faced a risk of joining competitors.

At the same time, intellectuals such as Charles Babbage and Robert Owen highlighted that employee well-being led to excellent performance; a company could not thrive without healthy personnel. they believed the success of an organisation was greatly dependent on the people.  One of the oldest professional HR associations- CIPD (Chartered Institute of Personnel and Development) which was started in the year 1913 had starts in the England as the Welfare Workers' Association.  Year 1948 saw the formation of the American society for personnel Administration, this later became the largest professional HR organisation which isthe Society for Human Resource Management (SHRM).

Origin of HRM study has its origins in organisational psychology, organisational behaviour, organisational theory and industrial psychology. Cornell University (U.S.A.) in 1945 was the world's foremost institution of the higher education to focus on workplace studies at — The School of Industrial and Labour Relations.

Nature of Human Resource Management - HRM

Any and all organisations are fuelled by human beings even artificial intelligence is designed and programmed by human beings making HRM pervasive. Human resource management assumes that the people alone generate value and add to the competitive advantage of organizations making Human Resource Management a very important function in all organisations.

Employees can be certain that they will be working in a professional and safe workplace if a company has statutory compliance in its HR department. Statutory compliance with payroll and employment laws instil confidence in the employees and helps build a healthy work environment and increases employee retention. In today's increasingly competitive economy, HRM plays a critical role in employee retention.


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