The Historical Background Of Human Resource Management Show
Human resource management has changed in name various times throughout history. The name change was mainly due to the change in social and economic activities throughout history. Industrial Welfare Industrial welfare was the first form of human resource management (HRM). In 1833 the factories act stated that there should be male factory inspectors. In 1878 legislation was passed to regulate the hours of work for children and women by having a 60 hour week. During this time trade unions started to be formed. In 1868 the 1st trade union conference was held. This was the start of collective bargaining. In 1913 the number of industrial welfare workers had grown so a conference organized by Seebohm Rowntree was held. The welfare workers association was formed later changed to Chartered Institute of Personnel and Development. Recruitment and Selection It all started when Mary Wood was asked to start engaging girls during the 1st world war. In the 1st world war personnel development increased due to government initiatives to encourage the best use of people. In 1916 it became compulsory to have a welfare worker in explosive factories and was encouraged in munitions factories. A lot of work was done in this field by the army forces. The armed forces focused on how to test abilities and IQ along with other research in human factors at work. In 1921 the national institute of psychologists established and published results of studies on selection tests, interviewing techniques and training methods. Acquisition of other Personnel Activities During the 2nd world war the focus was on recruitment and selection and later on training; improving morale and motivation; discipline; health and safety; joint consultation and wage policies. This meant that a personnel department had to be established with trained staff. Industrial Relations Consultation between management and the workforce spread during the war. This meant that personnel departments became responsible for its organization and administration. Health and safety and the need for specialists became the focus. The need for specialists to deal with industrial relations was recognized so that the personnel manager became as spokesman for the organization when discussions where held with trade unions/shop stewards. In the 1970's industrial relations was very important. The heated climate during this period reinforced the importance of a specialist role in industrial relations negotiation. The personnel manager had the authority to negotiate deals about pay and other collective issues. Legislation In the 1970's employment legislation increased and the personnel function took the role of the specialist advisor ensuring that managers do not violate the law and that cases did not end up in industrial tribunals. Flexibility and Diversity In the 1990's a major trend emerged where employers were seeking increasing flexible arrangements in the hours worked by employees due to an increase in number of part-time and temporary contracts and the invention of distance working. The workforce and patterns of work are becoming diverse in which traditional recruitment practices are useless. In the year 2000, growth in the use of internet meant a move to a 24/7 society. This created new jobs in e-commerce while jobs were lost in traditional areas like shops. This meant an increased potential for employees to work from home. Organizations need to think strategically about the issues these developments raise. HRM managers role will change as changes occur. Information Technology Some systems where IT helps HRM are: Systems for e-recruitment; On-line short-listing of applicants; Developing training strategies on-line; Psychometric training; Payroll systems; Employment data; Recruitment administration; References; Pre-employment checks. IT helps HR managers offload routine tasks which will give them more time in solving complex tasks. IT also ensures that a greater amount of information is available to make decisions. << Back Human resources is the set of people who make up the workforce of an organization, business sector, industry, or economy. A narrower concept is human capital, the knowledge and skills which the individuals command. Similar terms include manpower, labor, personnel, associates or simply: people. The 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, interviewing, administration of Employee benefits, organizing of employee files with the required documents for future reference, and some aspects of recruitment (also known as talent acquisition) and employee offboarding.[1] They serve as the link between an organization's management and its employees. The duties include planning, recruitment and selection process, posting job ads, evaluating the performance of employees, organizing resumes and job applications, scheduling interviews and assisting in the process and ensuring background checks. Another job is payroll and benefits administration which deals with ensuring vacation and sick time are accounted for, reviewing payroll, and participating in benefits tasks, like claim resolutions, reconciling benefits statements, and approving invoices for payment.[2] HR also coordinates employee relations activities and programs including but not limited to employee counseling.[3] The last job is regular maintenance, this job makes sure that the current HR files and databases are up to date, maintaining employee benefits and employment status and performing payroll/benefit-related reconciliations.[2] Activities[edit]A human resources manager has various functions in a company[4]
Managers need to develop their interpersonal skills to be effective. Organizational behavior focuses on how to improve factors that make organizations more effective. History[edit]Human resource management used to be referred to as "personnel administration." In the 1920s, personnel administration focused mostly on the aspects of hiring, evaluating, and compensating employees. However, they did not focus on any employment relationships at an organizational performance level or on the systematic relationships in any parties. This led to a lacked unifying paradigm in the field during this period.[5] According to an HR Magazine article, the first personnel management department started at the National Cash Register Co. in 1900. The owner, John Henry Patterson, organized a personnel department to deal with grievances, discharges and safety, and information for supervisors on new laws and practices after several strikes and employee lockouts. This action was followed by other companies; for example, Ford had high turnover ratios of 380 percent in 1913, but just one year later, the line workers of the company had doubled their daily salaries from $2.50 to $5, even though $2.50 was a fair wage at that time.[6] This example clearly shows the importance of effective management which leads to a greater outcome of employee satisfaction as well as encouraging employees to work together in order to achieve better business objectives. During the 1970s, American businesses began experiencing challenges due to the substantial increase in competitive pressures. Companies experienced globalization, deregulation, and rapid technological change which caused the major companies to enhance their strategic planning – a process of predicting future changes in a particular environment and focus on ways to promote organizational effectiveness. This resulted in developing more jobs and opportunities for people to show their skills which were directed to effectively applying employees toward the fulfillment of individual, group, and organizational goals. Many years later the major/minor of human resource management was created at universities and colleges also known as business administration. It consists of all the activities that companies used to ensure the more effective use of employees.[7] Now, human resources focus on the people side of management.[7] There are two real definitions of HRM (Human Resource Management); one is that it is the process of managing people in organizations in a structured and thorough manner.[7] This means that it covers the hiring, firing, pay and perks, and performance management.[7] This first definition is the modern and traditional version more like what a personnel manager would have done back in the 1920s.[7] The second definition is that HRM circles the ideas of management of people in organizations from a macromanagement perspective like customers and competitors in a marketplace.[7] This involves the focus on making the "employment relationship" fulfilling for both management and employees.[7] Some research showed that employees can perform at a much higher rate of productivity when their supervisors and managers paid more attention to them.[6] The Father of Human relations, Elton Mayo, was the first person to reinforce the importance of employee communications, cooperation, and involvement.[6] His studies concluded that sometimes the human factors are more important than physical factors, such as quality of lighting and physical workplace conditions. As a result, individuals often place value more on how they feel.[6] For example, a rewarding system in Human resource management, applied effectively, can further encourage employees to achieve their best performance. Origins of the terminology[edit]Pioneering economist John R. Commons mentioned "human resource" in his 1893 book The Distribution of Wealth but did not elaborate.[8] The expression was used during the 1910s to 1930s to promote the idea that human beings are of worth (as in human dignity); by the early 1950s, it meant people as a means to an end (for employers).[9] Among scholars the first use of the phrase in that sense was in a 1958 report by economist E. Wight Bakke.[10] In regard to how individuals respond to the changes in a labor market, the following must be understood:
Criticism of the terminology[edit]An advertisement for “human resources” (labour) from Sabah and Sarawak, seen in Jalan Petaling, Kuala Lumpur. One major concern about considering people as assets or resources is that they will be commoditized, objectified, and abused. Human beings are not "commodities" or "resources", but are creative and social beings in a productive enterprise. The 2000 revision of ISO 9001, in contrast, requires identifying the processes, their sequence, and interaction, and to define and communicate responsibilities and authorities. In general, heavily unionized nations such as France and Germany have adopted and encouraged such approaches. Also, in 2001, the International Labour Organization decided to revisit and revise its 1975 Recommendation 150 on Human Resources Development, resulting in its "Labour is not a commodity" principle. One view of these trends is that a strong social consensus on political economy and a good social welfare system facilitate labor mobility and tend to make the entire economy more productive, as labor can develop skills and experience in various ways, and move from one enterprise to another with little controversy or difficulty in adapting. Another important controversy regards labor mobility and the broader philosophical issue with the usage of the phrase "human resources". Governments of developing nations often regard developed nations that encourage immigration or "guest workers" as appropriating human capital that is more rightfully part of the developing nation and required to further its economic growth. Over time, the United Nations have come to more generally support[citation needed] the developing nations' point of view, and have requested significant offsetting "foreign aid" contributions so that a developing nation losing human capital does not lose the capacity to continue to train new people in trades, professions, and the arts. Some businesses and companies are choosing to rename this department using other terms, such as "people operations" or "culture department," in order to erase this stigma. [12] Development[edit]Human resource companies play an important part in developing and making a company or organization at the beginning or making a success at the end, due to the labor provided by employees. Human resources are intended to show how to have better employment relations in the workforce. Also, to bring out the best work ethic of the employees and therefore making a move to a better working environment.[13] Human resources also deals with essential motivators in the workplace such as payroll, benefits, team morale and workplace harassment. [1] Planning[edit]Administration and operations used to be the two role areas of HR. The strategic planning component came into play as a result of companies recognizing the need to consider HR needs in goals and strategies. HR directors commonly sit on company executive teams because of the HR planning function. Numbers and types of employees and the evolution of compensation systems are among elements in the planning role.[14] Various factors affecting Human Resource: planning organizational structure, growth, business location, demographic changes, environmental uncertainties, expansion etc. Additionally, this area encompasses the realm of talent management.[citation needed][15] See also[edit]
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What is personnel management era?The term personnel management has emerged in 1945 after the World War. During this stage, the personnel managers distinguished themselves from other managerial functions, and personnel function being declared as a separate managerial function.
Which of the following activities was part of the traditional role of personnel management in the early 1900s?The traditional role of personnel management was hiring and firing the employees. It was one of the main tasks of personnel management. In the 1900s, personnel management was more about completing organizational targets, providing compensation, and filling the job positions in the firm.
Which of the following is true of HR managers in the 1980s and 1990s when firms sought mergers and acquisitions to compete effectively in the global marketplace quizlet?Which of the following was true of human resource (HR) managers in the 1980s and 1990s when firms sought mergers and acquisitions in order to compete effectively in the global marketplace? They helped identify the critical human resources that firms would need in the future.
When did the concept of Personnel Management came out?The real development of the personnel management begun after the 2nd World War in 1945. Most organizations stopped their rapid growth in the number of employees, but they realized the need to increase their productivity to stay competitive on the market.
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