DIFFERENCE
BETWEEN PERSONNEL MANAGEMENT & HUMAN RESOURCE MANAGEMENT
BY
SMART
LEARNING WAY
Contents
Introduction to Personnel Management
Introduction to Human Resource Management
Meaning of Personnel Management
Meaning of Human Resource Management
Difference between PM & HRM
Conclusion
Introduction to Personnel Management
PM is a part of the Management. This part is
concerned with people and their relationship within an Organization.
PM is a continuous and never ending process.
PM is a responsibility of all line managers
and it is a function of all Staff managers in an organization.
PM is concerned mostly with managing Human
Resources at work.
PM is also variously known as Labour relation,
Labour welfare Management, Manpower Management, etc.
Introduction to HRM
HRM is relatively new and developed as a part
of Management, concerned with the Management of Human Resource.
HRM means employing people, developing their
resources, utilizing, maintaining and compensating their services in tune with
the job and organizational requirements.
HRM is the central sub – system of an
Organization.
HRM permeates all type of functional
Management. Such as :-
- Production Management,
- Marketing Management,
&
- Financial Management
Meaning of Personnel Management
PM is a responsibility of those who manage
people as well as being a description of the work of those who are employed as
specialists.
PM is that part of Management which is
concerned with people at work and their relationship within an enterprise.
PM applies not only to industries and
commercial organization but to all fields of
employment.
Meaning of HRM
HRM is the recruitment, selection,
development, utilization and accommodation of HR by an Organization.
The HR of an Organization consist of all
individual regardless of their role who are enjoyed and engaged in any of an
Organizational activities.
HRM is a Management which manages the human
resources of an enterprise such as knowledge, skills, creative abilities,
talent & aptitudes by training, development, procurement, recruitment,
selection, etc. With the objective of achieving goals of the enterprise.
Difference between Personnel Management &
Human Resource Management
PM
1) Personnel Management is the Management of
the employed people.
2)In PM, communication is indirect.
HRM
1)HRM is the Management of employees’ skills,
knowledge, abilities, talents, aptitudes, creative abilities, etc.
2)In HRM, communication is direct.
PM
3) Employee in PM is mostly treated as an
economic man as his services are exchanged for wage and salary.
HRM
3) Employee in HRM is treated not only as
economic man but also as social & psychological man. Thus the complete man
is used under this approach.
PM
4) In PM, employee is treated as a commodity
or tool or equipment which can be purchased and used.
5) In PM, there are careful delineation of
written contracts.
HRM
4)
In HRM, employee is treated as a resource.
5) In HRM, they aim to go beyond the
contracts.
PM
6) In PM, employees are treated as cost centre
and therefore Management controls the cost of labour.
HRM
6) In HRM, employees are treated as profit
centre and therefore Management invests capital for human resource development
and future utility.
PM
7) In PM, employees are used mostly for the
organizational benefit.
HRM
7) In HRM, employees are used for the multiple
mutual benefit of the organization, employees and their family members.
PM
8) PM is treated as only an auxiliary
function.
9) PM, gives importance of devising clear
rules.
10) PM, guides to Management action through
procedures.
HRM
8) HRM is a strategic Management function.
9) HRM, can do outlook, impatience with rules.
10) HRM, guides to Management action according
to business needs.
PM
11) In PM, norms, customs and practices are
considered as behavior referent.
12) In PM, monitoring is considered as
managerial task.
HRM
11) In HRM, values and missions are considered
as behavior referent.
12) In HRM, nurturing is considered as
managerial task.
PM
13) PM, keeps key relations with labour
Management.
14) In PM, the initiatives are piecemeal.
15) In PM, speed of decision is slow.
HRM
13) HRM, keeps key relations with customers.
14) In HRM, the initiatives are integrated.
15) In HRM, speed of decision is fast.
PM
16) In PM, Management role is in transactional
form.
17) In PM, negotiation is considered as prized
Management skill.
HRM
16) In HRM, Management role is in
transformational form
17) In HRM, facilitation is considered as
prized Management skill.
PM
18) In PM, selection is done separately &
by marginal task.
19) In PM, pay is done by job evaluation i.e.
on fixed grades.
20) In PM, conditions are separately
negotiated.
HRM
18) In HRM, selection is integrated & it
is done by key task.
19) In HRM, pay is done related to
performance.
20) In HRM, conditions are harmonization.
PM
21) In PM, labour Management is done by
collective bargaining contracts.
22) In PM, there are many job categories &
grades.
HRM
21) In HRM, labour Management is done by individual contracts.
22) In HRM, there are few job categories &
grades.
PM
23) In PM, job design is done by division of
labour.
24) In PM, conflict is done by reach
temporary truce.
25) In PM, interest of the organization are
uppermost.
HRM
23) In HRM, job design is done by team work.
24) In HRM, conflict is done by managed
climate and culture.
25) In HRM, there is mutuality of interest.
PM
26) In PM, training & development are done
for controlled access to courses.
27) In PM, there are personnel procedures for
interventions.
HRM
26) In HRM, training & development are
done for learning of the companies.
27) In HRM, there are wide ranging cultural,
structural & personnel strategies for interventions.
PM
28) In PM, labour is treated as a tool which
are expendable and replaceable.
29) In PM, locus of the control is external.
30) PM is a narrow concept.
HRM
28) In HRM, people are treated as an asset to
be used for the benefit of an organization
29) In HRM, locus of the control is internal.
30) HRM is a wide/ broad concept.
PM
31) In PM, organizing principles are
mechanistic, top-down & centralized.
32) PM is now onwards consider as a sub
part of the HRM.
HRM
31) In HRM, organizing principles are organic,
bottom-up, & decentralized.
32) HRM is now onwards consider as main part.
PM
33) PM, is never considered as a part of the
strategic Management of business.
34) PM is an old orthodoxy.
HRM
33) HRM is always considered as a part of the
strategic Management of business.
34) HRM is a new orthodoxy.
PM
35) PM includes salary & wage
administration, time keeping system, attendance, canteen, labour welfare,
statutory requirements, badlee workers, etc.
HRM
35) HRM includes HRP, recruitment, selection,
training, job analysis, job design, HRD, placement, induction, performance
appraisal, goal setting, goal appraisal, PM, etc.
Conclusion
PM & HRM are two different concepts.
In ancient times in India there was nothing
like HRM, there was only PM concept.
HRM came into consideration from 19th century.
where as PM was taken into consideration since ancient times.
Thus, PM is considered as an old orthodoxy
& HRM is considered as new orthodoxy.
Now HRM is consider as main part &
Personnel Management is consider as a part there of. Being a new concept also, HRM is consider wider
and broad compare to PM.
Thus PM is now consider as narrow concept.
After the existence of HRM, people came to
know the difference between PM & HRM.
Bibliography
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