Page 13 - DMGT406_HUMAN_RESOURCE_MANAGEMENT

Human Resource Management

Notes 4. HRM has a Wide Scope: Human Resource Management can be applied to wide range of
activities in the organization such as selection, recruitment, training, development,
remuneration. Thus, it has wide scope in all the levels, departments and hierarchies of an
organization.
5. HRM involves co-ordination and co-operation: Human Resource Management aims at
establishing harmonious relationship within the organization. It aims to develop relations
on the basis of mutual trust and confidence.

6. HRM aims at employee satisfaction: Human Resource Management offers maximum
satisfaction to employees and extracts their maximum contribution towards the
organization.
7. HRM aims at effective leadership and motivation: Human Resource Management leads
and directs the energies of workers and offers solutions to their problems. It motivates
and encourages employees to their best services and contribution to the enterprise.

1.5 Personnel Policies and Principles

The personnel policies and procedures distinguish in nature. It is very important to first
understand how policy and procedure are different from one another.
Table 1.1: Policy Vs Procedure

Sl. No. Policy Procedure
1. Plan of action Action guideline
2. It is flexible because it gives area of It prescribes the exact sequence of
discretion to manager e.g., leave policy activities without any scope of variation
3. More important at high level More important at low level
4. Views organization in totality so that Standards are prescribed
uniformity is maintained
5. More specific Method of carrying out a policy
6. More stable – it removes uncertainty These are not very stable in nature
and creates a climate of security for
the employee
7. More flexible Procedure cannot be changed unless
policies change

Table 1.2: Personnel Policies and Strategy

Sl. No. Policy Strategy
1. Guidelines to thinking and action of It is concerned with direction in which
those who make decisions human and physical resources are deployed

2. It is repetitive in nature Made in partial ignorance of the

environment

3. De legation of authority is downward It cannot be delegated

Example: The personnel policy of Tata Steel, as contained in the Statement of Objectives,
is given below. The company tries to take care of its employees:
 by a realistic and generous understanding and acceptance of their needs and rights and by
having an enlightened awareness of the social problems of the industry;

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