Personnel Management Versus Human Resource Management

1. The personnel approach tends to be tactical in itThe Focus of the human resource management approach is
approach to activities more strategic.
2. The personnel approach tends to be short-term, The HRM approach is to think of the long term and initiate
and responsive to others’ demands policies on major new initiatives.
3. The personnel approach tends to be a rather The HRM approach to the same issues is to place them within
piecemeal way of tackling issues a clearly defined, integrated framework which has been
worked out to benefit the organization and to which the HRM
managers and other staff have contributed.
4. Personnel management tends to rely on traditional HRM tends to use a variety of communication channels.
forms of communication
5. Personnel management tends to operate in Human resource management emphasizes the importance of
organizations where there are traditional ways of the involvement of everyone in teams or in quality circles.
working and where there is not much involvement
of the workforce in decision making
6. Personnel management tends to work in Human resource management tends to encourage single status
traditionally unionized organizations agreements and de-emphasises the role of trade unions.
7. Personnel management tends to use traditional pay Human resource management emphasizes the need to manage
systems performance and integrated with the organizations objectives.
8. The personnel management approach tends to Human resource management tends to encourage change and
reflect the status quo and resist change increased flexibility in ways of working.
9. The personnel management approach tends to The human resource management approach tends to operate
operate from a pluralistic point of view where from a unitary perspective emphasizing the need for everyone
different points of view are tolerated in the organization to work towards a common goal, so unions
are not encouraged since they are not seen to be necessary.
10. Personnel management’s focus is therefore ton Human resource managers focus on individual contracts,
getting the same conditions for groups payment and reward systems.
11. Personnel managers may sometimes need to help Human resource managers feel individuals should be prepared
individuals with their problems to take responsibility for their own decisions and actions.
 Personnel Management Versus Human Resource Management
12. Personnel management is concerned with the needs Human resource management is concerned with the demand
of the workforce and with ensuring a supply of for labour from management and has more emphasis on
employees who are happy and work well planning, monitoring and control to ensure the right number
of people (not necessarily employees), with the right skills in
the right place at the right time.
13. Personnel managers want a system that is fair for Human resource managers tend to say that people have a right
all and are keen to have rules and procedures to to proper treatment at work and efficient management will
encourage this achieve this
14. Personnel management is a special activity, because Human resource management says that managing people is
of the difficulties of working with people much the same as managing any other resource
15. Personnel management tends to specialize in most Human resource management tends to devolve many of these
of the activities mentioned earlier activities to line managers, concentrating instead on
developing policies, planning, monitoring and evaluating.
 HUMAN RESOURCE
PLANNING
Is defined as “getting the right number of
qualified people into the right job at the right
time.”

“The system of matching the supply of

people internally and externally with the
openings that the organization expects to
have over a given time frame.”
 STRATEGIC HUMAN
RESOURCE PLANNING

When Human Resource Planning is

directly linked to organizational goals and
strategy, it is referred to as “Strategic
Human Resource Planning”.
The Human Resource demand is in
essence derived from strategic planning
and then compared with human resource
availability (supply).
 Organizational mission

Analysis of Organizational goals Analysis of

internal external
environment environment

Business Strategy

HR Strategy

HR Programmes
WHAT IS HR PLANNING

It is process by which an organization ensures

that it has the right number and kind of people,
at the right place, at the right time, capable of
effectively and efficiently completing those
tasks that will help the organization achieve its
overall objectives.
WHAT ARE THE AIMS OF HR
PLANNING ?
• Obtaining and retaining the people
• Making best use of human resources
• Being able to anticipate the problems of
potential surpluses or deficits of people
• Developing a well trained and flexible work
force
• Reducing dependence on external
recruitment
 HR PLANNING STEPS
• Forecasting future needs
• Analyzing the availability and supply of people
• Drawing up plans to match supply to demand
• Monitoring the implementation of the plan
Information Categories of Human Resource Management systems

Group 1 Basic Non-confidential Information

Employee name
Organization name
work Location
Work phone number
Group 2 General Non-confidential Information
Information in the previous category, plus:
Social Security number
other organization information (code, effective date
Position-related information (Code, title, effective date)
Group 3 General Information wit Salary
Information in the previous categories, plus:
Current salary, effective date, amount of last change, type of last change and
reason for last change)
Information Categories of Human Resource Management systems

Group 4 Confidential Information with Salary

Information in the previous categories, plus:
Other position information (EEO code, position ranking and FLA)
Education data
Group 5 External Confidential Information with Salary
Information in the previous category, plus:
Bonus information
Projected salary increase information
Performance evaluation information
Source: Joan E. Goodman, “Does your HRIS Speak English? “Personnel Journal (March 1990), p.81.
Used with permission.
 Management Inventories
A management inventories contains detailed information about
each manger and is used to identify individuals who have the
potential to move into higher level positions.
It would include data such as
• Work history and experience
• Education background
• Assessment of strengths and weaknesses
• Development needs
• Promotion potential at present and with further development
• Current job performance
• Field of specialization
 Skills Inventories
A skills inventory is information maintained on the availability
and preparedness of non-managerial employee to ode either
into higher level positions or laterally in the organization.
Generally included in a skills inventory are
• Background and biographical data
• Work experience
• Specific skills and knowledge
• Licenses or certifications held
• In-house training programs completed
• Previous performance appraisal evaluations
• Career goals
 ACTION PLANS
• Overall Plan
• Human Resource Development Plan
• Recruitment Plan
• Retention Plan
• Plan to Achieve Greater Flexibility
• Productivity Plan
• Downsizing Plan
 KEY QUESTIONS IN HR
PLANNING PROCESS
• How many people are needed ?
• What skills, knowledge and competencies will be required in the future?
• Will existing human resources meet the identified need ?
• Is further training or development needed ?
• Is recruitment necessary ?
• When will the new people be needed ?
• When should training or recruitment start ?
• If numbers are to be reduced how should this be handled ?
• What other people implications are there in such areas as productivity
and commitment ?
• How do we achieve the necessary degree of flexibility on the use of
people.
 OVERALL PLAN
• Improving recruitment methods
• Establishing links
• Attracting young people
• Widening the recruitment net
• Tapping alternative pools of workers
• Flexibility
• More attractive benefits packages
• Development employees
• Retraining
• Retaining Staff
 RECRUITMENT PLAN
The recruitment plan will set out:
• The number and types of employees
required
• Sources of recruits
• Methods of attracting good candidates
• Ways to deal with special problems
 HUMAN RESOURCE
DEVELOPMENT PLAN
The recruitment development plan will show:
• Number of trainees required & program for
training and recruiting them
• Number of existing staff who need training
• New learning programs
• How flow of promotable managers can be
maintained
 RETENTION PLAN
• Pay
• Jobs
• Performance
• Training
• Career development
• Commitment
• Lack of group cohesion
• Dissatisfaction and conflict with managers
• Recruitment, selection and promotion
• Over-marketing
 FLEXIBILITY PLAN
• Greater operational flexibility
• Utilization of employee’s skills
• Reducing employment cost
• Achieving downsizing smoothly
• Increasing productivity
 ALTERNATIVE TO FULL
TIME PERMANENT STAFF
• Flattened hierarchies
• Temporary workers
• Part-time workers
• Job sharing
• How working and Tele-working
• Subcontracting
 PRODUCTIVITY PLAN

• Improves or streamlines methods,

procedures and systems mechanization,
automation or computerization
• Uses financial and non-financial incentives
 DOWNSIZING PLAN
The plan should set out :
• The number of people who have to go
• Arrangement for informing and consulting with employees
• Forecast of the number of losses
• Encouraging voluntary redundancy
• Forecast of the balance
• The redundancy terms
• Financial inducements to retain key employees
• Retraining employees to find new jobs.
 CONTROL
The human resource plan should :
• Include budgets, targets and standards
• Clarify responsibilities for implementation
and control
• Establish reporting procedures
LIST OF DATA NEEDED FOR
HR INVENTORY
• Personal details • Previous job grades
• Location • Previous grade but one
• Status • Performance
• Allowances • Aptitude test
• Conditions • Leaving
• Entry • Salary
• Professional qualifications • Training
• Present job
Human Resources Planning Process in
Organization
Define organization mission and
objectives

Establish goals
and objectives of organization HRM Function

Assess current Forecast Human

human resources Resources Needs

Demand and Supply analysis of

Human Resources

Recruitment/Derecruitment in
Organization